A new year is upon us again. I hope everyone had a wonderful Christmas and Happy New Year. As you probably realize by now I keep up with real estate sales trends and statistics in Fayetteville North Carolina. This keeps me and my associate agents on top of things to better serve our clients. This is a year end update of my series of reports click here to view them.
Wow, 2007 had more than its share of bad news with the mortgage meltdown and all that came with it. If you didn't follow the news that's ok in a nutshell lenders got a little careless and loaned money to people who now can't make the payments and as a result they are losing their homes. don't worry they won't go homeless, they'll probably rent somewhere, but the news reporters don't explain it that way. The lenders didn't get a free lunch though, foreclosures cost money and several have gone out of business. To make matters worse the politicians want to punish the lenders that survived to make an example. It will be interesting to see how the chips fall.
But how did we fare? The real estate market in Fayetteville NC has slowed but it has hardly crashed. On the contrary, it is chugging along at a more than respectable pace considering the "mortgage meltdown" in the news. As you'll see by these numbers Fayetteville is in very good shape.
Please note this only reflects existing construction homes. I'll break down new construction homes in a separate post.
Average Sale Price
The price of homes in the Fayetteville North Carolina market is up 5.86 percent year over year. That's good.
I know I sound like a broken record but news stories make it sound really bad. The news may even be true where they broadcast but in Fayetteville North Carolina homeowners still enjoy growing equity.
Time on market is up from a year ago. This is not so good but it's only up 7 days that's an increase of 2 days over my last market report in September so really it is not so bad either.
Days on Market is a lagging indicator, in other words it tells us what has happened. We use the absorption rate(AR) to help understand and predict how long it will take to sell a home under the current market condition.
As calculated AR indicates we have 5.84 months or 175 days of inventory on the Fayetteville NC homes market, about a month more in inventory than last year. Most homes are selling between 65 and 175 days.
Note that homes can and do sell faster than these numbers indicates. The two most important factors for a quick sale are correct pricing and maximized appeal
- The number of homes sold in Fayettevilleis down 17% this year. There are simply fewer buyers looking for homes at the moment. This is due to the fact that mortgages are harder to qualify for so there are fewer buyers to purchase homes.
This chart shows that sellers are getting 97.5% of the price they ask for or buyers are getting very little markdown for homes in Fayetteville NC. The percentage is down but very slightly. Sellers are still getting nearly 98% of what the list for.
Buyers should expect to pay within 2% of the home's listed price to stay competitive in the Fayetteville North Carolina market.
Homeowners are still enjoying growing equity and buyers enjoy the larger inventory. Fayetteville North Carolina's real estate market is stable and balanced and there is very good reason to believe it will appreciate at a healthy pace for years to come.
For a no obligation review of homes in your area email me or call toll free (866) 390-9257 ext 1100
If you want to search (foreclosures, and everything else) all real estate for sale in Fayetteville NC click here to get started at favoriteHomeFinder.com
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Copyright 2007 Ron Allen Fayetteville NC real estate agent all rights reserved
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