Indiana home sales and new listings outpace July 2024 as rates improve and supply of homes for sale hits five-year high

The state median home sale price remained at $275,000 from June to July, 5% above 2024

INDIANAPOLIS, Aug. 14, 2025 /PRNewswire/ -- Mortgage rates improved while the statewide supply of homes for sale continued to climb in July, setting the stage for another month of growth for the state's real estate market compared to 2024, according to the Indiana Association of REALTORS® (IAR).

7,749 home sales closed last month, up 1% compared to July 2024 at a median price of $275,000, unchanged from June and 5% above 2024. New pending sales (7,853) finished 9% ahead of July 2024.

July's 10,115 new listings also represented a 9% year-over-year increase as home sellers continued to return to the market in greater numbers. 16,515 homes were for sale statewide on an average day in July, up 23% versus 2024 and the highest monthly supply of available homes since December 2019.

Higher inventory meant homes stayed on the market longer even with more closed sales and new contracts. Properties took 19 days from listing to pending sale in July versus 14 last year.

"With both new listings and pending sales running 9% ahead of last year, July was an active month for Indiana real estate," said Kim Ward, 2025 IAR president and managing broker of North Eastern Group Realty (Fort Wayne). "Homebuyers have more options and the benefit of extra time to work through the pros and cons of properties with their REALTORS®."

More available homes and a slower-paced market also meant sellers were more likely to revisit their listing price and move further in negotiations with buyers: 48% of all statewide listings had a price reduction by the end of July, and the median sale price represented 96.5% of the original price versus 96.9% in July '24. But Ward explained that the outlook is still positive for potential sellers.

"Indiana's year-to-date home price is 4% higher than 2024 and 47% higher than 2020," Ward said. "Sellers are still taking advantage of rising property values across Indiana even though buyers have gained leverage in a more balanced market."

Ward noted that listing prices dropped about 3% from June to July as inventory continued to rise: "Buyers could find more bargains as we head towards Labor Day," she finished.

SOURCE Indiana Association of REALTORS