Indianapolis, IN 46221 Real Estate Market Report

ZIP Code: 46221
Report Date: February 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

As of February 2026, the real estate market in Indianapolis, IN (ZIP: 46221) is characterized by a median sold price of $218,950, reflecting a stable market environment. The neighborhood has increased 15% since 2023, indicating a positive trend in property values. However, the market is experiencing elevated inventory levels, suggesting a shift towards a more balanced market as the number of active listings surpasses the volume of recent sales. This dynamic may indicate potential pricing friction as sellers adjust to market conditions.

The median days on market stands at 193 days, which points to a slower sales velocity and a more cautious buyer sentiment. Despite the median listing price of $231,250 being higher than the sold price, this gap suggests that sellers may need to recalibrate their expectations to align with buyer demand. Overall, while the market retains some strength due to underlying economic factors, the current conditions reflect a transitional phase toward neutrality, necessitating careful consideration for both buyers and sellers.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

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Liquidity & Velocity

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in the Indianapolis market around 6.13% are notably lower than the 6.87% average seen one year ago, presenting a favorable refinancing environment for recent borrowers.

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.

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Key Findings

1. The median sold price of $218,950 indicates a strong market trend, having increased 15% since 2023, reflecting positive appreciation.

2. With a median days on market of 193 days, the market is experiencing slower sales velocity, suggesting cautious buyer sentiment.

3. The median listing price of $231,250 exceeds the sold price, indicating potential pricing friction as sellers may need to adjust expectations.

4. Elevated inventory levels suggest moderate market conditions, with excess supply relative to sales activity.

5. The median market rent of $1,397 remains stable, providing a consistent rental backdrop amid fluctuating sales activity.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.