Tag Archives: Business and Economy

Raleigh, Charlotte among top 15 millennial boomtowns

The Triangle has become one of the go-to places for people looking to improve their lives, whether it be because of ample job opportunity, ability to raise a family or home affordability, people are flocking in search of prosperity.

MagnifyMoney recently released its list of America’s top boomtowns, with Raleigh, Charlotte and Durham breaking the top 20. The study ranked cities based on industry growth, population and housing changes, and workforce opportunities.

As a follow-up study, the financial product comparison site released another list, ranking the biggest boomtowns for millennials using those same metrics.

Although North Carolina had less of a presence on the list, two cities in the Tar Heel State broke the top 15.

Raleigh came in sixth on the list, receiving a total score of 69.8 out of a possible 100, and Charlotte ranked 12th, with a total score of 56.3.

From 2011-2016, the five-year period for the study, Raleigh’s millennial population increased by 12.7 percent. The City of Oaks’ millennial workforce grew by 23.6 percent to 151,298 workers, the fourth largest increase in the country during the period. Raleigh’s unemployment rate fell from 10 percent to 6.1 percent, a 39 percent decrease, while the median annual salary rose 22.7 percent to $31,235.
Also, A recent study indicates that North Carolina is one of the go-to states to try and achieve the American dream. Raleigh – 3rd, Charlotte – 13th, and Durham – 16th, are among the top 100 boomtowns in America, according to Magnify Money, and some of the most attractive places for businesses and workers.
It’s no surprise that people are flocking to North Carolina’s capital. Raleigh is consistently touted as one of the best places for jobsbusinesses and to live.
By , Triangle Business Journal
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For Buyers, Credit Matters—but How Much?

Borrowers not as creditworthy as others often have higher mortgage payments; in fact, according to an analysis recently released by Zillow, the average borrower categorized with credit as “fair” can be on the hook for $21,000 more than a borrower with an “excellent” score.

Here’s how: Borrower A has a credit score that’s stellar (“excellent”), and obtains a 4.50 percent rate. Borrower B has a credit score that’s less than stellar (“fair”), and obtains a 5.10 percent rate. If both have a 30-year mortgage and a home with a median price tag, over the course of the loan, Borrower B has $21,000 more to pay than Borrower A.

Across the largest markets, the differences vary:

Zillow_Credit_Scores

“When you buy a home, your financial history determines your financial future,” says a senior economist at Zillow. “Homebuyers with weaker credit end up paying substantially higher costs over the lifetime of a home loan. Of course, homeowners do have the option to refinance their loan if their credit improves, but as mortgage rates rise, this may be a less attractive option.”

Mortgage rates have risen since the start of the year, recently hitting a point not seen since 2011, according to Freddie Mac.

For more information, please visit www.zillow.com.

For the latest real estate news and trends, bookmark RISMedia.com.

A look at Triangle home prices at 2018 halfway point

Home sale trends continue to deepen throughout the Triangle at the halfway point of the year, with median prices rising 7 percent over last year.

The median price home now tops out at $265,000, up from $248,000 at this time in 2017, according to data tracked by the Triangle Multiple Listing Service.

The price increases come as the home market remains tight across the region. The number of new listings has risen, but only slightly, at just 1.8 percent over this time last year.

Anfindsen’s analysis of only the second quarter found an increase in new listings as well, but the uptick was mostly due to new homes and not the “needed” resale inventory priced under $400,000, according to the TARR report.

Demand for the limited inventory remains strong, with the average number of days a home sat on the market in the Triangle dropping from 37 through June of last year to 31 this year.

The trends aren’t unique to the Triangle. Home prices continue to rise across the country, especially in large metro areas. The trend is being driven by increased demand, fewer homes for sale and more expensive labor and materials costs for new construction.

Nowhere in the Triangle are the price increases as steep as Durham County, where the median sales price has jumped more than 11 percent over last year, rising to from $228,000 to $253,000. Average days on market also remain the lowest in Durham County, where the time it takes a home to sell has sunk from 29 days to 21.

Troubles with low inventory remain in Durham and Wake counties, where the number of new listings is about the same or just below last year. That is not the case on Johnston and Orange counties, where new listings have increased more than 10 percent and 8 percent, respectively.

The Triangle still ranks favorably in housing affordability compared to its peer cities, but that could be changing in the near future. Data analytics firm CoreLogic continues to rank Raleigh and the Durham-Chapel Hill metro area as having housing markets that aren’t over-valued, but the company’s economists believe that could change in the next five years as prices and interest rates rise. “Between house prices rising and mortgage rates going up, the monthly mortgage payment to buy a house rises faster than the monthly income of local residents,” CoreLogic Chief Economist Frank Nothaft says.

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