Home sales are on the rise in the Charlotte area. In the city of Charlotte, median and average sales prices of homes each climbed 3 percent in May. With median home prices now at $204,500 and average sales prices at $274,199, local real estate is swaying towards a seller’s market.
Uptown Charlotte Homes Seeing Rapid Price Growth
The jump in local home values is even more vigorous in the Uptown Charlotte area. Uptown homes now have a median home price of $258,000 and an average selling price of $292,620. Those prices account for a 13.2 to 15.6 percent increase over home prices in May of 2015. Overall, homes in the entire metropolitan Charlotte area have a median sales price of $212,000, representing a healthy 4.4 percent climb in value.
Other local real estate indicators reveal a robust market too. The pace of home sales in Charlotte increased by 20 to 31 percent in May. The quickest escalation in sales was seen in the city of Charlotte, where homes are now on the market for an average of only 33 days. That is a 31 percent quicker sales pace than seen in May of 2015. Home sales are only slightly slower in the uptown area. Here, homes stay on the market for an average of 38 days.
Demand Outstripping Housing Supply
While May saw a 4 to 7 percent increase in the number of homes placed on the market, the overall home inventory is shrinking. The biggest contraction in inventory in May was seen in Charlotte-proper where available homes dipped 38.7 percent to just 1.9 months of inventory. Uptown Charlotte experienced a similar decline but still holds 2.7 months of inventory. Much of this change is due to the number of pending sales outpacing the number of new homes added to the market in May.
Foreclosures Continue to Slow
Foreclosures are decreasing in the Charlotte area too. From April to May this year, foreclosure filings in the area fell 2 percent, according to RealtyTrac. The drop in foreclosures is even more dramatic when you consider last year’s number of filings. May 2016 foreclosure filings sank 46 percent from last year’s listings. Still, there are more than 2,000 homes in the area that are in one of the various stages of foreclosure, and some of those may help to alleviate the region’s tightening home inventory.