Denise Wilson, ABR

My inlaws live in the Dayton, Ohio area and as I am "in real estate", I am always paying attention to the neighborhoods and builders when visiting. I was surprised to see the billboards recently announcing Ryan Homes' entrance into the Indianapolis real estate market. I was even more surprised by how quiet the news has been. Ryan Homes is a fixture in the area of town where by inlaws reside near Dayton. Over the years, I have had a chance to go into several of their model homes and neighborhoods and I know a few people who have built with them. It will be interesting to see how they will fit into the new home builder market here in Indianapolis.

From what I understand, Ryan Homes is taking over some home site inventory in neighborhoods left with vacant lots when CP Morgan closed. Neighborhoods such as Branches, Homecoming, Heartland Crossing, Harmony, just to name a few. The billboard and builder's website tout 10 new communities. These neighborhoods are in Greenwood, Indianapolis, Noblesville, Camby. This is very good news for those residents who are living in the communities left unfinished when CP Morgan had to close. Over the summer, I have often wondered how soon someone would finish these neighborhoods as I drove through and looked at empty home sites or home sites with foundations only.

There was an article in the Indianapolis Star on Friday October, 9th announcing Ryan Homes moving into the market. It also told a little about the company (founded in 1948, in 18 cities nationwide, etc.) For more visit wap.indystar.com/news.jsp?key=537078&rc=bz .

I called and spoke with Ryan Homes today and they currently have 6 model homes under construction. They hope to have those completed by mid-November.

For more information on this builder, floorplans, community information, AND to find out why you need a Buyer's Agent with new or exisiting homes - contact me at denise@gocitywise.com. Or call me at 317-339-9205. Every buyer deserves representation by their own agent.

Denise Wilson, ABR
CityWise Real Estate Service LLC
www.gocitywise.com

Home sales are up in Greenwood (Pleasant Township, Clark
Township and White River Township)for September 2009
(compared to Sept. 2008)! Don't we all love good news? One hundred and forty two homes closed in September 2009 which was an 18.33% increase over September of last year. When looking at pending sales for this year, September 2009 had a 14.68% over the same month in 2008. This can be partially attributed to the First Time Homebuyer Tax Credit which expires in a short time (homes must close prior to December 1st, 2009). The upswing can also be attributed to the fact that it is a GREAT time to buy a home! Interest rates are low, there are many homes to choose from, and it is still a buyer's market out there!

So far in October, there have been 65 new listings (as of October 12th according to MIBOR BLC). Nine of those new listings were condos and fifty six were single family homes. The price range of new listings ranged from $53,000 to $689,000. Currently there are 127 pending homes in Greenwood (this does not include homes that may have accepted offers but are not marked as "pending" in the listing system).

Who do you know that is looking for a new home? Email me at denise@gocitywise.com for more information about Greenwood homes for sale or buying a home in any Greater Indianapolis neighborhood. I would be happy to assist you!

Denise Wilson, ABR
CityWise Real Estate Service LLC
www.gocitywise.com

* All data for this blog was obtained through the Broker Listing Cooperative at MIBOR and includes Pleasant Township, Clark Township and White River Township sales data (Johnson County). Information is deemed reliable.

About three years ago in Indianapolis, the majority of buyers I worked with would answer this question with a resounding "NEW!". It seemed the choices were endless when considering brand new neighborhoods, floor plans, options and upgrades. I found most home buyers when comparing resale homes with brand new homes, would feel they were getting more for their money with a new home. There was the builder's warranty, the brand new everything, personalized with their color choices and style, plus their choice of home site and delivery. Then the tide shifted. The buyers became concerned with buying a brand new home in a market where uncertainty about home values had set in. I found my clients wanting to look at resale and foreclosures more than new homes. Some buyers became more concerned with the deal they felt they could get than the home itself.

So where are we in 2008? Is the new vs resale question popping back up? It is. For one thing, in this market, the inventory levels of new homes seem to be coming back into reason as the market is correcting itself. Builders permits are down in 2008 in this area, lowest in 5 years. This is not surprising considering the pool of buyers has changed drastically. Changes within the mortgage industry have also had a large impact on builders. Interestingly enough, we have not seen a huge decrease in the average price of a new construction homes according to BAGI (www.bagi.com). The majority of new homes being sold in the greater Indianapolis market are in the $175,000-$275,000 price range. The second highest price range being the $175,000 and under range (also according to BAGI). So Indianapolis is still a very affordable market for home buyers considering new construction but we have not seen drastic price reductions everywhere and the average price is holding pretty steady.

So what will we see in the new home marketplace over the next year? In my discussions with home builder's sales managers on site in varying price ranges, we will see them trying a myriad of 'new' & revisted strategies. For those working with the first time home buyer, for which down payment assistance programs may be eliminated, we will see pre-Nehemiah FHA mortgage strategies. Things such as the "buy and save" and "sweat equity" may reappear. For the builder's who are working with the move-up buyer, programs like "Guaranteed Buy Outs" are not being utilized like they were before. Builders are more cautious about the amount of upgrades they will encourage a buyer to do in their home since values and appraisals need to be considered. We may see more promotions with upgrades in this case. The other change for move-up buyers who would consider leasing their current home in order to get into a new home comes in the form of stricter lender guidelines. Now homeowners will need to show 30% equity in their home to lease if they are leasing it to qualify for a mortgage on a new home.

Should a buyer consider new construction as an option right now? You bet. Consider that as the real estate market begins it's upward climb, that Indianapolis is positioned to have a quick come back. The Indianapolis area did not have the "bubble" of crazy appreciation that other markets around the country witnessed. As one of the loan officers I work with put it to me " Indianapolis wasn't invited to the party, but we didn't have the hangover either". When this market begins to really turn around, construction costs are going to go up. We know they are! Lumber, drywall, roofing, you name it. These vendors have all had sluggish times too. So when the demand comes back, up will go the prices. So right now is probably the best pricing you will see in new construction as analysts predict a "comeback" sometime in 2009.

Is this to say that new is better than used? Certainly not! Each buyer and family will have thier own set of criteria. Every buyer's goals and situations are different. For some of you, a new home will fit like a glove! For the others of you, a resale home is the right choice. Only you as the buyer can decide that. As your buyer's agent, it is my job to consult with you on the pros and cons of both to help you make that decision. If you would like to talk with me more about the Indianapolis market and comparing new vs resale communities, feel free to email me!