Real estate market in Charleston (North Charleston, North: for sale, apartment, foreclosure)

[moneill]

I hope some of them do end up on the market. But I would bet when there are multiple offers on a house -- even if the first deal falls through -- one of the other ones will come through.

[MichaelNYC]

Originally Posted by Flat2MT

MichaelNYC is spot on about renting (Recommend for at least a year) and being patient. Let the great market values come to you - you will be rewarded.

We are actually putting off purchasing a home from the getgo not because of the home sales market and trying to get a guage for what is going on... i.e. will it reduce more... is a home seller sitting there needing to sell after a few months etc etc

We know we can find a home there...
We plan on being there for the long haul.. lets say 20 yrs so the initial price of the home is less crucial... blended over 20 yrs.

We are not purchasing initially because we want to research the area when we move there, as opposed to some visits from time to time and looking on-line.

Our hesitation is finding the right division, sub-division, development, neighborhood, block for us.... that is crucial. The right school system for our son and any more youngins to follow.

Yes while we are reearching right now on-line via some brokers and mls and here on CD... we are checking out areas and finding some interesting points already. We have seen pics of Park West and seems way too cookie cutter to us, though of course we need to drive the entire area to make that decision. We see Dune West is gated, not to our interest. We like the Old Village of MP, seems really nice. We hear perhaps Snee Farms, Hamlin might be good... there are so many areas.. we will once there look all them over, drive around, bike around and see.

That is putting us off from initially purchasing as oppose to renting when there. As I said, we know we can find a home... we need to find a neighborhood

Requirements for a home is basic for us....
duplex/colonial (not many ranches out there anyway I see so far)
front porch (I love to sit on a front porch and chill)
fireplace (my wife insists)
4 bedroom
400K range

We can find a home easily with those wants...
Key is finding a neighborhood that suits us and for our son which is most important. As I said,,, we are in it for the long haul.

[moneill]

I don't see a rush in the next 6 months. I believe that house prices will continue to drop a little in the Charleston area -- not sure if it will be the big drop some are waiting for. It does prove that when you see a house or two or three that seem to be priced a little lower -- you have to move FAST.

[Avery123]

Not sure what you are seeing / experiencing out there.

As of May 10, 2009, the College of Charleston Home Value Index indicates that the value of a typical home in the Charleston Tri-County Area fell by 5.17% in April. In comparison, the change in the index value was -1.29% in February and -3.38% in March. Home Value Index

The South Carolina Realtors indicates in the that Days on Market report of the Charleston Trident area is still increasing as on March 2009. http://www.screaltors.com/mls/SC_DOM_Q109.pdf (broken link)

Similarly, the numbers of properties actually sold is still declining and the median price is still declining as of March 2009. http://www.screaltors.com/mls/SC_MLS_Q109.pdf (broken link)

RealtyTrac.com indicates that foreclosure activity was still increasing as of April 2009 in South Carolina (with Charleston County having one of the highest volumes). South Carolina foreclosures by RealtyTrac

The National Association of Realtors indicates that median sales prices for the Charleston / North Charleston market in the 1st Quarter have declined by 6.6%.
http://www.realtor.org/wps/wcm/connect/882586804e108aadb922ffec21680fb0/REL09Q1T.pdf?MOD=AJPERES&CACHEID=882586804e108aadb 922ffec21680fb0 (broken link)

When you look in the Charleston and Dorchester Counties real estate books or the on-line MLS / realtor websites the inventory is enormous, and quite a number of properties are either vacant or staged. So just where is the bidding war?

[moneill]

See MichaelNYC -- we have been forced to do what you are doing. Because of our house not selling here in ATlanta, we have been 'researching' and 'exploring' the market in Charleston for over a year and a half. I would suggest to anyone who hasn't had that luxury to take the time to rent and explore. We have changed our mind from our first initial discovery phase in the fall of 2007.

Like you -- this is it for us. That was the whole point of moving at this terrible time. It was an opportunity to go where we want to end up in the long term. So if we pay a little more for the almost perfect product -- we don't mind. It will all work out..........

[moneill]

The bidding war house was an exceptional buy. It was already greatly reduced and was priced over 100,000 less than other homes. The key was -- these homes sold at good prices. Yes the prices were reductions from previous months.

I don't know -- we are looking in the 400-500K area and I don't see the inventory growing with our limited guidelines.

Oh and March is so three months ago <G>. Not sure that really matters but it could explain the changes.

[moneill]

Don't get me wrong -- I'm not saying it is all uphill. I predict that prices will continue to drop. I don't see the housing market leveling out for at least another year. It is just nice to see houses moving.

[Flat2MT]

Originally Posted by moneill

The bidding war house was an exceptional buy. It was already greatly reduced and was priced over 100,000 less than other homes. The key was -- these homes sold at good prices. Yes the prices were reductions from previous months.

I don't know -- we are looking in the 400-500K area and I don't see the inventory growing with our limited guidelines.

Oh and March is so three months ago <G>. Not sure that really matters but it could explain the changes.

Was it really an exceptional buy because it was priced $100K below other homes in the neighborhood? What does that say about all those other homes? That they are way overpriced?

I wouldn't say that home was a exceptional buy - I'd say the final price paid was nothing more than market value.

Equating % or $$$ off list price is not the correct gauge of market value....

[AFPilot]

Originally Posted by Flat2MT

Was it really an exceptional buy because it was priced $100K below other homes in the neighborhood? What does that say about all those other homes? That they are way overpriced?

I wouldn't say that home was a exceptional buy - I'd say the final price paid was nothing more than market value.

Equating % or $$$ off list price is not the correct gauge of market value....

If recent comps are selling for higher than true market value, then what is the best way to determine the market value for a potential home?

[Flat2MT]

Originally Posted by AFPilot

If recent comps are selling for higher than true market value, then what is the best way to determine the market value for a potential home?

How recent is recent? How did you come up with true market value?

I'd start with recent closed (obviously the more recent the better) and active comps for comparable homes in the same neighborhood, street, etc.

In our depreciating marketplace, remember that the last recent closed sale for a comparable property sets the ceiling for all that come after it....now if the last recent closed was 6 months or so ago, in this marketplace, it would not be a good indicator of market value.

Don't ever get caught up in a bidding war....you always pay more than what you planned to spend....