State of the market update in real estate for upcoming projected trends in the Raleigh are- (which includes all submarkets of Raleigh)
All nationwide models show a slight decrease in buying pace over the winter. This is NOT the case for our market. Raleigh and surrounding areas have seen more homes going under contract in coming soon status aka sight unseen than ever before.
Inventory always picks up in the Spring, but the predicted volume of buyers will likely hit exponential heights. This results in high bidding wars. We are seeing bidding wars now, in January- which historically is not the case.
CPI is at a 30 year high creeping up to 6.5%. The next response to this record inflation is pushing interest rates higher. If you are a cash buyer- fine; but the other 90% of folks will be greatly affected as interest rates keep going.
Due to the amount of businesses, e-commerce, medical expansions, etc- this market will remain robust and not likely to see pricing dip. Therefore, houses get more expensive as well as interest rates rising.
My constant advice is to buy now
Watch the freaking pesky Zillow houses. They are mostly overpriced and they do not update their market status as timely as they should. These can be hard to navigate so make sure your realtor is aggressive/assertive with their reps.
Most new builds are releasing only spec homes to accommodate the vendor cost volatility, such as lumber, windows, concrete costs, etc.
Make sure to have a very detailed conversation with your agent to be fully educated to understand what it takes to get in to this market. It’s very important to understand what is happening and how to strategize going under contract.
Anyone going under contract now will likely achieve amazing amounts of equity increases In this market. This is as strong as they come for a market and we haven’t come anywhere close to a ceiling.
The rental market here is holding pace with the buying market- huge rent increases have hit and are here to stay.
Talk with your agents about tertiary (or secondary markets). These are ones that fall right outside of the massive growing pains lines. They are constantly changing but I still love: Youngsville, Louisburg, Clayton, Lillington, Zebulon and Garner. Fuquay Varina also but they’ve had a big increase lately.
Please contact myself and I will do a thorough call with you about the market and then will happily set you up with myself or someone from my Team to get your strategy together. We are always getting info and tips on off market. 781.454.7514
Side note- if you are looking to pick up an investment property in this market, please talk with Chris Webb (in photo). He is still regularly getting investors into developments that haven’t capped for investors and can handle your goals and vision.
Lori Valenti Webb, Broker – Property Specific Realty