By Annie Goeller, Daily Journal of Johnson County staff writer
Fewer local homes were sold in January compared with the same month last year, but those that were came with a higher price tag.
Recently released numbers show that Johnson County homes sold for an average of $153,385 in January, a 16 percent increase from the average selling price of $131,968 a year earlier.
Three other central Indiana counties, Decatur, Putnam and Morgan, also had an increase in the average sales price.
Local real estate agents suspect the uptick was a fluke, caused by banks that froze foreclosures, a few high-price sales that influenced the average and possibly company executives relocating during the beginning of the year.
But some believe the one-month average price increase combined with a flurry of interest so far this year could be the start of a real estate comeback.
So far this year, most of the numbers still are decreasing.
In Johnson County, 26 percent fewer homes were sold in January this year compared with last year, with 87 homes sold this year and 117 in 2008, according to The Landrigan Monthly, a report compiled by Indianapolis real estate company Landrigan Realtors.
The average sales price decreased nearly 5 percent for the three-month period between November and January, from $140,385 to $133,967.
Across central Indiana the trend is the same, with the number of homes sold down nearly 16 percent and the average price down more than 20 percent to $116,890.
Monthly numbers are going to fluctuate, based on a number of factors, said Dave McClain, managing broker for the Greenwood Re/Max Preferred Realtors office.
"If you watch the numbers too closely, and you are watching them month to month, then you'll go crazy," he said.
The increase in the average sales price could be due to some banks halting foreclosures, and January is a common time for company executives to relocate, McClain said.
The increase also could be due to the types of homes that sold that month, agents said.
If the number of high-end home sales in January was higher this year than last year, that would cause an increase in the average price, said Dave Cook, an agent with Carpenter Realtors southside office.
Another factor could be the supply of homes available, compared with the demand.
In Johnson County, 13.8 months' worth of housing is available.
That means the entire stock of homes currently for sale would be sold in just less than 14 months, based on the average time span a home is on the market before selling, said G.B. Landrigan, president of the Indianapolis real estate company that compiles the monthly report of sales and prices.
That's not the best number in central Indiana. Hancock and Hendricks counties come in up to a month lower. But the number is less than five other counties that have 15 or more months of housing available, Landrigan said.
With a lower number of homes available, that means homes can sell for a higher price, based on the theory of supply and demand, he said.
Some local real estate agents said the year has started better than 2008, partially because of people's interest in a $8,000 federal tax credit for first-time homebuyers if they buy their new home before July 1.
McClain estimates his office had about 40 percent more showings this January than the same time last year. On two separate Fridays in January, his agents scheduled more than 100 showings, he said.
Cook said he is working to turn a surge of phone calls into an increase in showings and closings. He credits the tax credit with pushing some people into a decision to buy a house.
But so far, those calls haven't turned into more sales, Cook said.
"The phone's ringing quite a bit at least," he said.