Fishers Indiana Rental Market Update November 2022
Hi, guys. Mike Taylor, broker owner, Red Door Property Management. Today we're going to be taking a look at the Fishers Indiana rental market report for November of 2022. We're deep into the fall here. Interest rates are still on the rise. Actually, they've kind of fluctuated quite a bit here in the past 30 Ish days. They've been up, they've been down. Fed is still raising the interest rates and Fishers kind of has some mixed signals this month. Some good news, some bad news. So, without further ado, let's take a look at the numbers for the Fishers Indiana market.
New Listing| Active Homes
Okay, let's take a look at these numbers for Fishers, Indiana for November of 2022. Okay, top left up here, we're going to look at new listings and active homes. So new listings are the number of homes that hit the market in November of 2022. Again, this sample set is taken from our local MLS, but it should be representative of the market and whole. So, 32 new homes hit the market in the MLS in the month of October. And as of today, there's approximately 62 houses on the market for rent in Fishers. So, what does that look like? This is some wacky numbers here, but that is a 256% increase year over year. There was just literally no homes hitting the market. There was nothing on the market last year atthis time. I think it was nine or something crazy like that. So relatively small sample set, but just goes to show you how limited the supply was last year. So, lots more homes hitting the market this year than last year, and that's actually a 60% increase month over month. So, more homes hitting the market. Again, some of this is just, it's a small sample set, so these percentages are going to seem a little bit out of whack, but the theme is definitely more homes on the market this year and this month than last year or last month.
In the middle here. Number of homes rented in the fisheries market.13 homes rented through the MLS. That is a pretty significant decrease from last year and last month.35% over last year and 32% decrease over last month. Again, a little word of caution, that's a pretty small sample set, so I wouldn't put too much emphasis on that. But it is a trend that we are seeing in the market as a whole, is actually less demand here.
Average Days on the Market
Average days on the market, 35 days on the market. So that is up 106% from last year. It makes sense if there's literally nothing on the market, then it's going to rent very, very quickly. So last year things were running very quickly. This year it's 35 days on the market. And that represents it's actually a decrease from October of 2022.So we shaved off a day or two on the average days on the market for Fishers. Average rent. This is where we have really good news all around. So average rent in Fishers, $2,202.That's up 18% year over year and then that's also actually up 5% from last month. So that is great news for the Fishers market.
This slide here in the middle is just meant to show you. This is over the past twelve months. Everything else here is for November. This is done over the past twelve months to show you where homes are renting at what price point in Fishers. And you can clearly see kind of the meat of the market is of course right here. The average rent, 22 two, but it's between 2000 and $2500.That's where you're going to see your most activity. And obviously it's really right here, it's really between 1500 and 2500.So if you're looking for an investment, I would try to stay in here. That's where you're going to see your most renters, your most activity start to get out on the fringes. Above 3000, the demand really falls off. Again, a little bit of a word of caution with relatively limited data set here,
The absorption rate of 4.7, that's very, very high. So, we definitely need to keep an eye on that. So, what that means is it would take 4.7 months to run through our current inventory of what's on the market in the MLS based on our current level of activity. So that's pretty high. That's actually the highest I've seen. So, we are definitely going to need to keep an eye on that because if that maintains that rate, it is inevitably going to drive days on the market up and it's also going to drive rents down because that's really high. Most other markets we're seeing in Indianapolis as a whole, we're seeing about anywhere between 1.7 and 2.3.So this is very, very high. So, we'll keep an eye on this. I think this is probably just a blip and a bit of an anomaly, but definitely something to keep an eye on. So, like I said, a little bit of mixed reviews here, mixed signals for Fishers. But Fishers remains a strong market. It's a good market, it is a safe market, it's got great schools. I would not be hesitant at all to invest in the Fishers market. So, we'll keep an eye out on these as the months move forward. But those are the numbers for Fishers for November.