July Market Update

“The problem with real estate is that it’s local.  You have to understand the local market.” – Robert Kyosaki, author of Rich Dad, Poor Dad.  

If you have watched the national news or 24 hours news entertainment channels and heard reports about the real estate market, know that those reports typically are based on the top 25-50 metropolitan areas of the United States.  Unfortunately for those over-crowded and high-priced areas, they just do not compare to our amazing part of the world, Craven County!  Sure, they may have professional sports teams, grid-lock traffic and more places for eating, shopping and entertainment.   However, the charm and peace our area offers are unmatched by the big cities.  The same goes with our real estate markets and why I am honored the Sun Journal allows me to contribute to bring everyone local information about what is happening in our real estate market.

“Don’t wait to buy real estate. Buy real estate and wait.” – Will Rogers

The average sales price in Craven County jumped 1% from May to June this year and is up 11.69% year to date compared to last year.  The median sales price jumped 1.4% from May to June this year and 14.67% year to date.   This data proves even more that now is an exciting time to buy a home as our area and the real estate market continue to grow.  Waiting for interest rates to go down is going to only cost buyers more for a home as prices rise.  Currently we have a total of 278 houses for sale on our local MLS, 148 which are new construction and have a minimum of a few months before they can be occupied.  The 130 homes that are on the market as resales range from $47,000-$2,700,000.  These are the properties that could be occupied in the next 30ish days, which is close to the average length of time it takes a property to close.  If you factor in the growth of prices, a buyer could possibly expect the home they are buying to be worth a little more at the time of closing than when they put it under contract.  Currently 274 homes are under contract in Craven County with 177 off those being resales and ninety-seven being new construction.  The real estate market is competitive for buyers with not enough houses for sale and buyers competing for homes.  However, a lot of things we do in life can be hard and worth it all at the same time!

“Real Estate cannot be lost or stolen, nor can it be carried away.  Purchased with common sense, paid for in full, and managed with reasonable care, it is about the safest investment in the world.” – Franklin D Roosevelt

“I will forever believe that buying a home is a great investment. Why?  Because you can’t live in a stock certificate.  You can’t live in a mutual fund.” – Oprah Winfrey

Real estate has proven throughout history to be a wise long-term investment.  There is nothing we buy that forces us to grow our net worth like a home.  Each month as a homeowner pays their mortgage, they gain equity in their home.  Each month as prices rise, the same homeowner gets natural built-in equity through the market growth.  Obviously home prices haven’t always risen as many people buying homes in 2007-2009 and not being able to sale them for what they were bought for in 2010-2012.  If the opportunity arose to pay the same price for a house that you would have paid for 10+ years ago, everyone would jump at the chance.  In fact, in 2013 the median price for our area was $137,650.  The median price for Craven County June of 2023 was $304,250.  For homeowners, this is exciting news.  For home buyers looking to buy a home for their enjoyment, this is great news too.  There will be ups and downs in the market to come and ten years from now you will be wishing you could pay 2023 pricing for home.  We have seen the average and median days on the market increase as buyers are getting pickier.  Homes must be cared for, clean and priced right, even more so now in the current market than anytime in the 2020s.  The median days on the market has doubled year to date to ten whole days.  Homes are sitting on the market longer as the average days on market of what has sold is 38.  Seems long when average and median days were both single digits 2 years ago.  In 2013 the median days on the market was 149 for the 1200-1300 active homes for sale.  We’ve heard the saying ‘the days are long, but the years are short.’  Ten years was not that long ago for prices to be that low and ten years from now will be just as short with home prices being higher than they are now.  Sellers note that if you are planning to move up or downsize, your next home continues to get more expensive.  Now may be a wonderful time to consider selling your house to make the most out of this investment and be able to put that money toward your next home.  Homeowners may also want to consider using their current residence as a rental property and buy without selling their current home.  Seek a trusted Realtor who can help answer questions and give clarity to help you make the best decision.

“Home is the nicest word there is” – Laura Ingalls Wilder

I do not write this as some Realtor who just wants to sale a house to make a commission.  I write this to encourage you to make owning a home a true goal that you are actively making moves to achieve.  Rents will continue to go up.  Landlords can decide to sell and require one to move.  When you buy a home and lock into a 30-year fixed rate mortgage, your payment should remain close to the same other than slight increases ever so often in your taxes and insurance.  A person can control their budget long term better as a homeowner.  You have a forced savings plan by building equity in your home.  No matter where you travel, if it is across the world for vacation or across town to go to work, most everyone loves coming home!  Home is where the heart is.  Home ownership is possible for everyone.  There are loan programs giving away free money to people to help a buyer with their down payment.  There are loans that are 100% financing which will require a buyer to have little money out of pocket to buy a home.  Everyone may not be able to own a home today but with proper guidance and execution, everyone can own a home at some point.  Reach out to myself or one of the many excellent local Realtors and we will be happy to guide you through that process.