2013 has been a tremendous year for the real estate recovery in Charlotte. For at least a year we have seen highly improved stats over the prior year for just about every key indicator. The numbers are still looking good but the first indicators to indicate a downshift in the pace of sales are showing a negative over last year. The number of home sales in Mecklenburg County for November of 2013 is down 5% over the same period last year and the pending home sales have also fallen by 5%. The number of sales typically lead prices which lag by several months. Home prices are currently up 10-15% over last year but as home sales slow, that type of percentage will not continue. 2014 is likely to be similar to 2013 in terms of the number of sales which means that the percentage increase are likely to show little or no changes.
December, January, and February are historically the slowest months of the year. The end of 2012 was busier that usual and so its not completely surprising that this month’s numbers show the beginning of a slow down. This does not mean that the market is going to start heading into negative territory and that prices will fall. But is certainly does mean that the surge of demand that has pushed prices up has most likely peaked for now.
This week we’ll release our E-Newsletter with with the housing stats for November 2013 as compared to the prior month and again to the same month last year. Here’s a peak:
– Homes sales are down 11% from last month and down 5% from the prior year.
– Average sales price is down 2% from last month, but up 15% from the prior year.
– Median sales price is down 4% from last month, but up 12% from the prior year.
– Average time on market is down 1% from last month and down 20% from last year.
– Pending home sales are down 3% from last month and down 6% from last year.
– Housing supply is down 5% from last month and down 17% from last year.
– Mortgage rates are mostly unchanged from last month but up to 4.25% from 3.35% last year.
– The average house payment is flat from last month but up 29% from last year.
As we head into the new year, we’ll be watching the market closely for signs of any significant changes. For now, all looks good for another great year in 2014. I’d like to wish you all very Happy Holidays and the Happiest of New Years.