Indianapolis Real Estate News And Information From HomeToIndy.com

Like everything else on Wall Street, mortgage markets are based on supply and demand.  When demand outweighs supply, mortgage rates fall. There is demand this week!

I have received many calls since Tuesday from homebuyers who wonder what the current rate drop may mean to them. Yes, rates are down and if you are considering buying a home, it is a good time to lock in that rate. One of the rate sheets I have from a lender here in Indianapolis shows a 6.0% loan with zero points and no loan originaton fee. For .625%, you can buy down the rate to 5.5%. For a $100,000 loan amount, it equals $625.00. That's a bargain! Of course, all rates are subject to your ability to qualify.

So, Tuesday, when the government unexpectedly announced a $500 billion budget for buying mortgage debt from Fannie...

The numbers are in and I have completed the Market Reports for the Indianapolis area. October again posted less inventory and subsequently less sales than September.

There were 1970 total units sold in the Metropolitan Indianapolis Board of Realtors (MIBOR) service area. Of these 1970 properties sold, 555 were distressed sales. 275 of the distressed sale properties were sold for less than $50,000.

These numbers do not necessarily reflect what is happening in every city, town or neighborhood in the Indianapolis area.

To view specific market reports of interest, click on the corresponding link. All market reports are for October 2008.

• Fishers Indiana Market Report
• ...

For the month of October, there were 2 homes sold and closed in Eagle Creek. For the purpose of describing properties sold in Eagle Creek, I use two areas. The traditional area of homes and neighborhoods which border the reservoir, as indicated on the map.

These include homes and neighborhoods between Reed Road to the east, Raceway Road to the west, 56th Street to the north and south to 42nd Street.

The other area, which is generally accepted as Eagle Creek is The Preserves at Eagle Creek, which is located northwest of the reservoir and does not actually border Eagle Creek.

There was one home sold in October in ...

Distressed homes for sale tend to get lumped tgether, but there are some distinct diefferences between these type of sales. Most are simply called foreclosed homes. These are the terms used by our local Board of Realtor listing service to describe distressed properties, as well as the definition of each.

Bank Owned - This is a home which has been foreclosed on and is now owned by the bank. This is also often referred to as REO or Real Estate Owned, which simply means it is real estate owned by the bank.

HUD Owned - Also a foreclosed home which is now owned by Housing and Urban Development. This is not owned by a bank. The bank foreclosed and HUD was the mortgage insurer, so HUD owns the home.

VA Owned - A foreclosed home now owned by the Veterans Administration.The Veterans Administration guarantees the mortgage for 25% of the loan value in the case of default. They then become the owners of the property after foreclosure....

There are currently 8553 homes for sale in Indianapolis in Marion County. This is down from lasts months 9138 active properties. There were 810 sold properties, compared to 920 last month.

The largest number of sales were in Wayne and Washington Townships.

In March 2008, HUD temporarily raised FHA loan limits around the country.  Effective January 1, 2009, FHA loan limits revert. FHA home loans are mortgages made by private lenders and insured by the federal government. 

Historically, FHA home loans have been 'easier' for which to qualify than their conforming mortgage counterparts and, therefore, tend to be associated with borrowers of tarnished credit quality. Today, that's the not the case. 

The FHA home loan underwriting process can be as tough -- or tougher -- than a conforming mortgage underwrite.  There is extra documentation required and the home appraisal process is often more thorough.  Where FHA home loans shine is in their limited downpayment requirements.

To purchase a home with a FHA-insured mortgage requires a 3 percent downpayment as of today; in January, it moves to 3.5 percent.  Versus the typical conforming mortgage requirement of 5 percent or more, FHA...

For the month of October, there were 14 homes sold and closed in Traders Point, compared to 5 homes sold in September. Of the 14 homes sold in October, 2 were homes which were bank owned home sales. Theree are currently 15 active bank owned, short sale or distressed properties for sale.

The highest price home sold was $635,000 for a five bedroom, 7 bath home with 4553 square feet.

The lowest priced home sold was $76,750 for a three bedroom, two bath home with 1302 square feet.

The average home sold in Traders Point was a three bedroom, two bath with 2532 square feet.

The average Days on Market for homes sold was 108 days, up from 82 days last month.

There are currently 112 available homes for sale in Traders Point, which gives us an absorption rate of 8 months. Average days on market and ...

For the month of October, there were 69 sold homes in Carmel, compared to 89 homes sold in September. Of the 69 homes sold in October, 7 were homes which were distressed sales; 6 were bank owned and 1 was sold as a short sale.

There are curretly 50 distressed properties available for sale in Carmel.

The highest price home sold was $1,215,000 for a home with six bedrooms. seven bathrooms and 7297 square feet.

The lowest priced home sold was $13,500. for a home with 2 bedrooms, two bathrooms and 1072 square feet.

The average Carmel home sold was a three bedroom, three bath with 2750 square feet.

The average Days on Market for homes sold was 81 days, down from 89 days last month.

There are currently 797 homes available for sale in Carmel, which gives us an absorption rate of 11.6 months.

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For the month of October, there were 91 homes sold and closed in Fishers, compared to 150 homes sold in September. Of the 91 homes sold in October, 12 were homes which were distressed sales; 9 were bank owned and 3 were sold as a short sale.

The highest price home sold was $735,000. for a home with five bedrooms, seven bathrooms and 4514 square feet.

The lowest priced home sold was $76,900. for a two bedroom, two bath home with 1065 square feet.

The average Fishers home sold was a three bedroom, two bath with 2293 square feet.

The average Days on Market for homes sold was 94 days, up from 75 days last month.

There are currently 743 available homes for sale in Fishers, which gives us an absorption rate of 8.1 months. Average days on market and ...

For the month of October, there were 39 homes sold and closed in Brownsburg, compared to 52 homes sold in September. Of the 39 homes sold in October, 4 were homes which were distressed sales; all bank owned. There are currently 27 distressed sale properties available in Brownsburg.

The highest price home sold was $400,000. for a home with five bedrooms, four bathrooms amd 3328 square feet.

The lowest priced home sold was $73,900. for a two bedroom, one bath home. quare foot was not disclosed.

The average Brownsburg home sold was a three bedroom, two bath with 1907 square feet.

The average Days on Market for homes sold was 100 days, up from 82 days last month.

There are currently 329 homes available for sale in Brownsburg, which gives us an absorption rate of 8.4 months. Search all Brownsburg Homes for Sale...

For the month of October, there were 25 homes sold and closed in Plainfield, the same as the number of homes sold in September. Of the 25 homes sold in October, 6 were homes which were bank owned. There are currently 21 homes available which are either bank owned or short sale properties.

The highest price home sold was $430,000. for a five bedroom, five bath and 3676 square foot home.

The lowest priced home sold was $37,000. for a home with two bedrooms, one bath and 1192 square feet.

The average Plainfield home sold was a three bedroom, two bath with 1884 square feet.

The average Days on Market for homes sold was 60 days, down from 78 days last month.

There are currently 187 homes available for sale in Plainfield, which gives us an absorption rate of 7.4 months.

I love the month of November! One of the things I missed about Indiana while I lived in the Southwest was Fall. We decided to move back to Indianapolis a few years ago and fall has always been my favorite time of year. By fall, I actually mean the part where the leaves start turning color and each days color is a bit more magnificent than the previous day.

By November, most all of the trees have lost their leaves. By mid November to the end of the month, the trees are bare, we have experienced our first frost; sometimes even our first snowfall. The air is a bit more chilly. It’s a crisp chill though which leaves you refreshed, not chilled to the bone Still, November is my favorite.

It’s the month I was married, it is my birthday month and Thanksgiving. It’s one holiday after another. Once nature has stopped decorating the outdoors, we start decorating the indoors for the holidays. This year is especially magnificent.

For the first time...

For the month of October, there were 27 homes sold and closed in Zionsville, compared to 40 homes sold in September. Of the 27 homes sold in October, 1 home was bank owned or REO.

The highest price home sold was $592,110. for a home with 5 bedrooms, six baths and 4715 square feet. The lowest priced home sold was $88,051 for a two bedroom home with 2 baths and 1353 square feet.

The average Zionsville home sold was a three bedroom, three bath with 2608 square feet and sold for $316,172.

The average Days on Market for homes sold was 61 days, down from 72 days last month.

There are currently 353 available homes for sale in Zionsville, which gives us an absorption rate of 13 months.

Average days on market and absorption rate will vary by price range....

While working to bring you the October Market Reports, I have been studying different statistics within the data to bring you additional informaton for the market reports. Many homeowners are concerned with the number of foreclosures in their neighborhood.

Home buyers seem to be looking at the short sale and foreclosure opportunities in the market. Interestingly, the number of foreclosure or short sales (homes sold in distress situations) are not the majority of sales.

My preliminary research indicates most of the sales are properly priced homes which are ready to move into. I have already posted the Avon Market Reports, which indicates about one-third of the homes sold last month were short sale or foreclosed properties.

I am currently working on the ...

For the month of October, there were 39 homes sold and closed in Avon, compared to 67 homes sold in September.

Of the 39 homes sold in October, 13 were homes which were distressed sales; 12 were bank owned and 1 was sold as a short sale.

The highest price home sold was $670,000. The lowest priced home sold was $70,000.

The average Avon home sold was a three bedroom, two bath with 1981 square feet.

The average Days on Market for homes sold was 82 days, down from 85 days last month.

There are currently 456 homes available for sale in Avon, which gives us an absorption rate of 11.6 months. Average days on market and absorption rate will vary by price range.

Search All Avon Homes for...

More than a handful would-be Indianapolis home buyers stayed on the sidelines this year, waiting for Election Day to pass.  The prevailing thought was that once the new President-Elect was identified, credit markets will systemically unfreeze and housing markets will return to normal. If history is a guide, this is an unlikely scenario.

Election Day doesn't figure to alter markets any more in 2008 than it did after the four previous presidential elections.  If anything, post-Election Day market reaction has been muted:

• 1992 : Dow closes down 0.9 percent the day after Election Day
• 1996 : Dow closes up 1.6 percent the day after Election Day
• 2000 : Dow closes down 0.4 percent the day after Election Day
• 2004 : Dow closes up 1.0 percent the day after Election Day

But just because the stock market has a history of idling on the day after the election doesn't mean...