CHARLOTTE, N.C. — Today we are talking real estate and the current state of the market in Charlotte. Here with more is Carolyn Russ owner of the Carolyn Russ Realty Group.
“The real estate market in Charlotte is still one of the top markets throughout the nation however inventory is very low... we can say around 5000 or so properties give or take a few 100” says Russ. Not every home that is for sale is listed on the MLS or multiple listing system that real estate professionals use. There are homes that are (FSBO) or for sale by owner that may not be recognized. What further exacerbates the sale of homes are the current interest rates.
The interest rates are most definitely hurting the buyers. With high rates the buying power is not what it once was causing an increase in the monthly mortgage payment therefore having a snowball effect on the DTI ratio qualifying buyers once their lender runs the numbers. Despite low inventory and higher interest rates the market in Charlotte is doing well in certain areas.
“Many are wondering does the market favor first time buyers, investors or older more established buyers” says Russ. She says “The market favors the consumer or the purchaser that actually has the best buying power and is prepared to purchase.” Even a seasoned buyer that may not have enough finances on reserve to cover the higher priced homes, interest rate increase and competition is not a match for the consumer that does. Those consumers can be a 1st time purchaser that is prepared for this competitive market. Often times investors are the ones who benefit because they are in a position to purchase and then rent; however, the HOAs are limiting the purchase power of investors. HOA's ( Homeowners association) are limiting investors in specific neighborhoods by imposing and enforcing a rental cap which is great for the homeowner but not great for the investor, who in turn wants to use the property as a rental investment or a flip opportunity.
The homes that sell or are doing well in the area are homes priced roughly from 370K to 475K at this stage in the market. The areas doing well in the Charlotte market are South, Southeast and East Charlotte as well as the outskirts of the City. If your in the market to sell or buy a home you can get more information by following Carolyn on IG @CarolynMRuss or FB @CarolynMRuss or call her at 980-474-0816.