Raleigh Real Estate Market Update November 2019

Market Update 2019 in One Sentence

One Sentence Summary: With new housing permits increasing 5% in November to 1.46 million units, new listing inventory decreasing by 1.1% to 3119, and a continued increase in median sales price from $269,900 to $279,900 year over year, the Triangle market remains robust in the winter months and appears poised for a strong 2020.

3 Key Numbers For November

Under Contract Sales

2018: 2612
2019: 3192
YOY Change: +22.2%

Even in November, often considered a “down month” due to holidays and kids being out of school, we can see strong gains made as more buyer’s continue to purchase homes.

Side note – potential home sellers. Let’s chat for a second. So many of you are trying to time the market, and we’re here to tell you, it’s impossible. We’ve been in a rising market for 10 consecutive years, and there are zero signs of a regression in the next year (remember, we need two consecutive quarters of negative GDP growth to be in a recession, so we’re at a minimum 6 months away from one of those.)

If you’re thinking about selling, we should talk. At least get a game plan together because, as you can see from the numbers above, the demand for homes continues to be strong!

Average Days On Market

2018: 33
2019: 32
YOY Change: -3%

This is a solid number to keep an eye on because as we see days on market creep up, it can indicate a shifting market (notate the word “can”).

While we saw a general decrease across the Triangle, we actually saw increases at the city level, hence our favorite saying – “real estate is hyper local”. We cover these changes in the market update video.

PS – shifting home prices combined with lack of market knowledge (read that: what buyers actually want in a home) can swiftly increase the days on market.

Original List price to Sales Price

2018: 97.9%
2019: 97.3%
YOY Change: -.3%

This is my favorite number to watch, even though it’s a relatively unsung hero.

Why, you ask?

It’s a great indicator of whether people are overpricing their homes and chasing the market.