Existing Home Sales Fall for Fifth Month

Came across this article today from the Associated Press and thought it was relevant as we inch closer to the busy selling season.

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WASHINGTON (AP) -- Sales of existing homes fell for a fifth consecutive month in January as the once-sizzling housing market cooled further.

The National Association of Realtors reported Tuesday that sales of previously owned homes dropped by 2.8 percent compared to a seasonally adjusted annual rate of 6.56 million units, the slowest pace in two years.

Even with the slowdown in sales, home prices held steady with the median price in January at $211,000, unchanged from the December level.

Sales of both existing and new homes set records for the fifth straight year in 2005, but analysts believe that sales of existing homes will fall by around 5 percent this year as rising interest rates cut into demand.

The biggest sales decline last month was a 10 percent drop in the Northeast. Sales were down 7.7 percent in the Midwest and fell 3.5 percent in the West.

Continue reading the article here.
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Could the Indianapolis real estate market be on the verge of a big cool down this summer? That remains to be seen, but there have been warning signs that we could be headed that way.

Single Women Home Buyer’s Come in Second Place

According to recent studies in the housing industry which include the National Association of Realtors; single women are the second largest group of homebuyers. Next to married couples, single women bought 20% of the homes purchased in 2005. Single men stand at 9% of the homes purchased.

In general, women live longer and are now motivated to purchase homes desiring financial independence, security, and the sound investment that home ownership brings to their retirement. With low interest rates, first time buyer programs, loan programs specifically geared toward women, high divorce rates, and lenders now including child support payments as income, women are moving in the direction of home ownership at a fast pace.

The Metropolitan Indianapolis Board of Realtors reports the central Indiana housing data is as follows:

• Average sales price in December 2005 was $149,382
• Average sales price in December 2004 was $148,650
• Currently there are 17,464 active properties on the market.

As we enter our spring market, this is a great time to consider purchasing a home in or around the Indianapolis area!

If you are interested in learning about some of the loan programs available to you and being pre-qualified for a loan, feel free to E-mail me or contact me directly at 317-250-0129.

10 Ways to Get Your Price

Came across this article today on Realty Times and I highly recommend that all sellers read this one.

When buyers gain more leverage in a housing market, sellers must think out of the box to entice buyers to their homes, then to lock in their asking price. Below are 10 ways to get your home sold and, if not at your price, at least a little closer than what you might have gotten otherwise.

• Finished rec room. This gives the buyer a lot more than just money in his pocket. You may be able to finish an unfinished space for less than what the buyer wants to lower the price. When you're talking monthly payments, $50,000 in the mortgage amount would be $299.78 per month. By negotiating $50,000 in remodeling costs, the buyer could come up with a third more living space for less than the cost of a car payment.

Read the 9 remaining tips here.