My apologies for not publishing as promised. We have been in the process of creating a new website and transferring content. There are still a few kinks to work out, but below you will find the Month of April’s Market Report.
The spring market is well underway, and buyer activity remains robust and hot properties continue to frequently encounter bidding wars. Mortgage rates have ticked up over 3% for the first time since last July, which is unlikely to substantially affect buyer demand.
For most of us, our homes are the largest asset we’ll ever own—so you are right to want to understand this asset and the market you are in. You deserve an expert guide. Here are the top things you need to know.
Inventory is very low, and demand is high.
While some are concerned about a Housing Bubble. This is nothing like 2008. There are three reasons why we’re NOT in a Housing Bubble. 1. This time, the housing supply is minimal. 2. This time, housing demand is actual. 3. This time, households have plenty of equity.
According to CoreLogic, “As of the fourth quarter of 2020, the average homeowner gained $26,300 in equity over the past year, and that number continues to grow as home values appreciate”.
For our Charlotte region, year over year, closed sales are up 4.5%, median sales price is up 12.1%, and homes for sale is down 70.2%. The price range that tended to sell the quickest was the $150,001 to $200,000 range at 18 days; The price range that tended to sell the slowest was the $100,000 and below range at 41 days. Supply of inventory is 0.6 months. Cumulative days on market until sale has decreased 31.4% to 35 days. So, what does this mean? There are fewer homes for sale, demand is very strong, so correctly priced homes are hot, hot, hot.
Buyers are searching now. Competition is real.
Last year, many homeowners thought twice about selling their home due to the health crisis’s onset. This year, however, homeowners are beginning to regain their confidence with it comes to selling safely. Fannie Mae shows that 57% of consumers believe now is an excellent time to sell.
With so few homes available to buy, your house will be more likely to rise to the top of an eager purchaser’s wish list in the competitive market.
If you’re a Seller: Realize that, in some ways, you’re in the driver’s seat. When there’s a shortage of an item, and at the same time there’s a strong demand for it, the seller is in a good position to negotiate the best possible terms. Don’t be unreasonable, but understand you probably have the upper hand.
Bottom line: Now is a great time to put your equity toward a down payment on the home of your dreams. Know what that means for you, whether you’re buying, selling, or doing both.
Local Data and content was obtained from CanopyMLS and Current as of April 5, 2021. Data is refreshed regularly to capture changes in the market activity. The Charlotte Region Report includes Alexander, Anson, Cabarrus, Catawba, Cleveland, Gaston, Iredell, Lincoln, Mecklenburg, Rowan, Stanley and Union Counties in North Carolina and Chester, Chesterfield, Lancaster, and York Counties in South Carolina.