August Market Update:
The news of the market’s demise has been grossly exaggerated. Did you know that single-family home prices went up in July? Did you know that mortgage rates have only gone up 0.5% since March of this year? And they are almost 0.8% LOWER than they were in June. FYI- the Federal Funds interest rate increases in the news ARE NOT the same thing as the prevailing Mortgage Interest rate.
It's easy to be attracted to market busting, the sky is falling, calamitous news. But… I look at numbers and facts. Here are a few figures and stats from our latest report from the Coastal Carolina Association of Realtors.
Supply is up. Praise the Lord, hallelujah, we have more homes on the market. It's only 2.2 months of supply (a balanced market has 4-5 months) but we have twice as many properties for sale than we did 5 months ago. What does that mean? It means buyers have a little more power but it's still a seller’s market. With more supply, properties are on the market for a little longer and sellers are more likely to negotiate terms, repairs and price.
Prices are up… and down. Single-family home prices went up by almost $10,000 in July. Interestingly, condo prices fell by around $11,000.
There were 20% fewer closings in July (1,458) than June (1,819). Interestingly… there were also fewer new listings put on the market too. In May, there were 2,384 properties added to the market. Then an 8% decrease of new listings in June (2,207) and another 6% drop in July (2,079). What does this mean? It means that sellers are eager to get their homes on the market ahead of a continued trend of more supply in our market. And it also means that there are a lot of buyers waiting on the sidelines to see what happens.
Do I think it's a good time to buy or sell? That answer depends on you, your situation, and your goals. If you are interested in selling or buying in this market or just want to have a conversation, please don’t hesitate to contact me. I’m happy to be a resource and would love to connect!
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