Hilton Head Island Home Sales Make Waves
by Blanche Evans
With the exception of the high-end homes, home sales in Hilton Head Island are up significantly, particularly ocean-view properties, say local Realtors. "Hilton Head Island is a semi-tropical island with a strong primary market as well as resort rentals and investment," says Realtor Chris Spirer. "The market has definitely picked up. We are seeing sales in most parts of the market including the very high end which had been a bit sluggish. Our inventory is down, with less properties available than last year at this time. Buyers, don't wait in hopes of a softening market and don't expect to 'steal' properties. It just isn't happening. Our sellers are patient. Take advantage of the low interest rates and buy now!" Say Realtors Linda and Gary Mullinix, "What started out as a vacation/resort community has grown into an island filled with diversity. Not only will you find fabulous resort accommodations, golf, tennis, swimming, biking, horseback riding, hiking, shopping, and many of the finest restaurants in the country, you will find a plethora of home styles to choose from. From modestly priced villas, single-family homes of all sizes and price ranges, to elaborately furnished ocean-front properties, it is all available on the island. From small to large, views of all types, and a home to meet everyone's budget, the island's variety of home options is almost unlimited." They advise, "As the economy continues to improve, and despite a somewhat uncertain stock market, real estate sales have improved dramatically since January. Year-to-date figures show improvement in just about all areas with total sales up around 63 percent over the same period last year. One significant gain is in homesite sales which have improved by 100 percent over last year. Although this equates to only 10 percent of the total market, it is a good indication that confidence in the economy is growing. "Equity growth in the area continues to be higher than other coastal resort communities," observes the Mullinix team. " Investors in the condominium (villa) market are finding cash-flow problems eased by low interest rates, especially interest only loans. Even if there is some negative cash flow, the return on investment is proving just too good to pass up. Now with low interest rates and aggressive interest-only loans, investors are seeing even more reason to purchase, resulting in lower inventories and rising prices. Premium ocean-oriented properties are in fact significantly up and indicate a strong seller's market. "In the primary home market," they suggest, "the real winners continue to be the new developing communities on the mainland. In addition to the lower interest rates which attract many first-time buyers, new production homes are showing up, providing a lower entry point. These have proven to be quite successful and sales are brisk. As inventory continues to shrink and the glut of new homes from last year is diminished, prices could move from neutral to an upward trend this year. Homes sales in some of the private golf communities continue to be sluggish and more of a buyer's market. Given the different products offered in this diverse and expanding area, we really have a blend of market conditions, buyer's, seller's, and some neutral. We had anticipated that we would be moving into a seller's market by this time but we are not there yet in spite of strong sales. Inventory is still readily available in most areas." Explains Realtor Andre Cilliers, "Hilton Head is a sub-tropical resort island community, located just off the coast of South Carolina. The island is regarded as a world-class golf and tennis destination. The number of sales is accelerating. This is a very encouraging trend for anyone wanting to build equity in their real estate holdings. It is also beneficial for a property owner having to sell soon after buying and not being forced to take a loss. If you want to upgrade to a larger home you will likely get a good sale price and will be able to buy much more house at a great new low rate and possibly not even increase your monthly payments." |
