Raleigh real estate market

The Raleigh real estate market has been starting to recover slowly from the economic recession, according to the most recent indicators available. Although there are still trouble spots, the general trend of Raleigh seems to be positive, at least partially driven by the federal buyers’ tax credit. According to an April 30, 2010 article in WRAL News, “Real estate agents are hoping the housing market will continue its current pace, even after the home buyer’s tax credit expires on Friday. ‘We’ve just seen a nice, good pace for the first four months of this year,’ said John Hawkins, a real estate agent with Fonville Morisey. Hawkins hopes the trend continues but admits he has some concerns.” The article, written by Bruce Mildwurf, continued to say that “The credit for first-time buyers is believed to be playing a bigger role in stimulating home sales this spring. Sales of new homes surged 27 percent last month from a record low a month earlier; it was the biggest monthly increase in 47 years.”

Raleigh homes for sale may be negatively impacted by an increased number of foreclosures, which increased from last year’s levels. According to an April 15, 2010 article in the News Observer, “The number of foreclosure filings in the U.S. in March reached the highest monthly total since at least January 2005, according to a California research firm, while filings in the Triangle were up compared to the same period last year in Raleigh and Cary.” The piece continued to note that “Foreclosure filings in Raleigh and Cary totaled 633 in March, up 120 percent from March 2009. Durham filings in March totaled 100, down 15 percent compared to the same period the prior year…The number of foreclosure filings in Raleigh and Cary during the first quarter of the year totaled 1,470, a 42 percent increase compared to the first quarter of 2009.”

Thankfully, construction on new Raleigh real estate has started to resume, according to a May 6, 2010 article also in the News Observer, which stated that “Triangle homebuilders that have spent the last few months replenishing their stockpile of land are beginning to crank up their construction arms as the supply of new homes dwindles.”