Blog, Market Reports
Jan 14, 2021
The Hilton Head and Bluffton, SC area has seen a dramatic increase in the volume of properties
sold in 2020 compared to 2019. One of the remarkable stories to come out of the “Year of Covid-19” is the migration of families wanting to move away from densely populated areas of the country and live in the natural beauty afforded to us in the South Carolina Lowcountry.
Below, we share some insight into what is driving the market and why right now may be the time to sell your Hilton Head or Bluffton home if you’re considering your next move.
The housing market made an incredible recovery in 2020 and is now positioned for an even stronger year in 2021. Record-low mortgage interest rates are a driving factor in this continued momentum, with average rates hovering at historic all-time lows.
According to the latest Realtors Confidence Index Survey from the National Association of Realtors (NAR), buyer demand across the country is incredibly strong. That’s not the case, however, on the supply side. Seller traffic is simply not keeping up. Here’s a breakdown by state:
As the maps show, buyer traffic is high, but seller traffic is low. With so few homes for sale right now, record-low inventory is creating a mismatch between supply and demand.
NAR also just reported that the actual number of homes currently for sale stands at 1.28 million, down 22% from one year ago (1.64 million). Additionally, inventory is at an all-time low with 2.3 months supply available at the current sales pace. In a normal market, that number would be 6.0 months of inventory – significantly higher than it is today.
Buyers need to remain patient in the search process. At the same time, they must be ready to act immediately once they find the right home since bidding wars are more common when so few houses are available for sale.
Sellers may not want to wait until spring to put their houses on the market, though. With such high buyer demand and such a low supply, now is the perfect time to sell a house on optimal terms.
The real estate market is entering the year like a lion. There’s no indication it will lose that roar, assuming inventory continues to come to market.
Ready to make your next move? Let’s schedule a time to meet (in-person or virtually ) and discuss if now is the right time for you.
Expect the best!
Julie Toon Timms
Hilton Head Island Real Estate Brokers, Inc.
If you want to make a little piece of The Island your own, you need more than just a road map and a REALTOR. You need a partner who can make things happen.
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