A monthly newsletter brought to you by McNulty Real Estate Services, Inc.
VOL. 6, ISSUE 9 09/16/2022
Good-bye to summer next week, and Happy Fall to you and yours!
Thanks to all our friends who supported our efforts at the Marian University Founders Classic! The event raised close to $150,000 which will be used to increase two important scholarship funds for deserving medical and engineering students at the school. We appreciate you!
Market Update: In the short term, it looks like with inflation remaining high, the Fed will likely increase the rate by at least three quarters of a point. Inventory continues to remain low, although increasing little by little everyday. It is still a competitive market, but not as cutthroat for Buyers as it has been the last 2-3 years. For the year to date and long term perspectives, please see the following:
Through the first eight months of 2022, sales are less than five percent below the red-hot (many would say overheated) pace of 2021 despite inflation at a forty-year high, mortgage rates rising with repeated Federal Reserve actions and a contracting national economy.
Looking further into the not-so-distant past, Hoosiers bought and sold more homes in the first eight months of 2022 than 2018, 2019 or 2020, a three-year period that brought 35,000 new (net) residents and double-digit personal income growth to Indiana (and the start of the resurgent real estate sector after the initial COVID shutdown).
This points to healthy demand for housing that’s been interrupted by economic uncertainty. If inflation falls into the 3-4 percent range by the end of next year and mortgage rates follow it towards 4 percent, supply will re-emerge as the biggest threat to the sustainable growth of Indiana’s housing market.