Market Update: Hyperlocal Real Estate Market and Interest Rates
In the video below Alan discusses the hyperlocal nature of Charleston's real estate market and the impact that the rise in prices and mortgage interest rates may have on affordability.
One of the most common questions we as realtors receive is 'How is the real estate market?'. That question has many different ways of answering it.
In the U.S., the market is healthy and overall, the local Charleston market is pretty hot. However, once delving deeper into the market and examining at a "hyperlocal" level, we see that there are some pockets within the Charleston market that are behaving differently.
While Zillow® may not be a fully trustworthy tool for pricing individual homes, we believe they are very good at aggregating data to identifying market trends.
Zillow® market report for Zip 29464 (South Mount Pleasant) labels it as "Cold", and 29466 (North Mount Pleasant) as "Very Cold" indicating that both are "buyer's markets", contrary to the the general public and media perception that Mount Pleasant is a "Hot" market. Even though the Mount Pleasant market is still undersupplied (currently at slightly less than 4 months' inventory, so presumably still a seller's market) the overall temperature of the market is labeled is "cold", meaning that the market is slowing down and will be changing for the worse.
A slight price correction is predicted this year, but a 2% price increase is predicted over the next 12 months.
If you would like to gage the "temperature" of your neighborhood call/text us at 843-900-0155 or email us at firstname.lastname@example.org.