Triangle Area Real Estate Market Update - Quarter 3 2018

Triangle Area Market Update Q3 2018

(Wake, Johnston, Orange, and Durham Counties)

Here we are well into the final quarter of the year in 2018 and the real estate market around the greater Raleigh area is still strong but starting to “shift” a little bit.  Some things have remained fairly constant and continue to but there are some changes happening in the real estate world.  Here are the statistics on what went on in the 3rd quarter of the year and what that may indicate for the remainder of 2018…..

Housing Inventory has been a struggle all year long.  We have been in a very strong sellers market based on inventory lacking and the high demand for the housing in the Triangle.  The 3rd quarter was no different than the previous 6+ months.  Total inventory was down 6% for the area compared to that of 2017 and the resale market was down even more at 8%....thank goodness for new construction.  There was just over 9300 homes on the market for the quarter.  One bright note was the fact that inventory for the month of September alone compared to September of 2017 was up 5% with over 6000 homes added to the market for the month.

Listings/Showings will traditionally see a drop during the 3rd quarter which typically is part of the seasonality of the market.  We may normally see a trend of a 5-10% drop in listings for the month of September compared to August but this year we saw a 25% drop in listings.  We are calling this the “Florence Effect”.  With the historic storm hitting the area, we really took a beating with the number of homes that came on the market during the month.  With a drop in homes hitting the market as you can imagine, less showings also occurred.  Showing dropped 3% for the quarter compared to the previous year and we saw a 15% drop in showings in September year over year and a 25% drop in showings in September when compared to the previous month.

Pendings/Closings also suffered significant decreases as you would expect with the inventory decrease and listings/showings drop as well.  For the quarter, we experienced a 3% decrease to 8,161 pending homes compared to 2017 and a huge 28% drop when looking at at September compared to August.  Closings were pretty much flat for Q3 2018 vs. Q3 2017 at approximately 8700 homes closing during both periods.  When just looking at September compared to August of this year, another huge drop off of 28%.  Resale home closings were down 29% alone for the month.

Average pricing in the Triangle was up 5% to $311,700 for the quarter for all homes on market including new construction and resale home pricing alone averaged $294,400...up 6% compared to Q3 of 2017.  Days on market for home sales also is continuing to hold steady at 44 days.  Last year we were in 37-39 day range so pretty consistent for the last 12 months.

If you are looking for a home in the area, it can be a challenge but not as hard if you have a professional team working for you.  Give the Kima Real Estate Group a call today and let us show you why should be working with us to assist you with your real estate needs. 919-300-5421.

Chad Wingler
Lead Buyer Specialist

Chad@PeterKima.com