Today we’re bringing you an update on both the national and local real estate markets. Here’s what you need to know.
In today’s market update, we’ll cover what’s going on now and what’s to come in both the national and local market.
First, let’s cover the national market. Due in large part to low interest rates, growth in the national market has been improving. That means it’s not just a good time to buy, but also a good time to sell.
Earlier this year, we were worried about a possible recession; the good news is that economists are now pushing back the timeline for when the recession is due to hit. In fact, the percentage of economists predicting that the national real estate market would see a recession in 2020 dropped from 50% to 34%.
All in all, there are lots of good things happening in real estate, especially here in Charleston. We’re on target to have one of the best—if not the best—year of real estate ever.
Our local market is looking even better than the national market, and over the next five years, we’re projected to be among the top 10 markets in all of the United States.
So why is now a good time to buy and sell property? That may sound like a contradiction, but it’s not.
It’s a good time to sell because our inventory is very low. We have an average of 3.2 months’ supply of homes in our market, and some pockets within our market have only 1.5 months’ supply. That low inventory really adds energy to the market.
On the other hand, buyers get to take advantage of these incredibly low interest rates. Today, the affordability index on buying a home is three times higher than it was during the recession of 2007. Due to steady home prices, low interest rates, and increasing income, today’s consumers are strong. However, it’s in a buyer’s best interest to avoid multiple-offer situations—stay ahead of the curve by making your purchase before the spring rush.
It’s also important to mention that with the presidential election coming up next year, the second half of 2020 could change how the market operates; elections can have an impact on real estate activity, so it behooves you to make a decision within the next six months.
If you need any help with real estate, whether you’re buying or selling, reach out and give us a call. We’d love to work with you. Until then, happy New Year!
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