KEY TRENDS
THE STATE
Rising Mortgage Rates Do Not Lead to Falling Home Prices
of the North & South Forest Beach Oceanfront Villas Real Estate Market April 2018
Source: Keeping Current Matters, March 2018
Recently, Freddie Mac published an Insight Report titled Nowhere to Go but Up? How Increasing Mortgage Rates Could Affect Housing. The report focused on the impact that the projected rise in mortgage rates might have on the housing market this year. Many believe that an increase in mortgage rates will cause a slowdown in purchases which would, in turn, lead to a fall in house values. Ultimately, however, prices are determined by supply and demand and while rising mortgage rates may slow demand, they also affect supply. From the report: “For current homeowners, the decision to buy a new home is typically linked to their decision to sell their current home...Because of this link, the financing costs of the existing mortgage are part of the homeowners decision of whether and when to move. Once financing costs for a new mortgage rise above the rate borrowers are paying for their current mortgage, borrowers would have to give up below-market financing to sell their home. Instead, they may choose to delay both the sale of their existing home and the purchase of a new home to maintain the advantageous financing.”
+13%
KEY METRICS
+13%
First Quarter of 2018 in Review
+11%
The graph to the right, based on data from the Insight Report, reveals what happened to home prices the last six times mortgage rates rose by at least 1%.
PRICES* RATES
They went on to reveal that the Freddie Mac National House Price Index is “unresponsive to movements in interest rates. In the current housing market, the driving force behind the increase in prices is a low supply of both new and existing homes combined with historically low rates. As mortgage rates increase, the demand for home purchases will likely remain strong relative to the constrained supply and continue to put upward pressure on home prices.”
+7%
+3%
In the North & South Forest Beach Villas area, 20 villas closed in the first quarter of 2018, with only 18 closing during the same period last year. The first three months of 2018 total dollar volume was $7,351,500, up compared to $5,375,754 in 2017. Supply and demand: as of April 2nd, 2018, there are 47 North & South Forest Beach Oceanfront Villas listed for sale with an average of 5.67 villas selling per month over the last six months. That translates into a 8.29-month supply, considered by industry experts to be a buyer’s market. There are seven villas under contract in North & South Forest Beach Oceanfront Villas.
+2%
10/1993 to 12/1994
01/1996 to 11/1996
10/1995 to 05/2005
06/2003 to 06/2004
06/2006 to 07/2006
11/2012 to 12/2013
+2.38%
+1.20%
+1.81%
+1.06%
+1.18%
+1.11%
20
$284,500
95.11%
169
Total Sales
Median Price
Sale to List Price
Median Days on Market
*SEASONALLY ADJUSTED RATE BETWEEN START AND END DATES
Extensive Domestic & Global Exposure (EDGE™)
TECH FOCUS
Hilton Head Island Real Estate Market Overview
Smart Marketing, Extensive Exposure, and Tailored Strategies to Sell Your Home Global reach with boutique style is what you can expect when working with Engel & Völkers here and around the world - and we’ve sharpened our EDGE. Committed to delivering the highest level of customer service, we provide Extensive Domestic & Global Exposure (EDGE) designed to maximize exposure of your listing to qualified, targeted buyers worldwide with the utmost care and competency.
ACTIVE LISTINGS ON HILTON HEAD ISLAND
636
• Highly trusted strategic online and mobile marketing partners with a combined 500 million website and mobile views per month • A global network spanning more than 30 countries with 9,000 Advisors in 750 shops around the world
YTD Hilton Head Island Home Sales YTD Through March 31 for Each Year
• White-glove professionalism and local market expertise of your dedicated Advisor Let me provide the EDGE you need to sell your home.
COMMUNITY SPECIALIST Scott Regene is your North and South Forest Beach Real Estate Specialist. Contact me for a complimentary home valuation
and discover how I can increase your property’s visibility both nationally and internationally through Engel & Völkers global real estate network, unique digital platforms, social media presence, and local market expertise.
Scott Regene Real Estate Advisor Main Shop | 800 Main Street, Hilton Head Island South Island Lounge | 7 New Orleans Road, Hilton Head Island Historic Bluffton Lounge | 6 Promenade Street, Suite 1001, Bluffton
Telephone: 843-949-0522 Email: scott.regene@evusa.com Website: www.scottregene.evusa.com ©2018 Engel & Völkers. All rights reserved. Each brokerage is independently owned and operated. All information provided is deemed reliable but is not guaranteed and should be independently verified. If your property is currently represented by a real estate broker, this is not an attempt to solicit your listing. Engel & Völkers and its independent License Partners are Equal Opportunity Employers and fully support the principles of the Fair Housing Act.
How’s the Hilton Head Island Real Estate Market Doing?
PRSRT STD US POSTAGE PAID Permit 73
Hilton Head Is., SC
Year
Number of Homes Sold
Median Price
2013
149
$470,000
2014
169
$485,000
2015
181
$531,000
2016
183
$500,000
2017
177
$520,000
2018
211
$532,000
In 2018 the Hilton Head Island housing market enjoyed its best first quarter in 13 years, according to statistics from the Hilton Head Area Multiple Listing Service. As you can see from the chart to the left, the number of sales in the first quarter are up to 211, a 19% increase from 2017. The median price is also up, 2.2% above the 2017 first quarter median price, but is still 28% below the peak set in 2006. The median price of homes selling in the US is at its highest ever. It is expected that Island prices in the next several years will also rise into record setting territory. Thus, with prices still way below the peak and today’s historically low interest rates, it is an exceptional time to invest in real estate on the Island.
This information is based on data provided by Multiple Listing Service of Hilton Head Island, Inc. (“HHIMLS”) for the period January 2018 through April 4, 2018. HHIMLS does not guarantee and is not in any way responsible for its accuracy. Data provided by HHIMLS may not reflect all real estate activity in the market.
North & South Forest Beach Oceanfront Villa Listings STATUS
VILLA COMPLEX
Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Pending Pending Pending Pending Pending Pending Pending Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold
The Sea Crest Villas The Sea Crest Villas Ocean One Villas Ocean One Villas The Sea Crest Villas The Sea Crest Villas The Sea Crest Villas Shorewood Villas Ocean One Villas The Sea Crest Villas The Sea Crest Villas The Sea Crest Villas The Sea Crest Villas Shorewood Villas The Sea Crest Villas Shorewood Villas Shorewood Villas Shorewood Villas Ocean One Villas The Sea Crest Villas The Sea Crest Villas Shorewood Villas Ocean One Villas Shorewood Villas Shorewood Villas Shorewood Villas North Shore Place Villas North Shore Place Villas Shorewood Villas Ocean Club Villas North Shore Place Villas Sea Side Villas Carolina Beach Club Ocean Dunes Villas Ocean Club Villas Breakers Villas Breakers Villas Ocean Dunes Villas Ocean Dunes Villas Breakers Villas Sea Side Villas Breakers Villas Sea Side Villas Sea Side Villas Sea Side Villas Sea Side Villas Sea Side Villas Shorewood Villas Sea Side Villas Breakers Villas Sea Side Villas Sea Side Villas Sea Side Villas Sea Side Villas Shorewood Villas Ocean One Villas Shorewood Villas The Sea Crest Villas Ocean Club Villas North Shore Place Villas Ocean One Villas Ocean One Villas Sea Side Villas Sea Side Villas Sea Side Villas Ocean Dunes Villas Carolina Beach Club Sea Side Villas Sea Side Villas Breakers Villas Sea Side Villas Sea Side Villas Breakers Villas Sea Side Villas
TOTAL FULL HALF APPROX. YEAR LIST PRICE CLOSE PRICE BEDROOMS BATHS BATHS SQ. FOOTAGE BUILT 10 N Forest Beach Drive #PH 2 Landscape, Ocean 4 4 1 4,000 1998 $1,995,000 --10 N Forest Beach Drive #PH 1 Landscape, Ocean 5 4 1 3,800 1998 $1,695,000 --11 S Forest Beach Drive #523 Deep Water, Ocean 4 4 0 2,600 1975 $1,225,000 --11 S Forest Beach Drive #507 Ocean, Pool 4 4 0 2,600 1975 $1,225,000 --10 N Forest Beach Drive #3103 Ocean 3 3 0 2,060 1998 $1,199,000 --10 N Forest Beach Drive #2112 Ocean 3 3 0 1,750 1998 $1,049,500 --10 N Forest Beach Drive #1206 Ocean 3 3 0 1,827 1998 $999,000 --21 S Forest Beach Drive #535 Ocean, Pool 3 3 0 1,450 1975 $995,000 --11 S Forest Beach Drive #301 Ocean, Ocean 4 3 0 1,819 1975 $850,000 --10 N Forest Beach Drive #2115 Ocean 3 3 0 1,750 1998 $799,000 --10 N Forest Beach Drive #2410 Ocean 2 2 0 1,327 1998 $699,000 --10 N Forest Beach Drive #2511 Ocean 2 2 0 1,327 1998 $699,000 --10 N Forest Beach Drive #2209 Ocean 3 3 0 2,004 1998 $695,000 --21 S Forest Beach Drive #211 Ocean 2 2 0 1,270 1975 $680,000 --10 N Forest Beach Drive #2506 Ocean 2 2 0 1,327 1998 $679,000 --21 S Forest Beach Drive #436 Landscape, Ocean 2 2 0 1,125 1981 $650,000 --21 S Forest Beach Drive #208 Deep Water, Ocean 2 2 0 1,109 1975 $649,000 --21 S Forest Beach Drive #108 Ocean 2 2 0 1,109 1975 $625,000 --11 S Forest Beach Drive #202 Wooded 4 3 0 1,819 1975 $579,000 --10 N Forest Beach Drive #2106 Landscape, Ocean 2 2 0 1,327 1998 $569,000 --10 N Forest Beach Drive #2108 Ocean 2 2 0 1,327 1998 $559,900 --21 S Forest Beach Drive #109 Ocean 2 2 0 1,109 1975 $539,000 --11 S Forest Beach Drive #424 Deep Water, Landscape 3 3 0 1,580 1975 $525,000 --21 S Forest Beach Drive #439 Ocean, Pool 2 2 0 1,090 1975 $519,000 --21 S Forest Beach Drive #231 Ocean, Pool 2 2 0 1,200 1975 $499,900 --21 S Forest Beach Drive #137 Ocean, Pool 2 2 0 1,200 1975 $499,900 --3 N Forest Beach #206 Landscape 2 2 0 1,290 2001 $499,000 --3 N Forest Beach #110 Landscape 2 2 0 1,277 2001 $455,000 --21 S Forest Beach Drive #418 Ocean, Pool 2 2 0 1,270 1975 $439,000 --31 S Forest Beach #4 Landscape, Pool 2 2 0 1,296 1972 $439,000 --3 N Forest Beach #107 Landscape 2 2 0 1,261 2001 $434,000 --23 S Forest Beach #221 Ocean 1 1 0 560 1979 $399,000 --39 S Forest Beach Drive #229 Ocean 2 2 0 850 1983 $349,000 --43 S Forest Beach Drive #104 Ocean 2 2 0 800 1980 $340,000 --31 S Forest Beach #10 Pool 2 2 0 1,296 1972 $337,000 --4 N Forest Beach Drive #227 Ocean, Pool 1 1 0 518 1979 $279,000 --4 N Forest Beach Drive #217 Ocean 1 1 0 518 1979 $279,000 --43 S Forest Beach Drive #418 Ocean 1 1 0 538 1980 $274,500 --43 S Forest Beach Drive #120 Ocean 1 1 0 538 1980 $266,500 --4 N Forest Beach Drive #122 Ocean, Pool 1 1 0 518 1979 $249,000 --23 S Forest Beach #145 Ocean 1 1 0 518 1979 $234,900 --4 N Forest Beach Drive #305 Landscape 1 1 0 518 1979 $229,900 --23 S Forest Beach #290 Ocean, Pool 1 1 0 518 1979 $225,000 --23 S Forest Beach #138 Ocean 1 1 0 518 1979 $189,000 --23 S Forest Beach #283 Ocean 1 1 0 518 1979 $189,000 --23 S Forest Beach #284 Ocean 1 1 0 518 1979 $189,000 --23 S Forest Beach #109 Ocean 1 1 0 518 1979 $184,900 --21 S Forest Beach Drive #223 Ocean, Pool 3 3 0 1,816 1975 $549,000 --23 S Forest Beach #318 Ocean 1 1 0 518 1979 $260,000 --4 N Forest Beach Drive #129 Ocean, Pool 1 1 0 518 1979 $249,500 --23 S Forest Beach #316 Ocean 1 1 0 518 1979 $182,500 --23 S Forest Beach #309 Ocean 1 1 0 518 1979 $179,500 --23 S Forest Beach #142 Ocean 1 1 0 518 1979 $179,000 --23 S Forest Beach #310 Ocean 1 1 0 518 1979 $170,000 --21 S Forest Beach Drive #506 Ocean 3 3 0 1,437 1975 $999,900 $925,000 11 S Forest Beach Drive #401 Ocean 4 3 0 1,819 1975 $799,000 $740,000 21 S Forest Beach Drive #101 Ocean, Pool 3 3 0 1,437 1975 $675,000 $625,000 10 N Forest Beach Drive #2513 Ocean 2 2 0 1,327 1998 $599,999 $575,000 31 S Forest Beach #13 Landscape 2 2 0 1,296 1972 $449,000 $435,000 3 N Forest Beach #207 Landscape, Wooded 2 2 0 1,261 2001 $434,000 $416,000 11 S Forest Beach Drive #122 Landscape 3 3 0 1,584 1975 $415,000 $401,000 11 S Forest Beach Drive #220 Landscape 2 2 0 1,293 1975 $369,000 $355,000 23 S Forest Beach #372 Ocean 1 1 0 560 1979 $299,900 $295,000 23 S Forest Beach #267 Ocean 1 1 0 518 1979 $299,000 $284,000 23 S Forest Beach #326 Ocean 1 1 0 560 1979 $298,500 $285,000 43 S Forest Beach Drive #408 Ocean 1 1 0 538 1980 $279,000 $253,500 39 S Forest Beach Drive #529 Ocean 2 2 0 682 1983 $275,000 $250,000 23 S Forest Beach #121 Ocean 1 1 0 560 1979 $274,900 $265,000 23 S Forest Beach #126 Ocean 1 1 0 560 1979 $262,500 $250,000 4 N Forest Beach Drive #333 Ocean, Pool 1 1 0 518 1979 $239,000 $222,000 23 S Forest Beach #170 Ocean 1 1 0 560 1979 $239,000 $225,000 23 S Forest Beach #220 Ocean 1 1 0 518 1979 $199,000 $185,000 4 N Forest Beach Drive #304 Ocean, Wooded 1 1 0 518 1979 $189,900 $180,000 23 S Forest Beach Drive #352 Ocean 1 1 0 518 1979 $189,900 $185,000 ADDRESS
Home Equity Growing Across America
VIEW
Definitions for Listings Active - On the Market Pending - Under Contract Sold - Closed Between January 1, 2018 and March 31, 2018
KEY TRENDS
Source: Keeping Current Matters, March 2018
Forecasted Year Over Year % Change in Price by State KEY TAKEAWAYS WA 4.9%
VT (6.2%) ND 2.5%
MT 3.1% OR 5.7%
ID 4.0%
UT 3.8%
CA 9.1%
AZ 6.0%
WI 4.1%
SD 3.5%
WY 3.1% NV 7.8%
MN 3.4%
IA 4.1%
NE 3.9%
CO 5.2%
KS 4.1%
KY 3.8% 2.9%
OK 3.0%
NM 3.7%
4.8%
MO 4.6%
RI (3.4%) PA 4.6% OH 4.2%
IN
TX 2.1%
WV 4.0%
1. You can see that the real estate market is very strong across the whole country.
CT (6.1%) NJ (5.3%) DE (3.9%) MD (4.1%)
VA 4.1%
DC (3.7%)
2. You can also see that the equity in your house might be more than you think.
NC 3.8%
TN
SC 4.0%
AR 4.5% MS 3.1%
These two maps are very insightful for a number of reasons:
NH (5.8%) MA (4.7%)
NY 4.8%
MI 6.0%
IL 4.8%
ME 5.7%
AL 4.4%
3. CoreLogic, the leading provider of real estate data and analytics, is forecasting a year-over-year 4.3% level of appreciation across the country.
GA 3.8%
LA 2.6% FL 6.4%
AK 4.7%
UNITED STATES 4.3%
4. Now is the perfect time to sell, buy and/or invest as the market is strong.
< 0.0% 0.0% to 1.9% 2.0% to 3.9% 4.0% to 5.9%
HI 5.1%
> 6.0%
Actual Year Over Year % Change in Price by State WA 12.0%
VT (4.1%) ND 5.4%
MT 6.2% OR 6.9%
ID 10.7% WY 3.3% NV 11.0%
CA 8.2%
UT 10.7%
AZ 6.3%
CO 8.0%
MN 5.7%
WI 5.9%
SD 4.3% IA 3.8%
NE 5.3%
OK 1.7%
NM 3.5%
MI 7.1%
IL 3.5%
5.3%
KY 5.6% 6.6%
TX 5.7%
WV 5.0%
VA 2.7%
CT (1.9%) NJ (3.5%) DE (3.9%) MD (3.6%) DC (2.5%)
NC 5.5%
TN
SC 5.3%
AR 3.5% MS 3.8%
NH (5.8%) MA (6.2%) RI (8.2%)
PA 3.8% OH 6.2%
IN
MO 5.6%
KS 3.9%
NY 5.3%
ME 8.1%
AL 4.4%
GA 5.8%
LA 5.1% FL 5.8%
AK 1.6%
UNITED STATES 6.6%
< 0.0% 0.0% to 1.9% 2.0% to 3.9% 4.0% to 5.9%
HI 3.9%
> 6.0%
North & South Forest Beach Oceanfront Villa Listings STATUS
VILLA COMPLEX
Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Active Pending Pending Pending Pending Pending Pending Pending Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold Sold
The Sea Crest Villas The Sea Crest Villas Ocean One Villas Ocean One Villas The Sea Crest Villas The Sea Crest Villas The Sea Crest Villas Shorewood Villas Ocean One Villas The Sea Crest Villas The Sea Crest Villas The Sea Crest Villas The Sea Crest Villas Shorewood Villas The Sea Crest Villas Shorewood Villas Shorewood Villas Shorewood Villas Ocean One Villas The Sea Crest Villas The Sea Crest Villas Shorewood Villas Ocean One Villas Shorewood Villas Shorewood Villas Shorewood Villas North Shore Place Villas North Shore Place Villas Shorewood Villas Ocean Club Villas North Shore Place Villas Sea Side Villas Carolina Beach Club Ocean Dunes Villas Ocean Club Villas Breakers Villas Breakers Villas Ocean Dunes Villas Ocean Dunes Villas Breakers Villas Sea Side Villas Breakers Villas Sea Side Villas Sea Side Villas Sea Side Villas Sea Side Villas Sea Side Villas Shorewood Villas Sea Side Villas Breakers Villas Sea Side Villas Sea Side Villas Sea Side Villas Sea Side Villas Shorewood Villas Ocean One Villas Shorewood Villas The Sea Crest Villas Ocean Club Villas North Shore Place Villas Ocean One Villas Ocean One Villas Sea Side Villas Sea Side Villas Sea Side Villas Ocean Dunes Villas Carolina Beach Club Sea Side Villas Sea Side Villas Breakers Villas Sea Side Villas Sea Side Villas Breakers Villas Sea Side Villas
TOTAL FULL HALF APPROX. YEAR LIST PRICE CLOSE PRICE BEDROOMS BATHS BATHS SQ. FOOTAGE BUILT 10 N Forest Beach Drive #PH 2 Landscape, Ocean 4 4 1 4,000 1998 $1,995,000 --10 N Forest Beach Drive #PH 1 Landscape, Ocean 5 4 1 3,800 1998 $1,695,000 --11 S Forest Beach Drive #523 Deep Water, Ocean 4 4 0 2,600 1975 $1,225,000 --11 S Forest Beach Drive #507 Ocean, Pool 4 4 0 2,600 1975 $1,225,000 --10 N Forest Beach Drive #3103 Ocean 3 3 0 2,060 1998 $1,199,000 --10 N Forest Beach Drive #2112 Ocean 3 3 0 1,750 1998 $1,049,500 --10 N Forest Beach Drive #1206 Ocean 3 3 0 1,827 1998 $999,000 --21 S Forest Beach Drive #535 Ocean, Pool 3 3 0 1,450 1975 $995,000 --11 S Forest Beach Drive #301 Ocean, Ocean 4 3 0 1,819 1975 $850,000 --10 N Forest Beach Drive #2115 Ocean 3 3 0 1,750 1998 $799,000 --10 N Forest Beach Drive #2410 Ocean 2 2 0 1,327 1998 $699,000 --10 N Forest Beach Drive #2511 Ocean 2 2 0 1,327 1998 $699,000 --10 N Forest Beach Drive #2209 Ocean 3 3 0 2,004 1998 $695,000 --21 S Forest Beach Drive #211 Ocean 2 2 0 1,270 1975 $680,000 --10 N Forest Beach Drive #2506 Ocean 2 2 0 1,327 1998 $679,000 --21 S Forest Beach Drive #436 Landscape, Ocean 2 2 0 1,125 1981 $650,000 --21 S Forest Beach Drive #208 Deep Water, Ocean 2 2 0 1,109 1975 $649,000 --21 S Forest Beach Drive #108 Ocean 2 2 0 1,109 1975 $625,000 --11 S Forest Beach Drive #202 Wooded 4 3 0 1,819 1975 $579,000 --10 N Forest Beach Drive #2106 Landscape, Ocean 2 2 0 1,327 1998 $569,000 --10 N Forest Beach Drive #2108 Ocean 2 2 0 1,327 1998 $559,900 --21 S Forest Beach Drive #109 Ocean 2 2 0 1,109 1975 $539,000 --11 S Forest Beach Drive #424 Deep Water, Landscape 3 3 0 1,580 1975 $525,000 --21 S Forest Beach Drive #439 Ocean, Pool 2 2 0 1,090 1975 $519,000 --21 S Forest Beach Drive #231 Ocean, Pool 2 2 0 1,200 1975 $499,900 --21 S Forest Beach Drive #137 Ocean, Pool 2 2 0 1,200 1975 $499,900 --3 N Forest Beach #206 Landscape 2 2 0 1,290 2001 $499,000 --3 N Forest Beach #110 Landscape 2 2 0 1,277 2001 $455,000 --21 S Forest Beach Drive #418 Ocean, Pool 2 2 0 1,270 1975 $439,000 --31 S Forest Beach #4 Landscape, Pool 2 2 0 1,296 1972 $439,000 --3 N Forest Beach #107 Landscape 2 2 0 1,261 2001 $434,000 --23 S Forest Beach #221 Ocean 1 1 0 560 1979 $399,000 --39 S Forest Beach Drive #229 Ocean 2 2 0 850 1983 $349,000 --43 S Forest Beach Drive #104 Ocean 2 2 0 800 1980 $340,000 --31 S Forest Beach #10 Pool 2 2 0 1,296 1972 $337,000 --4 N Forest Beach Drive #227 Ocean, Pool 1 1 0 518 1979 $279,000 --4 N Forest Beach Drive #217 Ocean 1 1 0 518 1979 $279,000 --43 S Forest Beach Drive #418 Ocean 1 1 0 538 1980 $274,500 --43 S Forest Beach Drive #120 Ocean 1 1 0 538 1980 $266,500 --4 N Forest Beach Drive #122 Ocean, Pool 1 1 0 518 1979 $249,000 --23 S Forest Beach #145 Ocean 1 1 0 518 1979 $234,900 --4 N Forest Beach Drive #305 Landscape 1 1 0 518 1979 $229,900 --23 S Forest Beach #290 Ocean, Pool 1 1 0 518 1979 $225,000 --23 S Forest Beach #138 Ocean 1 1 0 518 1979 $189,000 --23 S Forest Beach #283 Ocean 1 1 0 518 1979 $189,000 --23 S Forest Beach #284 Ocean 1 1 0 518 1979 $189,000 --23 S Forest Beach #109 Ocean 1 1 0 518 1979 $184,900 --21 S Forest Beach Drive #223 Ocean, Pool 3 3 0 1,816 1975 $549,000 --23 S Forest Beach #318 Ocean 1 1 0 518 1979 $260,000 --4 N Forest Beach Drive #129 Ocean, Pool 1 1 0 518 1979 $249,500 --23 S Forest Beach #316 Ocean 1 1 0 518 1979 $182,500 --23 S Forest Beach #309 Ocean 1 1 0 518 1979 $179,500 --23 S Forest Beach #142 Ocean 1 1 0 518 1979 $179,000 --23 S Forest Beach #310 Ocean 1 1 0 518 1979 $170,000 --21 S Forest Beach Drive #506 Ocean 3 3 0 1,437 1975 $999,900 $925,000 11 S Forest Beach Drive #401 Ocean 4 3 0 1,819 1975 $799,000 $740,000 21 S Forest Beach Drive #101 Ocean, Pool 3 3 0 1,437 1975 $675,000 $625,000 10 N Forest Beach Drive #2513 Ocean 2 2 0 1,327 1998 $599,999 $575,000 31 S Forest Beach #13 Landscape 2 2 0 1,296 1972 $449,000 $435,000 3 N Forest Beach #207 Landscape, Wooded 2 2 0 1,261 2001 $434,000 $416,000 11 S Forest Beach Drive #122 Landscape 3 3 0 1,584 1975 $415,000 $401,000 11 S Forest Beach Drive #220 Landscape 2 2 0 1,293 1975 $369,000 $355,000 23 S Forest Beach #372 Ocean 1 1 0 560 1979 $299,900 $295,000 23 S Forest Beach #267 Ocean 1 1 0 518 1979 $299,000 $284,000 23 S Forest Beach #326 Ocean 1 1 0 560 1979 $298,500 $285,000 43 S Forest Beach Drive #408 Ocean 1 1 0 538 1980 $279,000 $253,500 39 S Forest Beach Drive #529 Ocean 2 2 0 682 1983 $275,000 $250,000 23 S Forest Beach #121 Ocean 1 1 0 560 1979 $274,900 $265,000 23 S Forest Beach #126 Ocean 1 1 0 560 1979 $262,500 $250,000 4 N Forest Beach Drive #333 Ocean, Pool 1 1 0 518 1979 $239,000 $222,000 23 S Forest Beach #170 Ocean 1 1 0 560 1979 $239,000 $225,000 23 S Forest Beach #220 Ocean 1 1 0 518 1979 $199,000 $185,000 4 N Forest Beach Drive #304 Ocean, Wooded 1 1 0 518 1979 $189,900 $180,000 23 S Forest Beach Drive #352 Ocean 1 1 0 518 1979 $189,900 $185,000 ADDRESS
Home Equity Growing Across America
VIEW
Definitions for Listings Active - On the Market Pending - Under Contract Sold - Closed Between January 1, 2018 and March 31, 2018
KEY TRENDS
Source: Keeping Current Matters, March 2018
Forecasted Year Over Year % Change in Price by State KEY TAKEAWAYS WA 4.9%
VT (6.2%) ND 2.5%
MT 3.1% OR 5.7%
ID 4.0%
UT 3.8%
CA 9.1%
AZ 6.0%
WI 4.1%
SD 3.5%
WY 3.1% NV 7.8%
MN 3.4%
IA 4.1%
NE 3.9%
CO 5.2%
KS 4.1%
KY 3.8% 2.9%
OK 3.0%
NM 3.7%
4.8%
MO 4.6%
RI (3.4%) PA 4.6% OH 4.2%
IN
TX 2.1%
WV 4.0%
1. You can see that the real estate market is very strong across the whole country.
CT (6.1%) NJ (5.3%) DE (3.9%) MD (4.1%)
VA 4.1%
DC (3.7%)
2. You can also see that the equity in your house might be more than you think.
NC 3.8%
TN
SC 4.0%
AR 4.5% MS 3.1%
These two maps are very insightful for a number of reasons:
NH (5.8%) MA (4.7%)
NY 4.8%
MI 6.0%
IL 4.8%
ME 5.7%
AL 4.4%
3. CoreLogic, the leading provider of real estate data and analytics, is forecasting a year-over-year 4.3% level of appreciation across the country.
GA 3.8%
LA 2.6% FL 6.4%
AK 4.7%
UNITED STATES 4.3%
4. Now is the perfect time to sell, buy and/or invest as the market is strong.
< 0.0% 0.0% to 1.9% 2.0% to 3.9% 4.0% to 5.9%
HI 5.1%
> 6.0%
Actual Year Over Year % Change in Price by State WA 12.0%
VT (4.1%) ND 5.4%
MT 6.2% OR 6.9%
ID 10.7% WY 3.3% NV 11.0%
CA 8.2%
UT 10.7%
AZ 6.3%
CO 8.0%
MN 5.7%
WI 5.9%
SD 4.3% IA 3.8%
NE 5.3%
OK 1.7%
NM 3.5%
MI 7.1%
IL 3.5%
5.3%
KY 5.6% 6.6%
TX 5.7%
WV 5.0%
VA 2.7%
CT (1.9%) NJ (3.5%) DE (3.9%) MD (3.6%) DC (2.5%)
NC 5.5%
TN
SC 5.3%
AR 3.5% MS 3.8%
NH (5.8%) MA (6.2%) RI (8.2%)
PA 3.8% OH 6.2%
IN
MO 5.6%
KS 3.9%
NY 5.3%
ME 8.1%
AL 4.4%
GA 5.8%
LA 5.1% FL 5.8%
AK 1.6%
UNITED STATES 6.6%
< 0.0% 0.0% to 1.9% 2.0% to 3.9% 4.0% to 5.9%
HI 3.9%
> 6.0%
KEY TRENDS
THE STATE
Rising Mortgage Rates Do Not Lead to Falling Home Prices
of the North & South Forest Beach Oceanfront Villas Real Estate Market April 2018
Source: Keeping Current Matters, March 2018
Recently, Freddie Mac published an Insight Report titled Nowhere to Go but Up? How Increasing Mortgage Rates Could Affect Housing. The report focused on the impact that the projected rise in mortgage rates might have on the housing market this year. Many believe that an increase in mortgage rates will cause a slowdown in purchases which would, in turn, lead to a fall in house values. Ultimately, however, prices are determined by supply and demand and while rising mortgage rates may slow demand, they also affect supply. From the report: “For current homeowners, the decision to buy a new home is typically linked to their decision to sell their current home...Because of this link, the financing costs of the existing mortgage are part of the homeowners decision of whether and when to move. Once financing costs for a new mortgage rise above the rate borrowers are paying for their current mortgage, borrowers would have to give up below-market financing to sell their home. Instead, they may choose to delay both the sale of their existing home and the purchase of a new home to maintain the advantageous financing.”
+13%
KEY METRICS
+13%
First Quarter of 2018 in Review
+11%
The graph to the right, based on data from the Insight Report, reveals what happened to home prices the last six times mortgage rates rose by at least 1%.
PRICES* RATES
They went on to reveal that the Freddie Mac National House Price Index is “unresponsive to movements in interest rates. In the current housing market, the driving force behind the increase in prices is a low supply of both new and existing homes combined with historically low rates. As mortgage rates increase, the demand for home purchases will likely remain strong relative to the constrained supply and continue to put upward pressure on home prices.”
+7%
+3%
In the North & South Forest Beach Villas area, 20 villas closed in the first quarter of 2018, with only 18 closing during the same period last year. The first three months of 2018 total dollar volume was $7,351,500, up compared to $5,375,754 in 2017. Supply and demand: as of April 2nd, 2018, there are 47 North & South Forest Beach Oceanfront Villas listed for sale with an average of 5.67 villas selling per month over the last six months. That translates into a 8.29-month supply, considered by industry experts to be a buyer’s market. There are seven villas under contract in North & South Forest Beach Oceanfront Villas.
+2%
10/1993 to 12/1994
01/1996 to 11/1996
10/1995 to 05/2005
06/2003 to 06/2004
06/2006 to 07/2006
11/2012 to 12/2013
+2.38%
+1.20%
+1.81%
+1.06%
+1.18%
+1.11%
20
$284,500
95.11%
169
Total Sales
Median Price
Sale to List Price
Median Days on Market
*SEASONALLY ADJUSTED RATE BETWEEN START AND END DATES
Extensive Domestic & Global Exposure (EDGE™)
TECH FOCUS
Hilton Head Island Real Estate Market Overview
Smart Marketing, Extensive Exposure, and Tailored Strategies to Sell Your Home Global reach with boutique style is what you can expect when working with Engel & Völkers here and around the world - and we’ve sharpened our EDGE. Committed to delivering the highest level of customer service, we provide Extensive Domestic & Global Exposure (EDGE) designed to maximize exposure of your listing to qualified, targeted buyers worldwide with the utmost care and competency.
ACTIVE LISTINGS ON HILTON HEAD ISLAND
636
• Highly trusted strategic online and mobile marketing partners with a combined 500 million website and mobile views per month • A global network spanning more than 30 countries with 9,000 Advisors in 750 shops around the world
YTD Hilton Head Island Home Sales YTD Through March 31 for Each Year
• White-glove professionalism and local market expertise of your dedicated Advisor Let me provide the EDGE you need to sell your home.
COMMUNITY SPECIALIST Scott Regene is your North and South Forest Beach Real Estate Specialist. Contact me for a complimentary home valuation
and discover how I can increase your property’s visibility both nationally and internationally through Engel & Völkers global real estate network, unique digital platforms, social media presence, and local market expertise.
Scott Regene Real Estate Advisor Main Shop | 800 Main Street, Hilton Head Island South Island Lounge | 7 New Orleans Road, Hilton Head Island Historic Bluffton Lounge | 6 Promenade Street, Suite 1001, Bluffton
Telephone: 843-949-0522 Email: scott.regene@evusa.com Website: www.scottregene.evusa.com ©2018 Engel & Völkers. All rights reserved. Each brokerage is independently owned and operated. All information provided is deemed reliable but is not guaranteed and should be independently verified. If your property is currently represented by a real estate broker, this is not an attempt to solicit your listing. Engel & Völkers and its independent License Partners are Equal Opportunity Employers and fully support the principles of the Fair Housing Act.
How’s the Hilton Head Island Real Estate Market Doing?
PRSRT STD US POSTAGE PAID Permit 73
Hilton Head Is., SC
Year
Number of Homes Sold
Median Price
2013
149
$470,000
2014
169
$485,000
2015
181
$531,000
2016
183
$500,000
2017
177
$520,000
2018
211
$532,000
In 2018 the Hilton Head Island housing market enjoyed its best first quarter in 13 years, according to statistics from the Hilton Head Area Multiple Listing Service. As you can see from the chart to the left, the number of sales in the first quarter are up to 211, a 19% increase from 2017. The median price is also up, 2.2% above the 2017 first quarter median price, but is still 28% below the peak set in 2006. The median price of homes selling in the US is at its highest ever. It is expected that Island prices in the next several years will also rise into record setting territory. Thus, with prices still way below the peak and today’s historically low interest rates, it is an exceptional time to invest in real estate on the Island.
This information is based on data provided by Multiple Listing Service of Hilton Head Island, Inc. (“HHIMLS”) for the period January 2018 through April 4, 2018. HHIMLS does not guarantee and is not in any way responsible for its accuracy. Data provided by HHIMLS may not reflect all real estate activity in the market.