Housing Inventory, Median Sales Price Up
New housing data issued by the MIBOR REALTOR Association (MIBOR) for September 2022 shows an increase in active inventory and months supply of inventory.
The median sales price rose 11.8 percent in September compared to September 2021, and remained the same compared to August 2022. New listings decreased 13.7 percent in year over year comparison. Active inventory increased 61.8 percent in year over year comparison and 8.8 percent compared to last month.
Pending sales decreased 15.9 percent in year over year comparison. Closed sales decreased 13.7 percent compared to last year.
“This remains a relatively tight housing market with strong year-over-year price appreciation, although it is cooling,” said Shelley Specchio, MIBOR CEO.
“As the market feels the impact from both rising interest rates and a return to seasonality, average days on market increased from 22 in August to 28 in September. The percent of asking price received at sale dipped again this month, from 100.6% last year and from 99.2% in August to 98.7% in September, a sign that sellers are offering price concessions. Overall, this remains a seller’s market, though one with more opportunities and less competition for potential buyers.”
Dr. Elliot Eisenberg, an internationally acclaimed economist and public speaker says, “Year-over-year closed sales declined by 13.7% but are still meaningfully higher than pre-Covid levels for September. Pending sales compared to last year declined 15.9%, but again, are consistent or slightly higher than before the pandemic. What may be more meaningful is that new listings are down for the third month in a row. We are seeing the effects of rate “lock-in” on new listings across the country. Data from the end of July show that 90% of existing mortgages have an interest rate below 5% and more than two-thirds are below 4%. As interest rates climb, fewer potential sellers are willing to sacrifice their existing mortgage for the new, higher rates.”
Additional central Indiana year-over year comparisons (Sept. 2021 vs. Sept. 2022):
- Pending sales decreased 15.9 percent to 2,940
- Current median sales price: $285,000
- Months supply of inventory: 1.4 months
- Total active listings increased 61.8 percent
To coincide with the new MIBOR Market Insights Report, MIBOR has added a consumer tool to allow members of the public to view a number of market metrics such as number of units sold, median sales price, number of new listings and more. The metrics are shown graphically to show the treds in the marketplace. To view the new Market Insights, visit mibor.com/marketinsights.
This information has been provided by MIBOR REALTOR Association (formerly named the Metropolitan Indianapolis Board of REALTORS), the professional association representing central Indiana’s REALTORS.