Spring selling season underway, as discerning buyers navigate tight supply in their search for homes
April 18, 2023
Contact: Kim Walker, 704-940-3149
CHARLOTTE, N.C. — Home sales across the Charlotte region are signaling the spring selling season is off to an early start, as sales registered the largest monthly percentage increase since March 2021. According to data from Canopy MLS, there were a few positive year-over-year sales gains in pockets across the region: Cleveland County (+1%), Stanly County (+5.4%) and Matthews (+8%). Overall, the 16-county region posted a year-over-year decline of 18.5 percent, as 3,832 homes sold during the month of March. However, month-over-month sales increased 40.3 percent, as buyers took advantage of rate declines that saw the 30-year fixed rate dip as low as 6.3 percent by the last week of March.
Pending contract activity or buyer demand was only down by 5.9 percent year-over-year, as 4,407 homes went under contract during the month. Month-over-month contract activity was up 14.4 percent, signaling a competitive buying environment this spring across Charlotte’s low inventory region. Sales included in this report are for single-family, condo and townhome sales only.
Year-over-year new listings were down 9.2 percent as sellers listed 4,824 homes for sale. However, seller confidence seems to be rising, just in time for buyers looking to purchase, as month-over-month new listing activity is up 41.2 percent. Gains in new listings over the last several months have helped buyers with more choices.
“Buyers and sellers benefitted from some of the economic uncertainty last month that caused mortgage rates to fall.” said Tiffany Johannes, 2023 president of Canopy Realtor® Association/Canopy MLS and General Manager, Broker-in-Charge, RE/MAX Executive. “Over the last month declining rates have brought more buyers to the market, especially in areas where inventory is starting to increase, but in a number of neighborhoods, tight supply will continue to be a challenge.”
Inventory in March increased 61.7 percent to 4,835 homes for sale compared to 2,991 homes for sale a year ago. Months of supply increased 116.7% percent to 1.3 months, which continues to reflect tight supply and a strong seller’s market.
Buyers will see some relief in prices this month as the median sales price ($368,500) was unchanged, down 0.4 percent year-over-year. This is the second consecutive month that the median sales price was lower than the previous year, while the average sales price ($442,628) rose 3.1 percent compared to last March. The average list price of $506,955 increased 12.2 percent year-over-year, which brought the original list price to sales price measure to 96.2 percent, which is down 5.6 percent from last March’s 101.9%.
Johannes continued, “If you’re considering a home sale this year, it’s critical to understand current market dynamics. Our market today doesn’t have the same level of demand that we saw during the pandemic, buyers have time to think and are much more discerning than they were this time last year. Small changes like improving curb appeal or outdoor landscape projects go a long way to attract buyers. Sellers should call a Realtor® to understand their market position and how small renovations and upgrades can boost the sale of the home.”
The time homes spent on market continued to increase in buyers favor. List to close increased 25.6 percent to 98 days compared to 78 days in March 2022, while days on market, the metric that accrues for “Active” and “Under-contract-show” statuses, showed homes averaged 48 days on market until sale compared to 21 days on market in March 2022.
Canopy Realtor® Association provides monthly reports on residential real estate market activity for the Charlotte region based on data from Canopy MLS. The Charlotte region, which this report is based on, includes 12 counties in North Carolina and four counties in South Carolina. For more residential-housing market statistics, visit www.CarolinaHome.com and click on “Market Data.” For an interview with 2022 Association/Canopy MLS President Lee Allen, Realtor®/Broker-in-charge with RE/MAX Executive, please contact Kim Walker.
Canopy Realtor® Association owns and operates Canopy MLS, the region’s primary source for accurate and timely property data in a multicounty service area including the Charlotte MSA, Asheville MSA and Catawba Valley region spanning across North Carolina and South Carolina to outside the Carolinas. Canopy MLS provides the latest technology, tools and analytics that Realtors® utilize to support consumers with their residential real estate transactions.