Hilton Head Island Real Estate Market Update – August 2024
A shift in Trends
The charming island of Hilton Head, South Carolina, is witnessing a dynamic shift in its real estate market dynamics as we stride into August 2024. Several key trends have surfaced that necessitate attention from potential buyers, sellers, industry professionals, and interested observers.
The average duration for properties on the market has seen a gradual increase; properties are staying on the market for nearly 60 days, a rise from 46 days this time last year. This incremental rise points towards a slight tempering in the rate at which homes are being sold, effectively meaning that buyers have a fraction more of time to make their decisions.
Adjustments in Sale Prices
In matters related to sale prices, properties currently seem to be selling for just under 96.0% of their original asking price, a dip from 97.1% last year. Translating to approx a $11,550 based on the median sales price, this decline, although marginal, mirrors a market where sellers are making concessions to seal deals.
The pace of new listings has also taken a slight hit recently, impacting the available inventory. A 10.2% year-over-year increase in inventory, rising from 703 properties to 775, has been reported. But, this figure has dropped from 816 in the previous month. This decrease gives a hint at the fluctuating supply in the market.
An Overview of Sales
However, keeping things in perspective, the current inventory seems minuscule in comparison to the 1,763 properties available in 2019, indicating the market’s resilience and strength to date.
Closed sales of the past month have reached a total of 167 properties, which is a 9.2% decrease from the same period last year. Contrarily, the year-to-date sales have witnessed a surge by 33.6%. Given the 775 properties still up for sale, the absorption rate has slightly increased to just over 4.6 months. This rise suggests Hilton Head Island’s market, albeit being a seller’s market, is transiting towards a more balanced, neutral market.
Upcoming Influencers
As we look ahead, an upcoming factor to watch out for is the speculated reduction in the Federal Funds rate. If manifested, this could influence mortgage rates and subsequently, buyer activity.
The median year-to-date sale price for homes in Hilton Head Island registers a modest increase of 1.45% over the past year. This steady growth symbolises the ongoing demand and value appreciation in the area.
What Lies Ahead
With the general elections around the corner, some buyers and sellers may choose to standby to observe any potential impacted market activity. It is essential to stay informed about these trends as the real estate market here continues to evolve under the impact of growing inventory and strong demand.
Stay tuned as HERE News Network brings more updates and insights into Hilton Head Island’s exciting real estate market. Wishing the residents a great August!
