Here we go, 2025. What's next for Residential Real Estate Consumers?
How did 2024 turn out?
Let's start with 2024: The average price of a home sold in Wake County increased to $579,500, a 4.7% price increase from 2023. 250-300 more homes sold in 2024 (the numbers are still coming in), totaling 16,115 as of 9:15 on 01/07.
2024 Fun Facts:
3,112 homes sold for $1,000 or more above the asking price, 101 of which sold for $100K over the asking price.
The average time on the market for a sold home was 28 days.
3,820 listing contracts ended in no sale; the listings expired, were withdrawn, or canceled, and the sellers took the home off the market. The average days on the market for these homes was 77.
The number of homes priced under $400,000.00 declined 169 units in 2024 to 5,242, or 32% of the market, not because of demand but because of price increases.
What will happen in 2025? I imagine 2023 and 2024 all over again. The high end will continue to soar, driven by liquidity events (company sales, inheritance, sale of significant assets), increases in capital markets, and folks relocating from more expensive markets. The middle of the market will remain tepid as mortgage rates restrict inventory and buyer ability. The lower end will be a battle between investors and owner-occupant buyers, and we will most likely see the quality of homes for sale suffer further, exacerbating affordability.
Overall, the average price increases around 6%, putting the average price for 2025 at $615,000.00. Keep in mind that seasonal trends will put late spring and early summer prices in the $640,000.00 range. This is for all residential sales; single-family detached prices are another entry.
Unit sales will remain tepid in the 17,000 range, returning us to 2013 levels.
This is the 50,000-foot version of 2024 and 2025. The details are far more interesting. Contact us if you would like to see impacts on your home, inventory, or new construction plans.
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