Here is an overview of our market stats as well as our thoughts on the market to come.
In today’s market update, we will first take a look at how the October 2020 market changed both month over month and year over year, then we will check out the stats for the luxury market, before exploring how the presidential election will impact the Triangle area real estate market going forward.
Month-over-month stats for October 2020:
- Median sales price: $300,000
- Average sales price: $351,000 (a 1.7% increase)
- Days on market: 20 days (a 9.1% decrease)
- Inventory: down 2.2%
- Closed sales: up 5.3%
- New listings: up 4.9%
Year-over-year stats for October:
- Median sales price: up 7.1%
- Average sales price: up 9%
- Days on market: down 37.5%
- Inventory: down 48%
- Closed sales: up 28%
- New listings: up 7.3%
Luxury market stats:
The luxury market in the Triangle area is on fire. Between the third quarters of 2019 and 2020, luxury inventory dropped by 32%. Pending sales for resale homes increased by 114%—the highest level in history! Year to date, closed sales have increased by 24%, and third-quarter sales increased by 47%. Sales for homes above $1 million increased dramatically, rising by 40% year over year. The driving force behind these trends has been our low interest rates, an influx of relocators, as well as people who are looking for bigger, better homes.
Impact of the election:
Regardless of who you were pulling for to win the White House, the good news is that the election winner matters a lot less than the 10-year Treasury bill rate, which is controlled by the Federal Reserve (with a little bit of direction from the White House, but not much). We do not expect any huge changes in 2021, though we do expect interest rates to continue to rise a small amount.
If you would like more information about the market and how it affects your real estate decisions, please give me a call. I would be happy to discuss it with you.
