Long ago, when people bought (or built) their family's home, they usually did so with the intention of staying in it for the rest of their lives and maybe even passing the home down to their descendants through the generations. But as the world changed, families became more mobile. The days of living out the rest of one's life in the same home have practically disappeared. Or have they?
According to the results of a recent survey from Bank of America, an overwhelmingly high number of Charlotteans say they could stay in their current house for the rest of their lives. What's more, Charlotte homeowners are increasingly interested in investing in their property. According to the survey, 84 percent said they look for ways to make their home more valuable and 77 percent said they spend a lot of free time working on their home.
Could this mean more people are following the "improve not move" mantra? If so, this could have significant implications for the Charlotte area real estate market. With fewer Charlotte homeowners moving up into new homes, and new home construction struggling to keep up with demand, the Queen City's housing inventory will likely get tighter, forcing home prices to continue on the upward path.
To avoid unhealthy levels of price acceleration, major metros like Charlotte will likely need to see expanded development and higher levels of new home construction in the lower to middle tier price range. Fortunately, there are several new or fairly new developments with homes starting below $120,000 on the market right now -- but Charlotte buyers will need to act fast, as these homes do not stay available for long.