If you are a home buyer or seller in the Lake Norman it really only matters what is happening in YOUR price-range. Yes, it is important to know about the global economy, the national economy and the Charlotte area economy and real estate market but real estate is hyper-local so it is most meaningful to learn about the Lake Norman real estate market and within that, your specific niche. For instance, if you are looking to buy or sell in the $400,000 price range, you are going to have an entirely different experience than someone in the $500,000’s. This is the reason why I create a price-range analysis every quarter for my readers:
Lake Norman’s 3rd Quarter 2014 Home Sales By Price Range
*Compiled from the Charlotte Regional Multiple Listing Service’s data, this chart enables you to focus on your specific price range(s) rather than use the broad-brush approach thus allowing you to size up your competition and better position yourself. ** Compare this to the 1st quarter 2014 price range analysis , the 2nd quarter 2014 price range home sales and the 3rd Quarter 2013 price range analysis.
How to read this report:
- First choose a price range.
- The next column provides the actual number of listings sold in this price range in the 3rd quarter of 2014
- This is followed by the percentage this price range represents of the total number of listings sold in all of Lake Norman
- Next is the number of active listings in this price range today
- This is followed by the percentage this price range represents of the total number of active listings
- Finally, the last column represent the absorption rate or the number of months of supply for each price range based upon the number of listings divided by the number of sales. (A balanced housing market is 6 – 8 months so you can use this to gauge your price range).
- First of all, I am really thrilled by these numbers! Not only does this represent the highest number of sales in any one quarter since I started doing this price range analysis, but it also represents the most BALANCED housing market Lake Norman has seen since the recession. Why do I think this?
- At 6.79 our months of supply is the lowest
- There has been an overall evening out of our price ranges. While the lower price ranges are still dominate, our trade up and luxury price ranges have all improved by varying degrees. In the 3rd quarter of 2013 we had 59.5 months of supply of active listings in the $1,750,000 – $1,999,999. This past quarter we only have 12.6 months. The total number of sales over $900,000 in 2013 was 30 compared to this quarter’s 51.
- Compared to our 2nd quarter home sales of this year, all of our price ranges showed improvement except the $400,000’s and $900,000’s. This is pretty impressive!
- As has been the case for years, the lowest price ranges remain the strongest with the $200,000’s and $300,000’s showing the greatest improvement. (38.7% of the total sales with 27.15% of the total inventory). As I said above, we saw a weakening in the $400,000’s and $900,000’s in both the number of sales and the months of inventory.
- Overall, Lake Norman has a balanced to/or a sellers’ market up to $799,999 at which point it slips into a buyers’ market.
- Our luxury homes above $1 million represented 8.6% of our sales and currently represent 18% of our active listings. So, even though they have vastly improved since the recession, this is still the weakest link in our Lake Norman housing recovery.
- The $0 – $599,999 price ranges represented 79.9% (compared to 73.48% last quarter) of Lake Norman home sales and only 65.9% of the active listings with an overall 5.4 months of supply which keeps them overall in buyers’ market.
- Lake Norman’s overall Months of Supply of active listings has dropped to a new quarterly low of 6.79 compared to last quarter’s 8.42 and our 3rd quarter 2013’s 8.5.
- To put this in historical perspective, in the 1st quarter of 2009 we had only 111 sales but 1546 active listings and a whopping 46.4 months of supply for all of Lake Norman!
As a buyer, the chart above will show you where you might face the stiffest competition and at what price ranges you might see opportunities. If you fall in the $300,000 – $499,000 price range you might want to look for opportunities in the 400,000’s where there are far fewer sales and an equal number of active listings.
As a seller, you can look at the Lake Norman real estate market’s activity by price range and if you are right on the cusp of, for example, a $400,000 listing price, it would clearly be prudent to price your home in the high $300,000’s where there were 63.3% more properties sold (and more buyers).
Questions about this report or the overall Lake Norman real estate market? Send me a quick email: firstname.lastname@example.org. Please note that in all of the price range charts I am actually using data from the 15th of the month so these numbers won’t match perfectly with the monthly or annual sales numbers I provide.
OTHER ARTICLES of INTEREST