After a five year slump, why are the number of real estate transactions and prices going up now?  Our experience at Gateway Realty during 2013 concurs with the five factors delineated in a recent Wall Street Journal article: affordability, a million new households, decline in distressed properties, rising rents, and the lowest inventory levels in almost fifty years.

Affordability

As real estate values vastly declined since 2007, homes priced well below their replacement costs with all-time low mortgage rates have just become too affordable not to buy!   Foreclosures and short sales certainly contributed to the availability of affordable property on the market for buyers who have  the patience to endure the bureacratic process.  While low mortgage rates will initially offset a steady increase in home prices, there is concern that prices may once again begin to exceed income levels later next year which would decrease affordability and slow the accelerated rate of home purchasing.

A Million New Households

A million new households have sprung up due to modest immigration numbers and the young millenials who are also referred to as “Echo Boomers”.  This new generation of homebuyers outnumber the baby boomers at their ages, and of course, the older generation of boomers still account for a significant number of real estate sales, particularly in the southeast.

Decline in Distressed Properties

Former renters such as the millenials are now willing and able to buy, thus contributing to the rise in sale prices and a decrease in real estate inventory. As the economy tanked and prices hit bottom, the feeding frenzy of foreclosures and short sales accounted for many of the real estate transactions in the last few years.  Those days, however, are coming to an end.  Distressed homes on the market have decreased 25-30% since last year, and buyers are now turning their attention to conventional property purchases.

Rising Rents

What happens to the homeowner who has lost their home in a foreclosure or short sale?  They will most likely rent which, in turn, has driven rental prices up so much that it is has become more economical to buy if one has the credit to do so.  So, former homeowners are now renting, former renters are buying, and a lucrative rental market has resulted in a lot of folks buying in order to rent out their properties.

High Demand, Low Inventory

Our company, Gateway Realty, has sold almost $40 million dollars worth of real estate in these first five months of the year, maintaining our position as the #1 real estate sales force in the mainland communities.  We are literally seeing homes and lots selling within days of being listed on the market!   We’ve had  agents recently experience the following scenario:  a Realtor has been showing property to clients, the clients want to take a few days to think things over and decide which property to make an offer on and at what price, but before they can make an offer, all of the listings they were considering have already been sold!  Nationally, homes are selling a month faster than they were in 2012, and “bidding wars” are a reality in many areas of the country.  Locally, we are experiencing an unprecedented demand for homes and lots and a decrease in the inventory available.  NAR chief economist, Lawrence Yun, acknowledges the increased demand and decreased supply citing the fact that there is a 25% increase in buyer traffic from a year ago, but nationally, there is only a 4-7 month supply of property inventory at the current sales pace, and our local market is tracking along those same statistics at 8.5 months supply.  New listings in Bluffton and Hilton Head have decreased 10.5% and overall inventory levels have shrunk 16.2%, while, according to the Hilton Head Area MLS, the number of home sales so far this year as compared to the same period in 2012 are up 22%, and lots are up 21%.

It’s not hype to say, “NOW IS THE TIME TO BUY!”  As we study the market trends and analyze what is happening in our real estate offices and the local and national market, we at Gateway Realty, truly believe there is no better time to invest in real estate than right now.  Should you be ready to invest or just want to chat with one of our real estate specialists about the current market, please contact us at 800-587-7710, or locally at 757-7710 or via email at info@gatewayrealtysc.com.  Below are just a few of our recent featured listings.  For more information about these properties or to view all Gateway listings as well as all properties available in the Bluffton-Hilton Head, South Carolina area, visit our website at www.gatewayrealtysc.com

4 Ocean Watch, Haig Point

$1,875,000

Daufuskie Island Ocean View

5 bedrooms, 4.5 baths      5,293 square feet

60 Magnolia Blossom, Colleton River

$2,659,000

Deepwater with Dock and Infinity Pool

4 bedrooms, 5 baths     5,467 square feet

34 Widewater Road, Spanish Wells

$1,895,000

Hilton Head Island Deepwater with Dock and Pool

5 bedrooms, 5 baths, 2 half baths     7,000 square feet

48 Richland Drive, Belfair Plantation

$900,000

Golf and Marsh Views

4 bedrooms, 4.5 baths     4,795 square feet

7 Oakland Place, Berkeley Hall

$569,000

Wooded View

4 bedrooms, 4.5 baths     3,183 square feet

24 Harborage Court, Hampton Lake

$749,000

Lake Views

3 bedrooms, 3.5 baths     2,736 square feet

59 Oak Tree Road, Colleton River Plantation

$1,295,000

Full Size Lot on Deepwater with Dock

PENDING SALE!

Big Appliances
The new models for large appliances roll out in September and October, so stores will be working to make room by discounting previous models. Some stores will keep older inventory in stock through the holiday months and then reduce whatever is left at the beginning of the new year.  During the rest of the year look for holiday sales around Memorial Day and Independence Day.

Carpet and Flooring
Americans love to spruce up their homes for the holidays, which means carpet and flooring is in high demand through the end of December. Once the new year hits, however, demand and prices plummet.

Furniture
Furniture retailers tend to slash prices in January with anticipation of new furniture arriving in February.

Linens and Bedding
In 1878, John Wannamaker coined the term, “White Sale, and ever since people have counted on the new year for linen and bedding sales.

FEBRUARY

Home Theaters
The biggest sales of both big-screen TVs and home theaters are right  before the Super Bowl in late January or early February. Dealers want to clear their inventory for new product lines and customers want to upgrade for the highest-rated show of the year.

MARCH

China and Flatware
Shop after Christmas and during the pre-wedding season, especially for deals on last-seaason’s patterns.

Gardening Tools
The first signs of spring also result in 50% off signs for most gardening tools as retailers are eager to get consumers prepared to buy flowers, plants, and everything else needed to spruce up the yard after winter’s frost.

APRIL

Used Cars
Find the best prices and selection on used cars in April, as Americans receive their tax refunds.

Electronics
The best time to buy electronics is in the Spring and early summer, when most Japanese electronics companies release their new models. Stores make room for the new products by reducing the price on last years model.

Vacuum Cleaners
The best time to buy a new vacuum cleaner is before you start spring cleaning. The introduction of new models will result in lower prices in April and May as new vacuum models are released in June.

MAY

Cookware
Since cookware is a popular gift item for newlyweds and graduating college students, stores often run specials on cookware in early summer.

Kitchen Accessories
Merchants know more people buy kitchen appliances for graduation and wedding presents, making spring a good time to buy.

Mattresses and Box Springs
The best time to buy a mattress and box springs is in May when retailers need to make room for new models. Your chances of getting a great deal at this time are quite good as manufacturers leave retailers enough room to reduce prices.

Picnic & Barbecue Supplies
Step right up and get your condiments, napkins, paper plates and other barbecue supplies in preparation for the best weather of the year. Manufacturers and merchants tend to offer deep discounts in mid-May and early June to entice shoppers away from their competitors.

JUNE

Hardware
Hardware and home improvement stores hammer us with heavily advertised sales directly before Fathers Day and during the holiday season. Apparently merchants believe all men — particularly fathers — lust after nothing quite so much as power tools.

Paint
Paint retailers have sales on both interior and exterior paints during the hottest months of the year.

JULY

Broadway Tickets
New Yorkers flock to new shows in the fall and consider summer performances “très gauche.” That means theaters are more likely to fill empty seats in July with cut-rate tickets. On the other hand, some truly good theater closes quickly, so availability depends on a show’s popularity.

Butter
Butter production is typically best in June or July, meaning prices are low. Since butter freezes well for at least six months, stock up now for holiday cooking.

AUGUST

Computers
Computers have become essential items for students which is why most retailers have big back to school sales in August. You can also get a good deal on a computer during the run up to Christmas.
Garden Plants and Flowers
Prices on plants and flowers fall drastically after midsummer when nurseries and garden supply stores are trying to clear inventory.

Lawn Mowers
Once summer is over, home improvement stores begin preparing for fall products, which means big sales on lawn mowers. Stores need to make room for new inventory and lawn mowers take up a lot of space.

SEPTEMBER
Bicycles
New bicycle models are released in September, as the riding season slows down. Dealers don’t want old models haunting their show rooms all winter, so they slash prices. Because bike manufacturers drastically change models every few years — to keep up with new technology — you’ll want to investigate to make sure you don’t end up with an out-of-date bike.

China and Flatware
If you don’t mind buying last-season’s patterns, shop after Christmas and the wedding season.

Patio Furniture
Wait until the first week after summer ends to buy your patio furniture. Big box stores will drastically reduce the price of patio furniture because they need to make room for Christmas decorations.

OCTOBER

Air Conditioners
The price of air conditioners rise and lower with the temperature. Most old air conditioners expire when the temperature goes up which creates a high demand in the summer months.
As temperatures cool the prices will drop and you can find great deals as stores are clearing their inventory at the end of summer.

Gas Grills
Gas grills are in high demand during the summer and prices rise to match the demand. This makes Fall and Winter the best time to buy a new grill. Local home improvement stores cut prices on summer grills when winter merchandise arrives.

NOVEMBER

Recreational Vehicles
The absolute, hands-down, best time to buy both new and used RVs is a couple weeks after cold weather sets in and buyer traffic has slowed. Dealers want to increase their cash flow and unload excess inventory. Private owners don’t want to winterize and store their RVs. Of course, that means you’ll have to deal with storage, but the hassle and expense can be offset by a cheaper price.

DECEMBER

Golf Clubs
The holidays certainly bring plenty of deals for the golfer in your family, but March is also a great time to buy clubs as new models are released, so there are great bargains on last year’s models.
Pool
Off-season remains the best time to purchase a pool which can reasonably be built during our mild cooler seasons.
Small Appliances
Retailers tend to have a large supply of small appliances over the holidays, and they offer substantial discounts to clear out the inventory.

Every month is a great time to buy real estate – but inventory is disappearing rapidly, so be sure to check out our listings at our website www.gatewayrealtysc.com and call us today at Gateway Realty 800.587.7710 or email us at info@gatewayrealtysc.com.

Happy Shopping, Y’all!

May 1     Concert on the Green 

6:30pm      Palmetto Bluff     Admission is $25 per vehicle

Two-hour jazz and swing concert to benefit the Junior Jazz Foundation.  Featured performers are the Martin Lesch Band and Bob Masteller’s Jazz Corner Sextet.  The Junior Jazz Ensemble will open the concert.  

 Food and beverages are available for purchase starting at 5pm.  Bring your own lawn chairs and blankets.

 May 1 -26     Monty Python’s SPAMALOT 

8pm      Arts Center of Coastal Carolina

Winner 2005 Tony Award for “Best Musical” – the comical retelling of the story of King Arthur and the Knights of the Round Table

Click link for schedule and ticket information

May 2-23     “Music on the Harbour “Concert Series

6-9pm     Thursdays at Neptune’s Statue in Shelter Cove Harbour

Local bands perform each Thursday throughout the month

May 4     16th Annual Dog Walk on the Beach

8:30-11:00am     Coligny Boardwalk and Beach

$30 for you and your dog includes a doggie bandana, goody bag, and t-shirt

Food, dancing, frisbee, and giveaways

Register on the Hilton Head Humane Association website at link

May 4     First Annual Community Beach Bike Ride 

10am     Coligny Beach Park (near Beach House Hotel)     Free Event

3 mile ride from Coligny Beach Park to Marriott Hotel in Palmetto Dunes and back

Bikes can be rented at the starting point but do bring your own helmet

Refreshments available as well as a Yoga/Stretch Session after the ride

May 5     9th Annual Yacht Hop

5:30-9pm     Harbour Town Yacht Basin

Proceeds Benefit Hospice Care of the Lowcountry

 $100 per ticket

May 6     Hilton Head Symphony Orchestra Season Finale

8pm     First Presbyterian Church of Hilton Head

Conducted by John Morris Russell 

Pianist Charlie Albright

Click link for ticket information

May 11     35th Annual Bluffton Village Festival

10am-4pm     Calhoun Street, Bluffton

Sponsored by the Rotary Club of Bluffton

Free admission.  Also known as Mayfest, over 200 vendors selling jewelry, arts and crafts, food, etc.  including the Church of the Cross’ famous shrimp sandwiches as well as barbecue and ice cold lemonade.  Ugly Dog Contest and Strawberry Pie Eating Contest.

May 11th     Inaugural Lowcountry Roots, Rock, and Reggae Run

5pm – 5K Roots Run,   6pm – 10K Rock Run,   15K Reggae Run combines times of those who run both the 5K and 10K

This twilight run through Hilton Head Lakes celebrates Bob Marley with a colorful Post Race Sunsplash Party and Awards Ceremony featuring live music by “Patwa” and a Bob Marley look-alike contest.  $30 pre-registration

May 16th     “A Night for the Children”  Third Annual Family Promise Gala

6-9pm     Hampton Hall Clubhouse

Entertainment, live and silent auctions, drinks and appetizers

May 17th    Bluffton Sunset Party Series Begins with “Pizzapalooza”

5-9pm     Bluffton Oyster Factory Park     $5pp, children under 12 Free

Monthly party series featuring live music, craft beer garden, and a pizza and pasta food court provided by eight local pizzerias

May 18th     Hilton Head 16th Annual Spring Triathalon

7-11am     Coligny Beach

Swim 500m, Bike 13 miles, Run 3.1 miles

May 18th     17th Annual Rib Burnoff and Barbecue Fest

Noon-4pm     Coastal Discovery Museum at Honey Horn

Sponsored by the Kiwanis Club of Hilton Head      $12 advance tickets, $15 at door

Featuring 20 cooks including several local restaurants and music provided by the Chilly Willy Band

May 19th     Hilton Head/Bluffton/Savannah Equestrian Expo

11am Gates Open,   12:30 Expo,   2:30 Polo    

Rose Hill Equestrian Center     $15

Various equestrian exhibitions followed by  polo match

May 25th & 26th     Hilton Head Island Art Festival

10am-5pm     Shelter Cove Harbour

Outdoor gallery-style exhibits featuring original artwork and crafts 

Free admission

May 26th     Hilton Head Choral Society “America Sings” Concert

7pm     First Presbyterian Church of Hilton Head

$15 general admission

Colonial folk songs, patriotic music, and a salute to our armed services

Be sure to tune in and watch Gateway’s own Johnny Ussery and Tom Jackson on WHHI-TV’s “Talk of the Town” twice a day beginning tonight at 5pm and continuing through Monday, May 6th as they share what’s really happening in the local real estate market!  Find out where all the Baby Boomers are headed, what the forecasts are for our local Hilton Head and Bluffton real estate market in 2013, and what buyers and sellers need to know.    Thanks to the team at WHHI-TV and especially host Sandy Benson for having us on air!

Boston, Massachusetts.  April 15, 2013. Patriot’s Day.   A day celebrating the power of the human spirit, the will to endure, the amazing ability of the body to be pushed beyond reasonable limits was marred by such a horrific tragedy that it has left the nation stunned and lives forever changed.  While we breathe a small sigh of relief that those particular bad guys can do no more harm, we are, once again, left unsettled at the power of evil, the will to cause mass destruction, and the ability of hate to push human beings to create such carnage against their own kind.  But somehow, we go on.  The spirit, the will, and the body of a nation moves forward, again, persevering in the face of adversity.  Whether a tragedy is national or personal, it changes us and hopefully, causes us to stop in our tracks to consider what we value.  We see glimmers of good come out of what was meant for evil, and we celebrate with hope.  We were grateful to hear word right away that our friends from Hilton Head and Bluffton who ran in the marathon were unharmed.  We are in awe of the first responders, the doctors, and the law enforcement officers who are true heroes.  We are inspired by the victims who vow to dance again, to run the marathon, to go on.

The week after the Boston Marathon, our own community participated in our annual sporting event watched by the world – the RBC Heritage Golf Tournament.  In the weeks leading up to the Heritage, various media outlets ran stories of the impact of the Heritage on our community over the past 45 years  – the charities that have benefited, how the state economy is bolstered by this annual PGA event, and how we locals love gathering together every year to catch up with old friends and show the world this place we proudly call home.  Like the Boston Marathon, the RBC Heritage Golf Tournament is more than a sporting event – it brings people from all over the world together to celebrate extraordinary athletes, and it showcases the glory of our little corner of the world.  After Boston, there was a little apprehension in the air here on Hilton Head – the security was a little tighter, the mood was a little more somber, but people still came together, and laughed, and reminisced, and even watched a little golf.  We go on.  “We weep with those who weep, and we rejoice with those who rejoice.”  That is the beauty of community.  Whether in the historic city of Boston, Massachusetts, or the coastal island of Hilton Head, we share a sense of community, a love for our neighbors, and a strength to move forward.

The best part about being in the real estate business is the opportunity to share the beauty of our community with new people moving to the area, to introduce them to new neighbors who might become lifelong friends, and to find them a place to call home.  We also appreciate the unique sense of community within our own company – we share a true sense of family.   We are a team working together to help one another reach our goals, to encourage each other when times are tough, and to celebrate success whether the sale of a home or our co-worker’s child’s soccer goal.  We love where we live and what we do, not just because of the incredible beauty of our natural environment and the quality of the lowcountry lifestyle, but because of the people with whom we share our neighborhoods and our lives.  The power of community has been fresh in our minds and hearts over these past few weeks.  We are blessed to live, work, and play in a community and a nation that comes together in times of joy and times of sorrow.   Together, we are witnesses to the power of prayer, and hope, and the will to endure.  We are inspired to care more for our neighbor, to invest more in our community, and to pray for our nation.  We love you, Boston – our hearts and prayers are with you from down south.

Before

Vacant.  Cavernous.  Cold.  Too big.  Potential buyers looking at the home above had these reactions when they walked into this overwhelming space.   Unable to envision their own furnishings in this room or how to place their furniture, homebuyers just couldn’t picture themselves in this grand living area.  Frustrated with lots of showings but no serious interest, the sellers finally decided to have their home professionally staged.

After

Once potential buyers saw the space filled with fine furnishings from Showhomes Home Staging they couldn’t wait to make an offer, and the home was sold within days of its staging!  Below is another example of the difference staging can make in a vacant home:

Before

After

Professional stagers, such as Hilton Head Island resident, Judy Beha, are trained to determine what changes will make a home sellable, and they can actually save a home owner money by making minor changes that have big impact resulting in decreased carrying costs when a home sells quickly.  Statistics show 10% more offers are made on staged versus vacant homes, and staged homes sell 78% faster than homes which sit vacant.  Judy is an interior designer and the owner of a local ShowHomes franchise which offers not only professional staging but also professional home managers.

Before

After

Home managers are professional home sitters who rent a homeowners property at a reduced rate while it is for sale.  The home managers provide their pre-approved fine furnishings to stage the home, and they are also responsible for caring for the home, paying utilities, lawn and pool maintenance, and housekeeping.  Having a renter in the home provides added security and also reduces the insurance for the homeowner.  When real estate agents want to bring a client to see the home, home managers turn on lights and music, provide treats, and leave the home immaculate at a moment’s notice.  As soon as a contract is put on the house, home managers are prepared to move out taking the furnishings with them.

Before

After

Judy has been very successful with ShowHomes in the local Hilton Head and Bluffton market finding excellent home managers and helping her clients to sell their vacant homes quickly.  She has many stories of clients whose vacant homes sat on the market for months then sold within days of having them staged and managed.  The home managers are carefully selected and trained by ShowHomes and are mostly professionals who are single or middle-aged married couples.  They enjoy the adventure of moving from place to place, and they are meticulous in the care of the homes they manage.  Judy oversees each of the properties, making sure they show like a  model home.

Before

After

If you currently have your vacant home on the market or are considering a sale in the near future, contact Judy for more information about home staging and/or home management at 843.422.7657, by email at jbeha@showhomes.com, or visit the website at www.showhomes.com

If you are interested in finding out what your home is worth in the current market or would like information about listing property with Gateway Realty, the lowcountry real estate specialists,

contact us at 843.757.7710 or by email at info@gatewayrealtysc.com

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