Recognized as the No.1 master-planned community in the U.S. by the National Association of Home Builders (NAHB), Nexton is currently one of the Top 30 best-selling communities in the nation and has surpassed its 3,000th home sale in February 2024.
Nexton’s four unique neighborhoods feature local and national builders and include a diverse array of homes including villas, townhomes, cottages and single-family homes, with home prices ranging from $300,000 to over $1 million with an average home price of approximately $500,000.
Nexton has established itself as a live-work-play destination that features dining, shopping, services and hospitality. Nexton has delivered over 500,000 square feet of office space, attracting thousands of jobs, all in a walkable and bikeable environment adjacent to I-26.
Nexton also offers conveniences such as sought-after schools, grocery stores, modern infrastructure, 20 miles of trails and 2,000 acres of green space and high-quality apartment communities.
SC Housing Palmetto Heroes Program honors educators, first responders and community service personnel in the fields of law enforcement, corrections, firefighting, emergency medical services and health care, as well as active-duty military, members of the SC Army National Guard, SC Air National Guard and Veterans of the U.S. Armed Forces. The program typically offers a variety financing options with a reduced fixed interest rate AND Down Payment Assistance.
The program is first come first serve and lasts until funds are depleted. Last year (2023) the program featured $10,000 down payment assistance for qualified applicants. 2024 details have not been released yet, but should be announced very soon, within the coming weeks.
I am watching for the details of the new issue. If you are interested in this program, please contact me and I would be glad to help!
Title insurance is a form of indemnity insurance that protects lenders and homebuyers from financial loss that could be sustained from defects in a title to a property. The two basic types are The lender’s title insurance, which the borrower purchases to protect the lender and the other type is the owner’s title insurance.
A title search is completed before title insurance is issued. This is an examination of public records to determine and confirm a property’s legal ownership and determine whether there are any claims to the property. The goal is to pass “clear title”, free of any encumbrances or claims, to the new purchaser.
Title insurance protects against loss or damage occurring from liens, encumbrances, or defects in a property’s title that were unable to be detected during the title search. Some common claims that could subsequently be filed against a title are back taxes, liens, conflicting wills, forgeries and / or survey disputes. Unlike traditional insurance, which protects against future events, title insurance protects against claims for past occurrences.
Almost all lenders require the borrower to purchase a lender’s title insurance policy (usually detailed in the lender’s closing costs). A lender’s policy only protects the lender against loss. Buyers, at closing, typically have the option of purchasing an owner’s title policy that helps protects them from financial loss.
Since title searches are not infallible and an owner of real estate remains at risk of financial loss, it is wise to purchase protection in the form of an owner’s title insurance policy.
A basic owner’s title insurance policy typically covers the following hazards:
Encumbrances or judgments against property
Flawed records
Property border disputes
Encroachments
Easement disputes
Forged documents
Third-party claims
Errors in recorded documents
Incorrect property deed
Title insurance costs in South Carolina range from 0.5% to 1% of your home sale price. It’s a one-time fee, and the coverage lasts as long as you or your heirs own the property.
The legal costs to defend your title from any one of the title defects mentioned would far outweigh the cost of title insurance, thus making it a sensible purchase.
Freddie Mac reports the 30-year FRM averaged 6.88 percent as of March 7, 2024, down from last week when it averaged 6.94 percent. A year ago, at this time, the 30-year FRM averaged 6.73 percent.
As the rates took a small dip, mortgage applications rose, evidence that purchase demand remains sensitive to interest rate changes. Mortgage rates continue to be one of the biggest hurdles for potential homebuyers looking to enter the market.
Where are Rates Headed? No one has a crystal ball but here is what some experts are predicting:
Freddie Mac. With the current stance of monetary policy holding steady, we expect mortgage rates to move sideways, remaining above 6.5% through this quarter and drifting down to about 6% by year’s end. Fannie Mae Housing Forecast. The 30-year fixed rate mortgage will average 6.3% in Q2 2024 and slowly decline over the year, landing at a Q4 average of 5.9%.
National Association of Realtors chief economist Lawrence Yun. “The budget deficit remains high, and the various inflation metrics remain above the comfort level. That means the mortgage rates will likely be in the 6% to 7% range for most of the year.”
Mortgage Bankers Association (MBA). MBA’s baseline forecast is for mortgage rates to end 2024 at 6.1% and reach 5.5% at the end of 2025 as Treasury rates decline and the spread narrows.
Bright MLS chief economist Dr. Lisa Sturtevant. During the early part of the year, expect some bumpiness in rates as new economic data are released and as more buyers get back into the market. However, the overall outlook for mortgage rates in 2024 suggests more rate drops, with Bright MLS forecasts predicting rates to hit 6.2% by the fourth quarter.
If you are considering buying a home and would like help navigating through the process, feel free to contact me.
Here are the latest stats from Charleston Metro MLS – February 2024 calculations.
The median sales price for the Charleston Market has remained fairly steady with a median a sales price of $407,235. up about 6% above February 2023.
While the median sales price has remained in a tight band, between 400k-420k, for most of the previous 24 months, the seasonal dip in median price that is typically experienced around the first of the year bottomed out about 6% above last year’s seasonal dip (2/2023 vs 2/2024), suggesting that the current pricing in our market has a solid base and given low inventory levels relative to sales levels, this could mean that additional price gains lie ahead.
The inventory calculated at February’s end was at 2.5 months, which is an increase over last February’s 1.76 months.
Active Inventory stands at approximately 2,900 listings. While this level of inventory is a significant increase from the low of last February, but we still need roughly 3,500 additional listings market wide to achieve a balanced market (5 months of inventory)
The average days on market was calculated at 48 (median was 25) at February’s end.
Although inventory is low, we have recently had an increase in new listings coming onto the market.
New listings taken have gone up dramatically over the past sixty days with more than 2,000 new listings coming online in February, +36% to the number of listings taken last February. This should help drive sales this spring and summer.
1287 sold properties in February 2024, up 11.6 % from last February’s but written sales, market wide, was down -4%.
Last week saw 291 properties go under contract.
New construction represents 41% of all pending contracts in the MLS and new construction comprises about 35% of the closings.
Foreclosures and Short Sales continue to hold at a combined .7% of all available listings currently. This is down from 1.8% of all available listings on 1/1/2020. There are very few “newly distressed” properties in the pipeline.
Surprisingly, we are at roughly double the monthly pre-pandemic sales levels of properties over one million. This market segment remains surprisingly robust.
Keep in mind, this is a snapshot of the entire Metro Market, real estate is hyper-local and stats will vary within the different areas of the market. If you would like information about your property or neighborhood, please don’t hesitate to contact me.
Wondering if it still makes sense to sell your house right now? Everyone’s situation is unique, but the current market could prove to be beneficial for you.
An article from Calculated Risk shows there are 15.6% more homes for sale now, nationally, compared to the same week last year. That tells us inventory has grown. But going back to 2019, the last normal year in the housing market, there are nearly 40% fewer homes available now:
How this could benefit you when you sell.
1. You Have More Options for Your Move
If you are going to move to another home, the year-over-year growth gives you more options for your home search. This means it may be a little less of a challenge to find what you’re looking for.
2. You Still Won’t Have as Much Competition When You Sell
Even though there are more homes for sale now, there still aren’t as many as there’d be in a normal year. Remember, the data from Calculated Risk shows we’re down nearly 40% compared to 2019. And that large a deficit won’t be solved overnight. As a recent article from Realtor.comexplains:
“. . . the number of homes for sale and new listing activity continues to improve compared to last year. However the inventory of homes for sale still has a long journey back to pre-pandemic levels.”
Less competition means you may find an eager buyer quickly and get your home sold for top dollar.
Bottom Line
So, If you’re a looking to make a move, NOW could prove to be a great time! You’ll have more options when buying your next home than you did last year, and there’s not a ton of competition from other sellers.
If you have considered selling, I would be happy to provide you with information and resources to help you determine if the timing is right for you to make a move.
Over the past few months, experts have revised their 2024 home price forecasts based on the latest data and market signals, and they’re even more confident prices will rise, not fall.
What’s caused the change?
2024 Home Price Forecasts: Then and Now
The chart below shows what seven expert organizations think will happen to home prices in 2024. It compares their first 2024 home price forecasts (made at the end of 2023) with their newest projections:
The middle column shows that, at first, these experts thought home prices would only go up a little this year. But if you look at the column on the right, you’ll see they’ve all updated their forecasts and now think prices will go up more than they originally thought. And some of the differences are major.
There are two big factors keeping such strong upward pressure on home prices. The first is how few homes are for sale right now. According to Business Insider:
“Low home inventory is a chronic problem in the US. This has generally kept home prices up . . .”
A lack of housing inventory has been pushing prices up for a long time now – and that’s not expected to change dramatically this year. But what has changed a bit is mortgage rates.
Late last year when most housing market experts were calling for home prices to rise only a little bit in 2024, mortgage rates were up and buyer demand was more moderate.
Now that rates have come down from their peak last October, and with further declines expected over the course of the year, buyer demand has picked up. That increase in demand, along with an ongoing lack of inventory, is what’s caused the experts to feel the upward pressure on prices will be stronger than they expected a couple months ago.
A Look Forward To Get Ahead of the Next Forecast Revisions
Real estate experts regularly revise their home price forecasts as the housing market shifts. It’s a normal part of their job that ensures their projections are always up-to-date and factor in the latest changes in the housing market.
That means they’ll continue to revise their projections as the housing market changes, just as they’ve always done. How those forecasts change next is anyone’s guess but pay attention to mortgage rates.
If they trend down as the year goes on, as they’re expected to do, that could lead to more buyer demand and even higher home price forecasts.
Basically, it’s all about supply and demand. With supply still so limited, anything that causes demand to go up will likely cause prices to go up, too.
Bottom Line
At first, experts believed home prices would only go up a little this year. But now, they’ve changed their minds and are forecasting that prices will grow even more than they originally thought.
If you have considered buying or selling a home this year, I would love to help! Please feel free to contact me.
The $510 million land deal for the undisclosed business that I posted about in October 2023 has been revealed. Internet giant Google confirmed Feb. 15 that it is planning to build a $510 million data center at the Pine Hill Business Campus west of Summerville — the company’s second in the Charleston region.
The project has received historic tax breaks from Dorchester County and a discount electricity deal from Dominion Energy. Google also has not said when it will begin construction or how many jobs it will create at the 231-acre site along Highway 17A.
The Pine Hill data center will join another that the company completed in 2007 at Mount Holly Commerce Park off Highway 52 near Moncks Corner in neighboring Berkeley County.
Google, going by the aliases Project Evergreen and Gannett Enterprises LLC, has also purchased 206 acres for a proposed third data center near the county’s Winding Woods Commerce Park along Highway 78. The company said it only plans to develop the Pine Hill project for now but will hold onto the other land near the town of St. George for potential future needs according to business demands.
The sale of the properties had not been recorded with the Register of Deeds as of Friday (2-16-24)
Members of Dorchester County Council have said the Pine Hill data center is expected to generate about $2 million a year in new revenue and they have praised Google’s community involvement, including providing free laptops to local schools.
Chances are at some point in your life you’ve heard the phrase, home is where the heart is. There’s a reason that’s said so often. Becoming a homeowner is emotional.
So, if you’re trying to decide if you want to keep on renting or if you’re ready to buy a home this year, here’s why it’s so easy to fall in love with homeownership.
Customizing to Your Heart’s Desire
Your house should be a space that’s uniquely you. And, if you’re a renter, that can be hard to achieve. When you rent, you don’t have much control over the upgrades, and you’ve got to be careful how many holes you put in the walls. But when you’re a homeowner, you have a lot more freedom. As the National Association of Realtors (NAR) says:
“The home is yours. You can decorate any way you want and choose the types of upgrades and new amenities that appeal to your lifestyle.”
Whether you want to paint the walls a cheery bright color or go for a dark moody tone, you can match your interior to your vibe. Imagine how it would feel to come home at the end of the day and walk into a space that feels like you.
Greater Stability for the Ones You Love Most
One of the hardest things about renting is the uncertainty of what happens at the end of your lease. Does your payment go up so much that you have to move? What if your landlord decides to sell the property? It’s like you’re always waiting for the other shoe to drop. Jeff Ostrowski, a business journalist covering real estate and the economy, explains how homeownership can give you more peace of mind in a Money Geekarticle:
“Homeownership means you are the boss and have the biggest say in your lifestyle and family decisions. Suppose your kids are in public school and you don’t want to risk having them change schools because your landlord doesn’t renew your lease. Owning a home would remove much of the risk of having to move.”
A Feeling of Belonging
You may also find you feel much more at home in the community once you own a house. That’s because, when you buy a home, you’re staking a claim and saying, I’m a part of this community. You’ll have neighbors, block parties, and more. And that’ll give you the feeling of being a part of something bigger. As the International Housing Association explains:
“. . . homeowning households are more socially involved in community affairs than their renting counterparts. This is due to both the fact that homeowners expect to remain in the community for a longer period of time and that homeowners have an ownership stake in the neighborhood.”
The Emotional High of Achieving Your Dream
You’ll be able to walk up to your front door every day and have that sense of accomplishment welcome you home.
Overview of Benefits – Published by NAR
Appreciation. Historically, real estate has had long-term, stable growth in value and served as a good hedge against inflation. Census data shows the median price of a home jumped from $172,900 in Q4 2000 to $417,700 in Q4 2023. That’s greater than 6% appreciation per year on average.
Equity. Money paid for rent is money that you’ll never see again, but paying your mortgage month over month and year over year lets you build equity ownership interest in your home.
Tax benefits. If you itemize deductions on your federal tax return, the U.S. Tax Code lets you deduct the interest you pay on your mortgage, your property taxes (up to $10,000 according to current tax law), and some of the costs involved in buying a home. Be sure to talk to your accountant to see if it’s advantageous for you to itemize.
Savings. Building equity in your home is a ready-made savings plan. And when you sell, you can generally exclude up to $250,000 ($500,000 for a married couple) of gain without owing any federal income tax. The IRS provide guidance(link is external) on how to qualify for the exclusion.
Predictability. Unlike rent, your fixed-rate mortgage payments don’t rise from year to year. So, as a percentage of your income, your housing costs may actually decline over time. However, keep in mind that property taxes and insurance costs may increase.
Freedom. The home is yours. You can decorate any way you want and choose the types of upgrades and new amenities that appeal to your lifestyle.
Stability. Remaining in one neighborhood for several years allows you and your family time to build long-lasting relationships within the community. It also offers children the benefit of educational and social continuity.
A home is a place that reflects who you are, a safe space for the ones you love the most, and a reflection of all you’ve accomplished.
Let’s connect if you’re ready to buy or sell a home!
Are you feeling a bit unsure about what’s really happening with mortgage rates? That might be because you’ve heard they’re coming down. But then you read somewhere else that they’re up again. And that may leave you scratching your head and wondering what’s true.
The simplest answer is: that what you read or hear will vary based on the time frame they’re looking at. Here’s some information that can help clear up the confusion.
Mortgage Rates Are Volatile by Nature
Mortgage rates don’t move in a straight line. There are too many factors at play for that to happen. Instead, rates bounce around because they’re impacted by things like economic conditions, decisions from the Federal Reserve, and so much more. That means they might be up one day and down the next depending on what’s going on in the economy and the world as a whole.
Take a look at the graph below. It uses data from Mortgage News Daily to show the ebbs and flows in the 30-year fixed mortgage rate since last October:
If you look at the graph, you’ll see a lot of peaks and valleys – some bigger than others. And when you use data like this to explain what’s happening, the story can be different based on which two points in the graph you’re comparing.
For example, if you’re only looking at the beginning of this month through now, you may think mortgage rates are on the way back up. But, if you look at the latest data point and compare it to the peak in October, rates have trended down. So, what’s the right way to look at it?
The Big Picture
Mortgage rates are always going to bounce around. It’s just how they work. So, you shouldn’t focus too much on the small, daily changes. Instead, to really understand the overall trend, zoom out and look at the big picture.
When you look at the highest point (October) compared to where rates are now, you can see they’ve come down compared to last year. And if you’re looking to buy a home, this is big news. Don’t let the little blips distract you. The experts agree, overall, that the larger downward trend could continue this year.
Despite the ups and downs, many analysists predict mortgage rates will, over-all, move in a slow declining path as the year progresses, but many factors can influence the trajectory and so only time will tell.
Real Estate Matters in Charleston SC - Gena Glaze 
