Raleigh Real Estate Statistics and Housing Trends for 2023
Raleigh Real Estate Statistics and Trends 2023
Are you planning to move to Raleigh, NC, and want to learn about the housing market trends? Read on to explore Raleigh's statistics.
Raleigh is a highly sought-after location to live in North Carolina, especially being a part of the Triangle area. The housing market in Raleigh is quite competitive, and therefore, the process of buying a home can be challenging. However, as of 2023, despite the real estate struggles in many places, Raleigh's housing market has been one of the hottest in the nation.
The US News and World Report published their rankings of housing markets. Their report confirmed that Raleigh's housing market was the hottest in the nation, ranking #1, with Durham, the neighboring city, tied for #3 on the list.
1. Raleigh Real Estate Trends
As of September 2023, the median selling price for homes in Raleigh was $475,000, which is a 2% increase compared to the previous year. On average, homes in Raleigh are taking around 35 days to sell, which is an increase from 30 days in the previous year.
Comparing the numbers from 2023 to 2022, the median cost of a house in Raleigh remained relatively constant, whereas the prices varied greatly throughout the previous year. However, due to the growing population and booming economy, there is a strong demand for houses in Raleigh.
Based on the PxW report, the housing market in Raleigh shows similar trends to the overall market. Factors such as the quality of life and affordability influence people's decision to choose where to live, which in turn affects the housing market. Although Raleigh's growth may be slower than other areas, it remains a popular destination for relocation, resulting in higher rankings.
While homes are selling above their listing price this year, the year-over-year difference is even more significant and less than it was at this time last year. Nevertheless, things are improving from a seller's point of view due to the changing market trends.
Overview of Raleigh Real Estate:
- Raleigh is ranked #1 as the hottest housing market
- Median selling price of $475,000
- 1869 homes were sold in September 2023
- Market is on the rise
- Expecting 5.4% increase in property values
- Seller's market
- Growing population
2. Raleigh Real Estate Supply/Demand
The demand for homes in Raleigh has cooled off in comparison to a year ago, resulting in fewer homes being sold at a faster pace. Nevertheless, as a desirable location, Raleigh's population is on the rise, leading to an increase in the demand for housing compared to last year.
As of August 2023, the housing market in Raleigh was considered a seller's market, indicating that there are more people searching for homes than there are homes available. Currently, more people are searching to buy a home, while no one is willing to sell.
Due to the current higher-than-normal home prices and mortgage rates, the market has slowed down, making buying or selling a home less desirable than usual. With a growing population, there are not enough homes available to fulfill the demand.
In the last 30 days, homes in this area had a median sale-to-list-price ratio of 99%, which is a decrease of 0.1% compared to the previous year. Approximately 11% of homes sold over the listing price, while only 3% of homes dropped the price.
The demand for housing in this area is increasing due to more people relocating. Although many new constructions are happening in Raleigh, prices have skyrocketed, and the competition is higher than ever. However, it is projected to improve over the next couple of years.
3. Raleigh Real Estate Statistics
Raleigh is a highly sought-after place to live, and it's a great time to buy in the Triangle area, especially if you are young. The market is finding a balance across the region, but it's essential to keep an eye out for market changes and seek the help of a real estate agent in the Triangle area to increase your chances of finding a suitable home.
Raleigh was ranked as the #1 large market for housing construction growth last year because more people are moving to the area. Of the 71 different neighborhoods around Raleigh, each location has its own unique qualities that make people want to move there despite the recent rise in prices.
Over the past five years, home values in Raleigh have increased by nearly 86%. However, in the last year, they've grown by 35.7%. On the plus side, mortgage rates are going to continue to normalize throughout the year. If you're thinking of buying a home, now is an excellent time to do so before the prices skyrocket.
The rapid growth and high demand for housing have had a significant effect on home prices and rental costs throughout the area. As it's a seller's market, inventory is limited, and prices are competitive. However, you can check out new constructions and fixer-upper homes if you're struggling to find a home currently.
The robust economy, job opportunities, affordable living, and migration are all contributing to the booming housing market in Raleigh. However, the real estate market has had its ups and downs over the past few years, so it's essential to be aware.
|Median Sales Price
|Days on Market
|Housing Affordability Index
Sourced from Triangle MLS (as of August 2023).
4. Population Growth
The Raleigh area of North Carolina is currently experiencing a population boom with a growth rate that is more than double that of the entire state. In the past few years alone, the population of Raleigh has increased by 25.6%, compared to the state's growth rate of 11%.
Raleigh is the second largest city in North Carolina, with a population of nearly 1.59 million residents. It is projected that the population will grow by 125,000 people in the next 15 years.
One of the main reasons why people are moving to Raleigh is the economic opportunities and high quality of life. The Raleigh area has seen a significant increase in households and businesses, with nearly 40,000 developments between 2018 and 2022. Surrounding cities such as Fuquay Varina, Cary, and Apex have also experienced a significant increase in population due to migration to the area.
According to the ACS, the racial composition of Raleigh is 56% white, 28.6% African American, 4.7% Asian, 0.36% Native American, and about 10% other races. The gender distribution is approximately 51.37% female and 48.62% male.
The population growth in the area has had both positive and negative impacts. While it has been one of the best things for the region, it has also resulted in a low inventory of homes and higher prices. As the housing market in Raleigh is thriving, there are fewer available homes for people due to the rise in population. If you are searching for a home in the Triangle area, you need to be competitive, find a trustworthy agent, or consider looking in the surrounding neighborhoods.
- 1,591,000 Raleigh residents
- Grown 25.6%
- Growth rate of 3.4% per year
- Predicted to remain the fastest-growing metro area through 2025
5. Raleigh Housing Market Predictions
Raleigh has experienced significant growth over the past few years, and this trend is expected to continue into the following year. Due to a decrease in buyer demand, homes are staying on the market longer than last year, but it is predicted to improve by 2024.
According to a census data study, Raleigh is currently one of the fastest-growing cities in the United States, so the thriving housing market is expected to remain strong going into the next year. Raleigh has managed to stay affordable and competitive, with mortgage rates up, and the prediction is for this to remain constant.
As we move into 2024, the market for housing and real estate in Raleigh is expected to remain similar to today's, with growth projected to increase or decrease by about 2 percent, which would still have a small impact.
With Raleigh's real estate market being competitive, it can be challenging for both sellers and buyers. However, there is no indication of a housing market crash in the next year.
It is crucial to keep an eye on the housing market and trends to be prepared for any changes. The real estate market will always vary depending on certain things, so it is essential to stay informed about what is going on around you and why.
Are real estate prices dropping in Raleigh, NC?
After comparing the median prices to last year, there appears to be a 2.4% decline year-over-year, but there was a significant jump from 2020 to 2021.
Is Raleigh an excellent real estate market?
The housing market in Raleigh, NC, has demonstrated significant growth in recent times, surpassing other locations that may be facing challenges.
Is Raleigh, NC, a buyers or sellers market?
As of August 2023, the Raleigh housing market is fiercely competitive due to an overwhelming demand driven by a significant rise in the population.
Is now a good time to buy a house in Raleigh, NC?
Despite the high interest rates, it is still an excellent time to buy a home in Raleigh. Even though the prices are higher than usual due to the rates, your chances of finding your dream home are higher now than they may be in the future. So, don't be deterred by the current market conditions and consider taking advantage of the opportunity to buy a home in Raleigh.
Raleigh Real Estate Statistics and Housing Trends - The Bottom Line
Raleigh is home to one of the most promising and beloved real estate markets that is only growing stronger. With its robust economy and plentiful job opportunities, this location offers affordable housing and endless activities to explore. Keeping up with market trends and predictions is vital for being well-prepared for the future.
Raleigh has been ranked by Livability as one of the top 100 best places to live, and we couldn't agree more. This coveted destination is only becoming more popular with each passing day.
Raleigh is in high demand, especially as part of the Triangle area in North Carolina. The housing market in Raleigh is quite competitive, which can make the process of buying a home challenging. However, despite the obstacles faced by many cities, Raleigh's housing market has been one of the hottest in the nation as of 2023.
Whether you are searching for a home in Downtown Raleigh, the suburbs, or even North Raleigh, we are confident that you will find a place that perfectly suits your needs while relishing the affordable city lifestyle that surrounds you.
If you're planning to buy a home, it's important to understand the trends and housing market to feel confident in your search. At Raleigh Realty, we're committed to helping you find your dream home. Feel free to contact us or visit our website to connect with one of our local agents.
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!