As I meet with clients and friends, I’m invariably asked how the real estate market is doing. Well, there’s no easy answer to this question because in reality, there are a bunch of real estate markets, even in little ‘ole Mt. Pleasant! Homes in this town are moving at very different rates, depending on the price range they are positioned in. Let’s review an analysis I just completed that should help bring more clarity to this.
I analyzed the current inventory levels for all homes for sale in Mount Pleasant along with a review of all the sales activity from the last 6 months. My objective was to determine how many months of available inventory we have in the Mt. Pleasant real estate market based on the rate of homes sold during the last 6 months, and do it based on various price points.
Higher Prices = More Available Inventory
The results were quite interesting, but not necessarily very surprising. Specifically, the higher you go in price, there is more inventory available and the time to sell can be significantly longer.
Now, this is no news flash. There are simply fewer buyers as you move up the price scale in virtually any real estate market and Mt. Pleasant is no different. Not everyone can afford a $1M home! However, what is interesting are the significant differences that I found in the “months of available inventory” by price range. Check out the numbers below:
- Below $250K – 8 Months
- $250K to $350K – 11.6 Months
- $350K to $500K – 19 Months
- $500K to $750K – 41.7 Months
- $750K to $$1M – 51.4 Months
- Over $1M – 63.1 Month
Mt. Pleasant Still in a Buyer’s Market
One of the things these numbers really point out is that we continue to be in a market that is VERY favorable to buyers. It also tells me that we are going to be in some form of a buyer’s market for some time, particularly in certain price ranges. So, what defines a buyer’s market? One easy way to look at any real estate market is to focus on the number of months of available inventory. Generally, the state of the market is determined by this number:
- Buyer’s Market – More than 6 months of inventory available
- Seller’s Market – Less than 6 months of inventory available
- Neutral Market – About 6 months of inventory available
How Long Will This Buyer’s Market Last?
Until the various market segments get more in balance, we will have a buyer’s
market. While the market has shown some signs of picking up in recent weeks, it is likely to take a while before various segments of the Mt. Pleasant real estate market become “neutral” because of the continued high levels of inventory. It’s simply going to take some time to “work through” all of this inventory, particularly the homes for sale at the higher price points.
If you’re a seller, hang in there! But most importantly, get your house priced right and make sure it’s in top notch condition. If you do that, buyers will come to see you!
I hope you found this post helpful. Please feel free to contact me if I can answer any questions about this real estate market or help you with your real estate needs. Also, please go to www.ChuckAvera.com to search for homes or to get specific information on I’On Real Estate or other Mt. Pleasant neighborhoods.
Keller Williams Realty