Market Report - August 2017
August tends to mark the waning of housing activity ahead of the school year. Not all buyers and sellers have children, 
but there are enough parents that do not want to uproot their children during the school year to historically create a natural market cool-down before any actual temperature change. Competition is expected to remain fierce for available listings. Savvy sellers and buyers know that deals can be made well into the school months, as household formations take on many shapes and sizes.
New Listings decreased 1.3 percent for Single Family homes and 2.4 percent for Townhouse/Condo homes. Pending Sales increased 9.1 percent for Single Family homes and 18.4 percent for Townhouse/Condo homes. Inventory decreased 12.1 percent for Single Family homes and 14.9 percent for Townhouse/Condo homes. Median Sales Price increased 7.7 percent to $263,900 for Single Family homes and 9.7 percent to $190,000 for Townhouse/Condo homes. Days on Market decreased 4.5 percent for Single Family homes and 12.7 percent for Townhouse/Condo homes. Months Supply of Inventory decreased 19.7 percent for Single Family homes and 25.4 percent for Townhouse/Condo homes.
The prevailing trends lasted through summer. This was expected, since there have not been any major changes in the economy that would affect housing. Factors such as wage growth, unemployment and mortgage rates have all been stable. Every locality has its unique challenges, but the whole of residential real estate is in good shape. Recent manufacturing data is showing demand for housing construction materials and supplies, which may help lift the ongoing low inventory situation in 2018.
Housing Supply Overview
Although new construction has yet to come to the rescue of low inventory, there are signs that demand for construction materials is high and that previous measurements of low construction activity have been weighed down by the public sector not private, residential building. For the 12-month period spanning September 2016 through August 2017, Pending Sales in the Cape Fear Area were up 10.1 percent overall. The price range with the largest gain in sales was the $450,001 or More range, where they increased 25.5 percent.
The overall Median Sales Price was up 6.5 percent to $230,000. The property type with the largest price gain was the Townhouse/Condo segment, where prices increased 6.2 percent to $180,375. The price range that tended to sell the quickest was the $150,000 and Below range at 77 days; the price range that tended to sell the slowest was the $450,001 or More range at 142 days.
Market-wide, inventory levels were down 13.4 percent. The property type that lost the least inventory was the Single Family Home segment, where it decreased 12.1 percent. That amounts to 4.9 months supply for Single Family homes and 4.4 months supply for Townhouse/Condo.
Quick Facts
+25.5% | Price Range with the Strongest Sales | $450,001 or More
+26.2% | Bedroom Count with Strongest Sales | 1 Bedroom or Fewer
+15.3% | Property Type with Strongest Sales | Condo/Townhome
+10.4% | Year Over Year Change in Closed Sales
+6.9% | Year Over Year Change in Median Sales Price
-13.4% | Year Over Year Change in Homes for Sale
New Listings
Number of properties that are newly listed in a given month
Closed Sales
The number of actual sales in a given month
Days on Market Until Sale
How long a home for sale has been on the market
Median Sales Price
Exactly half the homes sold are above this price and exactly half are below.
Inventory of Homes for Sale
The number of available homes for sale at the end of the most recent month
Months Supply of Inventory
The number of months it would take for all the current homes for sale on the market to sell. Foe example, if there are 100 homes on the market and 20 homes sell each month, there is a 5 month supply of homes for sale.
Typically, a market that favors Sellers has less than 6 months of supply , and more than 6 months of supply favors the Buyer.
| Key Metrics | Aug-16 | Aug-17 | % Change | YTD 2016 | YTD 2017 | % Change |
|---|---|---|---|---|---|---|
| New Listings | 971 | 958 | -1.3% | 7997 | 8352 | 4.4% |
| Pending Sales | 758 | 827 | 9.1% | 5720 | 6416 | 12.2% |
| Closed Sales | 779 | 867 | 11.3% | 5237 | 5848 | 11.7% |
| Days on Market Until Sale | 88 | 84 | -4.5% | 95 | 88 | -7.4% |
| Median Sales Price | $245,000 | $263,900 | 7.7% | $240,000 | $253,000 | 5.4% |
| Average Sales Price | $307,430 | $328,385 | 6.8% | $288,161 | $306,575 | 6.4% |
| Percent of List Price Received | 0.973 | 0.974 | 0.1% | 0.972 | 0.976 | 0.4% |
| Housing Affordability Index | 121 | 108 | -10.7% | 123 | 113 | -8.1% |
| Inventory of Homes for Sale | 3982 | 3499 | -12.1% | –– | –– | –– |
| Months Supply of Inventory | 6.1 | 4.9 | -19.7% | –– | –– | –– |
| Key Metrics | Aug-16 | Aug-17 | % Change | YTD 2016 | YTD 2017 | % Change |
|---|---|---|---|---|---|---|
| New Listings | 210 | 205 | -2.4% | 1833 | 1986 | 8.3% |
| Pending Sales | 174 | 206 | 18.4% | 1389 | 1651 | 18.9% |
| Closed Sales | 183 | 206 | 12.6% | 1268 | 1472 | 16.1% |
| Days on Market Until Sale | 102 | 89 | -12.7% | 110 | 94 | -14.5% |
| Median Sales Price | $173,250 | $190,000 | 9.7% | $169,000 | $184,000 | 8.9% |
| Average Sales Price | $209,922 | $226,494 | 7.9% | $202,768 | $231,676 | 14.3% |
| Percent of List Price Received | 0.971 | 0.974 | 0.3% | 0.968 | 0.971 | 0.3% |
| Housing Affordability Index | 170 | 150 | -11.8% | 175 | 155 | -11.4% |
| Inventory of Homes for Sale | 926 | 788 | -14.9% | –– | –– | –– |
| Months Supply of Inventory | 5.9 | 4.4 | -25.4% | –– | –– | –– |