If you’re waiting for home prices to ahem “crash” particularly in the GSP (Greenville / Spartanburg Area) then I’m afraid you might be waiting even longer. Most housing bears are looking at price action as their main source of doom and gloom.
“Prices went up and up in 2005-2007, then came down in 2008. Therefore prices that went up and up over the last 10 years will surely come back down right?”
As real estate professionals, we frequently field these types of questions from our clients at Bird Dog Group. Often, fueled by hype and national housing news headlines. First, as always, we should remember real estate is local. Our local market Greenville / Spartanburg SC has many reasons to expect continued growth.
Supply vs Demand is the key driver to real estate values at a basic level. Let’s look at how that is playing out Before/After Covid-19 and before/after interest rates for mortgages nearly doubled in a 6 month timeframe during 2022.
We Are Still Very Short On Inventory
Our active listing stock has improved significantly since interest rates started to rise. Naturally, as rates increase some home buyers step away from the market making homes/bidding less competitive and leaving more inventory to last longer building up monthly supply. However as one can clearly see from the chart above we have not even begun to touch our 2019 levels of supply! Weeks ago we predicted a decline in inventory vs buyer demand and that’s exactly what we’re seeing in the MLS. Homes under $300K are the hottest segment with inventory getting lower since we began tracking data in Nov of 2022.
People Are Moving to Greenville (like it or not)
Unlike some of the fad markets that were fueled by sudden WFH flexibility during the pandemic, Greenville and Spartanburg are attracting new residents for reasons that are much more long-term in nature. Jobs for one, with the Upstate’s diverse and well-established employment opportunities many new residents, are coming to the upstate to participate in the labor force in industries like manufacturing, construction, banking, technology, and more. Secondly many are choosing the beautiful foothills to spend their golden years as a comfortable and affordable place to retire. Great healthcare facilities and 4 typically mild seasons make Greenville a growing top pick.
Incomes Are Growing With The Population
As previously mentioned jobs and employment opportunities are here in Greenville South Carolina. Incomes are continuing to grow which has also increased the demand and values for real estate. While prices may have grown rapidly during the pandemic years as with most markets around the country Greenville is still relatively affordable to live as a renter or as an owner. We of course always recommend to our friends and clients at the Bird Dog Group to protect themselves against price increases and inflation through homeownership.
If you’re sitting on the fence waiting to buy real estate in Greenville South Carolina contact a member of our team to get a personalized consultation. Let us help you find the right home or investment property that will help you achieve your real estate goals. Waiting is proving to be a costly option. Use our search bar above to start your real estate search in Greenville, SC.