According to the latest RE/MAX National Housing Report, home sellers accepted offers below their listing prices on average based on data from August. This is further indication of the housing market rebalancing which is a source of relief for prospective homebuyers who have faced an incredibly competitive market. Out of the report’s 51 metro areas, the average close-to-list price ratio was 99% in August. This means that homes sold for 1% less than the asking price. This is down from 101% in July and 104% in April.
“Patient buyers were rewarded in August, as prices softened from July. Sales increased as buyers ‘bought the dip’ – which was not the trend many people were expecting. The activity modestly depleted inventory, although the number of homes for sale remains significantly higher than this time a year ago,” said Nick Bailey, RE/MAX President and CEO. “The late-summer burst of activity underscores the housing market’s resiliency. Despite the uptick in interest rates and concerns about the economy, demand remains strong. We’ll see what happens from here, but the August bump in sales was great news for the industry.”
The numbers however still show that it is more expensive to buy a home in Charlotte and has been for over a year.
The median home sale price in Charlotte went up slightly from July to August per the report. This is up 1.3% from $395,000 to $400,000. The opposite happened with the median listing price. The price dropped 1.3% from July to August– $400,000 to $395,000.
Year over year, both prices have seen significant increases.
According to RE/MAX, the median listing price for the Charlotte metro area has jumped 12.9% in the past twelve months. In August 2021, The price was $349,000 compared to $395,000 in August 2022. The median sales price meanwhile has jumped 16.1% from $344,500 to $400,000 in the same time frame.
Charlotte had 5,723 active listings in August which is up 77.4% from a year ago. According to the report, there were 3,226 active listings a year ago in August.
Compared to the national average, Charlotte’s median home sale is less expensive. According to RE/MAX, the national average is $410,000. The report notes however that Charlotte is in the top five markets in the country for median sale price increases year-over-year.
The national trends for housing inventory in the report showed Charlotte isn’t an outlier, with an active inventory increase of 20% in the last 12 months but down from July by 1.8%.
Rising mortgage rates are expected to help cool the housing market country-wide. “The cumulative effect of this sharp rise in rates has cooled the housing market and caused the economy to start slowing, but hasn’t done much to lower inflation,” says Greg McBride, CFA, Bankrate chief financial analyst.
The last time the 30-year rate rose to over 6% was during the 2008 housing crash. The interest rate for a 30-year fixed mortgage is at 7.20% a .16 increase from just a week ago (7.04%).