Demand for Charlotte homes outpacing supply, report says

Demand for homes in the Charlotte region is outpacing supply, fueling steady price increases that are raising concerns about future affordability, the Charlotte Regional Realtor Association said Friday.

In its latest monthly report on existing-home sales, the association said pending sales last month rose about 40 percent from a year ago. Listings increased only 2 percent over the same period.

The association’s president, Maren Brisson-Kuester, said in a statement that housing remains affordable across the region for now. But if the pace of listings doesn’t increase, “it could challenge future affordability,” she said.

Prices in the region have been posting sizable year-over-year gains for months amid low supplies of homes for sale.

In April, the region had 3.9 months of inventory, unchanged from March. A balanced market has a six-month supply, according to a widely accepted definition.

Friday’s report shows the average home price in April increased 8.6 from a year ago to $241,176. Closings rose 14 percent to 3,408.

Pending sales, a forward-looking indicator, totaled 4,716, up from 3,350 in April last year. Pending sales are those that might close in about 45 to 60 days.

The association’s report generally does not include sales of new homes.

This story was originally published May 8, 2015 at 12:00 PM with the headline "Demand for Charlotte homes outpacing supply, report says."