Mt. Pleasant Residential Market Moving Along
It is another sunny day in Charleston! And, contrary to the doom and gloom that we read in the papers every day, our residential real estate market seems to be "moving along" towards a recovery.
INVENTORY - is still coming down slowly. We peaked at 2025 units in July 0f 2007, currently at 1623 units.We are already seeing some For-Sale-By-Owner signs around, so inventory will probably grow in the next two months as sellers try to catch the Spring/Summer buying wave, and decrease during the summer months when those sales close.
UNITS SOLD PER MONTH - we bottomed at 46 units in November last year, and we are back to 93 units for March 2009.
ABSORPTION - Although absorption went up in the last two months, we still have an average of 17 months' inventory on the market, so we are still clearly in a "Buyer's Market".
SHOWINGS - We experienced a flurry of activity in February, and then a strange slowdown in March. However, showing activity is back up in April, probably due to low interest rates and the new $8,000 tax credit for first home buyers.
DISTRESS SALES - Although the level of distress sales (short sales, foreclosures, lender-owned) homes is still rising and it is affecting prices, numbers are still low compared to other parts of the country (i.e. Florida, California, Nevada, Michigan)
My "crystal ball" tells me that we are going to see some increased activity April-June and then a level Buyer's market until the end of the year.