The median home value in Charlotte is $157,800, which marks a 5.1% increase from the previous year. Home prices have appreciated by about 28% over the past five years. Median home sales prices, however, are considerably higher. In May the median sales price was $208,000. The market for 2-bedroom and 3-bedroom homes in Charlotte is responsible for pushing sales prices higher. Sales prices for 2-bedroom homes have increased 9.2% from the previous year and 21% from the previous quarter. Prices of 3-bedroom homes have increased by 2.8% from the previous year and 9.1% from the previous quarter. Prices for 4-bedroom homes in Charlotte, however, have continued to fall every month since the start of 2015. While they are only down 2.8% from the previous year, prices of 4-bedroom homes have declined 5.1% from the previous quarter.
The average listing price and number of listings available in Charlotte remained flat throughout May. The median listing price at the end of May was $357,994, which is driven up by the number of 4-bedrooms homes on the market. One-bedroom homes continue to list and sell for a premium compared to 2-bedroom homes, which is a sign of strength in this market segment.
Both 3-bedroom and 4-bedroom homes sold for around $125 per square foot in May. This represents an increase of 4.1% over the previous year for 3-bedroom homes and a 10.5% increase over the previous quarter. The 4-bedroom home segment, however, continues to show signs of weakness with a 4.6% decline in price per square foot over the previous quarter and a 3.1% decline from the previous year. The market for 1 and 2-bedroom homes remains strong. One-bedroom homes sold for $268 per square foot and increased 14.5% from the previous year and 30% from the previous quarter. Two-bedroom homes sold for around $151 per square foot after increasing 5.8% from the previous year and 10.2% from the previous quarter.
Foreclosures in the Charlotte area are above the national average of 9%. The foreclosure rate in Charlotte is 14%, and the rate for Mecklenburg County is 13%. The highest foreclosure rates are to the north of downtown Charlotte where more than 1 in every 400 homes is a foreclosure. The good news is that pre-foreclosure homes and filings for foreclosure have fallen every month in 2015.