Holly Springs Real Estate Trends + Forecast for 2023

October 17th, 2022

Raleigh Real Estate | Selling | Buying
Holly Springs Real Estate Trends + Forecast for 2023

Holly Springs Real Estate Trends + Forecast for 2023

Are you moving to Holly Springs, NC, and want to know more about the housing market? Let's dive into real estate trends, market predictions, and more.

Holly Springs, NC, is a thriving community that welcomes people from all over, including small businesses and multinational firms. They are known to be a global biomanufacturing hub and the third fastest-growing county in the country. The prime location in Wake County and proximity to research triangle park allow for countless growth opportunities.

Having a healthy housing market with many great neighborhoods is extremely important. When there's a healthy housing market, there's a healthy economy, and with a healthy economy, towns like Holly Springs can continue to grow and prosper.

So are you thinking of relocating to Holly Springs, NC? Gathering all information on the market before putting roots down in a new area is crucial. Let's dive into the local and North Carolina housing market so you can comfortably decide to move to Holly Springs, NC.

Beautiful suburban home surrounded by trees and green grass

Holly Springs Real Estate Trends

Holly Springs, NC real estate trends graphic

One of the fastest-growing counties, Holly Springs, NC, was ranked 6th on the best places to live in the North Carolina list in 2022. One of the reasons it ranks so highly is the affordability of housing. When moving from another area, it's shocking to see how much you can get for your money here.

Holly Springs, NC, is currently experiencing a seller's market, meaning more people are looking to buy than homes available. A seller's market trends to be more competitive. Prices tend to be higher, and homes tend to sell faster. When dealing with a seller's market, buyers must act quickly and put their best foot forward.

The housing market in Holly Springs is somewhat competitive, scoring 61 out of 100. On average, homes receive about three offers and sell in approximately 29 days. Home prices in Holly Springs are some of the most expensive in North Carolina and among the most expensive in America. The median household income is $110,758.

Long-term investments are also favorable in Holly Springs, NC. For a 5-year investment, the profit is expected to be around +18.1%. This means that if you invest $100,000 today, you may yield a profit of $118,100 by 2027.

The Triangle region as a whole is currently seeing an increase in inventory. According to the most recent MLS report, nearly 2,300 more homes were available across the region in July 2022 compared to July 2021, which is almost a 70% increase. The Triangle market is beginning to normalize. While we're still in a seller's market, the triangle is shifting to a more balanced market.

The balance of the real estate market is somewhat due to rising interest rates. The recent rise slowed things down as fewer people are willing or able to obtain financing. Year-to-date closed sales are down by 6.7%. The average 20-year fixed rate mortgage is at 5.89%, which is twice as high as September 2021. The higher the rate, the less affordable a home will be.

In this article, we're going to discuss current real estate trends in Holly Springs, NC, including:

  • Holly Springs, NC, is currently experiencing a seller's market.
  • Holly Springs, NC, was ranked the 6th best place to live in North Carolina.
  • The median list price of homes is $630,082.
  • The median list price increases by 19.2% year-over-year.
  • The current rate of homeownership is 81.7%.

Holly Springs Real Estate Demand

The demand for real estate in Holly Springs, NC, is high. With a population of 44,555, it is the 24th largest city in North Carolina. The overall cost of living in Holly Springs is 6% higher than the national average, utilities are 4% lower, and transportation is 8% lower than the national average. With this affordability, people are considering or have moved to Holly Springs, more often than not.

The abundance of jobs, parks, restaurants, and amenities make Holly Springs one of the best places to live.

Holly Springs, NC real estate demand graphic

Population Growth

Holly Springs, NC, is a fantastic area to live and raise a family. While it's a small town, there are countless opportunities. The proximity to research triangle park makes Holly Springs a central job hub that attracts people from all over. Along with jobs, the welcoming environment, diversity, affordability, and more make Holly Springs a hot spot for those looking to relocate.

Holly Springs is growing at a rate of 3.87% annually, and its population has increased by 8.05% since the most recent US Census in 2020.

  • From July 2022 to September 2022, 24% of Holly Springs homebuyers searched to move out of Holly Springs, while 76% looked to stay within the area.
  • Across the nation, 0.92% of homebuyers searched to move into Holly Springs from outside metros.
  • Fayetteville homebuyers searched to move into Holly Springs more than any other metro.
  • Greensboro was the most popular destination among Holly Springs homebuyers.

Holly Springs Real Estate Supply

As recently said, Holly Springs is currently experiencing a seller's market. In a seller's market, more people are looking to buy than homes available. With a limited number of homes, it's essential for buyers to constantly track the market to find the perfect opportunity to buy. It's also vital that buyers act fast when they see a home that fits all of their wants and needs.

Looking at the most recent MLS (multiple listing service) reports, In August 2022, there were 278 new listings. Of those available homes, there were 250 closed sales with an average price of $545,086. Year-to-date new listings sat at 2,415, and year-to-date closed sales were 1,901. Compared to August, there were only 170 new listings in September 2022, with 59 closing sales.

Holly Springs, NC real estate supply graphic

The supply of homes in Holly Springs is a significant challenge they are working vigorously to fix. Challenges that were going to discuss include the limited housing supply, access to homeownership, and displacement pressure.

When it comes to the limited amount of housing in Holly Springs, it is slightly due to the demand but also the lack of uniqueness. Homes in Holly Springs are majority single-family detached homes. The lack of diversity contributes to the shortage of entry-level housing.

Access to homeownership is also a significant challenge. Since the drastic price increase due to covid, it has become more difficult to own a home if your household makes less than $100,000 annually. On the other hand, the price change has increased home equity for those already owning their homes.

Those who make less than $60,000 annually also find it challenging to navigate this new market. The imbalance between population growth and housing supply continues to increase home prices. The current rate of home ownership is 81.7%.

While the town is doing everything possible to solve supply issues, they can not be resolved overnight. Since the pandemic, supply chain issues and inflation have increased construction costs, affecting housing affordability and availability.

Holly Springs Pricing Trends

Holly Springs, NC pricing trend graphic

Housing affordability is one of the first things you ask yourself when planning a move. Fortunately, Holly Springs, NC, is devoted to making housing more affordable. They aim to provide a range of affordable housing choices within the community so that anyone can call Holly Springs home. As the triangle continues to grow, Holly Springs is working with partners like the Wake County Division of Housing Affordability and Community Revitalization to find solutions to affordable housing. Housing is considered reasonable when it does not exceed 30% of gross income, and the units are generally available to households that earn less than 80% of the area median income.

Now, let's take a look at current pricing trends.

  • The median list price of homes in Holly Springs is $630,082.
  • The list price ranges from $300K to 1.5M.
  • Sales prices range from $518.66K to $798.91K.

The median list price of homes in Holly Springs, NC, was $630,082 in September 2022, compared to $636,463 in 2021, with a 19.2% increase year-over-year.

Holly Springs charges a property tax rate of $0.4216 per $100 of assessed value, while wake county charges $0.60 per $100 of assessed value.

Around 18% of households in Holly Springs, NC is renter occupied. Average rental prices are as follows:

  • The average apartment rent is $1,667.
  • 26% of rentals are priced between $1,001 - $1,500.
  • 70% of rentals are priced between $1,501 - $2,000.
  • 5% of rentals are priced higher than $2,000.

The affordability and cost of homes vary depending on location, size, quality, and ownership. Before moving to a new area, looking into the current real estate market is essential. The housing market in North Carolina is significantly different than in other states. Factors to consider include your career, salary, and everyday expenses. Looking into the triangle area, Holly Springs is 7% more expensive than living in Raleigh.

Holly Springs, NC average price of homes graphic

Let's look into the affordability of a few neighborhoods in Holly Springs.

Addison Pond is a popular neighborhood in the area. The neighborhood offers luxury single-family homes in an ideal location with resort-style amenities and beautiful landscapes. Home prices range from $995,995 to $1,112,995.

Lochridge is another popular neighborhood in Holly Springs. The price of homes starts at roughly $800,000. While it may be on the pricier side, Lochridge is just minutes away from major highways and features a beautiful clubhouse, relaxing community pool, and many other excellent amenities.

The average cost of living in Holly Springs is 6% higher than the national average, and the average housing cost is 33% higher than the national average.

Other neighborhoods are Morgan Park, Stonemont, and Trinity Creek.

Holly Springs Housing Market Predictions

The market in Holly Springs is shifting towards a balanced market, meaning the supply and demand will be about the same, favoring both buyers and sellers.

While the market is beginning to shift, the market will remain competitive. With continued population growth and new companies coming to the area daily, the demand for housing is still high. It is recommended that you buy a home sooner rather than later, seeing as the population in the triangle is expected to grow by another quarter of a million in the next ten years.

FAQ's

Is it profitable to invest in Holly Springs homes?

Yes. The long-term profit potential is +3.85% in one year.

Is Holly Springs an excellent place to live?

Yes. Holly Springs has received many accolades over the years. It has been ranked one of the best places to live in North Carolina.

Is Holly Springs an excellent place to raise a family?

Absolutely. Holly Springs was ranked the #1 safest city in North Carolina in 2021.

Does Holly Springs have a downtown?

Yes. The downtown village district is located in the heart of holly springs and offers many amenities, including a library, countless restaurants, businesses, shopping, and more!

Find Your Dream Home In Holly Springs

Holly Springs, NC, is excellent for so many reasons. The town's popularity will only grow with countless accolades, including the 6th best place to live in North Carolina. The city of Holly Springs offers residents a suburban feel while still being in one of the fastest-growing counties. People from all over are moving to Holly Springs for its proximity to research triangle park, small-town feel, low crime rate, great amenities, and so much more.

Before deciding to move, it's wise to keep the past, current, and future real estate trends in mind. So does Holly Springs feel like the right fit for you? Contact us here at Raleigh Realty; we'd be happy to answer all your real estate-related questions. Whether you're a first-time home buyer looking to grow your family and add more space, Raleigh Realty can help you find your dream home. Search homes for sale in Holly Springs or reach out to be connected to one of our agents to get your moving process started.

 

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Ryan Fitzgerald

Ryan Fitzgerald

Hi there! Nice to 'meet' you and thanks for visiting our Raleigh Real Estate Blog! My name is Ryan Fitzgerald, and I'm a REALTOR® in Raleigh-Durham, NC, the owner of Raleigh Realty. I work alongside some of the best Realtors in Raleigh. You can find more of my real estate content on Forbes, Wall Street Journal, U.S. News and more. Realtor Magazine named me a top 30 under 30 Realtor in the country (it was a long time ago haha). Any way, that's enough about me. I'd love to learn more about you if you'd like to connect with me on Facebook and Instagram or connect with our team at Raleigh Realty. Looking forward to connecting!