CNNMoney.com reported today that existing home sales (national) slid .4% last month to the lowest level since NAR began recording in 1999. This is disturbing, to say the least. With so many macro-economic factors pointing downward for the US economy, this hardly comes as a surprise.
What DOES seem to be a surprise, at least to me, is that we're feeling the effects of this downturn quite strongly even in the Queen City. We have all heard about the imperviousness of our local market and how our price levels seemed to be increasing, even as the rest of the country was in decline. Well, the most recent CarolinaMLS residential home sales report seems to tell a different story. In January, we had 2009 sold properties as compared to 2615 for the same period a year ago. Moreover, our active listing count has ballooned to over 27 thousand active listings as compared to 22 and a half a year ago. Lastly, average sales price is actually DOWN to 218k from 219k a year ago.
While this does not necessarily point to a full-blown recession in the local residential real estate market, it seems that it may be wise to keep an eye to these crucial figures over the next few months as the rocky economy bleeds into our supposedly " bubble-free local market. They say that a rising tide lifts all boats; if so, it seems likely that the opposite holds true as well.
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