It’s a seller’s paradise… for now
If you’re still seeing for sale signs popping up around your neighborhood, you’re not alone, and for good reason. This could very well be the best time to sell a home in Charleston in the last decade because demand for homes is the highest we’ve seen in awhile. Demand is being driven by expanded job opportunities, positive media exposure and an encouraging economic outlook for the Charleston area. As a result, buyers are aggressively pursuing new listings. Adding to the frenzy is that the housing inventory around the Holy City is extremely low which limits buyers’ choices and increases competition. Many listings are receiving multiple offers as buyers get into bidding wars, which drives prices higher; a great thing for homeowners looking to sell.
An Unusual Ending to summer
This Spring and Summer was one of the most active periods in Charleston real estate history. Families looking to purchase a home generally do so in these peak summer months when the kids are out of school and there is a more flexible schedule allowing them to shop for a new home. After July families that are shopping for a new home begin to taper their search and settle in until the spring. Typically the real estate market follows this same curve and there is a slowdown after summer, generally in the beginning of August. As Fall begins, transaction activity continues to diminish until spring time of the following year. However, August 2016 was 25% more active than August 2015 AND sales prices were up 10% compared to the same time a year ago!
Although this burst of activity is impressive, it isn’t expected to stick around for an extended period. One thing it has done is helped to push the median sales price to a new all-time high in Charleston. The median sales price in Charleston is $243,560 up from $223,000 at this same time last year. That’s a gain of over $20k! What’s more impressive is that there are specific areas that gained more than twice that.
Areas of Strength in charleston
As a homeowner, it is an exciting time to be in Charleston. Values continue to rise at a sustainable rate while demand remains elevated. There are several specific areas around Charleston that are in exceedingly high demand with very low inventory. These represent areas of strength if you are a homeowner looking to sell.
Specifically, the outlying areas around Charleston have been flying off the shelf over the last few weeks which has depleted inventory there. Places like rural-West Ashley, Hanahan, and areas in Summerville all have less than 2 months of inventory (MOI). Generally, 6 months of inventory is considered to be a balanced market, so these areas are in DEEP seller’s markets right now.
Other areas like James Island, Mt. Pleasant, Daniel Island and Johns Island have been in demand all year and continue to sell at a fast pace. These areas saw a slight increase in inventory after summer which is to be expected with the seasonal slowdown, but they are still in deep seller’s markets as well. Each of these areas has less than 4 months of inventory (MOI), well below the 6 MOI line which means there is still substantially more demand than inventory.
If you are wondering how much your Charleston home is worth, wondering when the best time to list is, or just have questions about the buying or selling process. Contact me today! Everyone’s situation is different which makes it imperative to consult with a real estate professional about your specific options. Feel free to call or email me anytime:
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