CHARLOTTE, NC (Katherine Peralta/The Charlotte Observer) - Buying a house in Charlotte is getting even tougher since property values here are rising faster than they are nationwide, according to a report Tuesday from the S&P CoreLogic Case-Shiller.
Home values in the Charlotte metro area rose 6.4 percent in July, while nationwide they rose 5.9 percent, according to the report.
As is the case nationwide, a limited supply of homes for sale in Charlotte is pushing up prices, often leading to bidding wars among buyers, especially in areas close to uptown such as Sedgefield and Myers Park.
"Consumers, through home buying and other spending, are the driving force in the current economic expansion," said David Blitzer, chairman of the Index Committee at S&P Dow Jones Indices, in a statement.
"While the gains in home prices in recent months have been in the Pacific Northwest, the leadership continues to shift among regions and cities across the country."
Sales of new and existing homes have slipped since March, Blitzer said. The number of existing homes for sale fell 6.5 percent in the past year.
In Seattle, home prices soared 13.5 percent in July from a year earlier, representing the fastest growth of all major U.S. metros. Other cities posted strong gains: Prices climed 7.3 percent in Dallas and Detroit, and 7.2 percent in Denver. The slowest increases were in Washington, D.C. and Chicago, which both saw 3.3 percent gains.
With unemployment low and paychecks rising modestly, more people are in the market for a home. But construction of new single-family homes has been held back by a limited supply of land in hot markets and difficulty in finding construction workers.