Per the May report from Triangle MLS:
"After two years of record-setting activity, there are signs the housing market might be cooling. High home prices and a surge in mortgage interest rates are slowing buyer activity, with home sales declining for the third consecutive month under the weight of soaring homeownership costs.
The slowdown in sales has provided a much-needed lift to housing supply, with inventory up 10.8% from the previous month according to NAR, although supply remains down 10.4% compared to this time last year, with only 2.2 months’ supply of homes at the current sales pace."
In Chatham County, there was a 11.2% decrease in new listings in May. The number of closed sales decreased between 2021 and 2022, dropping from 624 to 525. Median sales prices also increased by 26.7 percent. In May, Chatham County median sales price was higher than the median sales price for all MLS listings.
In Durham County, closed sales have decreased 5.3 percent year to date. Median sales price has increased 28.2 percent when compared to May last year, moving from $317,00 to $406,500. Average sales price increased by 22.3% year to date. In May, the Durham County median sales price was higher compared to the median sales price of all MLS listings.
The number of listings in Orange County has decreased by 18.0 percent, from 1,004 new listings year to date last year to 823 new listings this year. There was a 0.8 percent decrease in closed sales. Additionally, median sales price increased by 16.1 percent, from $389,450 to $452,250. In May, Orange County median sales price were slightly below the median sales price for all MLS listings.
The number of listings in Person County has increased by 4.3 percent, from 211 new listings year to date last year to 220 new listings this year. There was a 0.5 percent decrease in closed sales. Additionally, median sales price increased by 13.2 percent, from $216,375 to $245,000. In May, Person County median sales price was below the median sales price for all MLS listings.
In Wake County, there was a decrease of 8.5 percent in the number of new listings year to date compared to last year. The number of closed sales decreased 11.9 percent. Median sales prices increased by 24.3 percent year to date, rising to $460,000. Compared to the median sales price for all MLS listings, Wake County median sales price were on par for May.
Planning for a vacation will be a breeze with these summer travel tips and tricks!
You've earned a break after the ups and downs for the recent years, and it is time to take that well deserved vacation! But how is the best way to go about spending money on your trip? See below our list of 5 Smart Ways to Save for a Vacation to get the most out of your time off!
Looking to visit the Crystal Coast this summer? CLICK HERE to read about the great communities of the Crystal Coast and see which you would love to visit!
The Institute for Luxury Home Marketing has released their May 2022 monthly trend report, CLICK HERE to download the full report. We are happy to share this information to you from our personal resources! The following is per the Institute for Luxury Home Marketing May 2022 Market Report:
While the ownership of luxury properties throughout the world has always been part of the affluent's portfolio, prior to the pandemic, the pace of decision-making and purchasing was so much slower, with the level of inventory far exceeding the demand.
From London to Miami, Los Angeles to Sydney, the increasing demand for luxury properties continues to be at unexpected levels while inventory availability decreases and prices increase – further compounded as more countries open up and return to some semblance of normalcy, with the return of the international buyer.
While it cannot be declared that the U.S. and Canada were the trendsetters in the meteoric increase in purchasing luxury properties over the last two years, the comparative statistics indicate that North America recorded the fastest growth of demand during the first year of the pandemic. Also, NORTH AMERICAN LUXURY REVIEW demand has not only not abated, but it consistently increased, and even in April 2022, we saw a higher volume of sales compared to 2021.
Rising global wealth, increasing numbers of affluent individuals, investment return opportunities, and the growing importance of intrinsic value that a luxury property offers have all been instrumental. We can see this global change more emphatically by looking at the numbers provided by Wealth- X for individuals with a net worth of over $5 million through a comparison of growth from 2020 to the end of 2021. In 2020, their global wealth grew by 2.1%, from $61 trillion to $62 trillion, but in 2021 it exploded with a 20.4% increase of $12.8 trillion, equaling a growth of wealth to over $75 trillion. However, it is more likely that the population growth of these individuals with a net worth of over $5 million could be the most important factor in the dramatic decrease in inventory levels. In 2020, we saw a 2.2% growth in the number of individuals with wealth of over $5 million in net value, but in 2021 that number grew by an outstanding 19.8%.
While this growth of wealth and the individuals with this wealth undoubtedly created one of the most significant impacts on the demand for luxury real estate, what is truly fascinating is some of the unexpected diversification of where the wealthy are buying and why.
Since reopening its borders, Australia has seen a marked interest in Sydney and Melbourne's luxury real estate markets, and despite their tight foreign ownership rules, demand has been extremely high. In the past, distance and remoteness were a hindrance, but in today's world, these factors are now considered a benefit. Throw in additional tax incentives for relocating a business, and the elite start to look at the viability of moving here.
Looking to India, we see predictions for a continuation of a strong luxury real estate market. Already Delhi, Mumbai, and Goa have seen the ultra-rich invest heavily in high-end property. The widely traveled affluent are leading the charge as they have experienced living in more luxurious accommodations and are ready to spend their wealth on luxury real estate to upgrade their lifestyle in a city of their choice. While the affluent are attracted to Mumbai due to it being the commercial capital, especially for investment with well-established luxury property developers, areas such as Lutyens' Zone, Vasant Vihar, and South Delhi remain hot real estate destinations in Delhi.
Dubai has seen a resurgence in its market in the last six months. Despite all the negative press about Russian Oligarchs using it as a hiding place, Dubai recorded its best quarter since 2010, with top investors coming from the UK, France, and Italy. Europeans have dominated investment, but increasing numbers of individuals from Canada, India, and Pakistan are taking significant interest as visa reforms and economic stability have proven to be successful draws.
As global demand for luxury homes continues to increase, the opportunity for developers and builders holds a world of opportunity, innovation, and, of course, financial gain.
In North America, cities were high on the list for the wealthy, especially Washington D.C., New York, Los Angeles, Miami, and Honolulu, with individuals desiring a return to downtown lifestyles. And more than 10% of luxury searches were conducted by foreign buyers, according to data collected for Mansion Global by Realtor.com.
One trend this analysis of the global market for real estate demonstrates is that the affluent are on the move again, and North America will probably be one of the largest beneficiaries. The strength and stability of the luxury markets in Canada and the U.S. over the last two years, not to mention investment opportunities in the growth of new real estate markets and luxury developments, will drive the incentive from international buyers.
Below are the stats for the 13 month market trends review.
Below are the monthly stats for your local luxury market reports of single-family homes.
Do you know Durham is still a hot market to live in?! More and more companies are setting up headquarters in Durham and bringing new job opportunities and resources to the area. CLICK HERE to see our recent blog post about a New Home and Mixed-Use Development that is being built in Durham to keep up with the house demand!
Traveling this summer? Trying to decide if it is best to grab a flight or make the drive? We have quick quiz below to help you decide which is best for your situation. If flying is how you are traveling this summer, see a list of travel hacks below to get you ahead of the crowd.
Ready for some Home Improvement Projects? See our list of added value projects here.
New homes and mix-used development coming to Durham at the corner of Guess & Latta in North Durham. This means more options for new construction homes, as well as job opportunities, all within one convenient location. The following is an excerpt from the Triangle Business Journal's recent article titled, Builder Buys Land in Durham for 200-home, mixed-use development.
"In northern Durham, 30 acres of undeveloped land will soon become home to over 175 townhomes and up to 55,000 square feet of commercial space.
CLICK HERE to read our testimonials from other local Agents! See their great words for yourself on what sets Carl Johnson Real Estate apart from the rest.
Publix Grocery Store Coming to Durham!
Zoning has been approved for the placement of the popular Publix grocery store to move into Durham. It will be located at Guess Road and Latta Road as a part of the mixed-use new development called Latta Park.
CLICK HERE to read the full news report to see what is in store for Durham!
Interested in learning more about Durham? Click here to learn more.
Our resources at the Institute for Luxury Home Marketing have released their April 2022 monthly trend report, CLICK HERE to download the full report. The following is per the Institute for Luxury Home Marketing April 2022 Market Report:
Inventory continues to remain below traditional levels, even though there has been a slight increase in the number of new listings coming onto the market over the last few months. Comparing March 2022 to March 2021, there was an overall 8.17% decrease in luxury single-family inventory despite a 15.20% increase in new listings. Similarly, March 2022 saw a 25.16% year-over-year decrease in luxury attached inventory with a 10.22% increase in new inventory.
This spring has not seen a slowdown in the number of affluent homebuyers seeking luxury properties, as they still look for homes with more space and locations offering more affordable prices. Some are relocating permanently; others are buying vacation or co-ownership homes, and finally, others are looking for investment opportunities. Ultimately, the biggest obstacle for these buyers and a return to more normal seasonal patterns in the North American luxury home market is the continued shortage of homes for sale; a result of the buying frenzy that took place in the wake of pandemic lockdowns and home construction failing to keep pace with the demand. Out of this incredibly constrained market, we see the rise of innovation.
Affluent buyers, frustrated with the continued competition and price increases, are turning to outlying neighborhoods, and some are ready to take on fixer-upper properties.
Equally, investors who have a little more time on their hands or can live in another property avoid competition by considering properties that need work. Many buyers are risk-averse to dealing with the current building supplies and contractor issues, but the return on investment could be immense. One way to measure the return is to look at the value of new construction in the area – it will help to understand the opportunity to take on a project and renovate it into a turnkey property with similar amenities. Global supply chain delays continue to be a source of frustration to all those involved in the home-building industry, from high-powered developers all the way down to homeowners doing a simple renovation. To solve this frustration, some have turned to sourcing locally available materials for renovations and home builds. This is favorable because it breaks the supply chain issue, but it also helps with the environmental footprint. In addition, it has led to designs that are more visually in balance with their surroundings. Unconventional methods are also popping up, including recycling rescued framing from a demolished property to using natural resources such as rocks, timber, sand, and even recycled products that create unique structural and interior wall features.
Below are the stats for the 13 month market trends review.
Below are the monthly stats for your local luxury market reports of single-family homes.
Carl is certified as an Institute for Luxury Home Marketing Specialist, CLHMS. This designation means that Carl offers knowledge, experience, competence, and confidence for success in the luxury market to his buyers and sellers.
CLICK HERE to read more about Carl's experience in the industry and to get in touch with him today!
Per the April report from Triangle MLS:
"As the rising costs of homeownership force many Americans to adjust their budgets, an increasing number of buyers are hoping to help offset the costs by moving from bigger, more expensive cities to smaller areas that offer a more affordable cost of living.
Inventory remains low, with only 2 months supply at present, and home prices continue to rise, with the median existing home at $373,500, a 15% increase from this time last year. Homes are still selling quickly, however, and multiple offers are common in many markets."
In Chatham County, there was a 22.7% decrease in new listings in April. The number of closed sales decreased between 2021 and 2022, dropping from 475 to 381. Median sales prices also increased by 29.0 percent. In April, Chatham County median sales price was slightly higher than the median sales price for all MLS listings.
In Durham County, closed sales have decreased 6.8 percent year to date. Median sales price has increased 30.3 percent when compared to April last year, moving from $308,500 to $402,000. Average sales price increased by 23.2% year to date. In April, the Durham County median sales price was higher compared to the median sales price of all MLS listings.
The number of listings in Orange County has decreased by 21.0 percent, from 781 new listings year to date last year to 617 new listings this year. There was a 1.6 percent decrease in closed sales. Additionally, median sales price increased by 16.2 percent, from $372,000 to $432,140. In April, Orange County median sales price were below the median sales price for all MLS listings.
The number of listings in Person County has increased by 2.4 percent, from 167 new listings year to date last year to 171 new listings this year. There was a 2.7 percent decrease in closed sales. Additionally, median sales price increased by 10.7 percent, from $215,000 to $238,000. In April, Person County median sales price was below the median sales price for all MLS listings.
In Wake County, there was a decrease of 13.5 percent in the number of new listings year to date compared to last year. The number of closed sales decreased 11.4 percent. Median sales prices increased by 24.3 percent year to date, rising to $450,000. Compared to the median sales price for all MLS listings, Wake County median sales price were on par for April.
Getting ready to list your home? Click here to check out these staging shortcuts!
From buying a house or a car, to just a small personal loan, your credit score plays a big factor in your abilities to borrow money. It is important to be responsible with a credit card but sometimes life can get messy. That is why are we sharing with you a list of some tips and tricks to help you boost your credit score and to get you in a better state! From asking for forgiveness to the help of an outside service, you can get your credit score better and benefit yourself in more ways than one.
CLICK HERE to read about the benefits of purchasing a home warranty.
Credit score, credit card debt, and even the number of credit card accounts you have open can affect you in the long-term as you get ready for a mortgage. That is why it is important to know all you can about which type of credit card is the best for you and how you can benefit from using it. It is also important to use the card correctly and to keep track of your account. Read below for information on how to pick the perfect credit card company for your needs as well as some credit card best practices to help you maintain a strong credit score.
Getting ready to sell? CLICK HERE to watch a vlog of Carl talking about key points and ways to help you while you get ready to list!
Impress Buyers With These Staging Shortcuts
Our Founder, Carl Johnson, has completed the Real Estate Staging Association's staging to sell course and is designated as a Certified Staging Advocate. This means we are best able to show off your house's strength in the marketplace! Read below about six key home staging shortcuts you can do on your own!
Home staging highlights the best features of your house and makes it more marketable by giving it a clean, organized, and neutral appearance. It also makes your home more appealing to the greatest pool of prospective buyers.
Hiring a professional stager is a good investment because they have the design expertise and time to get the job done right. If you don't have the budget to hire a professional, follow these six home staging tips to get you on your way.
Click here to read more on home staging and how Carl Johnson Real Estate can help you!