Charlotte, NC. Housing Stats For August 2013

There is a lot of talk about the housing market in Charlotte, NC. and whether it is improving or if the rise in interest rates has caused the market to slow down and prices to lower while inventory creeps back up . A monthly analysis versus the previous year and two years ago during the same month allows me to compare and see where the trends are and how they are impacting the housing market in Charlotte, NC. Here are the stats for August 2013: First, let's look at inventory of available homes buyers have to choose from in the Charlotte, NC. region. In 2011 there were 22137 homes for sale in August. In 2012 there were 17792 homes for sale in August. Last month there were 15825 homes for sale. That is a decline of 29% in two years of available homes buyers have to choose from. Second, the average sale price of homes in the Charlotte, NC. region for August 2011 was $205,711. In 2012 the average sale price was $213846 and last month the average sale price was $237629. That is an increase of 14% in the average sale price in the Charlotte, NC. market. Third, let’s look at days in inventory. How long are houses sitting on the market? In 2011 the average home sat on the market for 11.9 months before being sold in August. In 2012 the number improved to 7.6 months and last month it improved to 5.1 months. That is a dramatic drop in inventory of over 48% in two years. What the trends are showing is that the housing market is out of the recession and available homes for sale have decreased to the lowest levels we have seen in over 5 years coupled with prices slowly creeping back up and more buyers out there than homes available and you have signs of a robust market in Charlotte, NC. However; in comparison to last couple of months the trend is showing that the housing market has stabilized and some prices are remaining stable for the past few months. Generally this time of the year we start to see home prices slowly decline a little bit as sellers are little more motivated to sell with summer over and children back to school. But it looks like the housing market has hit a plateau and we may see slight increases or decreases in pockets of Charlotte but overall it is a stable market right now. Dave diCecco Realtor/Broker Helen Adams Realty Cell: 704-519-7895 ddicecco@helenadamsrealty.com www.davedicecco.com

Why Do People Buy Homes In Matthews, NC?

Matthews, NC offers its residents the quaintness of small town with easy access to Charlotte, NC. This cute city of approximately 27,000 residents, has a lovely downtown area full of shops, restaurants and small businesses. Matthews is a family-orientated suburb with many neighborhoods, parks and greenway access points for residents of all ages to enjoy. Matthews is far enough away from the hustle and bustle of Charlotte to feel like it’s the country but close enough to enjoy the city. Looking for homes for sale in Matthews, NC? Visit my website and conduct a FREE search of all homes available in Matthews, NC. What's Matthews, NC Like? Better questions might be what are your interests? Sports? Greenway access? Nice restaurants? Farmer’s market? The arts, festivals and concerts? Take a stroll down the middle of Trade Street in Matthews and you’ll have a good idea of what Matthews is like. Come to Matthews early on Saturday morning to pick up local produce, bakery items, meats and even a homemade spices at the Matthews Community Farmers’ Market and then check out Renfrow Hardware and General Merchandise store, which has stood for more than 100 years while Matthews became the family-friendly city that it is. There are many private Matthews’ sports programs for children to participate in baseball, softball, soccer, football, basketball and lacrosse. If you are more of an arts patron than a sports fan, then the Matthews Community Center, with its Fullwood Theatre and the Matthews Playhouse children’s theater company, or Matthews’ newest venue, the McDowell Arts Center with a gallery for rotating art shows and space for classes and programs. Downtown Matthews, which also has a host of restaurants and shopping, is also not far from Novant Health Matthews Medical Center, plenty of other shopping areas and small businesses, and easy access to Highway 74 and I485. What's Going on in Matthews, NC? Stumptown Park in the heart of downtown Matthews is often the place to be for events in the city, especially a free and family-friendly summer concert series and movies, especially Matthews’ People’s Parade and Family Fun 4th of July celebration and Beachfest Matthews. Matthews is host to the Southeast’s largest Labor Day weekend event, Matthews Alive! Festival along with Artfest, Auto Reunion and Hometown Holiday and Tree Lighting which can be found throughout the downtown area and near Matthews City Hall. Many other activities are planned by the Matthews Parks, Recreation and Cultural Department and take place at the Matthews Community Center, which is a Charlotte-Mecklenburg historical landmark. Other annual events in Matthews include the Not So Spooky Halloween and Carnival, Breakfast with Santa, The Nutcracker ballet, Lunch with the Easter Bunny and Easter Eggstavaganza. Crews Recreation Center offers sports activities and exercise classes and even open basketball and volleyball. Matthews’ Father and Daughter Dance also takes place at Crews Recreation Center. Check out the www.matthewsfun.com for a complete list of activities, programs and events. There are several parks in Matthews for active and passive recreation, some with walking trails, picnic areas or shelter, restrooms and grills. Baucom Park, Matthews-Sardis Park, Stumptown Park and Windsor Park are located throughout Matthews. Squirrel Lake Park, one of the larger parks in Matthews, even offers a small fishing pond and pier and a connecting trail to the Four Mile Greenway. Passive parks in Matthews include Town Green Park, KP Park, which doubles as a wildlife habitat, and Fountain Rock Park, an oasis in the middle of Four Mile Creek Greenway. The new $32 million Matthews sportsplex and family entertain complex is still in the development phase. What Schools will the Kids Attend in Matthews? If you buy a home for sale in Matthews, NC, there are several local schools serving the city. Charlotte-Mecklenburg (CMS) school system has several elementary schools, including Matthews Elementary, Crown Point and Elizabeth Lane. Middle schools serving the Matthews area are Crestdale, Mint Hill and J.M. Robinson. High schools are Butler and Providence. If you are interested in private schools in Matthews, there are many options for that as well, including Covenant Day School, Charlotte Christian School, Carmel Christian and Blessed Sacra Academy. To get local school scores and more information about these schools in the Matthews area check out the link www.ncreportcard.org Now You Really Want to Find a Home in Matthews, NC? If you are interested in finding a home for sale in Matthews, NC, e-mail or call me. Dave diCecco Realtor/Broker Helen Adams Realty Cell: 704-519-7895 ddicecco@helenadamsrealty.com www.davedicecco.com

Should You Buy A Home Now Or Wait to 2014 In Charlotte,NC?

This is a question that many home buyers on the fence have been asking all year. When is the right time to buy a house? Should I wait and see if prices come down and interest rates go back down or buy now since they may go up even more? The other day I read an article depicting this on a national scale. I thought the reasons were pretty good and I wanted to see how it affected the Charlotte, NC. area in regards to her reasons. They state four reasons to purchase now versus waiting to after the new year to buy a house: First is that interest rates will continue to rise. We have seen historically low interest rates that if you had asked anyone in the mortgage business a few years ago they would have said you were crazy if the thought of rates being in the 3% range was coming. Well it did. However; that interest rate is somewhat clouded by the fact the Federal Government stepped in and bought up mortgage securities at a very low rate to help stimulate the economy and get more homes sold and more home buyers into a home that would not otherwise get because rates were too high. That is coming to an end. It was announced earlier this year that they were backing away from it and letting the investors have them back. Well an investor wants a better return on their money than a bank does. Therefore; rates need to rise in accordance with the demand from investors buying the mortgage backed securities. As we have begun to witness that recently with a spike in interest rates. The government stepped back in a little more to keep the climb from getting (as they called it) out of control. The thinking is that in 2014 the government will step completely out of the picture and rates will go up to around 5% to 6%. Still not bad but substantially higher than what we are used to and will hinder the buying power of the consumer in terms of price point. Second, Home prices are on the rise across the country. Well in the Charlotte area if you read my monthly trends report you will definitely notice a swing where the prices of homes have steadily increased this year. It is simple economics of supply and demand. The supply has been dwindling faster than the demand for houses thus causing prices to go up. I have noticed in some areas of Charlotte we are starting to see home prices reach a point of the pre-recession price points. Though this is still rare it is becoming more and more common as the year goes on and will likely trend this way into next year as well. To put this in perspective for you. Let's say a $200,000 house a year ago increased in price 10% over the year. At the same time the interest rate went from 3.5% to 4.5% (which it is hovering at right now). That change in price (which is what Charlotte, NC. has seen in a lot of areas) coupled with the current rise in interest rates just reduced your buying power by a whopping 20% if you were basing it strictly on monthly payments. A $300.00 increase in monthly payment is a dramatic increase in payments for anyone. And that is what you would be looking at. Third, Homes are still affordable. Well I agree to this at a point I am not 100% buying into the premise. I think homes are always affordable to the right set of buyers depending on needs. I think that with rates low and prices just starting to climb that the options of houses you have available is higher now than it will be six months based on the current trends The example above on the second reason shows how you may have to settle for less house than you wanted by waiting to buy a house...So while I believe home affordability is always preset the size and location of the home will change based on prices and interest rates. Last, protect you from inflation. This has always been an argument I have attested to. If I could lock in gas prices for 30 years five or six years ago I would be paying almost $1 a gallon cheaper. The same goes for bread, milk, eggs, and anything we buy. We all have heard our parents or grandparents talk about the days when a loaf of bread cost 25 cents and you could buy candy for pennies. Well if you look at your mortgage the same way then you are getting a good deal. The one nice thing about a mortgage payment is that if you get a fixed rate (the only one I recommend) then you will know what your principal and interest payment will be for the next 30 years. Yes, insurance and property taxes will fluctuate but generally insurance does not change dramatically. A couple of dollars a month one way or the other and property taxes in Charlotte area are adjusted every eight to ten years. So you have a good idea of what you are paying for at least 8 years. I know my parents had a mortgage payment of $350.00 a month and thirty years later my dad said he as paying more in a car payment than he was in house payment....A nice feeling knowing your rent is not going to change every year and possibly go up to a point you have to move.... So, is now a good time to buy or should you wait? In the past the consensus was wait and maybe buy because we know the time was coming where the bottom would hit and prices and rates would go up. Well that time has come and based on the past six months it does not look like it is going to go back down anytime soon...So, if you can and want to now be a great time to buy a home in the Charlotte, NC area. Dave diCecco Realtor/Broker Helen Adams Realty Cell: 704-519-7895 ddicecco@helenadamsrealty.com www.davedicecco.com