Brace Your Buyers for Higher Home Prices

Home prices throughout the Charleston, SC metro area are on the rise, some at the fastest pace ever. Home buyers need to move in quickly while there is still a decent supply of affordable homes and interest rates are still historically low.
West Ashley Avondale Point sign Jim Bobo www.SCLandandHomes.com
If buyers haven’t already purchased in the iconic Avondale District, they will definitely be paying more – a lot more. Prices in some of the District’s neighborhoods are above their 2007 peak average selling price. Yes, above the peak. And this is trending just about everywhere close-in to Downtown Charleston.  The closer to Downtown Charleston, the faster prices are trending upwards.

June 2013 median home sale prices on James Island are up only 6.4% year over year.  And there is still a supply of affordable homes.

June 2013 median home sale prices on James Island are up only 6.4% year over year. And there is still a supply of affordable homes.

James Island is beginning to see some solid recovery of prices, too, but not nearly as wild as in Avondale.  One home in Stiles Point is set to close and set a new record sales price for any home on the street since the neighborhood was originally built in the 60′s.  Looks like Stiles Point has been rediscovered. Road improvements following the new Stiles Point Elementary School building, plus the additional traffic while Harbor View Elementary occupies the old Stiles Point building, have certainly drawn more attention to this neighborhood where you can walk your children to one of the best elementary schools in the State and still get a good deal on a 3 bedroom, 2 bath ranch home on a 1/2 acre lot – if you’re willing to deal with the updating that many older homes need but that most buyers today simply don’t want to tackle themselves.

You can read the Charleston Trident Association of Realtor’s update by clicking here.

Below is a National report about home prices and affordability from DAILY REAL ESTATE NEWS | MONDAY, JULY 29, 2013

Home prices are rising across the country and the prices for new homes in particular may increase significantly in the near future. Economist Bradley Hunter with Metrostudy told The Chicago Tribune that he predicts newly-built homes could see a 9 percent increase in price by the end of the year.

“Here’s what’s happening: Land values are going up very fast right now in prime locations, what we call the ‘A’ locations,” Hunter explains. “In the best A (and B) markets, we expect prices to rise by 11 percent to 15 percent. Builders are desperate to buy lots, which in some cases are 30 percent to 50 percent higher than last year.” The “A” and “B” locations, as Hunter refers to them, tend to be closer to the center city—near jobs, retail, and services.

Hunter does see some relief for those looking to buy in the coming year, however.
“I think the builders are going to have to come to grips with a new affordability mentality,” Hunter says. “They’re going to have to reckon with these forces — rising mortgage interest rates, mainly — that are going to limit how much they can raise prices. That’s why 10 percent to 15 percent price increases will become 3 to 6 percent pretty soon — in six to 12 months. It depends on when mortgage rates move higher. If they go up, say, by 2 percent or 3 percent, it will have a noticeable impact on what people can afford and therefore on what builders are offering.”

Source: “Builders navigating complex housing market,” The Chicago Tribune (July 26, 2013)

Jim Bobo Real Estate can help you find that great deal – give us a call!

Jim Bobo, Jr., Realtor, BIC, ABR, RSPS, MBA

SC Land and Homes LLC
Call or text (843) 442-7275
www.JimBoboRealEstate.com
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Just listed! 112 Belknap Dr Goose Creek, SC 29445 Home For Sale

112 Belknap Dr Goose Creek, SC 29445 Home For Sale
112 Belknap Greenview Park Lagoon 1
You’ll enjoy Lake Greenview Park just down the road from your new home (park picture above). 112 Belknap is perfect for someone looking for an affordable, clean and move-in ready home in Goose Creek, SC. The seller will pay up to 3% of buyer’s prepaid expenses and closing costs with an acceptable offer. This home is close to everything! Make sure to check out the Visual Tour.

Give us a call today at (843) 442-7275 to schedule a showing, or if you need help in getting a mortgage.

Jim Bobo, Jr., Realtor, BIC, ABR, RSPS, MBA

SC Land and Homes LLC
Call or text (843) 442-7275
www.JimBoboRealEstate.com
Contact us

Nexton – a new town for South Carolina

Nexton, a new town for South Carolina, is planned for the Summerville-Goose Creek-Moncks Corner area of the Greater Charleston Region.  MeadWestvaco will build out Nexton over a period of 20 years in multiple phases on about 5,000 acres.  The anticipated finished product will yield millions of commercial, office, entertainment & retail square feet, and have upwards of 30,000 residents occupying thousands of new homes.  In essence, it will become a city within a city.  Charleston, Dorchester and Berkeley Counties will all benefit economically from this immense development.

Click here for the Nexton brochure.

Please let us know if you would like more information about Nexton.

Jim Bobo, Jr., Realtor, BIC, ABR, RSPS, MBA

SC Land and Homes LLC
Call or text (843) 442-7275
www.JimBoboRealEstate.com
Contact us

South Carolina home sales rise 24% in October

South Carolina home sales rise 24% in October

Jim Bobo Real Estate

Sales of residential homes and condominiums rose 24% in October, South Carolina Realtor’s reported, describing 2012 as a “comeback year.” Prices were fairly stable, the association said, as the median sales price increased 0.1%. The price range for homes with the strongest sales statewide was $200,001 to $300,000, with a 19.5% sales gain in that category. The property type with the strongest sales gains was condos, up 18%.

Charleston-area sales rose 30.7%, to 894 from 684 a year earlier. Greenville had the strongest percentage gain, up 35% to 660 homes sold in October, compared with 489 a year earlier. Columbia posted 663 homes sold, up 29.7% from 511 in October 2011.

The association said 4,608 homes sold last month compared with 3,717 in October 2011. “Most markets have shed listings, resulting from strong sales and sluggish seller activity. There has been a general easing of foreclosures and short sales, meaning distressed listings are dragging prices down less than in recent years. So it’s both about market fundamentals and market composition,” the Realtors association said in releasing the data.

Compared with October 2011, State-wide new listings in South Carolina increased 10.1% to 7,888, while pending sales were up 26.7% to 4,676. Inventory levels shrank 13.4% to 46,776 units. Days on market was down 10.8% to 131 days. Absorption rates improved as months’ supply of inventory was down 24.7% to 10.2 months. These variables have continued to improve for over a year now, and they all contribute to a more stable housing market. This along with continued job growth is pushing prices up.

According to the association, the economy is growing with 2013 expected to outpace 2012′s growth, mortgage rates are expected to remain near historic lows through 2015, and rents are expected to rise due to low vacancy rates.

Jim Bobo, Jr., Realtor, BIC, ABR, RSPS, MBA

SC Land and Homes LLC
Call or text (843) 442-7275
www.JimBoboRealEstate.com
Contact us

New Listing! 1023 Bridlewood Farms Parkway Ridgeville, SC 29472 Home For Sale

1023 Bridlewood Farms Parkway Ridgeville, SC 29472 Home For Sale

Seller is paying up to $3,000 in buyer’s closing costs and prepaid expenses


We are pleased to announce this new listing in Bridlewood Farms in Ridgeville, SC. Close to Summerville and I-26 in Dorchester 2 School District.  Priced to move fast – this is not a foreclosure or short sale.

4 Bedrooms   2.5 baths   2,357 SF   Built 2011

Listed at $174,900    Status: Active    Click here for more information!
Contact us today to schedule a showing.

Jim Bobo, Jr., Realtor, BIC, ABR, RSPS, MBA

SC Land and Homes LLC
Call or text (843) 442-7275
www.JimBoboRealEstate.com
Contact us

New Listing! 309 Carriage Wheel Road in Beautiful Moncks Corner, SC 29461 Home For Sale

309 Carriage Wheel Road in Beautiful Moncks Corner, SC 29461 Home For Sale

We are pleased to announce this New Listing in Spring Grove Plantation just minutes from Goose Creek, Moncks Corner, North Charleston and I-26 in Berkeley County, SC.
3 bedrooms   2 baths      1946 sf     built 2009
Listed at $183,000     Click here for more information    Status: Sold

Jim Bobo, Jr., Realtor, BIC, ABR, RSPS, MBA

SC Land and Homes LLC
Call or text (843) 442-7275
www.JimBoboRealEstate.com
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SC Mortgage Help – Great service for those in need

Many of us know others who are struggling to pay their mortgage.  The State Housing Finance and Development Authority is now providing a homeownership and employment lending service to assist those who qualify.  The Authority is self-sustaining and receives no state appropriation, and has been assisting our workforce population purchase homes in South Carolina for over 40 years.  Refer anyone you know who may benefit to the Authority’s SC Mortgage Help website here: http://www.scmortgagehelp.com/.  Workforce citizens, including but not limited to teachers, firefighters, police officers and military employees, may be eligible for home buyer assistance from the Authority as well.  Here is their website: http://www.sha.state.sc.us/.

SC Mortgage Help homepage snapshot

Jim Bobo, Jr., Realtor, BIC, ABR, RSPS, MBA

SC Land and Homes LLC
Call or text (843) 442-7275
www.JimBoboRealEstate.com
Contact us

Housing Crisis to End in 2012 as Banks Loosen Credit Standards?

Housing Crisis to End in 2012 as Banks Loosen Credit Standards – so Capital Economics claims.  It would be good for Charleston, SC Homes For Sale, too…

Reprinted from www.dsnews.com

Capital Economics expects the housing crisis to end this year, according to a report released Tuesday. One of the reasons: loosening credit.

House sitting on cash

The analytics firm notes the average credit score required to attain a mortgage loan is 700. While this is higher than scores required prior to the crisis, it is constant with requirements one year ago.

Additionally, a Fed Senior Loan Officer Survey found credit requirements in the fourth quarter were consistent with the past three quarters.

However, other market indicators point not just to a stabilization of mortgage lending standards, but also a loosening of credit availability.

Banks are now lending amounts up to 3.5 times borrower earnings. This is up from a low during the crisis of 3.2 times borrower earnings.

Banks are also loosening loan-to-value ratios (LTV), which Capital Economics denotes “the clearest sign yet of an improvement in mortgage credit conditions.”

In contrast to a low of 74 percent reached in mid-2010, banks are now lending at 82 percent LTV.

While credit conditions may have loosened slightly, some potential homebuyers are still struggling with credit requirements. In fact, Capital Economics points out that in November 8 percent of contract cancellations were the result of a potential buyer not qualifying for a loan.

Additionally, Capital Economics says “any improvement in credit conditions won’t be significant enough to generate actual house price gains,” and potential ramifications from the euro-zone pose a threat to future credit availability.

Jim Bobo, Jr., Realtor, BIC, ABR, RSPS, MBA

SC Land and Homes LLC
Call or text (843) 442-7275
www.JimBoboRealEstate.com
Contact us