Quick Launch

Wake County News > Posts > July 2020 Wake County Real Estate Transactions Increased at Virtually All Price Points
August 14
July 2020 Wake County Real Estate Transactions Increased at Virtually All Price Points

letterhead.png

 

Tuesday, August 14, 2020
For Immediate Release

Contact: Luther Snyder, Deputy Director
O. 919-856-5462 M. 919-369-7045
luther.snyder@wakegov.com

July 2020 Wake County Real Estate Transactions Increased at Virtually All Price Points

Activity Continues to be Relatively Stronger in the Above Median Price Ranges

 

An analysis of July 2020 Wake County core market real estate transactions released today by Charles Gilliam, the Register of Deeds of Wake County, shows that in July sales continued to increase at virtually all price points.

The following chart shows the number of transactions in the core market in July 2020, as compared to the average month of the first quarter of 2020, broken down by the dollar value of the transaction. June 2020 is also included for comparison.

The core market is defined as property transactions valued at $1 million and less.

Wake County Number of Property Transfers by price May and June 2020 in each price range compared to average month Q1.png


The first quarter of 2020 was a period before COVID-19 economic restrictions. This can be regarded as a baseline period. In both April and May real estate activity was dampered. In June, activity was up and that continued in July. July and June ran at a pace comparable to the same time of year in 2019 and 2018. “The data shows core real estate activity does not appear to be negatively impacted by COVID-19 or economic restrictions,” said Charles Gilliam, the Register of Deeds.

July 2020 was relatively stronger in the higher price points while the first quarter was proportionally stronger at lower price points. In the 2020 first quarter 47% of sales were below $300,000, while in July 42% were.

The following chart shows, for each of its periods, the percentage of transactions that took place in the price ranges displayed on the chart. For example, for the price bracket $150,000 – $199,999,10.1% of first quarter transactions were in that bracket while it was 8.2% for July transactions.

Wake County Number of Property Transfers by price May and June 2020 in each price range compared to average month Q1.png


Additional information, including results for transactions in the one million dollar and up price range, was published by the Register of Deeds earlier this month and is available at 

 

Methodology and Additional

 

The statistic in this report are derived from instruments recorded in the office of the Wake County Register of Deeds. Under North Carolina law, changes in property rights in real estate are recorded with the register of deeds of the county where the real estate is located.

The value of real estate transferred is measured by excise tax assessed on the consideration in a real estate transaction. Excise taxes are calculated as $1 in tax for every five hundred dollars of consideration. About 99% of transactions are property transfers by deed and the balance are miscellaneous transactions such as acquisitions of a right of way. The monetary data in this report includes all transactions.

The core market is defined as property transactions valued at $1 million and less. In July 2020, 98% of transactions were in this core market.

The first quarter 2020 average month was calculated by summing transactions in January, February and March and dividing the sum by three. For the charts presented in this report there are 2,160 data points for the first quarter average month, 2,754 for June and 3,034 for July.

The median Wake County real estate sales price for both the first quarter of 2020 and the fourth quarter of 2019 was $310,000. It was $325,000 in July 2020.

Deeds and other instruments recorded with the register of deeds include transfers of interests in real estate where monetary consideration did not change hands, such as transfers within a family. No excise tax is due on such deeds and, therefore, they are not included in the data presented in this report. In July 2020, 19% of deeds attracted no excise tax and in the 2020 first quarter the percentage was 21%.

On March 14, 2020 public schools were closed and mass gatherings were prohibited by an executive order of the governor. On March 17 and 23, 2020 additional executive orders were issued which closed certain businesses and introduced additional restrictions. Based on these events, a starting date of March 17, 2020 can be used to demark the advent of Covid-19 related legal restrictions on economic activity.

For a complete picture of Wake County real estate activity the information in this report should be considered in conjunction with data available from other sources, such as rezoning applications and new building permits, and a report on July activity released by the Register of Deeds earlier this month which is available at 

 

This report was initially released August 14, 2020.

 

- 30 - 
 

FacebookTwitterInstagramYouTube 









Wake County Departments & Agencies:
Department-list-1.png