Lake Norman Real Estate Market Reports

Lake Norman Real Estate’s January 2009 Sales Analysis

No matter whether you are a potential home buyer considering a purchase in our Lake Norman NC area or a homeowner deliberating about the timing of the sale of your home in the Lake Norman area, it has never been more important to be as informed as possible about our local real estate market.

Our Lake Norman real estate market has been changing rather rapidly.  What was true as little as a month ago may not be true today.  That said, here are the Lake Norman single family home sales statistics for this past January 2009:

Lake Norman Market Report for January 2009      
 %Average%%
Lake Norman2008  Average $  DOM2008+/-$+/-DOM+/-
Active lisitngs1471$737,491      170 
Contingent16 484,281   209 
Conditional 24 581,407   244 
Pending 66 480,092   142 
 Sold24 454,779   1926965%542,22916%14433%
           

Active Listings:  Unfortunately, our number of active listings has increased by 65 properties since December 31, 2009.  While we would normally expect new listings after the holidays, an increase in our tremendously overstocked supply of active listings at this time is not good.  While our number of properties sold was an all time low of 24, if these trend were to continue it would mean that we have a 61 months of supply of homes for sale in Lake Norman! (Balanced market is 6-8 months).

Contingent Sales: This number has increased to 16 from 11 in December…a mildly good sign.

Conditional Sales: The number of homes that went under contract increased from 17 homes in December to 24 homes in January….again, any increase is a good sign.

Pending Sales:  The number of homes poised to closed increased from 55 in December to 66 in January.  This is the best indication of what we can expect in the number of closings in February.

Closed Sales:  I honestly have gone back to our Charlotte Regional Mulitple Listing Service three time today to verify this number because it was so low.  24 homes sold in our entire Lake Norman area (13/1-13/5) in January.  This is a 65% decrease compared to January 2008 and a 58% decline in home sales compared to last month. 

To put this in  number in context let’s look at our Lake Norman Homes Sales Summary Chart:

2008 Lake Norman Home Sales Summary

20092008200720062005
January246987102105
February501059888
March71151153136
April90120143152
May90152182157
June82169227172
July101147166191
August74144180233
September69105135163
October6698117184
November468488145
December6264132134
Totals:24916149217431860

* Please note that all of my numbers come from the Charlotte Region Multiple Listing Service and will not include sales that took place outside of our MLS.

**While my totals on this chart for 2008 sales is 870, when I search on our MLS for the entire year they give me a slightly higher number of 916 so I will use that as our official number for the sake of this analysis.

The number of Lake Norman home sales for January 2009 dropped by 65% from January of 2008 and 61% versus last month.

Summary:  I am hoping that the historically low sales last month were a result of the perfect storm of our national economic crisis, the holidays and lack of consumer confidence.  I am optimistic that our sales will improve this month but even if we go back up to 2008 numbers we still have too many homes on the market in the Lake Norman area.  Home prices will continue to go down until we see an increase in sales and a return to a balanced market.

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One thought on “Lake Norman Real Estate’s January 2009 Sales Analysis

  1. Lewis Salem says:

    I still think many of the values are way too high. Some people who payed $600k in 2004 expect to get $900k five years later. Values will return to pre-2004 levels. The amount of short sales and foreclosures on the lake are telling. If you want to sell, lop 100k off the price.

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