03/13/2021
Spring 2021 Real Estate Newsletter
Spring is nigh. The maple trees are budding, robins abound and daffodils are blooming. Officially spring begins on March 20th. More walkers and bikers are on the streets, plants are on the shelves at garden centers and the days are longer. The drab gray of winter is replaced by fresh greenery and colorful flowers. What's your favorite season? Mine are spring and fall, both moderate and filled with color.
One of my newest favorites is the wave of daffodils at Dix Park that started in 2019. According to the Dix Park website the daffodils have been blooming since the first of March. Here's the link with info on how to view the daffodils, https://dixpark.org/daffodils. As you can see this year, the daffodils remain very popular and pretty as ever.
TOPICS:
SPRING AND THE HOUSING MARKET
MORTGAGE RATES
DAYLIGHT SAVING TIME
OTHER TRENDS
EVENTS IN MARCH
SPRING AND THE HOUSING MARKET
Spring is the busiest time of year for the housing market. More homes are listed and sellers tend to get the highest prices.
Here are some statistics from the entire Triangle Multiple Listing Service (TMLS) that support the trends. Double digit sales during the fourth quarter are not the norm. High sales in January show the affect of the low interest rates. Looking at the number of closed sales in the historically lower sales months of Nov-Dec-Jan, buyers were busy securing a home with historically low interest rates.
Another metric the number of sales year to date by month. February was only 1.7% higher than February 2020. The prior months of October through January showed double digit increase in number of sales. Year to date, sales numbers are higher than 2020.
The median sales price for the entire TMLS for February 2021 is $302,590, up 8.1% compared to February 2020.
With fewer listings to support buyer demand, current listings receive roughly double the number of showings compared to one year ago. The low inventory leads to multiple offers and prices escalating. Sellers are rejoicing while buyers cringe. Graph from TMLS February 2021.
If you would like statistics on your local area, contact me via email or text/voice, 919-412-2384. Real estate markets are localized but the common theme this year is fewer homes listed.
MORTGAGE RATES
Mortgage rates have shot back above 3%, borrowers may not want to delay according to Movement Mortgage, statistics below.
Mortgage rates that plunged to record lows in 2020 and early this year are spiking now, and are above 3% for the first time since November.
The average rate for 30-year fixed rate mortgage climbed to 2.81% last week, the highest since mid-November. But mortgages remained much cheaper than they were a year ago, at 3.49%.
The COVID crisis has impacted home owner's ability to stay current with their mortgage. Lenders are offering forebearance, a temporary suspension of payment. This is not mortgage foregiveness meaning that homeowners will have to resume making payments at the end of their forebearance period. With job losses increasing, the number of foreclosed homes on the market may increase.
If your mortgage is not FHA-insured, mortgage relief is also available for other government-backed mortgages. To find out more, visit CFPB's Coronavirus Resources webpage.
Refer to the FHA Resource Center for more information.
DAYLIGHT SAVING TIME
Astronomical spring officially begins at the equinox, which will occur at 5:37 a.m. EST on March 20, 2021. With temperatures in the 70s over the weekend, it surely feels like spring has arrived.
Daylight Saving Time begins at 2 a.m. on Sunday, March 14. Love it or hate it, DST begins this weekend. Next Saturday night, March 13, people should set their clocks forward one hour to "spring forward." Note that most smartphones and electronic devices will automatically adjust at 2 a.m.
According to the Old Farmer's Almanac, Daylight Saving Time will end on Sunday, Nov. 7, at 2 a.m. At that time, clocks will fall back one hour, giving you an extra hour of sleep!
OTHER TRENDS
Two persisting trends are buyers wanting more land and new home prices are increasing. Owning land has continued to be a trend during COVID. More buyers want out of urban areas and own as much land as possible to separate themselves from neighbors.
After new construction took a deep hit during COVID, builders are beginning to put up more new homes. Onsite agents have devised novel ways to meet remotely with buyers and provide virtual tours of homes under construction.
EVENTS IN MARCH
In a normal year, Raleigh would be hosting its annual St. Patrick's Day Parade with vendors and food trucks. Alas, none in 2021. There are some events. The NC Symphony is continuing to perform live from Meymandi Hall and streamed to subscribers. Museums are open with masks and social distancing required. The most novel is a Shamrock Search held in the Wake County Parking Deck this Saturday where teams search for hidden shamrocks in Raleigh, Cary or Knighdale.
Me, I'll wear some green, bake Irish Soda bread and have a pint or two along with my corned beef and cabbage for dinner! Happy Spring and look for my next newsletter in April.
Jeanne Moyer, REALTOR
919-412-2384
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