Charleston SC Real Estate Market Update: Record Breaking Buying Activity!
The Charleston real estate market just set a record for the 4 busiest weeks of buying activity in our history! We’ve only had a handful of weeks ever where over 350 residential properties went under contract, and we had never had over 400 in one week. Well, the last four weeks saw 439, 397, 421, and 399 residential properties go under contract. Wow!!
Inventory is fairly low, and it can be quite difficult to find a home that fits a buyer’s needs. We are implementing creative strategies to source homes that we can offer to our buyer clients BEFORE they hit the market. Many frustrated buyers are opting for new construction, although builders cannot keep up with the demand in most areas and have slowed down sales on purpose to be able to catch up.
Looking at market activity, prices are rising at only a moderate pace. Overall, our prices per square foot are still 5-10% below where we were at the peak in 2005-2007, and that was 10 years ago.
So, we still have room for more appreciation. Our median sales price in the Metro Area is now about $220,000, but statistical analysis shows that we should be at around $250,000 - additional proof that we still have room for appreciation.
Mortgage credit is available, but it takes a lot more than fogging a mirror now. Buyers need to have to have good credit scores, stable employment and the determination to work through the tedious underwriting process. The Federal Government has implemented a number of new rules that lenders have to abide by to prevent a repeat of what happened in 2007.
In Mount Pleasant, inventory is extremely low and it is now commonplace to experience multiple offers, especially in for single family detached homes under $400,000. We have implemented additional Buyer Coaching Strategies to give our clients a "leg up" the competition. The flip side of rapidly rising property prices is the fact that once again we are experiencing some problems with appraisals coming in below the agreed sales prices. While this can be good for buyers and not good for sellers, in some instances the gap is too wide and the transaction falls through. Download our FREE Spring 2015 Buyer's Guide.
Who do you know that may be thinking of buying, selling or investing in real estate?
We'd welcome the opportunity to help them.
Call us on 843-900-0155.