S.C. Home Prices Continue to Rise While Sales Slip

Home sales across South Carolina continue to decrease as interest rates and costs continue to rise. In August, 8,280 homes were bought and sold at a median price of $332,500 which is 4.2% higher than the median one year prior. The late summer price increases, however, are dwarfed by the double-digit increases seen during the COVID-19 pandemic.

A home in South Carolina now costs about 42% more than it did in March of 2020 when the pandemic first hit the U.S., and more than double the price from a decade ago. The Hilton Head and Beaufort regions have experienced the largest increases in price year to date with home prices in Hilton Head up 13.3 percent to $510,000 and homes in Beaufort up 8.1 percent to $400,000. Only the Rock Hill and Orangeburg markets experienced declines in median home prices.

Year-to-date home sales in South Carolina have declined by 16.9 percent from 2022 levels. The main factor behind this decline have been rising interest rates, which Freddie Mac reported this week have reached the highest levels in 23 years with the average 30-year fixed mortgage rate sitting at 7.49 percent. A recent July report from the Atlanta Fed highlights that the median American household needed 44 percent of its income to cover annual payments on a median-priced home.

Does this mean you should not be looking to buy a home. No not necessarily. There are options out there that local real estate agents can share that make buying and selling today an opportunity. Check with the local read estate broker for how home buying and selling can work to your advantage in today’s market place.