Everything you need to know about this crazy housing market.
Massive news for our housing market: Home and condo sales are down almost 50% month over month. What does this mean for buyers and sellers in our market—are we heading for a crash? In today’s market update, I’ll cover these things and more to ensure that you can make an informed real estate decision in Myrtle Beach.
First, let’s address the big news—single-family home sales are down 43.8% month over month, which could have major implications for our market. However, the average price has surprisingly not fallen yet. In fact, the median home price is still up 13.3% year over year, which is abnormally high. Prices aren’t quite as high as they were during the peak of our market, which was in April, but they are still extremely high considering how much our market has slowed down. Currently, the average sales price in our market is $446,693.
So why is our average price still so high even though sales are down? The main reason is our lack of supply. Inventory is up 92% from this time last year, so it may feel like we have a lot of homes on the market. However, supply was so scarce last year, that even a 92% increase isn’t enough to significantly affect prices. We only have 2.9 months of inventory, which is very low. For context, anything less than six months of inventory is considered a seller’s market.
Meanwhile, buyer traffic is down 41.3% from this time last year. This number makes sense considering our lower number of sales. If you are looking to purchase a home, you will have less competition right now.
Condo sales are reflecting what’s happening in our single-family market. The average condo is selling for $234,000, which is less than the peak of our market but still up year over year. Inventory is up a whopping 187% year over year, but we still only have 2.3 months of supply. It seems as though the market has stabilized at a more comfortable interest rate after the initial shock of higher rates.
What does this mean for you? First, it’s still a great time to buy or sell a home. The holidays are an emotional time for a lot of people, and buying or selling a house is inherently emotional. Plus, people tend to reflect on their lives and plan for their futures during this time of year, so if a move is in their plans, you can make a deal with them.
Second, you need an agent with a lot of tenacity. Our market has shifted, and you can no longer rely on someone who doesn’t take real estate seriously as a full-time career. We’ve seen many agents get out of the business during these tough times, and it’s easy to see why: When the market was on fire, anyone could sell a home. Now, the process takes much more work, so who you hire matters more than ever.
My team and I strive to give our clients the best service possible. We’ll tell you what you need to hear, not just what you want to hear. We’ve been experts in this industry for a long time and have seen markets like this before. We know what works and what doesn’t, so if you are looking to get the best deal possible, please call or email us anytime. We’d love to be your real estate resource!
