(Charlotte, NC– May 4, 2012) Most economists agree that conditions are in fact improving. The same can be said about Charlotte’s new housing market according to recent information from Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

North Carolina’s unemployment rate decreased to 9.7% from February’s 10.4%. March unemployment data for the Charlotte MSA has not been released but registered a decline from 10.4% in January to 10.0% in February. Charlotte’s 2012 job growth has been less than robust. “Improving economic conditions, yes, but frustratingly slow. Actual new first quarter housing data makes for a much better story,” said Bill Miley, director of Metrostudy’s Charlotte division.

Charlotte started 1,308 homes in 1Q12, the same as last quarter’s, however, 1Q12 starts were 34.7% higher than the 971 quarterly starts from a year ago in 1Q11. Quarter over quarter annualized starts have increased in each of the last four quarters and now stand at 5,467. Charlotte closed 1,416 new homes in 1Q12, 17 more than last quarter and 26% more than first quarter, one year ago.

Excluding Uptown’s condominiums, new housing inventory for all product types has declined for the past nine quarters and currently stands at a seven-month supply. A seven to eight month supply of inventory in all stages of construction is considered to be in equilibrium. Clearly, Charlotte does not have an excess of new housing inventory.

Single family detached homes in Charlotte now account for 90.0% of all new housing starts, an increase of 16.3% over the past eight quarters. Lower detached new home sales prices have increased the affordability and desire for detached housing. Detached housing inventory is at 6.3 months of supply while finished vacant is at a 2.8 monthly supply. These supply levels of detached inventory are on the low side of equilibrium and suggest additional housing starts will soon be needed.
“Charlotte is number nine in the country among MSA’s in single-family permits. Our new housing market is improving slowly, but the key to a robust recovery continues to be jobs. As long as job growth remains suppressed, demand for new homes and resales will also remain weak. We have said on many occasions that Charlotte has a ‘demand’ problem, not a ‘supply’ problem,” said Miley.

For information contact:
bill miley @ 704.650.7584
email bmiley@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Charlotte, NC– February 3, 2012) Charlotte’s housing market is poised for growth in 2012, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

The Charlotte MSA unemployment rate is at 10.3% as of December 2011, down from 11.2% one year ago. The Charlotte MSA unemployment rate has decreased almost a full percentage point over the past year, while a shrinking labor force is keeping our unemployment rate too high. The Charlotte MSA labor force decreased by 2,235 in 2011. “What we need is improved job growth with fewer unemployed. That would help the Charlotte housing market improve rapidly,” said Bill Miley, director of Metrostudy’s Charlotte division.

Charlotte started 1,306 homes in 4Q11, 35.2% higher than starts in 4Q10. Charlotte closed 1,381 homes, 4% less than 4Q10.

Detached housing inventory stands at 6.9 months of supply, and accounts for 89% of annual starts. Finished vacant inventory stands at only 3.2 months of supply. “With these numbers, Charlotte is well positioned within normal equilibrium levels. Any increase in demand could quickly foster the need for additional new starts,” said Miley.

“Confidence in the future of our local economy is a cornerstone to economic growth in Charlotte. It’s the key to increased consumption and job growth,” said Miley. “With both the upcoming Democratic Convention creating increased national visibility and Chiquita’s headquarters move to Charlotte next year, we are seeing both positive media coverage and a improved local economy.”

“Stronger consumer confidence, an improving local economy, record low mortgage rates, and affordable housing market, where 50% of the new homes are available for less than $200,000, will help tap pent-up demand and increase new home sales and the need for additional starts. Charlotte is ready,” said Miley.

For information contact:
Bill Miley @ 704.650.7584
email: bmiley@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Charlotte, NC– November 1, 2011) Charlotte’s housing market improved in starts, closings, and inventory absorption during 3Q11, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

The Charlotte MSA unemployment rate stood at 11.1% as of August 2011. Annualized job growth decreased from July’s 4,500 to 4,100 jobs added over the past year as of August. “Consumers remain apprehensive with the weak job market, high unemployment, and the economy in general,” said Bill Miley, director of Metrostudy’s Charlotte division.

Charlotte started 1,459 homes in 3Q11, 9.7% more than 2Q11’s 1,330 and 27.4% more than in third quarter 2010. Charlotte closed 1,671 units, 13.3% better than 2Q11’s and 7.3% higher than 3Q10.

“Inventory months of supply for all new housing types (attached and detached) dropped due to closing more homes than we started and our rising annual closing rate,” said Miley. Total inventory of homes stands at 4,102, a 8.6 month supply at the end of 3Q11. This is the lowest supply in Charlotte in three years. Detached only homes, which accounts for 85% of Charlotte’s new housing, decreased to 6.9 months of supply. A 6-8 month supply is considered equilibrium.

“Despite our high unemployment, the Charlotte MSA currently ranks fifteenth in the country in single family permits, further testimony to the desirability, appeal and strength of Charlotte NC and the overall weakness of the national housing market,” said Miley.

For information contact:
bill miley @ 704.650.7584
email bmiley@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

Charlotte is the largest city in North Carolina, named in honor of Charlotte of Mecklenburg-Strelitz, who was the wife of British King George III, hence the name “Queen City” and Mecklenburg County. Charlotte is the county seat of Mecklenburg County. With over 730,000 residents, the US Census Bureau ranks Charlotte as the seventeenth largest city in the United States. It boasts a clean and modern Center City and has recently been praised by many national media sources. Forbes recently ranked it in their Top Ten “next biggest boom towns in the U.S.” and The New York Times calls Charlotte’s uptown district a “brand-new cultural oasis where high art reigns.” Perhaps the biggest jewel in the Queen City’s crown is the attention it will receive next year when it hosts the Democratic National Convention. But, there’s trouble in River City or should we say, The Hornet’s Nest (Charlotte’s other nickname born during the Civil War).

According to the North Carolina Employment Security Commission’s June statistics, the unemployment rate in Mecklenburg County is 11.1%, well above both the state rate of 9.9% and the US rate of 9.1%. Of the fourteen metropolitan statistical areas in North Carolina, only two have higher unemployment rates than the Charlotte MSA at 11.2%. How can this be? Let’s look at the data behind the rate. The Bureau of Labor Statistic’s June data shows the Charlotte MSA with an anemic 0.5% annual job growth, adding only 3,700 jobs over the past year. Just to give you a little perspective, over the past three years the Charlotte region has lost 57,600 jobs. It is both ironic and sad that the leading industry job growth sector over the past year in Charlotte is ‘Other Services’ contributing a 7.5% increase equating 2,200 new jobs. What’s other services? The Department of Labor defines it as providing services not specifically provided for elsewhere, such as promoting religious activities, providing dry-cleaning and laundry services, personal care services, pet care services, photofinishing services, temporary parking services, and dating services. Not exactly the foundation upon which to rebuild one the country’s leading financial centers. Over the past year Government has shed 5,400 jobs or 4.8% of its workforce while construction continues to be hammered with the loss of 2,700 jobs or 7.0% of the work force.

New residential construction and closings in Charlotte remains very weak with many influencing factors yet one is certainly not affordability. Interest rates remain at historic lows and 49% of Charlotte’s new housing is priced under $200,000. While Charlotte has not faced the foreclosure problems felt in markets that went through huge price appreciation bubbles such as South Florida, Las Vegas and California, it has none the less been significantly impacted. According to third party data providers with public data sources that provide property transaction information to Metrostudy, there have been 9,012 residential properties foreclosed on in Mecklenburg County since 1Q09. Many have since been resold to investors and buyers at steeply discounted prices competing head on with new houses for sale. As of 2Q2011 there are 2,556 homes lurking in shadow inventory still owned by the lenders in Mecklenburg County. There is no over supply of new detached homes for sale in the Charlotte region. Current supply levels are at 7.4 months and equilibrium levels have long been 6-8 months in Charlotte. The problem is lack of demand. Buyers need to see and be confident that home prices have stabilized and moving back up before they can comfortably justify buying in today’s market. That can only occur when we work through much of the discounted foreclosures for sale. Consumer confidence and job creation are the two critical components that are required for an improving Charlotte economy and new housing demand.

(Charlotte, NC– August 1, 2011) Charlotte starts and closings increased during 2Q11 reversing a five quarter slide, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

North Carolina’s unemployment rate rose to 10.4% as of June 2011 while annualized job growth fell to 3,700. The Charlotte MSA unemployment rate as of June 2011 increased to 11.2% from the previous month, but is down from the 11.2% in January.

Charlotte started 1,298 homes in 2Q11, significantly more than 1Q11’s 920, but 13.3% lower than 2Q10. Charlotte closed 1,447 units, also better than 1Q11’s 1,112 but 18.5% lower than 2Q10. “The increase in starts and closings coupled with positive press regarding growth in national publications like New York Times, Kiplinger and Forbes indicate the potential beginning of a slow recovery for Charlotte,” said Bill Miley, director of Metrostudy’s Charlotte division.

Total inventory of homes stands at 4,313, a 9.3 month supply at the end of 2Q11. This is the lowest supply ever recorded in Charlotte. Finished vacant inventory stands at a 4.7 month supply, the lowest level since 3Q00. Single family detached homes, which accounted for 85% of Charlotte’s closings, is at a 7.4 monthly supply. Inventory equilibrium in Charlotte is 6-8 months.

“Charlotte’s economy and improvement in the new housing market remains dependent on significant job growth that will result in the lowering of unemployment rates. In turn, we will see consumer confidence improve and the stimulation of home buying,” said Miley.

For information contact:
bill miley @ 704.650.7584
email bmiley@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Charlotte, NC– May 1, 2011) The Charlotte housing market had a weak start to 2011, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

The Charlotte MSA has added 4,600 new jobs over the last twelve months as of March 2011, but the unemployment rate remains very high at 10.4%. “We need job growth to significantly improve to stimulate home buying demand so that builders will be encouraged to start more homes,” said Bill Miley, director of Metrostudy’s Charlotte division.

Charlotte has yet to see any rebound in new housing starts as demand remains low. During 1Q11, Charlotte started 888 new homes, 37.4% less than 1Q10. Closings totaled 1,095 units, down 11.6% from last year. Since closings outpaced starts, inventory continued its seven-quarter decline to 4,507, representing a 9.3 month supply. A 6-8 month supply is considered equilibrium.

Despite our high unemployment, Charlotte continues to rank solidly in the top twenty metropolitan statistical areas for single family permits at number 16 in the country. “Our detached housing market is well positioned to take advantage of any improving local demand,” said Miley. The 2,835 detached inventory homes as of 1Q11 reflected a normal and healthy 7.2-month supply, the same as 4Q10. There were 1,521 finished vacant detached homes at quarter’s end corresponding to a 3.8-month supply.

“The affordability of detached new housing in Charlotte is without question and current supply levels are well within equilibrium. We continue to wait for a change in the wind direction of consumer confidence and real job growth,” said Miley.

For information contact:
bill miley @ 704.650.7584
email bmiley@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Charlotte, NC– February 1, 2011) In 2010, the Charlotte housing market hovered around the same numbers of starts and closings as 2009, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

In 4Q10, Charlotte started 932 homes, which is 28.7% lower than 4Q09. In all of 2010 Charlotte started 4,909 homes, slightly more than the 4,862 of 2009. Closings dropped to 1,381 units during 4Q10, 27.4% less than 4Q09. In all of 2010, Charlotte closed 5,973 homes, less than the 6,495 of 2009. “Consumers remain apprehensive with the weak job market and economy in general,” said Bill Miley, director of Metrostudy’s Charlotte division.

The unemployment rate rose to 10.8% in November 2010. While annual job growth improved over much of the past year, it dropped during 4Q10 but is currently at +1,500 through November. Continued positive job growth in Charlotte is one of the keys to a stronger new housing market. Another key element is improved consumer confidence which showed solid improvement in January.

“Despite (our) high unemployment, Charlotte’s new housing market should expect slow growth in 2011,” said Miley. “The detached housing market shows strength in regard to affordability and inventory.” Detached inventory stands at 2,914, a healthy 7.2 month supply. Total inventory of all new homes (which includes the Uptown condo market) stands at 5,062 in 4Q10, a 10.2 month supply, down from 5,511 in 3Q10. A 6-8 month supply of inventory is considered equilibrium.

For information contact:
bill miley @ 704.650.7584
email bmiley@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Charlotte, NC– November 1, 2010) The tax credit expiration led to slower starts and closings in the Charlotte area during 3Q10, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

Charlotte saw 1,115 starts during 3Q10, down from 1,473 last quarter and 26.1% lower than 3Q09. The area had 1,511 closings, 368 less than last quarter and 15.2% less than 3Q09. “The expected slowdown due to the expiration of the tax credit became a reality,” said Bill Miley, director of Metrostudy’s Charlotte division.

It’s not all bad news for 3Q10, though, as inventory is improving toward healthier levels. “The detached housing market is well positioned to take advantage of an improving local economy with new housing at an overall 7.3 months of supply. Many of Charlotte’s market areas show supply levels significantly lower,” said Miley. Total inventory of homes in all stages of construction decreased to 5,455 in 3Q10 from 5,851 last quarter. This represents a 10-month supply, where a six to eight month supply is considered equilibrium.

While North Carolina’s unemployment rate has dropped to 9.7%, the Charlotte MSA stands at 11% as of 3Q10. “Despite our high unemployment, the Charlotte MSA currently ranks twelfth in the country in single family permits, a demonstration of the desirability, appeal and strength of Charlotte, NC,” said Miley. “The new housing market will continue to ‘heal itself’ going forward through traditional criteria such as job growth, consumer confidence, and household formation.”

For information contact:
bill miley @ 704.650.7584
email bmiley@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Charlotte, NC– August 1, 2010) The tax credit program created demand and pushed many buyers into early action in the Charlotte housing market, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction  in the U.S. Housing market.

Closings and starts both increased during 2Q10. 1,468 homes were started, up from 1,364 during 1Q10 and up 35.4% from the 1,084 starts during 2Q09. Closings totaled 1,880 units, up from 621 during 1Q10 and up 16% from 2Q09.

Inventory supply levels decreased to healthier levels. Total inventory of homes in all stages of construction decreased to 5,846 in 2Q10 from 6,248 in 1Q10. This represented a 10.3- month supply at the end of second quarter, significantly lower than the monthly supply level of 11.4 in 1Q10. (A 6-8 month supply of new homes is considered to be in equilibrium.) Excluding the 1,100 Uptown condominiums, Charlotte’s inventory supplies are at 8.1 months. While vacant developed lot supplies remain very high at 40,245 and an 85.5 month supply, they too dropped significantly from the 94.2-month supply at the end of 1Q10.

“While this is all good news, the tax credit, which was the driving force behind these improvements, is now gone,” said Bill Miley, director of Metrostudy’s Charlotte division. “We are already seeing a slowdown in pending sales activity. Closings should remain strong in 3Q10 due to the extension for closings of tax credit sales.” The National Association of Home Builders reported that May new home sales fell 33% to their lowest level on record. Locally, the Charlotte Regional Realtor® Association reported that residential pending contracts in June 2010 (1,880) were down 13.2 percent compared to June 2009. Their June Closings report showed an 8.7% decline over May figures.

“Our housing market will remain below its potential as long as our unemployment remains high and job creation lags,” said Miley. Charlotte unemployment dropped from 11.7% in May 2009 to 10.9% in May 2010.  “Although this is an improvement, the level is notably higher than most major MSA’s. A sustained housing recovery can only begin with the creation of more jobs. This will boost our local economy and create conditions needed for sustainable increases in new home sales and starts.”

For information contact:
bill miley @ 704.650.7584
email bmiley@metrostudy.com

(Charlotte, NC – May 6, 2010) Finished inventory fell for the eighth consecutive quarter while total inventory levels increased for the first time in more than three years due to increased starts, according to Metrostudy’s quarterly survey. More than 1,300 active subdivisions in Charlotte are visited by Metrostudy field researchers on a quarterly basis to obtain accurate new housing activity

Total inventory of homes in all stages of construction (Model Homes + Finished Vacant + Under Construction) increased to 6,243 in 1Q10 from 6,137 in 4Q09. This represented an 11.4-month supply at the end of first quarter, an increase from last quarter’s 10.3-month supply. Months of supply increased due to increased starts and weaker than expected closings. A 6-8 month supply of inventory is considered to be in equilibrium.

When viewed relative to Annual Closings, the 2,637 units of finished vacant inventory represented a 4.8- month supply, slightly higher than the 4.5-month supply in 4Q09.

The total number of Vacant Developed Lots in the market at the end of 1Q10 was 41,586, decreasing for the past five quarters. Relative to demand, the 41,586 Vacant Developed Lots in Charlotte represented a 94.9- month supply, decreasing from the 105-month supply at the end of 4Q09. 558 new developed lots were delivered in 1Q10 while 1,369 were absorbed through new starts.

“As our annualized starts rate begins to increase, as was the case in first quarter, the monthly supply level of lots will continue to drop- providing our quarterly lot absorption through starts exceeds new vacant lots being delivered,” said Bill Miley, Metrostudy’s director for the Charlotte division.

For the first quarter ending March 2010, Charlotte’s quarterly starts for all product types were 1,369, a modest increase from last quarter’s 1,303. However, the 1Q10 starts were 41.6% higher than the 967 starts from a year ago in 1Q09. For the ‘quarter over quarter’ year, Charlotte’s 5,261 starts fell compared to the 7,867 starts a year ago. That being said, 1Q10 is the first quarter in three years that that our annualized starts have increased. Annual Starts peaked in 1Q07 at 24,997, said Miley.

1Q10 Closings totaled 1,271 units, 643 fewer than our 4Q09 closings and 29.6% less than first quarter closings a year ago. Charlotte’s 1Q10 annualized closings of 6,597 marks the eleventh quarter in a row annual closings have decreased. Annualized Closings crested in 2Q07 at
24,519.

“Over the past six months, annualized job losses in the Charlotte MSA have been cut in half,” said Miley. “Unfortunately our unemployment rate at 11.9% is well above the national rate at 9.7%. Single family permits have increased monthly since October 2009, a leading indicator of future new housing starts. The Charlotte Regional Realtor® Association reported that the number of closings for March 2010 (1,900) was up 13.7 percent over March a year ago and increased 36 percent over last month (February 2010). Pending contracts were up 27.8 percent over last month. Quarterly new housing starts were up and annualized starts finally turned upward in 1Q2010. No doubt, much of the reported improvement in housing numbers is due to the soon to end tax credit. Our continued recovery will depend greatly on improving job growth, continued low interest rates, and a significant recovery in consumer confidence.”