Nationally, the prices of house values are forecasted to decrease a 3.9% growth, but NC is experiencing an acceleration of 1% more. Why are we experiencing rising house values? Our inventory is diminishing. This has turned the local real estate into a seller’s market because of the minimal properties for sale. Currently we are in between 2 demographic waves, baby boomers and millennials. The demand for housing comes from millennials now being financially stable and starting families. However, the housing demand is being impacted by baby boomers that are resisting the empty nest syndrome and staying in their homes instead of downsizing. This has decreased inventory as a whole, and we are seeing more effects of this in Moore County. The inventory has gone down 11% from last year and houses are selling 11 days faster than the US average.
The lack of inventory is also from a fueling housing market. This is the effect of a strong local economy and population growth. If anyone has walked downtown in Southern Pines recently, there is an abundance of young families, and new shops are popping up in every vacant commercial space. The growth and strong economy has also led to more land being purchased and housing developments being built. Predictions of 2018 is the new housing market will take over the used market with new home builds and the demand for inventory.