As we reach the halfway mark for the year we are finally able to make some year-over-year comparisons and across the board we are seeing marked improve- ments. The market is moving from warm to hot quite quickly with a definite shift from a buyer’s market toward a seller’s market. The first half of 2014 compared to the first half of 2013 shows us that home sales in McClellanville are up 75% while homes sales in Awendaw are up 29%. When we look at land sales, we can see how that section of the market is finally breaking loose as well; up 60% in Awendaw and a whopping 130% increase in McClellanville compared to last years numbers. My opinion is that Awendaw sales have only slowed due to a lull in inventory, because there are plenty of buyers anxious for a little more peace and quiet while still in close proximity to the amenities that Mount Pleas- ant and Charleston offer.
It’s important to note that as is always the case in McClellanville and Awendaw, these small sample sizes can easily be skewed, but trends are clear to see – this market is on the move! Homes are going under contract within days and weeks instead of months and years.
Just as I predicted, we have seen a flurry of real estate activity caused by several “piggy-back” deals; that is, the chain reaction like effect of a seller finally being able to purchase a home because someone is purchasing their home, which then in turn allows another seller to buy and so on. While a natural real estate phenomenon, the impact of a handful of sales on a small niche can’t be overlooked in how quickly it can turn around an entire community.
Probably the most hopeful information that I am seeing is that people are looking at building again. The land market has been so sluggish over the past few years because foreclosures and short sales had driven down the cost of existing homes, while building materials and construction costs remained relatively high. It just didn’t make any sense to build until recently.
With home prices back on the rise and inventory of desirable homes shrinking, we are now seeing people not just buying land as a long-term hold or investment, but for immediate housing consideration. In an area where we haven’t seen 4 houses built in many years, I now know 4 people with contracts pending on land with plans to break ground in the next 6 months. It’s for the real estate market, but also for the job market, with carpenters and contractors instantly becoming a commodity.
As I see it, growth in the market right now is slowed by one major factor. A complete and utter lack of long-term rental inven- tory is preventing many people from moving to the area. Many people like to rent for 6-12 months to get to know an area before deciding to purchase. Some also look to rent because they either need to repair their credit before they can purchase or are wait- ing to sell the home they still own where they are moving from before they are able to afford to buy. There is no easy solution in an area like this, but the huge demand presents a great opportunity for investors looking to purchase homes and turn them into income producing properties.
Buying?
You may be used to seeing houses sit- ting on the market for months and even years, but the best deals are now selling in days…with multiple offers. Some properties are even selling before they hit the market. Buyers are recommend- ed to have their financial ducks in a row at all times so they are ready to make an offer when the right property comes on the market. Your MCVL Realty agent will work diligently to find the perfect property and guide you through the purchase process. Savvy buyers are tak- ing advantage of interest rates and home prices while they are still low.
Selling?
If you have a property for sale, it may be time to consider a new marketing approach. If you’ve been waiting for the market to pick back up to sell your Mc- Clellanville or Awendaw property, now may be the time. MCVL Realty is best able to provide keen insight on the par- ticulars of your property and help you get the best price in this ever changing market. Contact Daniel or Oliver today for a free, no-pressure consultation to discuss all of your options.
If you have a property for sale, it may be time to consider a new marketing approach. If you’ve been waiting for the market to pick back up to sell your Mc- Clellanville or Awendaw property, now may be the time. MCVL Realty is best able to provide keen insight on the par- ticulars of your property and help you get the best price in this ever changing market. Contact Daniel or Oliver today for a free, no-pressure consultation to discuss all of your options.
Renting?
McClellanville and Awendaw rentals remain extremely scarce due in part to high demand, but also to generally low inventory and lack of multi-family buildings. If you are not in a position to buy, we can notify you when a rental meeting your needs comes available. In a competitive rental market, you need to make yourself be the most appealing rental prospect by improving finances and building up enough savings for the security deposit and first month’s rent. MCVL Realty also manages vacation rentals which can be seen at the end of this magazine.