By Jessie Burchette
Salisbury Post
Home prices in Rowan County are continuing to rise, beating the nationwide trend.
Growth from Charlotte and Mooresville, along with the development of the N.C. Research Campus are credited with keeping prices on the increase.
Despite mortgage problems and foreclosures, Realtors and home builders are staying busy.
Dianne Greene, owner of Century 21 in Salisbury, said average home prices sold by her company have risen from $142,000 last year to $145,000 this year.
“Our market has never seen a downside, … it’s not a resort area where prices go up and down, we’re always steady,”Greene said.
She cited the increase in high-end developments, coming in the western end of the county. Thus far, she hasn’t seen much impact on the local market from David Murdock’s N.C. Research Campus project in Kannapolis. “It may take five years before we’ll see it.
Increased numbers of foreclosures are being offset by investors. “We have enough investors to buy the foreclosed homes and flip them,” said Greene.
Lonnie Goodman, president of the Salisbury-Rowan Homebuilders Association doesn’t expect to see new house prices falling. He cites the increased cost of materials ó block, brick and concrete.
But Goodman is concerned about the influx of big builders coming in with huge projects. “So many are coming in building,” said Goodman, comparing the business to a pie that’s been cut in only a few pieces. “Now everybody runs in and takes a piece of the pie. We have a lot of tract builders coming. Cheap land brings them in.”
Goodman said the growth is spread out around the county. “Rockwell is doing really well. West Rowan has the people trying to get out of Mooresville.”
Goodman is predicting a bit of a draw back. “Election years always slow (home building) no matter what. Everybody concentrates on whoever gets elected.”
Eric Beaver, a real estate broker and builder in Rowan and Cabarrus counties for 30 years, also expects home prices to continue rising.
“Larger builders are coming in, doing 200 to 600 lot subdivisions. Murdock is doing a 580 lot subdivision” said Beaver. “That makes it rougher on the smaller builders who depend on 10 lot subdivisions.”
Beaver, an officer of the Salisbury-Rowan Homebuilders Association, said Rowan builders have a track record of building good homes at reasonable prices.
He’s uncertain about the final impact of the N.C. Research Campus on the real estate market. “It’s still a guess at this point what market they will be buying into. We’re seeing a lot of stuff in the $500,000 to $1 million range in quantities we never thought about before.
“Maybe people from California will buy in that price range but they can still buy homes for much less. In this area we think of a $300,000 home as a heck of a nice home. In some other areas of the country, that’s a starter home.”
Beaver, an officer in the local Homebuilders Association said Murdock’s project is fueling a good bit of speculation which is driving prices up in southern Rowan and northern Cabarrus .
“I’m dealing with real estate brokers I don’t know. I’m selling to clientele out of town and investors. I’m seeing an altogether different clientele.”
But Beaver is happy to see the business. “Without Mr. Murdock, we’d be watching an old mill decay.”