>> Gerry Dick: HELLO AND
WELCOME TO INSIDE INDIANA
BUSINESS, I AM GERRY DICK.
WE BEGIN THIS WEEK SHOW IN THE
WEST GATE SUBDIVISION IN
WESTFIELD.
WESTFIELD, THE FASTEST GROWING
CITY IN THE STATE OF INDIANA.
AND THIS DEVELOPMENT WILL
HUNDREDS OF HOMES, REALLY
REPRESENTATIVE OF SO MANY
DEVELOPMENT THROUGHOUT HAMILTON
COUNTY AND MANY PARTS OF THE
STATE OF INDIANA.
IN FACT, DESPITE A COOLING
HOUSING MARKET NATIONALLY,
INDIANA REMAINS A PRETTY ROBUST
MARKET.
IN FACT, REALTOR.com RANKS
INDIANA AS ONE OF THE HOTTEST
HOUSING MARKET IN THE NATION.
FORT WAYNE, ONE OF THREE
HOOSIER REASONS TO LAND ON THE
TOP 20 LIST FOR NOVEMBER.
THE SUN CITY IS MAKING FIFTH IN
THE NATION.
ELKHART, GOSHEN, AND WEST
LAFAYETTE AROUND THE TOP 20.
BUT AS YOU BEGIN 2023, THE
MARKET IS CURRENTLY IN
TRANSITION.
WHAT CAN WE EXPECT EARLY IN THE
YEAR AHEAD?
TO BREAK THINGS DOWN, I AM
PLEASED TO BE IN AS ALWAYS BUT
GREG COOPER WITH COMPASS OF
INDIANA, HIS TEAM CROSSROADS
COLLECTIVE.
YOU'VE GOT YOUR FINGER ON THE
PULSE OF THE ECONOMY SO TO
SPEAK, RIGHT?
>> Greg Cooper: WE ARE RIGHT
OUT THERE.
WE FEEL IT .
>> Gerry Dick: WE ARE ABLE TO -
- FASTEST GROWING CITY IN THE
STATE.
AND, THIS IS REPRESENTATIVE OF
WHAT HAS BEEN A LOT OF BUILDING
GOING ON, RIGHT?
>> Greg Cooper: LENORE IS THE
NUMBER ONE HOMEBUILDER IN THE
STATE, 1700 HOMES LAST YEAR.
VERY SIMILAR TO THIS, THEY HAVE
A SYSTEMATIC AND THOROUGH
APPROACH TO BUILDING STUFF.
THEY GET STUFF DONE IN A STRONG
UNPROCESSED WAY.
>> Gerry Dick: OKAY, SO I AM
READING HEADLINES AND MANY
PEOPLE ALREADY HEADLINES AROUND
THE COUNTRY THAT CALIFORNIA HAS
HAD A PRECIPITOUS DROP IN HOME
SALES, HOMEBUILDING THOSE TYPES
OF THINGS.
YOU WERE TELLING ME THAT YOU
WERE NOT SEEING THAT SAME DROP
OF HERE?
>> Greg Cooper: NO, I CRINGE
WHEN I GET UP IN THE MORNING
AND SEE HOW HORRIFIC THE
HOUSING MARKET IS BECAUSE
INDIANA IS NOT FALLING.
IF YOU ARE WAITING FOR HOUSING
PRICES TO FALL, YOU WILL BE
DISAPPOINTED.
I MEAN, CALIFORNIA DOWN 40% IN
UNITS OF SALES.
WE ARE NOT DONE THAT MUCH, WE
ARE AT A PLATEAU, NOT GOING WAY
DOWN.
THAT IS A STRONG MESSAGE THAT
BOTH BUYERS AND SELLERS NEED TO
UNDERSTAND BUT USE ACCORDINGLY
BASED ON THEIR GOALS.
>> Gerry Dick: WHAT SHOULD
FOLKSWERE THINKING ABOUT
BUYING, THINKING ABOUT SELLING
IN THE YEAR AHEAD , WHAT ARE
SOME THINGS THEY SHOULD KEEP IN
MIND?
YOU AND I TALKED EARLIER AND
THE WORD THAT STRUCK ME WAS
BALANCED, THE MARKET IS BACK IN
BALANCE?
>> Greg Cooper: VERY MUCH SO.
WE ACTUALLY A VERY GOOD HOUSING
MARKET RIGHT NOW BECAUSE
BUYERS, UNLIKE EARLY 2021,
BUYERS CAN GET A MORTGAGE, THEY
DON'T HAVE TO HAVE CASH.
DAYLIGHT HAVE AN INSPECTION,
THEY CAN HAVE AN APPRAISAL IN
THE HOME HAS TO APPRAISE OUT.
THOSE ARE THREE THINGS REALLY
IMPORTANT FOR THE HEALTH OF
HOMEOWNERS AND INDIANA.
THE SECOND SIDE OF THAT GERRY,
ON THE SELLER SIDE YOU CANNOT
TAKE IT FOR GRANTED THAT YOU'RE
GOING TO SLAP A SIGN UP AND GET
12 OFFERS.
NEED TO BE READY, YOU CONTINUES
TO BE UPDATED, YOUR OWNERS WE
NEED TO BE UPDATED.
IF YOU'RE A PERFECT FIT FOR THE
DEMANDS ON THE MARKET, YOU CAN
STILL GET FULL PRICE ON YOUR
HOME.
>> Gerry Dick: YOU MENTIONED
MORTGAGE RATES, THAT IS
CERTAINLY A BIG TOPIC OF
DISCUSSION.
WHERE YOU SEE RATES IN THE YEAR
AHEAD?
THERE ARE FROM WHERE THEY WERE,
WHERE YOU SEE THEM GOING?
>> Greg Cooper: ONTO THE
STICKER SHOCK AT THE MIDPOINT
OF THE MORTGAGE MARKET, MOST
PEOPLE ARE SETTLING IN THAT WE
ARE NOT GOING TO BE AT 2.875
ANYTIME SOON, THAT IS THAT SIDE
OF IT.
THE LAST TIME THE FEDERAL
RESERVE RAISED THE DISCOUNT
RATE AMONG MORTGAGE RATES
ACTUALLY WENT DOWN.
I THINK WE ARE READY TO RAISE
EASE, WE COULD SEE LITTLE
SPIKES OR DROPS ALONG THE WAY,
BUT I THINK THEY'RE GOING TO
EASE.
I THINK YOU WILL BE 5:00 TO SIX
FURTHER PART OF THE YEAR .
THERE'S A LOT OFECONOMIC THAT
COULD HAPPEN, BUT I'LLSEE ANY
PRECIPITOUS SPIKES THAT WE SAW
YEAR AGO .
>> Gerry Dick: PSYCHOLOGY IS
HUGE .
>> Greg Cooper: COMPLETELY.
A YEAR AGO IF YOU BOUGHT A 425
HOUSE, YOU MAY HAVE PAID - -
ALMOST PAYING THE SAME MONTHLY
AS WOULD'VE IN THE PREVIOUS
MARKET WHERE RATES WERE 2.875.
>> Gerry Dick: WHERE YOU SEE
THE HOME BUILDING MARKET GOING
GREAT?
OBVIOUSLY WITH SUPPLY CHAIN
ISSUES, COST, LABOR, ALL KINDS
OF THINGS THAT REALLY AFFECT
THE MARKET.
>> Greg Cooper: SO, THE DEMAND
FOR NEW PRODUCT IS SO
INCREDIBLY HIGH.
PEOPLE WANT TURNKEY.
SOME PEOPLE ARE WILLING TO DO
REHAB, SOME PEOPLE ARE WILLING
TO BUY AN OLDER HOME, THE WHAT
WE ARE NOW IS AN ABSOLUTELY
HUGE DEMAND IN THE MARKETPLACE
AND I DON'T THINK I WILL CHANGE
ANYTIME IN23 .
>> Gerry Dick: DO SEE SOME OF
THE ISSUES IN THE HOMEBUILDING
MARKET, USING SUPPLY CHAIN AND
OTHERS?
>> Greg Cooper: IT IS.
LABOR COST IS HIGH, SUPPLY
CHAIN COST IS SO HIGH, IT IS
GETTING BETTER BUT IS NOT
CHANGE THE OVERALL PRICING ON
NEW CONSTRUCTION.
DOCTOR BECAUSE IT'S A LITTLE
BETTER THAN A YEAR AGO YOU WILL
WALK IN THE SUMMER WILL
DRAMATICALLY REDUCE THE PRICE
IN THE NEW HOME.
YOUMIGHT GET OPTIONS PACKAGE
THAT ARE ENTICING TO YOU , BUT
IN TERMS OF RAW PRICING, IT
WILL PROBABLY NOT CHANGE A LOT
FROM LAST YEAR AND CERTAINLY