Terre Haute, IN Housing Market

Market Overview

Terre Haute’s housing market presents a moderate-to-strong profile, supported by a PropertyIQ Score of 81 out of 100. That score is driven by a 12-month home value momentum of 7.12%, a 3-month home value momentum of 0.99%, a median days on market of 45 days, and a share of listings with a price cut at 19.1%. Compared with Indiana state averages, Terre Haute stands out for affordability: the median home value is $170,331, well below the state median of $260,095. The rent index is $991, close to the state benchmark of $1,020, while the unemployment rate is 3.5%, only slightly above the state average of 3.3%.

The local market also shows a lower median household income of $55,380, compared with the state figure of $70,051. Even so, the gap between home values and incomes is more favorable in Terre Haute than at the state level. A median home value roughly 35% below the state median helps offset the income difference and creates room for buyers who might be priced out of other Indiana markets. Population growth data is not available, which limits the ability to assess long-term demand pressure.

Key Trends

One clear trend is stable-to-positive home value movement. The 12-month momentum of 7.12% indicates meaningful appreciation over the past year, while the 3-month momentum of 0.99% suggests that momentum has continued, though at a more moderate pace. At the same time, the listed year-over-year home value change is -$4, which is essentially flat in dollar terms. Taken together, these figures point to a market that has recently seen gains but is not overheating.

A second trend is balanced market turnover. With 377 homes for sale and a median days on market of 45 days, homes are moving at a reasonably steady pace. The share of listings with a price cut is 19.1%, meaning nearly one in five sellers has adjusted the asking price downward. That level suggests buyers still have some negotiating power, but it does not signal a distressed market.

Affordability is another important trend. Terre Haute’s median home value of $170,331 paired with a median household income of $55,380 produces a price-to-income ratio of about 3.1, which is generally attainable for many local households. By comparison, the state-level ratio based on a $260,095 median home value and $70,051 median income is about 3.7. This gives Terre Haute a measurable affordability advantage.

Finally, the rental market remains relevant. The rent index of $991 is nearly identical to the state average of $1,020, indicating that rental demand and pricing are competitive with the broader Indiana market. Combined with a relatively low median home value, this supports interest from both renters and investors.

Who Is This Market For

Terre Haute is well suited to first-time buyers. The median home value of $170,331 is significantly below the state median of $260,095, and the price-to-income ratio is more forgiving than the state benchmark. First-time buyers may find that lower purchase prices, moderate days on market, and a meaningful share of listings with price cuts create realistic opportunities to enter homeownership.

The market also fits buy-and-hold investors. A rent index of $991 is close to the state average, while the median home value is far lower. That spread can support rental property cash flow. The 45-day median days on market and 19.1% share of listings with price cuts suggest investors can still negotiate, but the property score of 81/100 indicates underlying market strength.

Move-up buyers and budget-conscious households may also find Terre Haute attractive. The market does not show the rapid price escalation seen in higher-cost areas, and the unemployment rate of 3.5% remains low, supporting local employment stability. However, the lack of population growth data makes it harder to identify a strongly expanding buyer base.

Outlook

The data points to a stable outlook with modest growth potential. The 12-month home value momentum of 7.12% supports continued confidence, while the 3-month momentum of 0.99% suggests a slower but still positive pace. The median days on market of 45 days and a 19.1% share of listings with price cuts indicate balanced conditions rather than an overheated seller’s market. With 377 homes for sale, inventory is present but not overwhelming. The main limitation is the absence of population growth data, which leaves some uncertainty about future demand. Overall, Terre Haute appears positioned for steady performance, supported by affordability, low unemployment relative to the state, and rental demand near state benchmarks.