July 10, 2014

Charlotte home sales rise 3.7% in June

Charlotte-area home sales jumped 3.7percent in June from a year ago even as buyers had fewer listings to choose from, a report Thursday showed.

Charlotte-area home sales jumped 3.7 percent in June from a year ago even as buyers had fewer listings to choose from, a report Thursday showed.

There were 3,631 purchases in the month, up from 3,502 a year ago, according to the Charlotte Regional Realtor Association report on existing-home sales.

June’s sales increase followed a year-over-year decline in May. The report blamed the May decrease largely on big investors scaling back purchases of single-family homes, which were purchased to rent out.

“We are pleased to see sales rebounding in June after May’s decline,” Joe Rempson, president of the Realtors association, said in a statement.

Inventories of homes remain persistently low, helping drive large annual gains in appreciation in Charlotte and elsewhere.

Real estate insiders say the low supply is discouraging some potential sellers from listing because they can’t find a new home to purchase amid the tight inventories.

Prices of sold homes rose on average 7.5 percent to $257,854, as the inventory of properties on the market fell to a 5.4-month supply from 5.9 months’ worth a year ago. A widely accepted definition of a balanced market is one with a six-month supply of listings.

June’s 7.5 percent annual increase in home prices was the largest since January.

“Inventory has been unchanged … for the past few months, which means prices across the region should most likely continue to increase as well,” Rempson said.

Homes sold quicker than a year ago, also. The average time a home was on the market until it sold was 73 days, a decline of 18 days compared with a year ago.

Pending sales rose to 3,871, up 24 percent from a year ago. This forward-looking indicator is a measurement of sales that might close in roughly 45 to 60 days.

Rempson called the pending sales increase “huge” and that it “should signal strong sales in the coming months.”

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