CENTURY 21 Scheetz Zionsville Market Indicators – October 2017
In the month of October 2017 Zionsville showed the following market trends:
1) Closed transactions of 38 in the month of October, were down 32% from October of 2016 while positive news in new listings appears later in this report. Of the 81 closings in Boone County overall, Zionsville's 38 represent 46% of all closed transactions in Boone County as a whole for the month.
2) Buyers were presented with 61 newly listed properties to consider, a 24% increase in newly listed properties from the previous month and a 45% increase in newly listed properties year over year. The total number of properties for sale in Zionsville at the end of October was 249.
3) New Pending transactions increased 17% from 35 to 41 properties over the previous year. At 41 new pending transactions, this was the strongest October in at least 3 years.
4) As a result of the above activity in October 2017, buyers and sellers alike can expect balanced conditions in terms of Months Supply of Inventory (MSI) with a slightly increased Average Days on Market (DOM) of 88.
5) The number of October showings on Zionsville homes reporting to industry resource Centralized Showing Services (CSS) bounced back and increased by 24% for the final week in October compared to the period’s 90 day low during Zionsville’s Fall Break in week 2 of October.
6) The Average Sales Price for a Sold property in Zionsville was $404,000 compared to the 2017 running average of $381,000.
Historically, November does not bring much volatility as the market remains fairly stable through the end of the calendar year.
“Mortgage rates -- rates on the long-end of the curve, in particular -- are at a two-month high.
Our own central bank, the Federal Reserve, has long ago telegraphed its intentions on monetary policy: Raising interest rates and reducing securities purchases are on order. More recently, the European Central Bank will likely reduce its bond purchases, and it could do so by half. This would tighten the money supply in Europe. Interest rates in Europe are more likely to rise.
“Likely” is not the same as guaranteed, though. As we’ve seen on our side of the Atlantic, market participants frequently buy the rumor and the sell the news (reverse course on the news). For the immediate future, say for the week, quotes above 4% on the 30-year loan will likely persist. Beyond the week, uncertainty prevails. More adventurous borrowers might want to float in anticipation of a rate reversal (the selling of the news).”
Look for the next Zionsville update in the first week of December.