South Carolina

Real estate sales have only begun to slow in most of South Carolina as one of the nation’s poorest economies prepares for the fall out of the credit crisis. Foreclosures are increasing and will have a devastating impact on many of South Carolina’s markets in 2008, according to the Housing Predictor forecast.

Retirees have been attracted to the south because of its’ warmer climate. In South Carolina lower state taxes and tax incentives for seniors have drawn many new residents to the state.

In South Carolina’s largest urban center of Columbia housing sales have slowed since the real estate boom and listing prices are finally beginning to come down as the market adjusts to lower priced property.

The average price for a home hit $175,000 in Columbia, which provides a lot of room for prices to go south. Foreclosures are increasing as many adjustable rate mortgages are reset and become too expensive for many home owners to pay. Columbia will see its housing market slide in 2008, and is forecast by Housing Predictor to deflate 6.8% by year’s end.

City	Forecast
Columbia	− 6.8%
Charleston	− 7.8%
Myrtle Beach	− 5.2%
Greenville	− 7.2%

In neighboring Chapin, where home prices are higher because many are on Lake Murray the market has begun to show a stall. The inventory of homes for sale has nearly doubled in the last year. Chapin is a popular area, where new subdivisions offer a wide variety of price ranges. Many homes offer waterfront views of beautiful Lake Murray.

In the former textile capital of the world, the Greenville housing market is only beginning to move more slowly these days. Home prices have begun to ease, and as foreclosures impact the market Greenville will provide increasing inventory for home buyers in 2008.

Statewide sales have slipped and a weakening economy will send Greenville home prices down an average of 7.2% in 2008, according to the Housing Predictor forecast.

The city has made efforts to restore and preserve its downtown and still has new condo projects in the works, which is a rarity any more in the south.

In the historic old southern community of Charleston declining home sales are beginning to hurt. Home prices are also falling amid a growing inventory of property, but market forces have not yet sent prices down drastically. After five years of appreciation between 12% and 15% annually Charleston has a long way to fall.

Increasing foreclosures will add to the mix to send the market reeling 7.8% lower on average in 2008. An over abundance of condos and townhouses on the market are already beginning to show a market that will weaken further. However, above perhaps all else Charleston is a great place to take a vacation.

Like many second home and vacation real estate markets Myrtle Beach attracts visitors from all over the east coast for its beautiful Atlantic beaches, and similar to many second home markets many owners have paid cash for their property immune to the national housing recession as a result.

But for those who want to sell or need to sell the Myrtle Beach market can be a tough place to be right now. Myrtle Beach has seen sales slow from the markets peak, and will see prices fall on average 8.2% in 2008, which makes it bargain hunting time for buyers.