What is Driving The Home Price Increases in Bluffton & Hilton Head Island

...IT HAS TO DO WITH INVENTORY

By Tanya Sjodin

3 min read • May 5, 2021 • Market Data

What a crazy time it is in real estate! People are continually moving to the area and buying up all the homes. No, seriously, there is a massive shortage of homes on the market right now. To fully grasp the change in inventory over the last year, you must look at this chart of Inventory of Homes for Sale.

What you will see is a steady number of homes for sale starting back in 2015. From 2015 to the beginning of 2020, you can see there have been approximately 2000 – 2500 homes for sale each month.

Then, around April 2020, the inventory count line aims down about 45 degrees and just continues to plummet, month, after month, after month.

We now have about 1 month supply of homes for sale available. That means that if no one else listed their home starting today, in 1 month, there would be 0, yes, ZERO, homes for sale.

In addition, the cost of new builds continues to rise, sometimes leaping by 10 percent or so every month due to the continually rising cost of lumber, windows, doors, and everything else required to build a home.

Don't believe me? One of my clients was on the fence and wanted to wait a while before getting a new build under contract. I contacted her and told her if they were serious about moving here, they should move now on a house. I ended up saving them an enormous amount of money.

These and other factors continue to increase the sale price of homes in our area.

With all that said, if you have been thinking about moving, it is a great time to sell your home. Buyers are collecting a premium on their home sales.

If you would like to know what your home could sell for in this amazing SELLER's market, feel free to reach out to me. I would love to give you a completely FREE, no-obligation home valuation.