Are things improving in the Indianapolis real estate market? Well, that 
might be a stretch to prove; but in some areas of the local real estate market, things are not declining as quickly as they were last year. Since being "less bad" is the first step toward improvement, I'm slightly encouraged.
Here’s why. Financial housing data is historical in nature, usually data from a month or two in the past. This important look back assists economists and others in determining trends. For quite some time now, news has grown more and more negative with bright spots being little to none. This downward trend will likely continue nationally but maybe some signs of improvement are about to appear. Some Indianapolis Real Estate Professionals are seeing a nice pick-up in activity and sales, exceeding last year's dismal results. In fact, one successful agent mentioned having already hit 50% of his entire 2008 production in real estate transaction closings. Since his clientele is mostly residential, signs of a local upturn are there.
Our capital markets and real estate markets operate on the same free market principals. Buyers move prices down when there are too few of them and too many sellers. Sellers move prices up when homes are limited for throngs of buyers. With so many Indianapolis homes for sale and more sweeping into the market due to foreclosures, home prices have been finding pressure and have moved down. This will continue until the home inventory shrinks. The stimulus package coming out of Washington may delay recovery by prolonging the crisis. It slows or stops the shake-out that simply must occur before buyers become comfortable to move back in. Interference to an open market can cause great disruption and we are seeing that evidence now on Wall Street in other markets. 
Nonetheless, if the patient is not killed by the medicine coming from the Obama administration, then maybe we do have better times ahead. Maybe. My fingers are crossed.
Please visit my site Contributed by, Mark Mills
Email Mark with any questions you might have on the market.
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