Here, you’ll find all the latest numbers from our real estate market, as well as
our take on what they mean for buyers and sellers.
Let’s begin our first market update by discussing inventory. We’re definitely in a seller’s market right now; prices are rising and sellers are getting basically anything they want.
The last time we were in a seller’s market, around 2006 and 2007, there were about 15,000 homes on the market at any given time. During the 2008/2009 downturn, however, the market jumped to about 20,000 homes on average. 15,000 homes equates to a seller’s market, but 20,000 is a buyer’s market. Today, our market has 8,114 homes listed for sale.
Somewhere around 100 people every day are moving into the Triangle, which is putting tremendous upward pressure on prices. The average price has continued to climb; in October of 2015, it was at $261,000, and in October of 2016, it was $270,000. This year, the average sales prices is over $300,000, topping out at $325,000 over the summer.
The last item of discussion on this update is interest rates. They’ve been climbing for about a year, leaving them right under 5% in most areas, though they’ve reached 5% in some markets. Considering that last year they were two points below our current mark, this has an impact on buyers’ purchasing power, adding about $150 to your monthly mortgage payments.
We’re looking forward to a time when that upward pressure on prices and the climbing interest rates will cause the market to slow down a little bit, perhaps sometime in 2019. This is merely a prediction, and it may or may not come true, but it’s still something to think about.
If you have any questions about the state of our market, feel free to reach out to the Spotlight Realty Team. We’d be glad to help.