These MLS statistics show Charleston’s housing market performance for January through September of 2014. Most areas of Charleston in the under $250K price range are a strong sellers’ market with an average 3 month absorption rate. In other words, if no new listings were to come onto the market, it would take only 3 months to sell the current inventory based on the rate of homes selling. The hottest markets like James Island, Mt. Pleasant, and Daniel Island have a 1 to 2 month absorption rate.
The $250-500K price range also indicates a sellers’ market with an average 4 month absorption rate. In price ranges higher than $500K, the area determines whether it is a buyers’ or sellers’ market.
In terms of supply and demand, this chart helps to give a better perspective of why we’re seeing the best new listings go under contract quickly, often with multiple and full price offers. The low inventory of homes for sale combined with a growing demand from buyers in the under $500K price makes for an ideal market for sellers in Charleston. Sellers are increasing their list prices and negotiating very little right now (some areas and neighborhoods as little as 1% when you compare list price to close price stats in the MLS).
Here is a brief summary of the tri-county Charleston housing market:
- New listings are up 5.1% over last year and 23.3% over 2012.
- Closed homes are up 6.4% over last year and 33.6% over 2012.
- Closed Volume is up 10.9% over last year and up 51.3% over 2012.
- The median sales price is up 6% from 2013 and up 14.8% from 2012.
Keep in mind that for these averages the slower markets like the beaches and rural Charleston are balancing out the strongest markets with huge gains such as:
See the chart below for a breakdown of housing market statistics by area. This will help you to compare the number of homes closed, median sales price, and the average price per square foot for 2014 and 2013.