Charlotte’s housing market is predicted to shift in 2018 from a “sellers” market to a “buyers” market. The trends that will influence this shift are Charlotte’s housing inventory (increasing), price appreciation (slowing down), sales growth (with Southern cities leading the way) and Millennials (increase in home ownership market share).
It is predicted there will be an uptick of homes on the market in the 2nd half of the year, this will lead to lower prices, especially in the higher-priced segments ($350,000+). Also, the slowing of price appreciation will put more homes within reach of home buyers. The southern markets will beat the national average in home sales growth, predicted in part, by buyer migration to the South. Finally, with a large majority of Millennials turning 30 in 2020, the group is anticipated to gain market share in all home price segments in 2018 and beyond.
The Key Market Indicators Are:
3% growth in housing starts
7% growth in single family housing starts
3.2% increase in home price appreciation
7% increase in new home sales
2.5% increase in existing home sales
63.9% projected home ownership rate
4.6% average mortgage rate (30 year fixed)