Charleston Market Update: May Hits a 6-Year High!

The Charleston real estate market just wrapped up an incredibly powerful May. While national real estate headlines remain mixed, our local numbers are showing historic resilience. In fact, we just saw a level of buyer activity we haven't witnessed since the hyper-driven market of 2020.

Here is what you need to know about the Lowcountry market right now:

1️⃣ Sizzling Summer Demand

Last week, 368 properties went under contract marketwide. For this specific week of the year (Week 23), we haven't seen that much buyer activity since the "printed money" boom of 2020. Overall, written sales finished +9% and closed sales were up +3% compared to May of last year.

2️⃣ Prices Stay Elevated & Steady

The median sale price in Charleston held strong at $435,000 for May. When you look at the big picture, the upward move we've seen over the last few months is a broad-based shift, not just a fluke driven by a few luxury outliers.

3️⃣ Getting "Less" for the Money?

The average sold price per square foot remained high at $313/sqft. Because the overall median price is staying in a relatively tight band while the price-per-square-foot creeps up, it suggests buyers might be opting for slightly smaller homes to keep their total monthly numbers manageable. Bottom line: homes are continuing to steadily appreciate.

4️⃣ The "Waiting on Rates" Dilemma

Mortgage rates have bounced around a bit due to recent global events, but they remain lower than they were at this time last year. If you have buyers waiting for rates to tank before making a move, remember:

• If prices stay steady or increase, waiting costs more money in the long run.

• If you buy now and rates drop later, you can always refinance. If rates go up, you'll be glad you locked in today's price.

5️⃣ Inventory & The Seller's Edge

We saw a healthy summer inventory surge with 2,800 new listings hitting the market. However, demand is moving so fast that we are still 4,100 listings short of a balanced market. With about 14 weeks of inventory overall, we remain firmly in a mild seller's market—especially in the most active neighborhoods where inventory sits at just 2.5 to 4 months.

6️⃣ New Builds Take Center Stage

New construction remains an absolute lifeline for buyers frustrated by tight resale inventory, making up 35% of all pending contracts.

• Berkeley County: An incredible 51% of all closings are new construction.

• Dorchester County: 43% of closings are new builds.

• Charleston County: 15% of closings are new builds.

7️⃣ Foreclosures are Nonexistent

Despite any national chatter about rising mortgage delinquencies, local distressed properties (foreclosures and short sales) hover at just 1.2% of all listings. Thanks to record-high home equity and strong employment, local homeowners are on incredibly solid footing.

The Bottom Line: We expect buyer demand to remain highly active (300+ contracts per week) straight through late August. If you want to take advantage of this historic summer momentum, the data says the time is now.

Curious about what the high $/sqft looks like for your specific neighborhood? 

Feel free to reach out to me directly!