As many of you know, the real estate market has been on fire for the past few years. This is obviously well received by most REALTORS®, but there are also many challenges that come along on the ride. The biggest is inventory. When inventory is low it turns the market into a seller's market, typically meaning there is less than 4 months of inventory currently on the market. This results in multiple offers, offers over asking price and a very stressful time for all involved. My biggest challenge of 2016 was having first time buyers in the $180K-$250K range getting in bidding wars. My average client wrote about 3 offers until we finally won a bid. This wasn't always the case though. Different towns, different price ranges and condition of properties all had a say in the numbers.
The MLS is the service agents use to access the "Brain" of the housing market. Not only are we able to get the true numbers from past sales and concessions, we also have the ability to access other statistics such as days on the market, average home price, median home price...you name it. There are other sites you can go to in order to access, but they all feed from the MLS; true data. (Zillow pulls most of it's information from tax records). CSS (centralized showing service) is the company the Triangle MLS uses to schedule appointments. The statistics provided by CSS helps us understand the number of showings a property has had, though confidential, it does provide zip codes and price ranges to break down the numbers. In other words, you cannot see how many showings a listing has had unless you are the agent or the owner, but overall it tracks all the data and packs it into areas, age or zip codes so you can see the trends.
The video below is provided by our local REALTOR® association. It is an informational video giving the market outlook for the year 2016 for the Raleigh area real estate market. As you know real estate is local, so a lot of the numbers you will see are across the board and could be different if you just broke it down to Holly Springs. A good example is in the video it is stated that the "sweet spot", the majority of demand, is for houses in the $150K-$200K range. In Holly Springs there are very few houses in that price range so the stats are skewed. But in general, it is a very informative video. Some of the talking points are *closed sales in 2016 were up 5% over 2015, even with a lack of inventory; *the market actually peaks in March, not June/July like many think; 66% of resales sold within 30 days on the market. These are just a few, but the video itself includes many numbers in which will likely be interesting to you.
One very interesting piece of information for my fellow Holly Springs residents is the appreciation rate for the zip code 27540. According to Zillow, home values have gone up 6.1% in 2016 and are projected to appreciate an additional 3.7% in 2017. Here is the link to view the information.
As always, please let me know if I can help you, a friend, family member or coworker.