HOUSINGNEWS REPORT
SPOTLIGHT: NORTH CAROLINA
Unemployment continued its downward trend to 4.9 percent in March 2017, according to the Bureau of Labor Statistics. For March 2017, existing home sales in the state totaled 13,505 units, a 21 percent increase over March 2016 and 56 percent above the number of units sold the previous month. Home prices rose 6 percent over the same time period a year ago to $201,172, according to sales data released by the North Carolina Association of REALTORS (NCAR). The total number of distressed home sales statewide declined 20 percent between the first quarter of 2016 and first quarter 2017, according to ATTOM Data Solutions.
even on the new home side, although he estimates that investors represent no more than 10 percent of the business. “We’re underbuilt. What’s missing here is the lower price point. The entry level market is undersupplied,” Colvin said. The FRB Richmond’s April report noted 4,898 new residential permits were issued statewide in February, up 13.8 percent from the month before and a 27.3 percent increase over February 2016, with the most permits issued in the Charlotte metro area. Statewide housing starts were also up substantially in February, totaling 70,500, up 16.2 percent from the previous month and up 35.3 percent from a year ago. To Flip or Not to Flip Loschiavo said it’s hard enough to find properties at full price, let alone flip them. “What I have heard is the safer place for investors to be right now is in rentals,” he said. “Buy it and hold it and get a reasonable rate of return.
Commenting in his press release for the April 2017 NCSU Index of North Carolina Economic Indicators, Dr. Walden noted that “the trend in the Index this year suggests a gradual increase in the state’s economic growth in coming months. With the housing market continuing to tighten — especially in metropolitan areas — new residential construction will increase its role in leading economic growth.” While Charlotte and Raleigh-Durham make up about 75 percent of the state’s employment growth, the Triad metro area is growing the fastest on a percentage basis, according to Jay Colvin, regional director for Metrostudy in Raleigh- Durham, Charlotte and the Triad. Colvin said with such low inventory his firm does see a fair amount of investor activity
What’s missing here is the lower price point. The entry level market is undersupplied.”
Jay Colvin Regional director at Metrostudy for Raleigh-Durham, Charlotte and Triad region of North Carolina
March 2017 Home Sales
March 2017 Home Prices
13,505
$201,172
21% Increase comparing to March 2016
6% Increase comparing to March 2016
Source: North Carolina Association of REALTORS.
ATTOM Data Solutions • P19
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