The latest news and information on the shifting real estate market.

In this market update for the Bluffton Hilton Head area, I'll delve into the key trends and changes that have shaped the local real estate landscape, comparing Q2 to Q1 of this year, and analyzing how 2023 stacks up against 2022.

Price trends

Let's start by examining the fluctuations in prices during the second quarter of 2023. During Q2, the prices experienced a slight uptick of 2.3% compared to Q1 of this year. However, when viewed in the context of the same period in 2022, the prices have dipped by 5.4%. This decline is particularly notable as Q2 of the previous year marked the peak of pricing.

Supply and demand dynamics

Pending sales surged by 5.7% in Q2, which is consistent with the historical trend of increased home-buying activity during this quarter. Yet, in a year-over-year comparison, this surge is tempered by a marginal decrease.

On the supply side, the number of listings rose by 11.8% in Q2. This surge is in line with expectations, given that April, May, and June are months when buying and selling activities usually peak. However, a more extensive year-over-year analysis unveils a significant contrast. Listings are down by around 10% compared to 2022, primarily due to a large contingent of homeowners who are interested in selling but are constrained by higher interest rates ranging from 6% to 7%.

“The Bluffton Hilton Head area's real estate landscape may be evolving, but with the right insights, you can make the most of its opportunities.”

Impact on pricing and seller expectations

The effect of interest rates on pricing is evident. While the year-over-year price trend shows a moderate decline of 5.4%, the percentage of list price that sellers can expect to receive has also been influenced. In the current quarter, there hasn't been a substantial change in this percentage. However, the difference emerges when comparing it to last year's figures. In 2022, sellers were fetching 100.4% of their asking price, whereas in 2023, this figure has dipped to approximately 98%. This shift suggests that sellers might need to be prepared for a potential 2% difference between their asking price and the final sales price.

Days on market

Selling a property in Q2 has become a more patient endeavor. Homes are taking around 50% longer to sell in this quarter compared to Q1. A more remarkable change is evident when we compare this year's Q2 with the same period last year. Selling time has nearly doubled, indicating a shifting dynamic in the market.

For those considering entering the market as sellers or buyers, it's crucial to understand how these trends impact your decisions. If you're contemplating a move in the near or distant future, the market's fluid nature might seem overwhelming. I’m here to provide insights, guidance, and clarity. Whether your plans are set for three months, a year, or even three years from now, each home and neighborhood's unique characteristics demand expert analysis.

Don't hesitate to reach out to me by phone call or email for a no-obligation appointment. I’m ready to help you navigate the complexities of the market and ensure your decisions are well-informed and aligned with your goals.