In the third and final installment of my blog series on the 2015 housing report findings by UPSTAR (Upstate Alliance of Realtors), I bring the series to a close. In case you are just joining, the purpose of these past few blogs is to dig into some of the detail presented on the Northeast Indiana housing market as it compares 2014 with 2015 as well as monthly variations.
As a reminder, all of these numbers are based on Northern Indiana home findings from the counties of Adams, Allen, DeKalb, Huntington, Noble, Wells, and Whitley. So those of you looking for a Fort Wayne home for sale should find these statistics especially useful.
We talked about the affordability index in the second blog. Today I want to bring you additional information on this. From 2014 to 2015 the housing affordability index decreased .9% or slightly less than 1%. For comparison, an index of 120 means that the median household income is 120% of what is necessary to qualify for the median-priced home under prevailing interest rates. The higher the number, the greater the affordability.
Month by month the affordability index remained fairly flat. In fact, the index number only changed by 67 over the course of the entire year. The highest month was January at 292, and the lowest month was July at 225. Trends were similar in 2014 with a limited amount of fluctuation.
Another statistic to look at monthly is the percent of original list price received. This would be of special interest to those looking to sell a home in Fort Wayne and the surrounding area. This too changed less than 1% with an increase of .9%. The lowest percentage was in January at 91.4%, and the highest percentage was found in the month of July at 95.1%. These numbers seem to coincide fairly closely with the number of new listings each month.
Finally, we will look at the inventory of homes for sale. This is one of the numbers that fluctuated the most, dropping 18.5% over the past year. When comparing 2014 with 2015, each month was lower than the same month of the previous year by over 10%. Similarly, the months’ supply of inventory of homes has also dropped substantially by 26% from 5 months to 3.7 months.
Whether you are buying a home or selling a home, I encourage you to reach out to me with your housing needs! I welcome the chance to talk with you and help you figure out your next steps.