RALEIGH, N.C. (WNCN) — Potential home buyers in Raleigh are well aware of the challenges in finding a home within their budget and beating offers from other would-be home buyers on that same home.
Despite challenges, data from the Downtown Raleigh Alliance shows people still want to buy homes downtown.
Numbers shared by the DRA show the median list price per square foot is $427 in 2023 with the median listing price sitting at $757,059. In 2022, the median list price per square foot was under $400. Price per square footage has gone up by 31% since 2020.
DRA reports the supply of for-sale housing remains low. On average, the number of active listings per month within one mile of the Capitol Building was 33. That supply is lower than the 2020 average of 73.
When those homes do come on the market, they don’t very long. The median time those homes stay on the market is nine days. DRA said recently completed developments and those under construction have sold quickly. They note of the 268 for-sale units under construction or completed since 2015, only 22 remain available.
The Fairweather, completed in 2021, sold all 45 of its condos. 615 Peace, a condo project downtown, already pre-sold its two dozen condos before opening.
Last year’s, State of Downtown report showed rentals take up 98% of the housing pipeline even though the demand in for-sale housing remained high. Most of that construction is concentrated in studio and one-bedroom apartments.
A 2022 report from DRA noted just 160 for-sale units were under construction, planned or proposed despite demand for this type of housing. There were more than 8,000 apartments under construction, planned or proposed.
Like many other areas in the country, high interest rates slightly cooled the buyers market in 2022 contributing to the total volume of sales downtown decreasing.
Between future renters and buyers, downtown’s population is expected to grow by 11,605 people by 2028.