Home-sale agreements in the nine-county Indianapolis area fell 32 percent in May compared to the same month of 2009, according to a report released Wednesday by F.C. Tucker Co.
The Indianapolis-based real estate company attributed the drop to the April 30 expiration of the federal tax credit of up to $8,000 for first-time homebuyers and $6,500 for some repeat buyers. Many people intending to buy homes rushed to sign contracts prior to the deadline.
Pending home sales dropped from 2,257 in May 2009 to 1,545 last month. By comparison, home-sale agreements in April surged 33.8 percent in the Indianapolis area as buyers rushed to beat the deadline.
Pending home sales account for sales agreements, not sales that have closed.
Home-sale agreements fell from 990 in May 2009 to 712 last month in Marion County, a 28.1-percent decline. Hamilton and Hendricks counties, which trailed Marion in the number of sales agreements, registered even larger drops, 36.3 percent and 49.8 percent, respectively.
Inventory, or the number of homes on the market, increased from 15,801 to 16,278, a 3-percent increase from the year-ago period.
The average sales price for homes in the area in May was nearly $145,000, up from about $130,000 in May 2009.
Every county registered an increase of at least 1.6 percent in the average sale price. Prices in Marion County rose 17 percent, to $111,629.