Sales of Existing Residential Real Estate Drop in Indiana

The residential Real Estate in Indiana showed conflicting data during the month of November 2010. While sales of existing houses declined for the month when compared with the same 2009 period, their median price rose. According to local realtors, this trend has started in July and seemed to be set to continue until the end of the last year.

Data from the Indiana Association of Realtors showed that the state sold a total of 3,861 existing dwellings, including Indianapolis bank owned homes, in November. The figure translates to a 29.4% sales decline compared with November 2009. According to housing market analysts, the decrease in the number of existing housing unit sales can still be attributed to the end of the U.S. government’s tax credit program in April. Some good news did come out in November in the form of median prices climbing in most of the state’s home markets.

The median price of houses sold during November in the whole state climbed to $112,000, representing a 1.9% increase compared with November 20092s median rate of $109,900. Analysts stated that this is good news, not just for residents and local communities, but also for the whole Real Estate industry of Indiana. Another good thing noted by analysts is that median selling prices of houses have increased in the state in 12 of the 14 months tracked by local realtors.

Most housing experts in the state are expecting a record-setting December. According to them, both November and December showed strong pricing statistics. They explained that the federal government’s tax credit initiative has affected housing sales and price data for July until October. However, they stated that housing market activities have picked up come November as shown in the selling prices of Indianapolis bank owned homes and other existing houses in various areas of the state that were sold during the month.

They added that these positive developments in the area’s residential Real Estate market were expected to continue in December. Majority of housing market analysts in Indiana agree that the low interest rates have helped home selling activities to post positive numbers. They further stated that history has shown that low interest rates are always better than tax credit when it comes to encouraging homebuyers.