The Daniel Island real estate market today indicates that home sales will appreciate at slower rates entering 2023, while days on the market and inventory will likely increase, although at different rates for single-family homes and townhouses or condos. Buyers and sellers can expect advantages when planning a home transaction next year. To better understand what’s projected for the area in 2023, here’s what you need to know about current real estate market conditions.
Median sales prices for single-family homes in Berkeley County are up 11% compared to last year
Closed sales for single-family homes have decreased by 27%
Single-family homes average 30 days on the market, an 88% increase
Inventory in Berkeley County is up 71%
Daniel Island housing market
Sellers listing their homes on Daniel Island today likely feel the benefits of increasing median sales prices. While the average days on the market increased year-over-year, 30 days is still a reasonable time for sellers to sell their houses. Those interested in the market for condos and townhomes in Berkeley County will find many parallels between this market and single-family homes: fewer closed sales, higher median sales prices, more days on the market, and increased inventory.
2023 predictions for Daniel Island
Although inventory is currently on the rise for property types like single-family homes, tight inventory will also impact the housing market entering 2023. The lack of housing overall, and fewer new homes to supplement inventory, will make it difficult for buyers searching for Isle of Palms real estate. Additionally, more competition from new residents interested in the area will keep prices rising. The market in Isle of Palms will likely remain in the sellers’ favor for some time.
The job market across the state also impacts housing demand on Daniel Island. Unemployment rates remain below the national average. Increasing job opportunities will likely bring people into the area, and nearby vacation spots like Daniel Island will remain popular for vacation homes or investment properties. With impressive appreciation rates in the past decade, the Charleston area will continue attracting buyers in 2023.
Buyers in 2023
Buyers should also consider factors like interest rates when financing a home purchase with a mortgage. As of this writing, South Carolina rates for a 30-year fixed loan were 6.92%, while 15-year fixed loans were about 6.30%. To find the best rates, buyers should research several local lenders and mortgage types before getting preapproved. The cost of living on Daniel Island is higher than the national average, which can be a barrier to some buyers. This discrepancy is particularly evident in housing costs, which are more than double the national average.
Sellers in 2023
There are a few things to be mindful of entering the new year. Although the market will remain in the sellers’ favor, it will continue to slow. Sellers should be careful not to overprice their properties, as they may linger on the market. Continued decreasing sales caused by rising mortgage rates will also impact home sales times. Sellers should consider negatively impacted buying power when listing in 2023 and the possible challenges of finding a new property once they’ve closed on a sale.
Daniel Island in 2023
When ready to plan your 2023 home transaction, contact trusted local agent Kenton Selvey.
*Header photo courtesy of Shutterstock