According to a report released by Credit Suisse on January 6, 2011 demand in the Charlotte home market remains weak as buyers fear further price declines. Charlotte, NC is the 13th largest market in the country. The following are quotes directly from the December 2010 report for the Charlotte, NC real estate market:
“Buyer traffic remained at weak levels well below agents’ expectations in December, as our traffic index fell slightly to 20 from 21 in December (readings below 50 point to traffic levels below agents expectations). Agents said that there was little change to speak of in December relative to November, as buyers remain fearful and are willing to wait on the sidelines until more concrete signs of a bottom emerge. Another agent also said that the recent spike in mortgage rates has started to hurt.
Prices continue to fall. Home prices fell further in December, as our home price index
improved to 17 from 7 in November, but remained far below a neutral reading of 50 (any
reading below 50 indicates lower home prices over the past 30 days). Prices continue to
come under pressure as a result of the weak demand and elevated inventory levels,
especially as distressed properties continue to come back to market. Inventory appeared
stable in December, as our home listings index improved to 46 from 43 in November,
essentially in-line with a neutral level of 50. However, the length of time needed to sell a
home increased further, reflecting the weakness in demand, as our time to sell index came
in at 18 in December (from 11 in November), with readings below 50 indicating a longer
time needed to sell a home over the past month. The longer time to sell is typically a
negative leading indicator for home prices.”
If you or someone you know are looking for a home in the Charlotte Metro and surrounding areas, click here.
For more information on Credit Suisse, click here.