The Truth About South Carolina's Stable Housing Market (Greenville, Lane: for sale, real estate market)

[Sheri Sanders]

Please read the following article. Nick has given me permission to post this.

The Truth About South Carolina's Stable Housing Market
Nick Kremydas, CEO
S.C. Realtors

Despite what you may be hearing about a slumping national housing market, South Carolina's housing market is strong and stable. Our biggest problem is not foreclosures or sub prime loans. Our problem is a lack of affordable and attractive housing choices for the middle class. We need to get focused on the factors that are really affecting our market and take steps to address them.

All real estate markets are unique and influenced by local demand, local land-use and building rules, and a host of other factors one cannot see from the generalized scope of national news coverage.

In 2002, SC home sales set a new record at just over 43,000 homes sold. Over half of our metropolitan areas showed price gains over the previous year, with the median price at $152,000. At that time, homebuyers were confident that the real estate market was strong and healthy. In 2007, existing home sales are forecast to be close to 58,000, with the median price holding strong at $160,000. Both 2002 and 2007 show strong sales. Homes continue to prove a good long-term investment. But this year, public perceptions are different, due to generalized and sensationalized national news reports.

Reports of foreclosure and families thrown out of homes seem to make sensational news stories. But, the truth is far less titillating. Our market is stable and strong. It is likely to remain so, thanks in part to population growth and development in all corners of our state. South Carolina is on track to grow by a million more people over the next fifteen years. Every one of these people will need a place to call home. Steady population growth has also increased the value of homes in nearly every corner of the state since 2000. It is a remarkable trend that is mirrored in few other places in the country. The reason for the constant increase in home values is the increasing demand for housing in South Carolina.

2006 was the third best year on record for real estate sales in South Carolina, according to SC Realtor® MLS data. 2007 will most likely rank as the sixth best year on record for sales. The market has adjusted, but only after years of record sales and value appreciation. We are already seeing signs that our markets are improving. That makes us optimistic about 2008. South Carolina's markets are strong and stable.

I encourage all consumers looking to buy, sell or lease real estate to get the true facts about your local real estate market. Be sure to get these facts from a local Realtor, because nobody knows South Carolina real estate like a South Carolina Realtor.


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South Carolina REALTORS® is the largest professional trade association in the state, serving as the voice of real estate for more than 23,000 members involved in all aspects of the residential and commercial real estate industries. REALTOR® is a registered trademark that identifies a professional in real estate who subscribes to a strict code of ethics as a member of SCAR and the National Association of REALTORS®.

Nick Kremydas, CEO

[slumberval]

I've noticed several posts from home sellers in the last few weeks on here...

As a professional non-licensed real estate assistant for many years working for some top notch agents in Colorado here are my observations that sellers really need to pay attention to and be honest with themselves about.

There are 3 things that affect the sale of a home, every real estate agent knows it (or at least they should) but many are afraid to tell the truth to their sellers for fear that they'll walk and find an agent who will tell them what they want to hear- which, if you're a seller, you know EXACTLY what I mean.

Location
Price
Condition

If any one of those is out of balance it throws the others off and a house will sit and sit and sit and the showings over time just eventually come to a crawl until you're at the point of throwing a party for having your first showing in weeks, if not months.

I often hear people saying, "My house isn't selling, I don't know why" ask yourself this...

Is my property in a good location, easy acess to amenities or job places? Am I on a main thourough fair? What is the neighborhood like and how will prospective buyers perceive it?
If any answers come back somewhat negative, the price needs to be lowered to be competitive.

How am I priced compared to other properties BUT more important than that is, how am I priced compared to what has SOLD RECENTLY in the neighborhood (or if none available, nearby neighborhoods). The bottom line is this. Everyone may be at the same price but if nothing's moving then its the WRONG price. The buyer determines that. If there are houses that have actually moved quickly have your agent find out what the original list price was but again, more importantly, what the house actually sold for- THAT is the price buyers are willing to pay.

Also, be realistic in comparing your home. If you know so-and-so's house down the block sold for WAY more and a lot faster than your home and you don't know why you're not getting any bites there is probably a reason for that. Square footage, condition, basement- basement finish, view, , yard, fencing, yard with landcaping, location, cleanliness (it's all in how it shows), etc. Get the facts about a property before beating up an agent about the property down the road that sold in 2 days.

Condition- All you have to do is spend a Saturday afternoon watching HGTV to figure out what and how to sell a house quickly. Many properties just need a good scrub down and items boxed and stored away so buyers can get the "big picture". I've seen it time and time again... seller's are SO afraid to pack their stuff up and are determined that the buyer needs to like their house as is. Well, certainly, retail marketing doesn't work that way, why would it work for a house? Again, if your house is staged appropriately but has been on the market for a while check location. If your location is ok then look at your price.

By the way, here's a tip... don't ask your agent what they think of your house and if it shows ok. A GOOD agent will tell you an HONEST opinion if they know but many are too afraid to insult their sellers or they may really not know. The reality is this, they are in the business of selling property, not in the interior design business so seek professional services for this. It's more affordable than you might think and you'll pick up some great tips on how to move your property.

Believe it or not... Property IS selling and when it's priced appropriately it will sell in a relatively fair amount of time. Properties are moving, but just bear in mind, whatever price you "think" your house might have sold for (or you bought it for) several years ago doesn't necessarily reflect what it will sell for today. The properties that are selling are the ones that buyers "think" they are getting a great deal on.

Keep in mind too, when it comes to price, since it is a buyer's market, its not the responsibility of the buyer to pay for you to get out of a mortgage that you may be tied to. If you really need to sell your home you need to price it to sell... not what you think it might be worth or what you need to get out of it, even if that means you have to cut your losses and break even or worse, bring money to the closing table.

Good luck... it's not an easy market but with a good agent and some smart planning and research on your end you CAN sell a house in today's market.

[Sheri Sanders]

slumberval, Your post is very well written and is right on the mark! Excellent.

[cheleski68]

great points and so true! my house sat from Jan-Aug. I fixed up some things, lowered the price and it sold when all the ducks were in the right order. now, i'm looking to buy and those things set my criteria STRONGLY and i've been very dissapointed on what i've seen-sellers with pics all over the place, junky homes with smells, odor and work to do, clean and overpriced or renovated, cash taken out in the passed 3 mos, bad schools and a jacked up price-like they really thought in today's market I have to pay for your refinancing priorities to purchase your next home? please, show me the comps in the area for the passed 6mos and square ftg...if the location, presentation and price is right(or not..but i've been rejected from haughty owners who cant accept the comp value on their house) I'll buy it...

2 many sellers are dillusional these days...from a happy to be potential home buyer with GREAT credit and a prequal. letter!

peace

[justNancy]

This thread sounds like an advertisement for the local real estate board!


I totally agree that using a real estate agent, an attorney and a reliable inspector is important. I also know that the wrong one can steer you right into a hole you'll have trouble digging out of for a lifetime.

Like any profession, experience, hard work and "listening" to the buyer's needs is important. A couple of years ago there was a TV ad for a real estate company (Century 21?) that was cute. It showed a car stopping at every ranch style home on the street. All you could hear was "but I don't want a ranch." Then you'd hear "how about this one?" ...and it was another ranch!


In the end, only the homeowner can make the decision if buying a home is the right thing to do.

Here's a story for you. Before I began looking at Greenville, I thought that relocating to another area of FL might be a better idea. So I wanted to see homes online and signed onto a web site. As you probably know, it's usually necessary to register (no obligation of course) to view the photos and details of the listings. Because of this, I get emails with listings from time to time. A few weeks ago I received an email from an agent in Vero Beach, which is on the other side of the state. It had a photo of a home in my price range. When I called the agent, she wasn't very responsive or even attempted to be friendly. I said "Hi, my name is Nancy XXXX from Bonita Springs. I'm looking at your email with the listing on 1234 Dreamhouse Lane." No, I don't expect someone to be my best friend and invite me over for Christmas dinner (although it would be nice. lol) but she had no clue who I was and just said "I sent out 3,000 of those emails. You can't expect me to remember who you are." So even if I wanted to buy a home in Vero Beach, she's off my list!