Local Market Update - October 2022
Per the October report from Triangle MLS:
"In Chatham County, there was a 2.9% decrease in new listings in October from last year. The number of closed sales decreased between 2021 and 2022, dropping from 1,305 to 1,089. Median sales prices also increased by 19.1 percent.
In Durham County, closed sales have decreased 12.0 percent year to date. Median sales price has increased 20.6 percent when compared to October last year, moving from $339,848 to $410,000. Average sales price increased by 16.5% year to date.
The number of listings in Orange County has decreased by 14.9 percent, from 1,967 listings last year to date to 1,674 new listings this year. There was a year to date 11.3 percent decrease in closed sales. Additionally, median sales price increased by 9.9 percent, from $409,495 to $450,000.
The number of listings in Person County has increased by 3.0 percent, from 436 new listings last year to date to 449 new listings this year. There was a 5.4 percent decrease in closed sales. Additionally, median sales price increased by 18.6 percent, from $215,000 to $255,000.
In Wake County, there was a decrease of 7.3 percent in the number of new listings year to date compared to last year. The number of closed sales decreased 15.2 percent. Median sales prices increased by 20.5 percent year to date, rising to $470,000.
Looking for ways to better yourself or reach a new level of selfcare? CLICK HERE to read our blog post on a great set of books to read all driven to help you have more self love!
Featured Photo by Sean Pavone/Shutterstock.com
We were honored be asked again to write an article for New Homes & Ideas Magazine.
The article was picked up by WRAL.com and it was an honor to write about our awesome city Durham. We LOVE Durham !
CLICK HERE for the full story or stroll below to see our story on Exploring Durham: Neighborhood and More.
Exploring the Triangle: Durham Neighborhoods & More
By Carl Johnson
This issue, we explore the northern tip of our Triangle, featuring the highlights that make up Durham, North Carolina. As the middleman between smaller Chapel Hill and larger Raleigh, Durham offers a unique position in the Triangle with its small town southern charm, major university lifestyle, and a biotech industry headquarters! Follow along as we discuss neighborhoods, parks, and attractions that make up the hot spot that is Durham.
Durham is known for its diversity and innovation. Durham’s history has been made up of entrepreneurs from the tobacco industry to the historic Black Wall Street. Durham is home to one of the first sit-ins of the Civil Rights Movement and currently hosts many black-owned businesses. This city is known as an education hub with its world-class academic programs at Duke University and North Carolina Central University. Duke University Medical Center is recognized throughout the country for being a life-saving treatment center and has helped Durham become known as “The City of Medicine”.
Spacious lot sizes to city living, historic charm to new construction, even high end neighborhoods with golf courses all come together to make up the neighborhoods of Durham. You can find the perfect home for any lifestyle in Durham, all while being minutes to the city, Research Triangle Park (RTP), and the Raleigh-Durham Airport.
If you are looking for new construction and low maintenance living, Providence at Southpoint is perfect! These townhomes built by David Weekley offer top notch design and service with their construction that is in a perfect location minutes to RTP, both Duke University and the University of North Carolina at Chapel Hill (UNC), Downtown Durham, and the airport. Providence at Southpoint features greenspaces in a walkable community, covered porches, private backyards, and square footage can be over 2,000 sq. ft. while still maintaining the easy townhome lifestyle. Located right off of I-40, Providence at Southpoint is an ideal location for popular areas such as Jordan Lake and the shopping and restaurant area of the Streets at Southpoint.
If you are looking for a popular Durham neighborhood that has a ton of great amenities look no further than Treyburn! This neighborhood located in the northern part of Durham has a preserved 1,600 acres of wooded area surrounding it, a local elementary and middle school within the community, the Treyburn Country Club with its Tom Fazio Golf Course, great swimming facilities and tennis courts.
Another unique Durham neighborhood that is just north of the downtown area is Croasdaile Farms. This is a planned residential community with strict architectural guidelines and community standards for its homes that are built giving it a luxury feel throughout. The neighborhood offers detached single family homes as well as luxury townhomes and apartments. Lots are available today for new construction homes. The area has three ponds, over 4-miles of walking trails, and tons of historic charm from its past as a large working farm.
If you are looking for a large community that is located in south Durham, look no further than Parkwood! This community is noted as being the first ever neighborhood in the U.S. to have an HOA. Parkwood now houses over 3,000 homesites with great low HOA dues all while having two community pools, a clubhouse, and hosts multiple events for its residents all year long. You can find three ponds, walking trails, a community garden, ball fields, multiple playgrounds and even a lake! All of this is minutes to RTP and the features of downtown Durham.
If historic charm and city life are more your style, the area of Trinity Park is a great housing option to consider. This 40-block tree lined street area is known as one of Durham’s oldest central neighborhoods and is on the National Register of Historic Districts list. You can find beautiful brick homes with welcoming porches and courtyard style lawns. This area hosts a Trinity Park Home Tour to show off some of the unique homes that are right in Downtown Durham!
The Great Outdoors
The beautiful wooded hills, many calm lakes, and abundant wildlife are all major attractions for people from all over to the state of North Carolina. Durham is bursting with plenty of natural spaces and is a main reason that this area continues to be so popular. Here you can find all the best of the North Carolina great outdoors mixed with a location close to the city. A great local spot is the Eno River State Park only ten miles north from Downtown Durham offering hiking, fishing, and paddle boarding all within minutes of the city! As a state park you can reserve one of the many picnic pavilions Eno River offers and enjoy the park for the full day.
A unique outdoor highlight in Durham is Duke Forest. This 7,000 plus acres of land is owned and maintained by Duke University. Duke Forest has been used for research, teaching, and recreation by the university since the 1930s. They offer many volunteer opportunities to help educate on land preservation as well as positive uses of natural resources. Don’t forget your camera when you visit as there are a plethora of beautiful trees and flowers to enjoy!
Just fifteen miles east of downtown Durham is Falls Lake. This lake offers over 300 campsites, 25 miles of hiking trails, and 14 miles of what is one of the most premiere biking trail systems in the Triangle. Falls Lake truly has it all when it comes to a perfect lake getaway! Boating, fishing, and swimming are all permitted on this over 12,000 acre reservoir.
While in the heart of the city, Durham Central Park is a great place to check out. From hosting the local farmer’s market to live music and events throughout the year, Durham Central Park promotes getting out and staying active while within city limits. The park covers 5 acres and offers a large 9,000 sq. ft. pavilion which is a great place to host weddings, corporate events, concerts and outdoor gatherings. A popular attraction in the park is the kid friendly Mount Merrill interactive play area which has everything from a boulder climb to slides. Visit the Durham Central Park’s website, www.durhamcentralpark.org to see what events and activities they will be hosting next!
Things to Do
Durham features many great attractions that are fun, educational, and one of a kind. A great local place to visit in north Durham is the Museum of Life and Science. This 84 acres of open space is designed to promote science and nature experiences and spark the imagination. The science center offers multiple camps, exhibits, events for both kids and adults, hands-on activities and even a small zoo all while promoting the community. It is an experience you don’t want to miss, fit for any age group, all while being five miles from downtown Durham.
The American Tobacco Campus is a local attraction that evolved along with Durham as they both moved from this major industry to reinvent themselves as a modern hot spot. Part of that evolution was the repurpose of past factories into popular destinations with restaurants, shopping, residential housing, and offices.
The American Tobacco Campus hosts the Durham Bulls Athletic Park (DBAP) where you can catch the Triple-A baseball team playing and the beautiful Durham Performing Arts Center where you can see professional Broadway performances in a theater that is nationally ranked. These two major attractions set the campus apart from other similar attractions. If you are looking for a unique place to host a private or corporate event, try Bay 7 on the American Tobacco campus. This award winning 10,000 sq. ft. flex space is perfect for any large gathering. If you are looking for the next best thing in food, stop by PopUp on campus where they host rotating start-up restaurants that are cutting edge. The American Tobacco Campus truly has it all and is a must visit for everyone in the city of Durham!
The American Tobacco Trail is a 22.6 mile trail that runs through Durham, beginning across from the DBAP. For those who love to bicycle, hike, run or walk, the trail offers a beautiful place for all to enjoy.
Research Triangle Park (RTP) is the largest research park facility in the United States and a major draw to brilliant minds from all over the world. This commercial district and its businesses support over 60,000 employees. RTP has over 300 companies that call its campus home including industry leading biotech, robotic, and other life science companies that work out of its state-of-the-art facilities. The park itself has all business needs covered from offices, labs, apartments and housing, restaurants, shopping, and even fitness and wellness centers. The park hosts events from yoga to formal education presentations throughout the year that employees and the public can take part in. RTP is only 15 minutes from downtown Durham.
A great local Durham gem is the Durham Co-Op Market which is a community-owned grocery market, shop, and cafe! While downtown, visit the market for lunch where you can find products from local honey and granola to deli meats and breads.
Durham: More Than a Hot Spot…. A Lifestyle
From a weekend spent on Falls Lake to a quick and easy commute from historic Trinity Park homes to the offices in RTP, Durham offers it all. Durham is unique and special, as it is a place you can call home while still being only a short drive to vacation like amenities. The city of Durham offers a strong sense of community and inclusion throughout, promoting its local small businesses, live events from music to farmer’s markets, and an overall healthy outdoor lifestyle of walkability within its communities. The homes of Durham offer something for everyone! If you want new construction, historic details, low maintenance and more you can find your fit in Durham!
The October 2022 Institute for Luxury Home Marketing monthly trend report is out now! 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 October 2022 Market Report:
"Given the time of year, the current economic influences, and the uncertainty surrounding real estate demand, it is still hard to predict when or even if the luxury market will fully become a buyer’s market.
Where is the Market Headed:
The simple truth is that both the economy and the real estate market are in a state of unpredictable flux, when even traditional methods, such as raising interest rates, are not achieving the desired results as inflation increases. In September, U.S. inflation rose to 6.6%; in Canada, it is currently 7%.
In some locations, we see the severe impact of this increase in interest rates on the number of sales, whereas, in others, the lack of inventory is still playing heavily in the seller’s favor. Some buyers are feeling the affordability squeeze because of the additional increase in the cost of borrowing. Yet, with very few sellers needing to put their homes on the market, inventory levels remain historically low, leaving even cash buyers without the negotiating power typically expected in a transitioning market.
The reality is the factors of how buyers and sellers are reacting combined with influences from outside the industry are creating conflicting messages that are resulting in strange times throughout the real estate market.
Still a Seller's Market
It may be a surprise to discover that our analysis for September shows that many markets remain favorable to sellers for both luxury single-family and attached properties.
Last month we reported that 106 of our 140 single-family markets were still favorable to sellers. While 16 have transitioned to balanced – where the market is equally favorable to sellers as it is to buyers – 90 remain seller’s markets.
n the attached market, of the 96 markets reported on by the Institute, 77 remain seller’s markets. It seems that there are still plenty of buyers – indeed, a survey by Bank of America found that the young and wealthy prefer assets like cryptocurrency, real estate, and private equity over investing in the stock market. “Individuals ages 21 to 42 with at least $3 million in assets have only a quarter of their portfolio in equities, compared with more than half for those who are older”, according to the study.
This is significant, especially for the future, as Baby Boomers are estimated to transfer over $84 trillion of their wealth to Generation X and millennials between now and 2045, according to market research by Cerulli Associate.
A Trend Towards Balanced
Coming back to the current status, it is important to realize that most luxury markets are starting or transitioning toward more favorable conditions for buyers as inventory levels steadily climb month over month.
As of September, the sales ratio, which measures the monthly sales against the remaining active listings at the end of the month for both single-family home and attached property markets, saw a further shift downwards towards the 21% threshold mark, which signifies a change from seller to a balanced market.
However, there is an anomaly in the claim that inventory levels are rising – the reality is that they are also increasing because homes are staying on the market longer. More choice has slowed the velocity of sales compared to 2021, but the lack of new inventory has equally slowed.
September’s increase in new inventory is typically one of the largest of the calendar year, escalated by individuals returning from the vacation season with new plans; it kicks off the second busiest season in real estate. While the actual number of properties for sale in September 2022 rose significantly compared to September 2021, an increase of just 6% from August 2022 is well under the traditional expected norms of a 12-18% increase between these two months.
But it would be unrealistic to expect the extraordinary results of 2021, where the number of sales was greater than the remaining inventory each month. Nor should we expect to see many sales closing over the asking price and even fewer multiple offers – all typifying a directional transition toward a more balanced market."
The following is the Luxury Monthly Market Review of Single-Family Homes for the Raleigh-Durham Market:
Did you know we offer sales and marketing for Builders? CLICK HERE to see what we offer for Builders who are looking to have the busy real estate sales & marketing burden taken off their hands so they may focus on doing more of what they love....build & design.
Attitude of Gratitude
Celebrate the season of thanks and giving with gratitude. From handwritten cards to simply saying it out loud, letting the important people in your life know you appreciate them is priceless. It is also just as important to give love to yourself, and to take the time to slow down and realize how far you've come this year! See our flyers below for some tips and tricks on ways to give your gratitude this season to friends, family, and yourself, too.
Thinking of listing your home but feel like it is not in showing shape? CLICK HERE to read about and see photos of the work from our local partners at Linden Creek who do amazing staging work for our clients.
Spread The Gift Of Kindness
Simple acts of kindness go a long way. It is something that we are taught at a young age, occasionally though we need reminders of it throughout our lives. This Holiday season you can Spread the Gift of Kindness and give something that may last a lifetime. See our flyer below on some gift ideas that you can give, which show how grateful you are for the people in your life!
We love to hear from our clients and our fellow REALTORS®! CLICK HERE to check out our testimonial page to read what everyone is saying about Carl Johnson Real Estate and see why we are so very grateful for you!
Housing Market Update, by Carl
Blog Post by Carl Johnson, November 9, 2022
As supply and demand, as well as interest rates, continue to fluctuate in the current housing market, it is more important than ever to have a trusted, experienced, and knowledgeable full time professional real estate broker. As you hear stories of houses sitting on the market, or homes with price drops . . . we want you to know at Carl Johnson Real Estate we are busier than ever! And there is a reason for this.
Recent years have seen an influx of new real estate agents riding out the market while it was hot, now as things go back to a more normal housing market, we are seeing those same agents leave the profession. Experienced agents are busier than ever now. The lack of analyzing the market and taking a deep dive to better understand how to best position listings in this market has taken its toll on the market. This is one of the main reasons we are seeing pricing decreases and more days on market. New housing starts are decreasing, and new construction inventory is seeing a price decrease as overall new home construction experienced a large price increase recently. This effects the decrease in sales price by less than one percent in the Triangle Region of NC. We are seeing existing housing inventory holding steady in value/sales price. Current new home inventory, as well as new construction homes sales prices, have created a pricing challenge in the market. The Triangle Region is positioned as a magnet for relocation due to the many reasons this area is a great choice to live in. This continues to infuse our real estate market and effect supply and demand.
At Carl Johnson Real Estate, we have not had a price reduction on a listed home since the market has adjusted. In fact, our past listings all sold in under five days with multiple offers. That is because we are constantly analyzing the market data so that we may provide insights to our clients, while working to market, list and liquidate one of our clients' largest assets, their home. We work hand in hand with our clients to prepare the property for market, so that when entering the market, the property is positioned in a place of strength thus attracting the maximum buyers. Our marketing for our listings is targeted to the right buyer by communicating all the details that make the property unique. We are always looking at ways to increase the marketing for our listings and don't stop until we are completely satisfied with the outcome and results. For example, we just started creating a QR code for all our listings that is published on all our printed materials for our listings. We track our marketing and constantly analyze the results, always looking for improvements. That is why Carl started his own real estate marketing company 4RE Marketing that markets all our listings and our real estate company.
Our market research and our knowledge of the market and area assist you in getting the highest amount for your property. We work together with our clients to plan how to meet their real estate goals. We do feel that the market is shifting, but by constantly analyzing the market, we are able to provide data that positions our clients within comfortable reach of their real estate goals. This is a GREAT time to buy or sell real estate. We have ways to assist you in navigating the changing market. In fact, we are busier and have more clients than ever.
We are her for you.
Call us today to learn about the Carl Johnson Real Estate difference 919-880-0904