Charleston absorption rate by price range
The absorption rate measures how many months it would take to sell out of inventory at the current sales rate if no new inventory came on the market. Think about paper towels for a moment. If you spilled something in your home, depending on how much you spilled determines how many paper towels you need to soak it up.
The same is true of inventory of homes for sale in Charleston and right now, you would need a lot of towels (or months) to soak it up or absorb it.
And it is especially true at higher price points.
I was showing some clients homes yesterday and in several neighborhoods, there just seemed to be an abundance of for sale signs. And because we were in some fairly expensive neighborhoods, it got me wondering what the absorption rate might be by price range.
Guess what, there is an almost perfect correlation between the price of a home and how long it might take to sell. That doesn't mean that a home selling at a high price will necessarily have to sit on the market for two years or 24 months to use an example. Several homes at all price points are selling almost every day. But if you are selling your home, you want to be one of those homes that is selected by a buyer, not sitting endlessly on the market for months or even years.
It's a great time to buy but a lousy time to sell. That's the pure definition of a buyers market.
Statistics compiled by Howard Arnoff using the Charleston MLS as the source of data, information deemed reliable but not guaranteed.
