Orange
Home Prices Continue to Rise
According
to an analyst for the residential construction industry, the price
of new homes in Orange County will continue on its current path, rising
in the foreseeable future. The median price of a new home during the
first quarter of 2007 is $380,000. This figure is $93,000 more than
the median price in the first quarter of 2006. The study admittedly
lacks a large statistical sample size, but generally reflects an increasingly
severe affordability issue in Orange County. Lack of affordability
is driving many buyers to the Durham market, where starter homes are
still available for less than half the price of the average Orange
County new home.
Email jdervin@carolinachamber.org
for original article on this subject in the Herald-Sun.
Carrboro
Eliminates ‘Open Space’ Requirements for Downtown
Residential development in Carrboro’s downtown will
no longer be required to reserve 40 percent of development for open
space. Instead, the Board of Aldermen voted to substitute in “urban
amenities” such as shade trees, fountains, gardens or roofs
with vegetation. The new rules apply to residential and mixed use
projects in which at least 25 percent of the project’s floor
plan is designated residential. Open space requirements for residential
projects outside the downtown area will remain in effect.
For the News and Observer's coverage of this story, click
here.
Chapel
Hill Approves Budget without Property Tax Increase
Chapel Hill Town Council approved an $86.6 million budget
for the 2007-2008 fiscal year without increasing the residential property
tax rate. The tax rate will remain at 52.2 cents per $100 of property
value. On a home valued at $300,000 that equates to $1,566 in taxes
per year. The town manager’s recommended budget called for a
1.9 cent increase in the tax rate, but the increase was taken out
at the request of the Council. The downtown service tax and privilege
license tax for businesses will also hold at current levels. Major
expenditures for this year’s budget include a four percent pay
raise for town employees, operational costs associated with the new
town facilities complex off of Eubanks Road and delayed personnel
expense from adding 21 new staff positions in the 2006-2007 fiscal
year.
Chatham
Approves Moratorium
Chatham
County Commissioners adhering to campaign platforms to curb accelerated
growth unanimously voted to enact a moratorium on residential development
throughout the county. The moratorium applies to subdivisions of more
than 25 lots. It does not apply to commercial projects or developments
inside Siler City, Pittsboro or Cary. Language in the official moratorium
noted that more than 12,000 homes and lots have been approved throughout
the county within the last four years. Justification for the moratorium
rests on the county’s ability to keep up with planning and infrastructure
needs at the pace of current growth projections. Commissioners say
they will use the 6 to 12 month moratorium to draw up plans for adequate
schools, parks and recreational facilities, roads, water service and
zoning of environmentally sensitive areas.
For the News and Observer's coverage of this story, click
here or email jdervin@carolinachamber.org
for a copy of the Herald Sun's coverage of this story.
Pittsboro
Water Quality Concern & North East Chatham Water Restrictions
High levels
of a chlorine byproduct in Pittsboro’s water supply have caused
some residents to worry about possible health risks. Pittsboro is
working with Hobbs Upchurch and Associates to reduce total trihalomethanes
(TTHMs) in the water supply as they exceed the federal limit by almost
50%. Long term exposure to TTHMs has been linked to increased occurrence
of bladder cancer. Additionally, water restrictions are in place for
residents in north east Chatham County. It is the only area of the
county served by the county’s water treatment plant. The rest
of the county relies on water supplies purchased from local governments.
For
the News and Observer's coverage of this story, click
here or email jdervin@carolinachamber.org
for a copy of the Herald Sun's coverage of this story.
Pittsboro’s
Taxes May Jump
After
Pittsboro’s initial recommended budget called for the town’s
first tax increase in three years, budget work sessions have produced
a new recommended budget that is likely to have no property tax increases
for residents. The original recommended budget called for a 5.6 percent
increase in property taxes. Town Commissioners will vote on the budget
at next Monday’s meeting. For
the News and Observer's coverage of this story, click
here.
The
Triangle
Triangle
Home Sales
May 2007 Single Average Residential Closing Price
| Orange |
- |
$326,241
|
| Durham |
- |
$199,538
|
| Wake |
- |
$265,936 |
Number of Single & Multi-family Homes Sold
May 2007
| Orange |
- |
209 |
| Durham |
- |
570 |
| Wake |
- |
2,056 |
Source data from www.trianglemls.com;
Chatham County statistical information can be found here.
Rising
Property Values Making Turnpike Less Likely
Rising
property values in western Wake County are creating an uncertain future
for the proposed 18-mile Triangle Expressway that would run through
Research Triangle Park. When the extension of Raleigh’s Outer
Loop was detailed in 2002, the cost of right-of-way purchases was
estimated at $52 million. In 2006 that figure increased to $135 million,
and recent figures put the estimated costs of right-of-way purchase
by the Turnpike Authority at $233 million. State legislators are already
wary of the $18 million per year requested by the Turnpike Authority
to make up the difference between operation/construction costs and
the revenue generated annually by users. The toll road was slated
to open in 2011, a target date unlikely to be met.
Email jdervin@carolinachamber.org
for more information on this story.
‘Reclaimed
Water’ Helps Limited Supply
Neighborhoods
in Cary and Raleigh are using ‘reclaimed water’ to avoid
summer water restrictions. Water that would otherwise be discharged
as treated sewage is being pumped into certain neighborhoods to water
lawns. Reclaimed water is less expensive for residents than watering
with drinking water and carries no restrictions in how much it can
be used. In Orange County UNC-Chapel Hill will begin using reclaimed
water for heating and cooling purposes by the end of next year, which
will save upwards of 7 to 15 percent of OWASA’s drinking water.
The growth in use of reclaimed water is projected to ease about 10
percent of the annual demand for drinking water in our region by 2040.
For the News and Observer's coverage of this story, click
here.
Knightdale Caps Affordable Housing
Knightdale
Town Council voted unanimously for an affordable housing policy that
will drastically limit its supply of low-to-moderately priced homes.
The policy caps the number of affordable units at 120 for the town,
which is12 more than already exist within Knightdale. Council members
are concerned that additional affordable housing units will lower
property values, increase crime and further Knightdale’s reputation
as Raleigh’s affordable neighbor. Housing advocates have threatened
to sue over the ordinance that utilizes caps on the number of water
hook-ups to limit affordable units. Just two years ago, the council
established a policy calling for new single-family homes to be at
least $185,000, which is above the town’s median value. By comparison,
3.2 percent of Knightdale’s housing stock is currently subsidized
for low-to-moderate incomes while Raleigh’s figure is 1.4 percent.
Cary, Apex and Garner have even lower percentages of affordable housing.
For the News and Observer's coverage of this story, click
here.
State
Homeowners
Unhappy with Current Annexation Law
100 members of
the growing anti-annexation coalition attended a hearing before state
lawmakers on a proposal to study North Carolinas annexation law. For
almost 50 years North Carolina towns have been able to annex certain
properties without the prior approval of affected residents. Referendums
are not required when the annexing town provided town services, such
as water/sewer and municipal waste collection to the annexed area.
The original purpose of the law was to encourage urban growth in what
was a primarily rural state 50 years ago. Critics of this type of
annexation often accuse municipalities of using annexation to generate
tax revenue. The legislature is not expected to alter the current
law until additional research on the effects of the current law are
determined.
For the News and Observer's coverage of this story, click
here.
NC
House Votes to Restrict Eminent Domain
The North Carolina
House of Representatives overwhelmingly voted to approve a measure
that would limit the ability of governments to seize private property
for purposes of economic development. The law will allow governments
to seize property only for public use projects such as road construction
or public works. For public-private economic development projects,
governments ill have to negotiate with property owners to secure land.
Several states have initiated similar measures in reaction to a recent
United States Supreme Court decision allowing eminent domain for economic
development projects when a state statute does not already prevent
it. The measure faces more opposition in the State Senate, but if
passed will go before a state-wide referendum before the end of 2008.
For the News and Observer's coverage of this story, click
here.
National
Trends
Home
Appreciation in Triangle Outperforms U.S. Average
Homeowners
in the triangle can smile as their average home appreciation rate
is much higher than the national average. In the first quarter of
the year, homes in the Raleigh-Cary metropolitan region appreciated
at 6.42 percent while homes in the Durham-Chapel Hill region appreciated
at 7.07 percent. The national average hovered at just 4.25 percent,
well short of the 12.6 percent pace from the first quarter of 2006.
This is good news to Triangle homeowners who remained largely unaffected
by the recent booms and busts of the housing market.
For
additional stats and figures see the News and Observer’s coverage
of this story, click
here.
Americans Want Bigger Homes
Despite
the fact that the average household size has shrunk nationally to
2.6 people per unit, the average new home is now almost 400 square
feet larger than the average new home in 1990. Suburban homebuyers
seeking luxury fuel much of this large-home boom. Utah leads the nation
in its percentage of homes with at least 4 bedrooms and also has the
highest average number of persons per household at just over 3.07.
For
additional coverage of this story, click
here.
Links
Town of Chapel Hill
www.townofchapelhill.org
Town of Carrboro
www.townofcarrboro.org
Town of Hillsborough
www.ci.hillsborough.nc.us
Orange County
www.co.orange.nc.us
Chatham County
www.co.chatham.nc.us
TMLS Statistics
http://trianglemls.com/tmls-stats.html
