Charlotte Home Prices fall 4%, Units sold off 26% in May 2008 on single family homes.

Demand, or units sold, was off 26% and prices fell 4% when comparing
the Sold Cost per square foot prices of MLS sales in May 2008 versus
May 2007, proving that after 6 months of double digit declines in
demand Charlotte is not immune to the law of supply and demand as
sellers are meeting buyer expectations and lowering their prices.

The average cost per square foot for homes sold in north Charlotte
in May 2008 was 113/sf, versus $154/sf in South Charlotte. The price
decline appears to be spread relatively evenly geographically, as
northern Charlotte home prices (includes the Lake Norman area) fell
5.4% and South Charlotte home prices fell 6%. However, Charlotte home
prices still remain well above 2006 levels.

More than 2,900 properties sold last month in total, so there is a solid market responding to weakening demand.

I take all of my numbers from the Carolina MLS (they don’t provide
the summary- just data) where Case-Shiller uses a different, and more
precise method and they still report Charlotte housing market as rising
in price through March (less than 1%)

What does this mean to home Buyers and Sellers? It means if you are a Seller, this is not a “move up” year…man thinking
Only put your home on the market because you have to: a job transfer or
job loss, leaving the area, death in the family etc. Otherwise you
would be better off to wait; I expect a substantial price uptick in
2009. For Buyers- know this- we never had the large run up of prices
that many markets did, so there isn’t the massive paper equity other
markets had, so there will not be any large price drops here- we have
already proven this as home prices began dropping in earnest across the
country in 2006.. and then you have to check out today’s interest
rates. If you wait until the market has turned the corner, you’ll be
facing stiffer mortgage rates- Rising rates go hand in hand with a
growing economy. Buy now, but buy at a discount to protect yourself,
and lock in that low rate.

I ‘ll be comparing various communities and neighborhoods to see how they fared in May in coming posts.

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Moving to Charlotte? Considering a
Move? Call me, Terry, about these or any other homes in the greater
Charlotte area at 704-351-1519 or Search All Charlotte Homes- By Area , for that perfect home in Charlotte.

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