|May Charlotte Market Update|
For much of the country, the first quarter of 2019 provided several disruptive weather patterns that contributed to less foot traffic toward potential home sales. Coupled with low affordability, higher prices and an inventory situation in its infancy of recovering from record lows – not to mention several more days of wintry weather in April – slower sales persisted across most residential real estate markets. However, buyers are beginning to return in force this spring. For well-priced homes in desirable locations, competition is fierce.
New Listings were down in the Charlotte region by 0.9 percent to 5,771. Pending Sales increased 11.1 percent to 5,324. Inventory shrank 8.7 percent to 8,928 units. Prices moved higher as Median Sales Price was up 5.6 percent to $253,500. Months Supply of Homes for Sale was down 8.3 percent to 2.2 months, indicating that demand increased relative to supply.
Although hiring and wage gains have been below expectations, the national unemployment rate held firm at 3.8 percent. A historically low unemployment rate can provide reassurance to wary consumers. But in order for sales to increase on a grand scale, buyers will need more spending power, or sellers will need to reduce prices to land where buyers are most active. Neither situation is likely to occur in 2019, and yet inventory is straining to keep pace in the most competitive price ranges.
Stats from Charlotte Regional Realtor Association
Based on information from the Carolina Multiple Listing Services, Inc. for the month of April 2018 & 2019 for the entire Carolina MLS area.