Closed home sales were down in July 2021, both compared to June 2021 and July 2020. Inventory also improved slightly, though it’s still down 42.2% compared to last year, according to the latest Canopy MLS data.
Why it matters: If July’s trends — falling home sales and rising inventory — continue over the next few months, it could be a sign the market is shifting.
- That shift would most likely cause home prices to cool, which would give buyers some much-needed relief.
Zoom out: Most experts agree Charlotte’s housing market is due for a correction at some point. But no one expects Charlotte’s real estate market to crash — even if it happens in other parts of the country.
By the numbers:
- Closed sales were down 10.5% in July 2o21, compared to July 2020. Sales were also down 5.7% from June 2021.
- Inventory, while still down 50% from last year, has steadily increased throughout 2021. There were over 4,000 houses on the market at the time data was collected — the first time inventory has surpassed 4,000 since November 2020.
- Median and average home prices were both up 16.1% from July 2020. They were $331,000 and $400,026 respectively.
Yes, but: Comparing data from any month in 2021 to 2020 is difficult. July was the peak of the market in 2020, due to COVID-19 causing a delayed busy season. But in a normal year, it’s typical for for the market to cool heading into fall.
But, but, but: Most experts agree Charlotte’s due for a correction, whether that means a significant drop in home values or a slowdown in rapid appreciation.
The bottom line: The next few months will be really telling, and should give us more insight into when, if not now, a market shift will occur.