February Market Update: Residential Real Estate Sales Outpace Demand
RESIDENTIAL REAL ESTATE SALES CONTINUE TO OUTPACE DEMAND
CHARLESTON, SC—(March 10, 2021) 1,654 homes sold in February in the Charleston region at a median price of $329,334 according to preliminary data released today by the Charleston Trident Association of Realtors® (CTAR).
Year-to-date, sales have increased 24% with 3,090 homes sold thus far in 2021 compared to 2,487 at this point last year. Median price is $324,180, a 12% increase from this point in 2020, when the median price was $290,000. Homes are selling nearly 35% faster than last year, due to the increased demand and lack of supply, the average time a property stays on market is 41 days.
Inventory data shows 74% fewer homes for sale over the last 12-month period, with 1,739 homes listed as “active” for sale in the CHS Regional MLS database at the end of February—representing less than one month of available inventory, a new record low. For comparison, in February 2020, our region had just over 3 months of inventory.
“We’ve reached an unprecedented low in terms of available housing in our region” said 2021 CTAR President Rusty Hughes. “We have just under a month’s worth of inventory available and the market continues to be extremely competitive for buyers” said Hughes. “The inventory shortage is pushing prices up as demand continues to outpace supply and we do not expect that demand to slow any time soon” he said. “We do expect to see the traditional uptick in inventory come online over the spring and summer” said Hughes.
The appeal of Charleston continues across both the residential and commercial fronts, as Charleston was named a “Top 10 Commercial Real Estate Market” by the National Association of Realtors® (NAR). NAR identified the top 10 markets with stronger economic and commercial market conditions when compared to the national averages or indicators.
In identifying these markets, NAR considered 25 indicators based on the latest data as of 2020 Q4 on the area’s economic, demographic, housing, and commercial market conditions in the multifamily, office, industrial, retail, and hotel property sectors.
Charleston makes it to the top commercial markets because of our strong economic growth of 3% in 2019 compared to the US economy (2.2%). Charleston has a lower unemployment rate of 4.1% as of December 2020 compared to the national rate (6.7%). The office vacancy rate was 9.4%, which is lower than the national average (15.5%) and while the local economy is being impacted by the decline in hotel and leisure business, the construction of industrial properties is buoying up the economy, with 2 million sq. ft. under construction, or 2% of the current industrial space.
Preliminary data showed 1,421 homes sold in January in the Charleston region at a median price of $314,900. Updated data now shows 1,436 sales at the same median price.
477 homes sold at a median price of $267,970 in Berkeley County in February, 426 single-family homes and 51 condos/townhomes.
Year-to-date, 781 single-family homes have sold at a median price of $311,265. Today’s report shows a 34% increase in sales and 12% increase in median sale price. 99 condos/townhomes have sold at a median price of $215,990 so far this year—a 27% increase in sales and 15% increase in pricing.
There are currently 394 residential properties for sale in Berkeley County; 361 single-family homes and 33 condos/townhomes.
806 homes sold at a median price of $345,475 in Charleston County in February, 600 single-family homes and 206 condos/townhomes.
Year-to-date, 1,121 single-family homes have sold at a median price of $439,000. Today’s report shows a 20% increase in sales and 14% increase in median sale price. 372 condos/townhomes have sold at a median price of $262,950 so far this year—a 30% increase in sales and 3% increase in pricing.
There are currently 907 residential properties for sale in Charleston County; 594 single-family homes and 313 condos/townhomes.
24 homes sold at a median price of $224,000 in Colleton County in February, 21 single-family homes and 3 condos/townhomes.
Year-to-date, 47 single-family homes have sold at a median price of $205,000. Today’s report shows a 6% decrease in sales and 8% increase in median sale price. 7 condos/townhomes have sold at a median price of $237,500 so far this year—a 40% increase in sales and 12% decline in pricing.
There are currently 53 residential properties for sale in Colleton County; 49 single-family homes and 4 condos/townhomes.
295 homes sold at a median price of $238,725 in Dorchester County in February, 264 single-family homes and 31 condos/townhomes.
Year-to-date, 489 single-family homes have sold at a median price of $285,000. Today’s report shows a 19% increase in sales and 9% increase in median sale price. 59 condos/townhomes have sold at a median price of $187,000 so far this year—a 7% increase in sales and 2% decline in pricing.
There are currently 185 residential properties for sale in Dorchester County; 161 single-family homes and 24 condos/townhomes.