Johnston County NC Housing Market Report June 2023
The real estate market in Johnston County, NC, experienced a period of adjustment in June , marked by decreases in new listings, homes sold, and median sales prices. Let's delve into the details of the key indicators for the month of June taken from data provided from the Triangle MLS for Johnston County. The North Carolina housing market is going through what certain other markets are going through, where there is a lack of inventory of decent homes priced between $300,000-$425,000 but plenty of people who want to move here and persistently higher interest rates. Any homeowner who bought in the last three to four years likely has an interest rate somewhere between 2.5% and 4% and has no interest in giving that up for a 7% interest rate. Homeowners who own their homes and or paying cash for a home are the winners in this situation. This means that builders have to fill the gap of low inventory and so far they are having a hard time doing that.
Decrease In New Listings and Closed Sales
In June there were 460 new listings in Johnston County, representing a decline of 22.2% compared to the previous year's 591 listings. Similarly, closed sales saw a decrease of 22.6%, with 424 properties sold compared to 548 in June 2022. This decrease in listings and closed sales might suggest a slowdown in the real estate market in Johnston County but there is pent up demand which could drive sales and prices upward if interest rates fall before inventory levels rise.
Average and Median Sales Price
The median price for homes in Johnston County in June was $369,450, reflecting a slight decrease of 1.6% from the previous year's median price of $375,509. However, the average sold price experienced a more noticeable decline of 2.5%, with the average price reaching $377,243 compared to $386,874 in June 2022. These adjustments in prices indicate a slight leveling off in the market, but prices are still higher overall after the run up in the previous years.
Total Dollar Volume and Affordability Index
The total dollar volume of real estate transactions in Johnston County for June amounted to $212.0 million, representing a significant 24.6% decrease from the previous year's volume of $160.0 million. Additionally, the housing affordability index dropped by 8.1%, reaching 86, indicating a slight reduction in affordability for homebuyers in the area. Despite the decline, the index remains relatively high, indicating that the market is still accessible for many potential buyers.
Percentage of List Price Received and Days on Market For Johnston County, NC
The percentage of original list price received in June was 98.4%, slightly lower than the previous year's figure of 102.4%, indicating that sellers were receiving closer to their asking prices. However, the days on market until sale increased significantly by 155.6%, with homes spending an average of 23 days on the market before selling compared to 9 days in June 2022. This indicates a shift towards a more balanced market where buyers may have more time to make decisions, but as most buyers know, homes in good condition in popular areas or subdivisions and are priced correctly still receive multiple offers.
Inventory And Months Supply Of Homes For Sale In Johnston County
The inventory of homes for sale in Johnston County slightly increased by 0.7%, with 700 homes available for purchase in June 2023 compared to 695 in the same month of the previous year. The months supply of inventory also saw a modest increase of 26.7%, reaching 1.9 months in June 2023. Despite this increase, the market remains in favor of sellers, as a balanced market typically has around 6 months of inventory.
Conclusion: In conclusion, the real estate market in Johnston County, NC, experienced a period of moderation in June 2023, characterized by declines in new listings, closed sales, and median sales prices. However, the market remained robust, with a slightly increasing inventory and steady buyer demand. Homebuyers can take advantage of the market's stability and competitive prices, while sellers can benefit from a market that still favors their position. As always, it is essential for both buyers and sellers to work closely with experienced real estate professionals to navigate this dynamic market successfully.
This post was written by David O'Doherty, a licensed real estate agent since 2007 helping buyers and sellers in Clayton, NC and the Greater Triangle Area of North Carolina. He is committed to providing his clients with exceptional service and personalized attention throughout every step of the real estate process. If you're looking to buy or sell a property in Clayton, NC, or the surrounding areas or have any questions about the local real estate market, don't hesitate to contact David O'Doherty today. Call or Text (919) 601-2268 or email [email protected]