Has the Residential Real Estate Market hit the bottom?  Only time will tell but Irv & I have seen a marked and sustained increase in all types of activity related to our business over the past 3 months.  This article suggests we may have already made the turn:

Home Prices Increasing

What do you think?  Have we reached the bottom or is this a temporary blip?

With more and more Americans facing the prospect of declining home values and unemployment levels not seen in quite some time, many homeowners and their lenders are facing the situation where the home is worth less than owed.  This is no problem if the owner doesn’t have to move and can afford their current payment.  If the owner is forced to sell for whatever reason, then the possibility of a short sale becomes a very real option.

What is a short sale? A short sale is an option you have before you reach the point of foreclosure where you are selling your home for less than what is owed. However, the bank has to agree to a short sale as they stand to lose money via either process.  Banks do short sales because of cost.  An average cost to the bank for foreclosure is around $65,000, so they are smart to take the short sale.

You must have an offer in hand for the bank to tell you whether they will do a short sale or not.  They have the say-so whether or not a short sale will be accepted.

The 4 requirements to have a short sale are:

1. The home’s market value has dropped.
2. Mortgage is in or near default status.
3. The seller has fallen on hard times . . . unemployment, divorce, medical emergency, bankruptcy, death
4. The seller has no assets to speak of.

Foreclosure is on your FICO score for 6 years.  Short sales start to repair themselves after 2 years.

Short sales can be a win-win for the lender and the seller.  The lender recovers more of their capital faster than would be possible if they went through foreclosure.  The owner wins by relieving themselves of the financial burdens of the home and taking a smaller hit to their credit than would happen if a foreclosure occurred.

Unfortunately it’s not as simple as it appears.  Every lender and every situation is different.  There are pitfalls to be avoided and terms to be negotiated to reduce or eliminate any further obligations for the borrower after the short sale is concluded.  It is critical to have a team of experts in place to guide you through the process.  A seasoned real estate Broker and a real estate Attorney who specializes in such transactions are the backbone of such a team.

The Carolina Heelsplitter (a local species of freshwater mussel) is back in the news.  The Charlotte Busines Journal wrote on October 31st about the latest development and restriction news in Union County – a rural/suburban county SE of Charlotte NC.

We have a special guest blogger today – Bill Saint, CFO and Director, Simonini Builders, Inc.  Bill recently spoke at several Realtor® seminars.  This is a followup to the Charlotte, North Carolina real estate market.

At our Realtor® seminars this fall, I promised to share the updated Case Shiller numbers which came out last week, for data through August.

Way to go Charlotte! We are 2nd from the lowest in price decline, reporting an overall 2.8% decline during the past 12 months. Dallas, at 2.7%, was the lowest; with Phoenix the highest at a 30.7% decline.

Here is the updated Case Shiller report.

We’ve been delighted to meet with many firms this fall to provide an update on home design trends we’ve found across the country and what is asked for by our buyers. Additionally, we have an update on the overall Charlotte real estate market and tools to assist your resale buyers and new home buyers. I’m delighted with the feedback from many Realtors that these tools are being used to help make sales! Great news!

Is it a buyers market or sellers market?  The most often asked question is this a good time to buy or sell Real Estate in Charlotte North Carolina?   That depends on who you are.  As of May 08 we have 2386 sold in May with an average of 91 days on the market.  I’d say that’s back to normal for this agent. 

If I’m a seller I need to price my home aggressively.  I need to know that there are other homes in Charlotte that are doing the same.  I have to be well presented both inside and out so that when someone is looking for homes for sale in Charlotte they will see the very best.  As the inventory begins to dwindle in Charlotte North Carolina it will quickly become evident that the market has swung to the seller. 

Some sellers believe that many Realtors like a quick turn and therefore we price our homes too low.  Well this Top Charlotte Agent believes that you have to price it correct and it will sell.  The true market value of a home in Charlotte is set by the buyer and not anyone else.  I want my clients to get the most for their home, in the lease amount of time and with the least amount of effort.  I’ve been representing clients for 18 years in the greater Charlotte North Carolina area and I clearly understand the importance of pricing it right and presenting and marketing it well. 

Our housing market reports page offers several market reports on various real estate areas of Charlotte.

Does anyone have any experiences both good and bad that they would like to share?   

Real Estate is local in nature – what happens in one market doesn’t necessarily have any bearing on what happens in another market.  See the links below-one describes the whole country and one describes Charlotte.  Our market never got superheated, so we haven’t had a crash.  We still have companies moving jobs here and local companies expanding – that means more people, therefore, more housing.

National Report

Charlotte Report

Here we are – courtesy of Realtor® Reflections magazine (November 2007).  The latest report on residential sales trends for the Charlotte area.  Yes, it is November, but it takes time to compile data, so the September report is the most current.

Click here to see their report.

We have several, more detailed real estate reports that have been broken down by area, and include information on the average sales price, and how long homes are remaining on the market before being sold.

New on our website are several reports on Charlotte Real Estate Market trends!  These reports show average sales price, months supply of inventory, and more.  We will continue to offer the sales reports from REALTOR Reflections magazine here on the blog, but the more detailed reports will be offered on Top Charlotte Agent and updated each month.

Here is the latest report on Charlotte Real Estate Trends courtesy of REALTOR Reflections magazine, October issue.

This report shows recent trends in 4 different areas of the Charlotte Real Estate market, including average days on the market and the average closing price.

This report is a general overview of the Charlotte area – for more detailed information, feel free to contact our office.