Posted on August 29, 2012 at 7:55 AM
CHARLOTTE, N.C. -- Charlotte home prices rose in June for the fourth straight month, a continuing good sign for the local housing market.
The Standard & Poor’s/Case-Shiller Home Price Index released Tuesday indicates that housing prices in Charlotte rose 1 percent in June from May and were up 0.8 percent over June 2011.
“Prior to these months, we’ve not seen positive price changes since March 2008,” said Bill Saint, president and chief executive officer of Classica Homes, in an email. “This is remarkable news.”
The index showed increasing prices in all 20 cities it tracks for the second consecutive month. The overall index was up 2.3 percent in June from May, according to numbers that are not seasonally adjusted. Detroit, whose housing market was hit especially hard during the downturn, recorded the biggest monthly gain at 6 percent.
“The recovery continues. It’s a long time coming,” said Pat Riley, president and chief operating officer of real estate firm Allen Tate. “The Carolinas are in a very good position as far as economic development, as well as cost of living.”
The Case-Shiller report, while widely watched, lags two months. The index is one of the most precise measures of home values because it tracks repeat sales of houses. Like stock market indexes, Case-Shiller reflects changes in prices, not an actual price.
Riley said after the housing crisis, homeowners have a better grasp on what the value of their home is.
“It’s a wake-up call to all Americans that homes can depreciate if you don’t take care of them,” he said.
He also said there are fewer distressed properties and short sales in the region.
Mekael Teshome, an economist with PNC Bank, said the future is looking better for Charlotte housing.
“In my view, for the rest of 2012 and 2013, we should see home prices appreciating above the national rate,” he said.