(INDIANAPOLIS, IN) – Brett Martin (http://www.appraisers.in
) - Indianapolis appraiser and Indianapolis real estate agent:
By now you have undoubtedly received these latest statistics from a local real estate agent:
The Indiana Real Estate Markets Report today released by the state's REALTORS® shows that statewide, when comparing January 2014 to January 2013, the following occurred:
· The number of closed home sales decreased 9.1 percent to 3,839,
· The median sale price of those homes increased 2.3 percent to $110,500,
· The average sale price increased 4.8 percent to $135,618,
· The percent or original list price received increased 1.7 percent to 91.4 percent,
· The number of pending home sales decreased 19.8 percent to 4,122, and
· The number of new listings decreased 20.7 percent to 6,916.
If you are considering selling this season, do not fear! Seasonality and weather have long affected sales in a negative way over the short term.
Arguably the most comprehensive paper written for further reading on weathers affects on sales is from the Federal Reserve and available for reading here: http://www.federalreserve.gov/pubs/feds/2000/200008/200008pap.pdf
Kevin Eastridge, 2014 President of the Indiana Association of REALTORS® (http://www.indianarealtors.com/
) stated "Last month we reported the fundamentals of most housing markets across the state strong. But local housing markets were no match for Mother Nature who gave us one of the snowiest, coldest January's on record, and delayed closings and prevented showings all over Indiana," "Dangerous weather conditions didn't stop with January's end, so we expect year-over-year comparisons to lag for at least the next couple of months. The good news is that home values held their own and the pent-up demand could make the spring and summer very busy if and only if the inventory is present. Opportunity is knocking loudly on the doors of potential sellers," concluded Eastridge.
Weather is not only chilling real estate activity. Diane Swonk, chief economist at Mesirow Financial said in a recent CNBC article (http://www.cnbc.com/id/101389853
) "We already saw it in auto sales, it literally freezes the economic activity, and you don't get the activity to resume until we get a thaw."
Weather has been cited as a factor behind a series of squishy economic reports, including December's surprisingly weak jobs number and the ISM manufacturing survey this week.
This winter will end and buyers will return. Our Indianapolis appraisal products and marketing plans are ready when you are…rain or shine or snow or…just call 317-345-4382.