RALEIGH, N.C. — A new report released this morning by the federal government shows inflation fell during April. The Consumer Price Index climbed 3.4% in April, which is down slightly from 3.5% in March. Many are wondering if that report could impact the housing market and interest rates. According to Freddie Mac, the average rate for a new 30-year mortgage is nearly 7.1%.

What You Need To Know


  • The average rate for a new 30-year mortgage is nearly 7.1%

  • Real estate agent Gretchen Coley said Raleigh and Greensboro have seen increases in home values since Jan. 1

  • Meanwhile, Charlotte has seen a decline over the last 30 days
  • Coley believes it might be worthwhile to consider other home types like townhomes and condos right now

Gretchen Coley, a Raleigh real estate agent and founding principal of the Coley Group, says there are some interesting trends happening in North Carolina’s housing market right now.

Coley says, since Jan. 1, both Raleigh and Greensboro have seen increases in home values while Charlotte has seen a decline over the last 30 days.

“So we’re seeing a really huge jump in the median home price and sales price of homes in our market,” Coley said. “In Raleigh alone, single-family homes have jumped 14% since Jan. 1 of 2024. When it comes to all property types, condos, single family townhomes, you’re looking at an increase in sales price around 7%.”

As for how that compares to what’s average, Coley says it’s a major increase.

“The typical jump is anywhere between 2%, 3%, 4% maybe. So we’ve seen a significant increase in home prices in our market,” Coley said.

She said she knows these numbers might startle some, especially for those looking to enter the market for the first time. But Coley says not all hope is lost and it might be worthwhile to consider other home types.

“There are opportunities in the market. We’ve seen a depreciation in condos of about 23% during the same time period that we’ve seen the appreciation in single-family homes. We’ve seen townhomes only appreciate 1.8% during that same time period,” Coley said.

As for what’s coming, Coley believes interest rates will stay stable as the year goes on and may come down toward the end. But she believes you’ll never reap the rewards of homeownership if you sit on the sidelines.

“Your first homdoesn’t have to be your dream home. It is a place for you to make a great investment for you to live, be able to have the safety, the security that comes with home ownership, and then be able to build wealth over time,” Coley said.

Coley also said the Federal Reserve does a study, every three years, that looks at the net worth of a renter versus a homeowner. She said, this year, the net worth of a renter was about $10,000, while the net worth of a homeowner was $396,000. She believes that’s one more reason to consider buying a home.

Despite the slight down tick in inflation rates on Wednesday, Federal Reserve officials recently said that sharp interest rate hikes over the past two years will probably take longer than previously thought to bring down inflation.

As for mortgage rates, the gap between new rates and the average outstanding mortgage is the highest it’s been since the 1980s.