What’s going on in the Charleston, SC real estate market? Let’s look at some numbers today and see what story they tell.
(Unless otherwise noted, the figures below refer to single-family detached homes and come from the July 2022 reports of the Charleston Trident Association of Realtors®, all of which you can find here.)
Inventory
Inventory of Homes for Sale in Charleston County: +7.6% change from July 2021 (807) to July 2022 (868)
While inventory is slightly up overall, this varies significantly from area to area. Here’s inventory in a few select hot markets within the Charleston market, to give you a better idea:
- Daniel Island: -35.3% change from July 2021 (34) to July 2022 (22)
- Downtown Charleston: -46.2% change from July 2021 (91) to July 2022 (49)
- Isle of Palms: +27.5% change from July 2021 (40) to July 2022 (51)
- Lower Mt. Pleasant: +19.2% change from July 2021 (78) to July 2022 (93)
However, new listings in Charleston County are down: -17.3% change from July 2021 (837) to July 2022 (692)
Sales
Year-to-Date (YTD) home sales have dropped in Charleston County and are significantly down in some areas within the county.
- Closed Sales in Charleston County: -16.9% YTD (from 4976 in 2021 to 4133 in 2022)
- Daniel Island: -34% YTD (from 196 in 2021 to 129 in 2022)
- Downtown Charleston: -31.9% YTD (from 260 in 2021 to 177 in 2022)
- Lower Mt. Pleasant: -25.2% YTD (from 612 in 2021 to 458 in 2022)
- Isle of Palms: -35.8% YTD (from 176 in 2021 to 113 in 2022)
Sales Prices
YTD Median Sales Prices across the Charleston region have increased between +16-32% depending on the individual area.
- Median Sales Price in Charleston County: +15.3% YTD (from $498,680 in 2021 to $575,000 in 2022)
- Daniel Island: +31.7% YTD (from $1,317,400 in 2021 to $1,735,000 in 2022)
- Downtown Charleston: +29.5% YTD (from $992,500 in 2021 to $1,285,000 in 2022)
- Lower Mt. Pleasant: +26.4% YTD (from $720,000 in 2021 to $910,000 in 2022)
- Isle of Palms: +17.6% (from $1,700,000 in 2021 to $2,000,000 mil in 2022)
Affordability
The greater Charleston area is less affordable than it was a year ago. The Housing Affordability Index, where higher numbers mean more affordable and lower numbers mean less affordable, gives us a snapshot of how affordable housing is in an area.
Housing Affordability Index for the Charleston Trident Area: -32.7% change, from 107 in July 2021 to 72 in July 2022.
What’s Next?
The National Association of Realtors® (NAR) puts out detailed data regularly and makes forecasts on the future of the U.S. housing market (which you can find here). In its most recent report, the forecast shows home median home prices rising substantially over the course of the year:
- Existing home prices compared to a year ago, 2022 (vs. 2021): +11.5%
- New home prices compared to a year ago, 2022 (vs. 2021): +8.7%
The NAR is forecasting a very different picture for 2023:
- Existing home prices compared to a year ago, 2023 (vs. 2022): +2.1%
- New home prices compared to a year ago, 2023 (vs. 2022): -0.3%
- Within the local market, median sales prices in Daniel Island are forecasted to see +8% growth over 2022 and +4% growth in 2023.
What Does It All Mean?
The Charleston area market, like real estate markets across the country, has seen big changes in the last couple of years. Right now, we’re seeing low inventory coupled with high demand that’s driven prices up and resulted in fewer closed sales. The rate of increase in home prices is expected to slow down but will likely increase over the next year.
What does it all mean for you? I’d love to talk to you about it. My name is Kenton Selvey and I’m a Realtor® with William Means here in Charleston. I can help you make sense of the numbers above and talk about what they mean for you and your family – such as whether now is the right time to buy or sell, what areas offer the best value for your dollar right now as a buyer, or how to price your home right as a seller.
