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Area home sales continue downward spiral

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Home-sale agreements in the nine-county central Indiana region dropped 17.5 percent in November compared to the same month a year ago, according to a report released Monday morning by F.C. Tucker Co.

Pending home sales dropped last month to 1,222, down from 1,481 in November 2009, the Indianapolis-based real estate company said.

The decline marked the seventh straight month that year-over-year home sales have slumped in central Indiana following three straight months of improving sales activity spurred by generous federal tax credits.

Pending sales were down 40 percent in October, 23 percent in September, 23 percent in August, 27 percent in July, 30 percent in June, and 32 percent in May.

Pending home sales account for sales agreements, not sales that have closed.

Year-to-date, sales are off 10.1 percent from the same period in 2009, the report said.

In Marion County, November sales agreements fell 18.2 percent compared with the previous year, from 691 to 565.

Pending sales dropped 21.2 percent in Hamilton County, from 292 to 230, and 6.2 percent in Hendricks County, from 113 to 106. Only one area county, Hancock, saw an increase in sales, from 53 to 56.

One bright spot in the residential market has been average sale prices. Through November, the average sale price of a home sold in central Indiana has been $150,130, up 8.2 percent from the same 11-month period of 2009, the report said.

Active listings have increased 1.6 percent in the area, from 14,912 to 15,151.

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  • Joe is right... though there is a twist.
    Joe Shoemaker is absolutely right. On the face of it, "Average Price" (or even "median price) does not refer to a specific property selling for more or less than a previous period. In fact, there really is no way to be certain that "House A" varies in price at all unless that specific home is sold at various times. No two properties are the same.

    I might mention that there is one slight twist to this: Viewing Sales Prices together with Price Per Square Foot prices.

    One might argue that, if the price per square foot average (or median) stays the same but the average (or median) sales price increases, the public is buying more expensive homes. But there are too many ways to interpret such data to say that with conviction. Fortunately, good agents have a sense of the markets in which they specialize to know what is actually happening.

    For another statistical view of November, I will shamelessly add our monthly report (now in its sixth year) to the mix: http://www.landrigan.com/TheLandriganMonthlyNovember2010.pdf .

    G. B. Landrigan
    Landrigan & Company, Realtors
    www.Landrigan.com
    gb@Landrigan.com
    55 Monument Circle #810
    317.687.8888

  • Average Price is meaningless.
    You write: "One bright spot in the residential market has been average sale prices. Through November, the average sale price of a home sold in central Indiana has been $150,130, up 8.2 percent from the same 11-month period of 2009, the report said."

    The average sales price has NOTHING to do with the value of specific properties. It simply means that fewer lower-priced homes sold than in the same period last year. It does NOT mean - as it is often implied - that individual home values are on the rise.

    Here's a brief explanation. Though this video addresses Median prices, it also applies to Average pricing.

    http://www.youtube.com/watch?v=Qo3i5_OhvyU

    Joe Shoemaker \ Principal Broker, REALTOR�®
    MacDuff Realty Group
    http://www.macduffrealty.com

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  1. Can your dog sign a marriage license or personally state that he wishes to join you in a legal union? If not then no, you cannot marry him. When you teach him to read, write, and speak a discernible language, then maybe you'll have a reasonable argument. Thanks for playing!

  2. Look no further than Mike Rowe, the former host of dirty jobs, who was also a classically trained singer.

  3. Current law states income taxes are paid to the county of residence not county of income source. The most likely scenario would be some alteration of the income tax distribution formula so money earned in Marion co. would go to Marion Co by residents of other counties would partially be distributed to Marion co. as opposed to now where the entirety is held by the resident's county.

  4. This is more same-old, same-old from a new generation of non-progressive 'progressives and fear mongers. One only needs to look at the economic havoc being experienced in California to understand the effect of drought on economies and people's lives. The same mindset in California turned a blind eye to the growth of population and water needs in California, defeating proposal after proposal to build reservoirs, improve water storage and delivery infrastructure...and the price now being paid for putting the demands of a raucous minority ahead of the needs of many. Some people never, never learn..

  5. I wonder if I can marry him too? Considering we are both males, wouldn't that be a same sex marriage as well? If they don't honor it, I'll scream discrimination just like all these people have....

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