October Newsletter - Indianapolis
Hey friends in the Circle City! We’re super excited at LUXE/RE to bring you our first monthly newsletter. These newsletters will bring you real estate market updates, events in the area you won’t want to miss, and life updates on our team members. We hope you enjoy the content and as always, if you have any questions relating to real estate…you know where to find us.
October Market Update
What happened in September? We know you’ve probably seen the news headlines with Chicken Little “the sky is falling” rhetoric around what is happening in the market. While the US economy is in a recession, and certain markets in the US are starting to see a pull back in housing prices, we actually saw strong activity and numbers in September here locally. So what should we as homeowners and prospective homeowners be keeping an eye on? In our opinion, there are a few key items to watch out for - median home price, sold unit volume, price per square foot, and most importantly absorption rate (more on what this is later).
We’re using August’s numbers here, as Septembers have not been published yet, but we’re not expecting too crazy of a difference in September either. Median sold price and price per square foot took a little bit of a hit in August, which usually doesn’t happen until later in the year (September/October). What’s to blame? My hunch is several interest rate hikes just have the same buyers not able to afford quite as much home. For example, at last year’s rates, a prospective buyer might have been looking at a budget of $300,000. Today, if their income and debts stayed the same, they might be looking closer to $225,000 or $250,000. So it’s too be expected that we would see prices soften a little. It’s very worth noting, though, that we still have seen double digit year over year growth…for the 4th consecutive year.
With interest rates so high, what’s keeping prices relatively stable? Well, when we look at the number of closed transactions and the absorption rate, that tells most of the story. The absorption rate is simply how much time, measured in months, it would take to sell off every active home for sale, should no new homes come on the market from here forward. Historically, a “balanced” market has been described as around 6 months of inventory. Indy today is still around 1 month of inventory. Yes, you read that right…if no new homes came on the market, by the end of October we would have no homes for sale. This is mostly being fueled by population and household growth in our area, combined with builders just not building enough houses. This is no quick fix. Expect this trend to continue for years, even if builders start picking up the pace today.
So altogether, what should we expect in the near future? Well, I would predict (if I had a crystal ball) a relatively stable, slowly growing market. The FED is going to continue to raise rates to stop the proverbial train. Inflation is too high, and housing is a large category fueling that. They’ll attempt to raise rates to slow the market down, but will attempt not to crash it. Good old uncle Jerome has vowed to “keep at it”. Don’t be surprised if we see interest rates in the 7-8% rate soon (which is worth noting, is still historically pretty low). If you’re considering a move soon, what should you do? Reach out to us! Every situation is different, and we’d be happy to talk through your options and what makes the most sense for you. Now, on to the fun stuff!
What’s Happening!?
Luxe/re First Annual Fall Pic-nic in the Park - Oct. 23rd 12:00-2:00pm
Come out and join us for FREE lunch and fall family photos in the park! We appreciate all of you for trusting us with your real estate business and look forward to seeing you.
Do It Best Fall Market - Sept. 27th - Oct. 1st
This FREE event features all things hardware and home improvement.
Coffee with the Curator - Oct. 1st
Located at the Benjamin Harrison Presidential Site, this FREE event will feature coffee, pastries, and a fun dose of history.
IND Indians Fan Appreciation Weekend - Oct. 1st - Oct. 2nd
Fireworks! And on top of that, the first 2500 fans through the gates each day will receive a FREE scratch off to win cool prizes!
Irvington Ghost Tours - Ongoing
It’s Spooky Season! Enjoy some ghost stories and a haunted walk to get your steps in this Fall.
Monumental Circle Art Fair - Oct. 2nd
Regional artists will be displaying their art at this FREE gallery.
Oktoberfest - Oct. 2nd
Would it even be Oktober without a biergarten!?
Waterman's Family Farm Fall Festival - Ongoing
Hayrides, petting zoo, activities and more!
Brewfari - Oct. 2nd
It’s adults only night at the zoo. Enjoy some brews and support the animals and conservation programs our amazing Indianapolis Zoo have to offer.
Hocus Pocus Trivia - Oct. 5th
FREE trivia night spooky style at Books & Brews.
Coffee at the Top - Oct. 5th
Enjoy networking with some of Indy’s top young professionals…with a view!
Zooboo - Ongoing
Indianapolis Zoo’s Zooboo event is returning, and is always a great time! Bring the kids and enjoy the Halloween themed Zoo activities.
Germanfest - Oct. 9th
You guessed it… a fun German themed party at none other than the famous Athenaeum.
Meridian Kessler Home Tour - Oct. 9th
Tour 8 historic Meridian Kessler homes.
Market at Commissary - Oct. 10th
Thrift and antique vendors are coming together for this first annual event!
Athenaeum Building Tour - Oct. 20th
Tour and enjoy the 128 year old year old building, and learn about its history!
Family Art Night - Oct. 22nd
Come to Garfield Park for a materials-provided fun day of art projects with the kids.
Canal Squad Sculpt + Flow - Oct. 23rd
Yoga and outdoor views on the peaceful canal? Sign me up!
Pacers v. Bucks - Oct. 25th
It’s no secret Austin is a huge Bucks fan. Come watch Giannis put it down on the Pacers!
Spooky Stroll - Oct. 27th
Bring your little monsters out for a stroll through Garfield Park with games and goodies!
Haunted Conservatory - Oct. 28th
Come out for a haunted house at the Garfield Park conservatory!
Life Updates from the Team
It’s been an exciting past couple months for us.
Reagan started school and has been having a blast making friends and learning. It’s bittersweet seeing her grow up so fast. I’m glad this year she’s only doing half days, because by the afternoon I miss her for sure!
It was also Reagan’s golden 5th birthday! She had a blast with a princess themed party.
I took a trip to Hawaii to see my great friends Lauren and Eric get married, and spent a week with some great friends. It was my first time in Hawaii and Maui definitely did not disappoint. We visited the Haleakala National Park and hiked to the peak at 10,023ft.The beaches of Makena definitely threw me for a loop. It’s crazy how powerful those waves are. Overall, it was a great trip!
Lastly, Reagan and I moved into a new home in Franklin Township in the neighborhood of Indigo Run. We’re really excited to settle in after living downtown the past few months. Much quieter, and our neighbors are fantastic!
