Charlotte outskirts boom despite market cool down
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Roughly 2.4% of Charlotte home listings were at risk of selling at a loss in May, Redfin estimates.
The big picture: There are a lot more sellers than buyers in the U.S. real estate market, according to the real estate site.
- A small but growing share of sellers nationwide could potentially sell their homes for less than they paid for them.
Between the lines: Homes purchased post-pandemic (after July 2022), as prices soared to new highs, are more likely to sell at a loss than those bought during or before.
- With prices now softening, sellers "may need to choose between accepting a lower price, or taking the home off the market," Redfin senior economist Asad Khan said.
Reality check: There's a difference between taking a loss and being "underwater," or owing more money to your lender than the house is worth.
- Nearly all sellers have enough equity in their homes to sell them for more than they owe, per Redfin.
What we're watching: If U.S. home prices fall by 1% — as Redfin has predicted will happen by the end of 2025 — the overall share of homes at risk of selling at a loss would rise to 6.4%.
- In Charlotte, an estimated 3% of homes would be at risk of selling at a loss.
The intrigue: There are still some hot pockets in Charlotte where demand from buyers remains high and homes are selling quicker than in other areas.
- The hottest zip codes in Mecklenburg County, according to Realtor.com, are: 28226, 28277, 28270 and parts of 28214.
Zoom out: Realtor.com's "hottest zip code map" shows that surrounding towns and cities (like Belmont, parts of Rock Hill, Concord, Indian Trail, all the way west to Denver and Lincolnton) are seeing a surge in interest, while historically popular neighborhoods like NoDa and Elizabeth are seeing a cooldown.