South Bend Real Estate Sales Report: February 2010

by Nick Molnar on March 3, 2010

The South Bend Area MLS records show that in February 2010:

  • 152 residential properties sold
  • 247 residential properties went under contract
  • 396 properties were listed for sale (includes properties re-listed after expiring unsold)

The 152 sales add up to $13.16 million in volume. That is about 37% higher than January 2010 and about 18% higher than one year ago in February 2009.

Sales Prices

The high price sale in February was 17564 Nittany Court in Granger. It closed for $462,500 in a cash deal. It previously sold for $530,000 in July 2003. The original list price of the home in April 2009 was $597,000.

The low price sale was 1106 Johnson Street in South Bend. It sold for $5,000 in a cash deal. It previously sold for $8,000 in January 2007 and $20,350 in May 2004. The original list price of the home was $24,900 in June 2009.

Here are all 152 sales prices, represented visually on a scatter graph:

Financing

Cash sales accounted for about half of the transactions by number of sales, but just over one quarter of sales by volume. Conventional mortgages were just over one quarter by number of sales but accounted for 44% of the sales volume. FHA loans were 22% by number of sales and 27% by volume. VA and other types of financing remain rare in the South Bend area.

Notre Dame condos

No condo or townhouse near Notre Dame sold through the MLS in February. There were condo sales in The Forest, Topsfield, Somers Square and Sandpiper Cove. Developers, if you sold (closed on)  a Notre Dame property outside of the MLS, speak up in the comments.

New construction

I found data for the February sale of three new homes in the MLS. All were built by Weiss Homes and financed with FHA loans.

  • 11276 Harford Bay Dr in Osceola sold for $190,999 with $16,340 in seller concessions.
  • 19733 Clara Ave in South Bend sold for $184,114 with $10,160 in seller concessions.
  • 23080 Rumford Dr in South Bend sold for $124,999 with $5,000 in seller concessions.

Have Questions? Need Help?

This is the real scoop. It’s more detailed, more current, and less mangled than sales info you’ll find anywhere else for the South Bend Area. But honestly it’s still not good enough to base an informed decision about buying or selling property upon. Even if you are just curious about a certain neighborhood or market segment and especially if you need to make a financial decision related to real estate – call us. We’ll talk to you openly and honestly and never lock you in to working with us.


{ 6 comments… read them below or add one }

Dave March 3, 2010 at 8:30 am

It looks like the $8000 bribe is helping. The real story won’t be told until that expires.

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Outside the Box March 3, 2010 at 10:33 am

The economy is starting to recover slowly but it is still in the critical condition wing of the ER. In this market, tastefully updated homes are selling. If you think you can sell your home with no updates since you moved in and for a higher price, your home will sit on the market for a while.

Regarding the ND market, units are selling but they must not be hitting the MLS. The market definitely still has legs. With Eddy Commons as an example, it appears to have reservations for 27 townhomes and none of the sales probably have closed yet. The first group of buyers were ND fans from out of town and the next group will be downsizing baby boomers.

http://www.eddycommons.com/pdf/champions_way_site_plan_&_lot_premiums.pdf

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Irish Eyes March 3, 2010 at 12:42 pm

Outside the Box – Thanks for the link. Looks like Champions Way is off to s solid start. I am not so sure that downsizing baby boomers are gonna find this project attractive though so I will go out on a limb and say alums, especially with kids at ND or gonna be at ND, are buyers. WIll be interesting to see how many ND is buying up for visiting profs and the like since Fischer Grad Housing just doesn’t cut it and better then junky old off campus homes scattered around. There is something going on there that is not the normal market…no sales in the others makes me wonder. Plus, with no plans set for the big hotel with condo residences Champions Way is the only game in town right there for a large residence.

I love the home that sold for $462,500, very tastefully done exterior.

Do you have a graph on the unit sales numbers, not $$$ volume, would be interesting to see how unit sales numbers compare with the $$$ volume with prices down to gauge overall activity in the market.

On a side note, it looks like Oak Hill has 17 condos for sale (a new record)??? And Jamison Residences also have a few. There seems to always be a few Oak Hill units for sale by owner so the number could be 20+ for 20% of units for sale??? Price will need to drop a lot. Yes Nick, Oak Hill was a bubble.

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Joe March 4, 2010 at 1:40 am

I had a client willing to pay $550,000 for Nittany Court last April when the property was listed for $597K. I think it was fortunate that it did not work out in light of the fact that it ultimately sold for $462,500. Thats $88,000 less 10 months later! What does that say about market trends? Let me also say that this home is a beautiful, nicely detailed, well built home in a great neighborhood that was in need of some relatively minor repairs.

There was a 3rd party relocation company involved on the sellers side, that had to approve the sale. They made such ridiculous demands upon the buyer that they sabotaged the transaction right out of the gate. They had an addendum full of clauses with fine print to the detriment and risk of the purchaser. Any Realtor that would recommend their client sign an addendum like that should be put in jail. I find it hard to understand why any thinking purchaser that would sign an agreement which overrides their basic rights and terms of the purchase covered in the initial contract to purchase. I see little value added by 3rd party relocation firms. They created an adversarial negotiation that was destined to fail from the outset.

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Joe March 5, 2010 at 12:25 am

Irish Eyes, I enjoy your observations and comments. You seem to be a thoughtful person with strong opinions. If you were to choose to live in any city about the same size as South Bend, which city would that be and why? Could that city be a model for improvements in South Bend?

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Irish Eyes March 5, 2010 at 3:42 pm

Joe – I prefer blunt or unvarnished opinions. Usually would be more “diplomatic” unless someone I knew asked my opinion about real estate or investments. Then I would give my opinion on how I see the market…for what it’s worth. I have been successful (actually very) so apparently the opinion is one to consider. But a lot of people have opinions, even informed ones, that differ. That’s what makes up a market. There are a couple of midwestern cities that are comparable with respect to size that perform better, go a bit west for examples and you will run into areas with low unemployment. Michiana never shook off the blue collar manufacturing bent which is not competitive in the global market place — wages, environmental concerns, government taxes, etc. The area became too reliant on colleges…so like living on the public dole, became complacent. One way to view it is like a third world country with a great tourist beach area…they should have diversified when business was good. If you are a young, talented, dynamic, educated person in South Bend would you stay, other than because family lived here? That is the hard question that faces Michiana and other similar areas. It’s nothing new.

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