On the Move monthly newsletter is published by Helen Adams Realty. It features news and statistics about the real estate market in Charlotte, NC and the surrounding areas. Click the button above to download the latest edition of our newsletter.
Bidding Wars Caused by Lack of Inventory and Subdued Listing Activity
The S&P/Case-Shiller Home Price Index recently showed that home prices in 20 major metropolitan areas had increased at the strongest pace since the bubble years. At long last, major national indices are telling the story that local MLS data users have known for months or even years. Yes, the housing market is recovering. The recovery varies by geography and market segment, but things are certainly better than they have been and are showing no signs of letting up.
New Listings in the Charlotte region increased 11.7 percent to 5,115. Pending Sales were up 56.8 percent to 3,933. Inventory levels shrank 30.1 percent to 14,053 units.Prices turned higher. The Median Sales Price increased 4.4 percent to $167,000. List to Close was down 8.9 percent to 142 days. Absorption rates improved as Months Supply of Inventory was down 49.7 percent to 4.9 months.
The prickliest thorns in our collective side are still lack of inventory and subdued listing activity. In some neighborhoods, consumers have 50 or 60 percent fewer options from which to choose than they did a few years ago. That's causing bidding wars in popular areas. Despite the competitive landscape for buyers, housing remains one of the brightest lights in an otherwise subdued economic recovery.