|Closing Conducted by:||Attorneys|
|Primary Foreclosure Method:||Judicial|
|Process Period:||4 - 7 months|
|Notice of Sale:||Court|
|Median Property Tax:||0.50%|
|Property Taxes by County:||http://www.tax-rates.org/south_carolina/property-tax#Counties|
|Transfer Fee:||Deed 0.37%|
Median Home Value: $204,820
1-Year Appreciation Rate: +6.1%
Median Home Value (1-Year Forecast): +7.6%
Median Rent Price: $1,395
Price-To-Rent Ratio: 12.23
Average Days On Market: 74
Unemployment Rate: 4.2% (latest estimate by the Bureau Of Labor Statistics)
Population: 5,084,127 (latest estimate by the U.S. Census Bureau)
Median Household Income: $48,781 (latest estimate by the U.S. Census Bureau)
Percentage Of Vacant Homes: 16.58%
Foreclosure Rate: 1 in every 10,133 (0.9%)
Calhoun: One in every 3,714 homes is distressed
Lee: One in every 3,880 homes is distressed
Orangeburg: One in every 4,741 homes is distressed
Chester: One in every 4,917 homes is distressed
Marion: One in every 4,969 homes is distressed
As recently as November, the monthly average commitment rate on a 30-year fixed-rate mortgage was 2.77%. At that rate, it's never been cheaper to borrow institutional money, which simultaneously helps to offset today's high prices and increases monthly cash flow for investors who buy rental properties.
With a 12.23 price-to-rent ratio, it is more affordable to buy a home in South Carolina than to rent one. However, insufficient inventory levels will relegate more people to the renter pool, making vacancies less of a worry for landlords. The resulting demand will turn into competition, which will enable landlords to increase cash flow opportunities.
Home values in South Carolina have increased for eight years, which means profit margins on flips have dropped. Investors are still free to conduct rehabs, but long-term rentals are more viable under the market's current conditions.
Foreclosure activity will increase: South Carolina has seen foreclosure filings decrease in recent history. Year-over-year, filings are down, but the trend is expected to reverse sooner rather than later. The financial strain placed on homeowners by the pandemic will almost certainly increase filings in 2021. It is too soon to tell how many filings will occur, but investors should assume there will be more foreclosures on the horizon.
Available inventory will continue driving prices up: The South Carolina real estate market has felt the constraints of tight inventory for several years. Thanks, in large part, to a lack of available housing, prices have increased for the better part of a decade. That said, there doesn’t appear to be a solution anywhere on the horizon. The pandemic has actually hurt already low inventory levels and should continue to do so until more listings can be brought to market.
Demand for suburban housing will increase: As we get further into the pandemic, work-from-home trends appear more sustainable than ever. No longer do employees need to live within proximity of their workplace. That, in addition to wanting to leave metropolitan areas where the virus continues to spike, should drive more people to consider calling the suburbs their new home.