The national trend in the last few months has shown a overall slower increase in home prices, with Charlotte following suit. And at the same time home prices ares slowing down, so are real estates sales, as individuals’ salaries are not increasing in proportion. Although this may seem discouraging to Charlotte homeowners, there are ways it can actually be advantageous.
The price of Charlotte homes had been on a slow rise until October 2014, when they began to slow down more. A concerning factor for homeowners is the fact that although real estate sales are losing momentum along with property price gains, as the lack of increasing salaries are not giving individuals enough comfort in such a big purchase.
But this isn’t the end of the world for property owners, and it may actually be good news. Zillow Chief Economist Stan Humphries says more sustainability and stability comes from a slower housing market. The balance between seller and buyers is better, giving the slowdown a chance for better conditions in the economy.
According to Humphries, the growth of the overall economy is creating confidence — with new jobs being created and unemployment rates dropping — that will transfer to companies and lead to more willingness to increase employee salaries. In turn, improvements in the job market should then transfer along to the real estate market.
And let’s not forget the main reason to stay positive about Charlotte real estate: it is a great place to live, with new companies opening, existing businesses choosing to move here, and more jobs opening up with the growth of the city. Charlotte is a desirable place to work and play.
And Cedar Management Group is available now to provide you with more information on home ownership in the Charlotte area. Contact us today!