RALEIGH – As real estate technology startup Knock rolls out a new program designed to especially help home owners who want to sell and buy a new home in a tight market, here is a look at the red-hot market.
In Raleigh, the median list price is up 11.4 percent from this time last year, with the typical home entering a contractual period in just five days, which is 11 days faster than in November of 2019. That’s according to Chris Glynn, senior economist at Zillow.
It’s not that much different in Charlotte, where homes are going under contract on average seven days from their listing date, 11 days faster than in November of 2019 and median prices have increased by 9.8 percent.
Data from Canopy, which operates the Charlotte region multiple listing service, shows that as of the end of the third quarter, September 2020, the median sales price in Mecklenburg County had increased by 12.4 percent from the same time period in 2019, with a median sales price of $305,738 and the average sales price of $388,411.
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Additionally, the inventory of available homes, which is calculated by “months of supply of inventory,” at the end of the quarter, or at the end of September 2020, the Mecklenburg County inventory was slightly more than one month’s inventory, down 50 percent, from 2.2 months, compared to 2019.
In the Triangle, according to the Triangle Multiple Listing Service (TMLS), the median sales price has increased by 7.1 percent compared to 2019, and is now $300,000 with the average sales price of $350,761, or 9 percent higher than at the same time in 2019. And, inventory is at just 1.2 months compared to 2.7 months of inventory at the same time in 2019.
“The good news for buyers is that prices are flattening as we turn toward the holiday season,” said Glynn. “It’s very typical to experience a modest seasonal slowdown this time of year, and both median list prices and newly pending sales are coming down very slightly in Raleigh and Charlotte.”
The Zillow economist expects interest rates, which are at historic lows, to remain at current levels throughout the rest of 2020, and also expects demand to continue to be strong due to generational trends and households continuing to re-evaluate need due to the COVID-19 pandemic.
“The big questions are whether potential sellers come back to the market in a meaningful way and whether interest rates stay near record low levels,” said Glynn.
