The spring selling season is in full bloom in Charlotte. Healthy demand and lack of housing inventory is leading to multiple offer situations on the majority of sales we’ve handled in recent months. Its a terrific spot to be for home sellers and an extremely frustrating place for anxious home buyers. Buyers are competing against one another and full price, cash offers have become more common. As buyer agents, we are having to “market” our clients to the listing agent in order to increase chances that their offer will be selected. It is surely a true reversal of roles from the buyers market of 2008-2011.
In any real estate market, there is always one side that has the upper hand. Sometimes it is more pronounced and sometimes it is more in balance. Today, it is the home sellers that are winning. Oh by the way, to all of our clients that have talked about waiting for the right market to sell their home: Now would be a good time to get your house on the market!!
A market like the one we are currently experiencing will not last. The market is cyclical. As the current pattern continues, prices will eventually rise and cause the current demand to cool off and things will eventually skew back to more balanced supply. Interestingly, as we look at the numbers for January & February 2016 as compared to the previous year, we see that prices have not jumped even though supply has fallen and sales have risen. Could this be a sign that the market is already beginning to shift?
This week we will send out our monthly E-newsletter and will report the market data for February as compared to both the prior month and the prior year. Here is a quick summary of the numbers:
- Homes sales are up 23% from last month and 14% from last year.
- Average sales price is down 4% from last month and 2% from last year.
- Median sales price is down 3% from last month and 3% from last year.
- Average price per square foot is down 1% from last month but up 1% from last year.
- Pending home sales are up 19% from last month and 3% from last year.
- Housing supply is up 15% from last month, but down 20% from last year.
- Mortgage rates are up only very slightly from both last month and last year.
- Average house payment is down 6% from last month and 3% from last year.