After a very disappointing November, our Lake Norman real estate sales for December came in better than I expected and 2% higher than last December’s thus ending 2013 on a positive note. Our December 2013 home sales were actually the best since 2006 which is only the fourth month we have accomplished this in 7 years! I fear our celebration will be short lived however given the numbers below. There are also some interesting trends in our overall Lake Norman housing market so let’s take a closer look at the numbers to glean some insight into the short term future and exactly where the Lake Norman housing market stands right now.
Here are the December 2013 numbers from our Charlotte Multiple Listing Service for our Lake Norman Area 13 real estate market:
Lake Norman Real Estate’s December 2013 Sales Analysis Chart
* Note that the Charlotte Regional Multiple Listing Service created two new categories, Under Contract Showings (UCS) to continue and Under Contract no showings (UCNS). These replaced the Contingent, Conditional and Pending categories.
Some significant additional statistics for you:
- “Distressed sales” (Foreclosures (REOS), defaults, Short Sales) plummeted to a new low of 5.3% of Lake Norman’s total home sales which is down from 14.8 last month. Prior months were: 11.3% in October, 15% in September, 9.4% in August, 11.3% in July, 6.9% in June, 10.6% in May , the 14% in April, 20.4% in March, 16.9% in February and January’s 29%. We only had 5 distressed home sales in December. The average price for distressed single family home sales was $413,757 compared to an earlier low of $252,526. Distressed active listings comprise only 3.5% of our total inventory of Lake Norman homes sale. Clearly distressed sales no longer play a significant role in our Lake Norman real estate market!
- 31.6 % of our closed sales were waterfront homes which is up from the last several months. The average sales price of Lake Norman waterfront homes in December was $772,116 which was the highest since July’s $874,988, June’s $990,693 and May’s $778,045. In December we had an slight uptick in our luxury housing market. Our average price per square foot remained $216 after peaking at $229 earlier this year. Lake Norman’s waterfront home sales above $700,000 remain sluggish but the homes that are selling are getting relatively strong offers based upon their size.
- 11 new construction homes sold in December which is identical to November. The average listing price vs sales price of new construction single family homes was an impressive 103%! Clearly there isn’t a lot if ANY wiggle room on prices of new homes. We currently have 41 new construction homes under contract. The average sales price in December was up, logging in at $476,627 compared to 448,564 last month, $359,018 in October and$406,596 in September. It is important to note that many of the new construction homes you will see driving around Lake Norman are custom homes or will be sold directly from the builder to the homebuyer so will not be included in our Multiple Listing Service numbers.
- 50.53% of Lake Norman’s October home sales were under $400,000.
- 61 % of the entire Lake Norman home sales in December were under $500,000 which is the lowest in all of 2013. it is truly refreshing to see some improvement in our trade-up and luxury housing markets after an abysmal late summer and fall.
- Our “Under Contract Show” AND “Under Contract No show”/Pending sales combined total of 155 was the eighth month in a row of decline after April’s record high of 319 . At 155, these are the lowest combined totals since February of 2012 and well below last year’s 184. This does not bode well for our January/February 2014 sales.
A closer look at the chart: