Sunday, January 11, 2015

New Bern Real Estate-The Year in Review

How was the Real Estate Market in 2014? Let's take a look.

2014-total home sales in Craven County=1148
2014-average sales price=$167,662.00
2014-average days on market before closing=145

2013-total home sales in Craven County=1144
2013-average sales price=$168,275.00
2013-average days on market before closing=164

Let's try and analyse this data

For most of the year the total home sales lagged behind last years sales, often by over 5%. However, by year's end. total sales were actually slightly up. That's good. Let's hope that carries over to 2015. 

Average sales price was up most of the year but by year end it was down  just a little. Not enough to be concerned about, however I am going to follow this number closely. 

Average days on market before a home closed was down. I don't know this to be the case, but my gut feeling for this number coming down is because folks are pricing their homes closer to current fair market value, not on what they want or need to sell it for.

If you are looking for an analysis of value for your home, please let me know. Jana and I stay on top of the current market values and we will be honest about the most you can expect. What you can count on is straight-forward answers and the truth about the market, even i it is not what you would like to hear.Sellers that take ur advice get their homes sold! 
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Keep in mind this is a computer-generated analysis and to get an more precise valuation, we need to view the home or property.

OK, Let's break it down a little more.

2014-total home sales in Craven County=1148







Over $600,000=13

2013-total home sales in Craven County=1144







Over $600,000=17

Here is my take on these numbers. Home sales priced under $100,000 sales were down 7%. This may have more to do with the decrease of bank owned sales than anything else.

Homes sales priced $100,000-$200,000 were up 8%. The reason. My thoughts are that there were some good deals on homes built in the 1980's, 1990's that were snapped up. Some of these were in really nice neighborhoods but needed renovation. Buyers were willing to put in some money and effort to make upgrades in order to live in the neighborhood of their choice, and sellers had the equity in the property to sell at low prices.

The $300,000-$400,000 price range was up over 50%. That's good news but I am not sure why it was up this much. I'll speculate by saying it is the result of a slightly improving economy. Also sellers in this price range have become more realistic about the value of their homes in today's market.

2014-New Home Sales

Total New Home Sales=157 total new home sales were down 17%. 







Over $600,000=0

2013-New Home Sales

Total New Home Sales=190







Over $600,000=0

Whats going on with new home sales? My guess is that not as many Marines are buying and instead are opting to rent. They are still buying, just not as many. 

Also our local economy is not creating enough jobs to increase demand for starter homes or move up homes. In 2006 there were 170 new homes sold between $300,000 and $400,000. Last year there were 4 sold in this price range.

Also, new regulations and stricter building and energy codes make it increasingly more difficult for builders to develop property, build homes, and make a profit.

Let's look at distressed sales for 2014 and compare them to 2013

Bank Owned Home Sales-2014=245

Bank Owned Home Sales-2013=319

Finally some good news, Bank Owned Sales were down by 23%. The Bad news is this is still way to many Bank Owned sales. In fact, other than 2013 it is the highest number on record. This number represents 21% of total home sales, and in a stable market it should be 5%. 

The local economy is improving. According to the County Economic Developer over 600 new jobs were added in Craven county in 2014.  Moen, Bosch, Hatteras, and the Fleet Readiness Center all added jobs. The new Craven 100 Alliance is now operational and is committed to Economic Development in Craven County. On 1-8-15 a Federal Reserve Board member spoke in New Bern and gave the first optimistic report on the economy in years. Our national, state, and local economies still have plenty of challenges however I am feeling better about the economy than I have in a long time.

That is the year in review report. If you have any specific questions feel free to give me a call. And if you, or anyone you know is looking to buy or sell real estate give us a call.

For all your Real Estate needs click here. Or Call Steve and Jana J. 252-675-9595

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