Every quarter I try to create this price range analysis for the Lake Norman real estate market because it provides invaluable insight for both buyers and sellers:
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.
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 4th quarter of 2010
- This is followed by the percentage this price range represents of the total number of listings sold
- Next is the number of active listings in this price range
- 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.
- To compare these to the same period of 2009 please see the chart below
- Sales of homes when compared with the amount of inventory were strongest in these price ranges: $0 – $399,999; $600,000’s, and $900,000’s.
- Sales of homes when considering the months of supply (absorption rate) were strongest in these price ranges: $0 – $199,999; $300,000’s; $600,000’s; $900,000’s $1,500,000 – $1,749,999.
- Sales of homes that fall within the FHA conforming loan rate of $417,000 represented about 60% of our overall Lake Norman home sales.
- 14% of our home sales were at or above $800,000. In numbers we actually experienced a 50% increase in the higher-end home sales
- For the second year in a row our high-end luxury home market has vastly improved over the prior year.
- Sales in the $600,000s and $900,000s that I observed were of waterfront homes that had started significantly higher and were distressed sales.
As a buyer, this chart will show you where you might face the stiffest competition and at what price ranges you might see opportunities. 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 $1,000,000 listing price, it would clearly be prudent to price your home in the $900,000’s where there are more sales and less competition. The same could be said about a home about to be listing at about $400,000. It would be much better for the seller to list in the high $300,000s to capture the attention of more than double the buyers than in the $400,000s.
Lake Norman 4th Quarter Sales Analysis 2009 by Price Range