Aug 17, 2021 - Real Estate

Is Charlotte’s real estate market starting to flip?

charlotte real estate market

charlotte real estate market

Closed home sales were down in July 2021, both compared to June 2021 and July 2020. Inventory also improved slightly, though it’s still down 42.2% compared to last year, according to the latest Canopy MLS data.

Why it matters: If July’s trends — falling home sales and rising inventory — continue over the next few months, it could be a sign the market is shifting.

  • That shift would most likely cause home prices to cool, which would give buyers some much-needed relief.

Data: Canopy MLS

Zoom out: Most experts agree Charlotte’s housing market is due for a correction at some point. But no one expects Charlotte’s real estate market to crash — even if it happens in other parts of the country.

By the numbers:

  • Closed sales were down 10.5% in July 2o21, compared to July 2020. Sales were also down 5.7% from June 2021.
  • Inventory, while still down 50% from last year, has steadily increased throughout 2021. There were over 4,000 houses on the market at the time data was collected — the first time inventory has surpassed 4,000 since November 2020.
  • Median and average home prices were both up 16.1% from July 2020. They were $331,000 and $400,026 respectively.

Yes, but: Comparing data from any month in 2021 to 2020 is difficult. July was the peak of the market in 2020, due to COVID-19 causing a delayed busy season. But in a normal year, it’s typical for for the market to cool heading into fall.

But, but, but: Most experts agree Charlotte’s due for a correction, whether that means a significant drop in home values or a slowdown in rapid appreciation.

The bottom line: The next few months will be really telling, and should give us more insight into when, if not now, a market shift will occur.

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