Charleston real estate trends [5 yrs, quarterly sales and prices]
You might think that prices would correspond to sales because supply and demand is a tried and true concept. But take a look at the chart below of Charleston home prices and home sales by quarter for the past 5 years.
The left axis corresponds to the red bars (home sales) and the right axis corresponds to the blue line (median home prices).
A couple of observations. The highs in median price did not always correspond to the most active sales periods. And whenever prices were at the highs previously, they stayed at high levels for three quarters and then retreated even though in some cases, sales (demand) increased. This year, prices only stayed at their highs for two quarters and of course, prices this year have been pressured by two things, much more activity at the lower price points by entry level first time homebuyers, many of whom made the decision to buy a home because of the first time homebuyer $8k tax credit as well as lower prices offered on distressed properties including both short sales and foreclosures.
The objective as always, sell high and buy low. I can help.
