Last month’s market report by the Charlotte Regional Realtor Association had us all concerned because the number of homes sold had drastically decreased year over year. New listings were also drastically slowed year over year. This month, it looks like those fears are unfounded. New listings are up 7.3% year over year and Closed sales were up by 10.4%.
There are currently 11,150 homes for sale in the entire CarolinaMLS area. This represents 3 months of inventory. A balanced market between buyers and sellers typically has 6 months of inventory. This means that the trend for a seller’s market continues for yet another month.
Homes are selling for an average of 96.6% of the list price. This is yet another indicator or a seller’s market. Less supply means more demand for homes allowing them to command higher list prices. With more buyers competing for fewer homes, the possibility for multiple offers keeps prices high.
Mecklenburg County has only 3,513 homes for sale, down from 4,633 last year. This represents 2.2 months of inventory. Homes here are commanding 97.5% of their list prices. Mecklenburg County has also seen rises of new listings, pending sales, closed sales, median sales price and average sales price.
Uptown Charlotte had a 52.6% drop in closed sales year over year. This is down to 18 from 38. This makes sense as last month Uptown had fewer than normal pending sales. We will have to watch this trend to see what happens after the violence in Charlotte over the weekend.
In fact, the current climate in Charlotte could have some drastic effects on the Real Estate market here. Because of negative national publicity, many people may reconsider relocation here. Many people who live here could decide that they don’t want to live here anymore. People may decide that they want to live further away from Uptown. It remains to be seen what may shake out.
HB2 could also have some effects that will play out in the Real Estate market. Repercussions of HB2 are already being seen in the loss of NCAA Tournament games, Paypal jobs, Google ventures funding and, ACC Football Championship to name a few. With fewer new jobs and loss of current jobs, there could be a real correction in the Charlotte market on the way over the next few months. This could spell trouble for sellers who have reaped many benefits over the last few years, but could be a real opportunity for buyers going forward.