Why Dirt Starts Moving in Speculative Home Construction – Residentially Speaking Update for the Charleston, South Carolina MSA by Seay Development.
Overall, we are up 5.9% in terms of number of transactions over this same period from 2013.
We look to be on a pace to sell over 13k homes this year.
A few areas are actually down in number of sales, but this sometimes has more to do with lack of inventory to sell.
The median sales price is at $222k, which is up 6.5% over the same period from 2013.
While median sales prices are now higher than they were at the peak of the market in 2007, there are still a lot of 2005-2007 buyers that are still slightly under water, especially once they have to pay real estate commissions and other fees.
Number of sales and median sales price both show healthy gains in many areas of Charleston.
The months of inventory chart (pictured here) shows that inventory is still at a low-healthy level in most areas.
Some sellers are just waiting until the market improves further.
The residential speculative home building market has been back for a while. Now tracts of properly zoned land has become competitive, but dirt is moving because buyers want inventory. It is simply a factor or limited supply. Certainly those builders that have homes under construction now are in the best position, but new starts can still make sense, especially in infill areas (random parcels here and there may also make sense). Municipalities are cautious to allow too much residential, especially where commercial parcels are being petitioned for rezoning. Certain commercial down zonings make sense, but some do not and developers will need to have sound planning to petition for rezoning in any municipality.
Off market residential properties are also going to get a lot of attention as residential properties are receiving competing offers around town. Let me know if you want to know what your home is worth. I can tell you in about 30 seconds.
My clients and I would truly appreciate you viewing all our properties at http://www.seaydevelopment.idxbroker.com/idx/featured or at http://www.SeayDevelopment.com
Seay Development Real Estate & Business Brokerage. Striving for Excellence Daily. My clients expect exposure… I make sure they get it. Commercial & Residential Real Estate and Business Brokerage Services. David Seay, CCIM, BIC. Free REALTOR Home Valuations if you text (843-364-6720) or email (email@example.com) your property address. You can search the ENTIRE MLS (COMMERCIAL & RESIDENTIAL) at http://www.SeayDevelopment.com. I also have businesses for sale.