Herman and Davis Properties

Category: Selling

Real Estate Market Trends – Past, Present, and Future

Reflections and Predictions

In 2022 our market underwent a major shift, especially in the last half, as economic uncertainty and higher mortgage rates reduced buyer demand, slowed the pace of home sales, and softened home prices. Prior to the almost-sudden change, the red-hot housing market of the past 2 ½ years was characterized by sub-three percent mortgage rates, fast-paced bidding wars and record-low inventory. Current market conditions have provided us an opportunity to become re-educated about what a ‘typical’ housing market looks like. While 2022 may be remembered as a year of housing volatility, 2023 will most likely become a year of long-lost normalcy returning to the market. Mortgage rates are expected to stabilize while home sales and prices moderate after recent highs.

Key Observations

Buyers will not face the extreme competition that was commonplace over the past few years. The housing market, once adjusted to the new normal of higher mortgage rates, will benefit from continued strong demographic-driven demand relative to an overall, long-running shortage of supply. Sellers are choosing not to trade up or sell and take on new mortgages, as they could end up with rates 2-3% points higher than the ones they have now. This should protect home prices from falling. Relatively, we expect inventory levels in Sea Pines to remain low, as the demand fueled by demographics and the after-effects of the Pandemic continue.

The Great Reset

2023 will bring lots of variability in how housing markets adjust, according to Bright MLS Chief Economist, Lisa Sturtevant. There will be a lot of resetting expectations for both buyers and sellers. There will be variations from market to market, and in different price ranges. MLS data shows 40% of sellers have adjusted their home price downward or offered concessions. This period of acceptance will take some time. Sellers will need to process all of this, and that is underway now. It’ll take time, probably into the first quarter of next year, to fully digest the “new normal.” Regardless, prices will still remain above 2019 levels.

The Numbers

The local Hilton Head Association of Realtors and MLS report market wide the inventory levels are up 88.6% with the largest gain in the Single Family segment (up 99%). That conveys into 2.1 months’ supply for homes and 1.9 months’ supply for condos/villas. Reminder: a normalized market is 5-6 months’ supply. There has been a 15% increase in median price for SFH (homes) for 2022 and 20% increase for condos/villas for the year. However; pending sales in the Hilton Head region is down 24.1% overall, and we are seeing more and more buyer incentives in the form of concessions and price reductions. Turnkey properties remain in high demand; outpacing supply, which puts pressure on asking prices for “fixer-uppers.” If sales continue to slow, and inventory increases; housing prices will soften over the next 12 months. Good News; forecasters do expect the Federal Reserve will end its path of rate increases at the end of the first quarter; which should lead to sustainable declines for mortgage rates in the second half of 2023 and into 2024.

Bottom Line

We encourage you to keep the perspective that, even if prices do come down a bit, we are way ahead of where we were prior to the pandemic. If you’re looking to buy or sell a home this year, the best way to ensure you’re up to date on the latest market insights is to partner with a trusted real estate advisor who has longevity and a track record of success in both up and down markets. Becky Herman and Monica Davis, along with the power and resources of Charter One Realty, an iconic market leader in the Hilton Head Area, and their affiliation with three top luxury real estate networks, will be able provide you with a unique perspective and advice that will serve you well. Call them for a confidential consultation and market evaluation related to your property!

January 12, 2023
One-of-Kind Waterfront Masterpiece

Check out this beautiful waterfront home located in Sea Pines on Hilton Head Island. View MLS Information

July 8, 2021
Tips to Sell Your Home on Hilton Head in 2020

There’s no better time to get organized than January and February, especially if you have a major life change on the horizon. Selling your home is a great example. The process can be long and complicated—but with some careful planning, it doesn’t have to be. From purging your clutter to getting familiar with the local housing market, the steps you take now can help ensure that the process goes smoothly!

If you’re putting your home on the market in 2020, here are some tips to prepare for a successful sale…

1) Streamline your stuff

Most of us have our fair share of clutter kicking around. Unfortunately, when it comes time to sell a home, figuring out how to deal with all our stuff can be both stressful and time-consuming. If you’re like us, you won’t be able to sort through your belongings overnight!

Try devoting an hour or two to decluttering each weekend. Tackle one area at a time, separating the items you plan to keep from those you want to donate or toss away. During this time, resist the urge to buy new things unless they’re absolutely essential.

The good news is, you don’t have to go through the decluttering and home-preparation process on your own. If you need help, there are professionals here on the island who can work with you at every step—get in touch to learn more!

2) Get a sense of your home’s market value

One of the best ways to prepare to sell your home is by getting a good sense of its value. You can take a look at the listings out there for similar properties, but the most accurate way to take this step is by asking an agent. Be aware that it’s not just about your home’s age and square footage. Here on the island, factors such as your property’s view, its proximity to the ocean, and (if you’re in a gated community) the amenities you have access to and the fees you pay can all have an impact when it comes time to set a price.

When you’re ready to find your home’s true value, we can help! You might want to start by hiring a local appraiser—someone who’s uniquely equipped to determine what your property is worth on the Hilton Head market. Next up, we’ll help you take the necessary steps to prepare it so that you can get the best price possible!

3) Have your HVAC serviced and your roof inspected

There’s no place on earth where the climate is always perfect, not even here on the island. That’s why it’s so important to keep your heating and cooling system in good shape—especially if you’re planning to sell soon. The same is true of your roof, which is integral to your home’s structure!

Our advice? If you’re putting your property on the market in 2020, get your HVAC serviced by a professional and have your roof inspected. In our experience, home buyers will ask about these crucial home components. Knowing that they haven’t been neglected is bound to give them peace of mind—and that might help nudge them toward saying “yes” to your property!

4) Track down the paperwork

When you’re selling a home, there’s no shortage of little details to take care of. It’s never a bad idea to tackle them early on. Case in point: finding the documents you’re going to need for your sale. Even if you’re nowhere near ready to list, now is the time to start digging through your papers.

Not sure what you’ll need? It can vary from one deal to the next, but it’s a good idea to round up whatever you can find. From your original sales contract to inspection reports to your home maintenance records, anything that pertains to your property is likely to be useful. Don’t forget about those surveys and elevation certificates!

5) Work with a local expert

Whether you’re ready to sell now, two months in the future, or later in the year, finding the right Hilton Head agent is essential. Start with some basic research. Ask around, do some googling, and peruse social media.

When you find a professional or team that looks promising, set up an interview—and prepare a few questions to ask. From their experience working in Hilton Head to their preferred marketing strategies to the fees they charge, learn as much as you can about the agent you’re considering. Trust us: when the time comes to put your home on the market, you’ll be glad you did your homework!

Planning to sell your home on Hilton Head in 2020? Let us help you find the perfect place. Get in touch—we’d love to answer your questions.

January 22, 2020
Selling Your Home in Late Fall: 5 Reasons to Do It

If you’re thinking of selling your home, you may be wondering if now is the best time to do it. Many sellers think long and hard about timing, which makes sense. It’s only natural that you’d want to put your property on the market when buyers are out in full force. It’s the reason so many homes are listed in the spring and summer! That said, there are unique benefits that come with selling in late fall or early winter.

If you’re planning to put your home on the market, here are five reasons you might not want to wait until spring…

1) Less competition

At this time of year, inventory tends to be lower than it is during Hilton Head’s hottest selling seasons. That leads many people to believe it isn’t a good time to put a home on the market. Not so! While there may not be as many home hunters out there as you would see in the spring, there are also fewer properties for them to choose from. The truth is, when there are “For Sale” signs everywhere, buyers sometimes overlook some true gems. But when the market is quieter, your home can truly stand out!

2) It’s an election year

With all the media coverage, it would be hard to forget that this is an election year. What many people don’t know is that politics can have a major impact on the real estate market. That’s because buyers (especially those looking for luxury homes) often put off making major purchases in politically uncertain times. In other words: if your home is priced in the upper tier, you may have better success selling it now than you would later on!

3) Better photos

Here on Hilton Head, we’re blessed with temperate weather year-round. That said, some things do change with the seasons. While our yards often look great in the fall, they may not fare as well in January (the coldest month, on average) or February. That’s worth considering if you’re taking listing photos. First impressions are important, and home hunters will judge your property in part by what it looks like from the outside.

4) Interest rates are low

Mortgage rates are low right now, and many buyers are taking advantage of it. Yes, some home hunters will hold off on making a purchase until things have settled down on the political front. But with interest rates the lowest they’ve been in almost three years, more than a few savvy buyers are ready to take the plunge now. If you perform the right preparations, your home could capture their attention—and their hearts!

5) There’s no time like the present

If we know one thing, it’s that things can change quickly. A personal or family issue could arise, requiring all of your attention. An election could change the political and economic landscape completely. Our point is that there’s no way to accurately predict what will happen six months or a year from now. All we can do is make the best possible decisions based on the information we have today. Keep that in mind if you’re thinking of selling your home—and feeling unsure about when to make your move.

Have questions about selling a home on Hilton Head? Get in touch. We’ll walk you through the selling process and give you an idea of what to expect!

November 21, 2019
5 Home Upgrades to Make Before Selling Your Home

Ready to put your home on the market? Time and again, we get asked the same question. Should I make any improvements before I try to sell? The answer is, it depends. Major renovations don’t always pay off, but the right upgrades can mean a quicker, smoother, and more profitable sale.

If you’re preparing to sell your home, here are five updates you may want to consider making first…

1) Repaint

It’s one of the least expensive ways to refresh the look and feel of your home. For the low cost of a can of paint, you can completely transform your living space before you stage, list, and show it to potential buyers! We suggest choosing a warm, neutral shade (pale gray-blue, beige with gold undertones, and shades of white all work well). The idea is to enhance the rooms in your home—without overpowering the staging efforts to come.

2) Boost your curb appeal

As far as we’re concerned, too many folks underestimate the importance of curb appeal. Whether you’re selling a luxury mansion or a cute little vacation home, first impressions matter. For starters, give some love to your landscaping. Your lawn, your shrubs, your flowers—whatever plant life surrounds you home, make sure it’s healthy and well-maintained. Next, pay attention to your home’s exterior. Is there any old or rotting wood in need of repair? Could it use a fresh coat of paint? If so, it’s best to take care of these issues before you list.

3) Ditch the carpeting and laminate flooring

Take it from us: in the eyes of buyers, there’s nothing worse than outdated flooring. And having a different type of floor in every room is just as bad! Laminate in the kitchen and carpet in the living room may have been common two decades ago, but today it just doesn’t pass muster. Instead, consider hardwood, which never really goes out of style. Tile is another popular option—especially if you go with luxury vinyl or ceramic.

4) Say goodbye to granite

Many sellers are surprised to learn that granite countertops no longer provide the “wow” factor they used to. Once the gold standard, this countertop material seems to have lost some of its sheen. Among Hilton Head buyers, we’re seeing a strong preference for quartz. It’s more durable than marble, and it looks absolutely stunning in most homes. That’s worth considering, if your countertops are looking worse for wear.

5) Check your plumbing

Was your home built in the lates 80s or early 90s? If so, you may want to look into whether polybutelene plumbing was installed. These types of systems are prone to failing—which is why they make insurance companies wary. Buyers are just as hesitant, and they’ll often ask sellers to replace them if they’re discovered during an inspection. We suggest being proactive. If your home was constructed during the right time period, have the plumbing looked at!

Selling a home can be overwhelming, especially if you’re trying to decide whether to make upgrades first. Fortunately, a real estate expert can help! At Herman & Davis, we have a talented home stager on hand. It’s just one of the many services we provide. We’d love the opportunity to tell you more about how we can prepare your home for the market—and help you command the highest price possible when you sell!

Have questions about selling a home on Hilton Head? Get in touch. We’ll walk you through the selling process and give you an idea of what to expect!

November 21, 2019
5 Benefits of Working with a Full-Service Real Estate Team

If you’re ready to buy or sell a home, you may be wondering how to choose an agent. There’s no shortage of real estate professionals out there, and deciding who to work with can be challenging. While there are many factors to consider, we believe that one of the most important (and most frequently overlooked) is whether an agent works as part of a team. No real estate professional is an island—and the talent we surround ourselves with can help us provide the highest possible level of service!

If you’re looking for the right real estate agent to partner with, here are five reasons to choose someone who works with a full-service team…

1) A more efficient process

The truth is, real estate transactions run smoother when there’s a team of professionals working to make them happen. It’s not all about the agents involved—the support staff is also invaluable. As just one example, a great closing and listing coordinator will make the process more efficient by coordinating next steps, preparing crucial documents, and verifying important legal and financial details. Put simply, they help ensure that there are fewer hiccups on the road to getting the deal done!

2) Better connections

When it comes to serving clients, relationships are key. The more close professional connections we real estate agents have, the better your experience is going to be. Looking for the ideal buyer for your property? We may already know them. Searching for someone to do minor repairs before you sell? We can help you out. Having a caring and personable team helps us strengthen these relationships. That often includes a licensed personal assistant—someone who’s just as comfortable coordinating with professionals as they are greeting and assisting clients.

3) Step-by-step guidance

The more attention an agent can spend walking clients through the buying or selling process, the better. Buyers, in particular, tend to appreciate this type of guidance—especially first-timers. Luckily, a trustworthy team will take some of the pressure off so that their agents can focus on what matters most (the clients). And when it comes to giving home hunters a straightforward, low-stress experience, nothing beats having a dedicated buyer’s agent on staff!

4) Marketing expertise

Effective marketing is hard work. Sure, anyone can snap a few photos on their iPhone, jot down some property details, post them online, and call it day. But it takes strategy to do it right—which includes perfect timing. By taking care of campaign details, real estate marketing coordinators ensure that homes receive the exposure they deserve. We can’t tell you how much it helps to have our expert assistants working as part of our extended team.

5) A one-stop-shop experience

As you can see, a successful home sale or purchase comes down to more than just a talented agent. When you work with a full-service team, you’ll benefit from the combined skillsets of numerous real estate professionals. You’ll get everything you need—all in one place. So forget about the leg work and get ready for a simple, smooth, and enjoyable transaction. With some of the best in the business working together to serve you, a fantastic outcome is right around the corner!

Ready to buy or sell a home on Hilton Head? Get in touch to learn how our team can help—and take the first step towards a great real estate outcome. Send us a message to discuss your needs today!

November 21, 2019
5 Tips for Marketing a Luxury Home for Top Dollar

Are you preparing to put your luxury home on the market? A lot of folks believe the process is the same no matter what type of property they’re selling, but that simply isn’t true. We can tell you from experience, high-end buyers have unique needs, preferences, and motivations. Catering to them is the surest way to get some great offers rolling in!

If you’re hoping to get the best possible price for your luxury home, here are five things you should do to generate more interest…

1) Price it right

If we’ve said it once, we’ve said it a million times. Pricing matters—a lot. All too often, sellers with luxury properties underestimate the impact that their asking price can have on the offers they receive. While it’s true that a high-end buyer is more likely to pony up some serious cash for their dream home, that doesn’t mean they’ll pay whatever you ask.

The good news is, you don’t have to set a price on your own. An agent with luxury selling expertise will consider many factors—like the market, and what high-end buyers have been paying for homes like yours recently—to help you strike the perfect balance!

2) Prepare it carefully

Let’s talk presentation. Many home hunters are looking for a bargain—and they’re often willing to put in significant repair and remodeling work to get one. Luxury buyers are less likely to take on that responsibility. Often, what they’re looking for is perfection (or something close).

Before you put your home on the market, ask an agent with high-end expertise for advice. Whether you need to upgrade your finishes, modernize your appliances, or beautify your landscaping, a luxury real estate professional can help. They can even recommend a stager who specializes in properties like yours!

3) Tap into the right network

They say it’s all about who you know. When it comes to selling a home, that’s often true! Once your house, townhome, or villa has been prepared for the market, it’s time to make sure your target buyers know about it. This is where having an agent with high-end market connections can come in very handy.

Home hunters looking for luxury in desirable locales like Hilton Head often come from all over the world. That’s why we work with Who’s Who in Luxury Real Estate—a prestigious global network of brokerages that deals with affluent buyers.

4) Targeted marketing

While we’re on the subject of making sure your home is seen by the right people, don’t forget about marketing! Put simply, professional, visually-appealing materials will get more eyes on your property. Your listing needs to stand out, as does any other advertising your agent will do on your behalf.

Of course, it’s not just the look and feel of your marketing that will attract luxury buyers. To reach them, you need to know where they’ll be looking for real estate. Your agent should be able to target the right websites and publications to help spread the word.

5) Stellar photography

We can’t over stress the importance of photography when you’re selling a property—especially a luxury home. Buyers looking at online listings gravitate towards images before anything else, so there’s a lot riding on the photos you use!

To generate more interest, work with a photographer who has luxury experience. We’re talking about someone who can truly capture the magnificence of your property. From panoramic views of your exterior to indoor shots that call attention to those elegant features and finishes, a qualified professional will know how to make your home shine!

Ready to sell your luxury home on Hilton Head? Get in touch—we’ll walk you through the process and help you find the ideal buyer!

October 28, 2019
Hiring a Realtor to Sell Your Home? Here Are 5 Questions You Should Ask

Let’s face it: selling a home isn’t exactly simple. There’s a lot to think about when you’re preparing a property, marketing it, negotiating with buyers, and (finally) closing the deal. That’s where real estate agents come in. Working with an experienced professional can help ensure that the selling process is as smooth, straightforward, and profitable as possible. But how do you know which agent to choose? Interviewing is key, and so is asking the right questions.

There are many things you’ll want to ask before hiring an agent to sell your home, but here are five of the most important…

1) How well do you know my neighborhood?

In real estate, few things matter as much as location. And when it comes to selling, finding buyers who are a perfect match for your community is vital. That’s why it’s so important to work with an agent who knows your area—inside and out. This type of expertise is a must-have here on Hilton Head, where home hunters often come from all over the world. Whether you’re selling in Sea Pines, Palmetto Dunes, Long Cove, or beyond, look for a professional who has years of experience in your area. They should be able to answer any questions that come up—and highlight your community’s best points throughout the selling process!

2) How do you price a home?

It’s one of those things that a lot of sellers don’t understand about real estate, and that’s okay! Setting a price for a home—one that won’t turn buyers off or result in a lower selling price than you deserve—is complicated. It means having detailed knowledge of the market, what properties like yours are selling for, and what will motivate buyers. For this reason, we suggest asking an agent about their pricing structure before agreeing to work with them. If they’re good at what they do, they’ll be able to answer your question in-depth—and in a way that makes sense to you!

3) How do you plan to market my home?

When you’re selling property, marketing strategy matters. Of course, agents need some time to work through the details of how they’ll spread the word about your home. That said, they should be able to assess your circumstances and give you a few ideas when you meet with them. From online listings to flyers to virtual tours and beyond, every tactic used to market your living space should be taken with its most-likely buyers in mind. An agent who’s a real pro will start thinking about who they’re going to target—and how they’re going to do it—from your very first meeting.

4) Can I see sample marketing materials?

Have you ever seen unprofessional-looking marketing materials before? We have. And trust us, it’s not pretty. Put simply, buyers are turned off by sloppy design, unclear wording, and poor-quality photos. In many cases, they’ll overlook properties that have a ton of potential if they’re not presented in the best possible light. To avoid this outcome, ask to see an agent’s past materials before you agree to work with them. If they’re not polished, high-quality, and easy-to-understand, you may want to consider looking for representation elsewhere!

5) What costs will I pay?

It’s one of the most common questions sellers ask: how much does hiring an agent cost? In addition to paying a relatively small percentage to the Realtor they work with, sellers typically also cover the fee for the buyer’s agent once the deal is done. If you talk to an agent who’s open, honest, and transparent, they’ll be more than happy to provide a breakdown of the expenses you can expect. If you have questions about closing costs, they should also be able to offer enough information to set your mind at ease.

We know selling a home can feel overwhelming—whether it’s your first time, or you’ve done it several times before. By choosing an agent who answers your questions clearly and makes you feel comfortable with the process, you can start paving the way to a successful sale!

Are you ready to sell your home on Hilton Head? Reach out to learn how we can help you simplify the process!

October 28, 2019
5 Tips For Selling a Home When You Have a Dog

Dog owners on Hilton Head are a devoted bunch. We love our pooches unconditionally, and we want them to be comfortable at all times—even when we’re selling our homes. At the same time, putting a property on the market is no simple task. It requires time, effort, and a whole lot of energy. Add a furry friend to the mix, and things can start to get downright complicated.

If you’re a dog owner who’s gearing up to sell your home, here are five tips to help ensure that the process is smooth…

1) Talk to your vet

No doubt about it, relocating can be stressful for pets. Fortunately, there’s someone you can always count on for advice: your vet. From tips for managing the transition to tools for highly-nervous pooches (like medication) there are all kinds of ways to reduce your dog’s anxiety when you’re moving. A professional who knows their history can ensure that you find the right one.

Your vet can also help with practical details if you’ll be settling into a new area—like finding out where to refill existing prescriptions.

2) Relocate your dog

We know it’s hard to be away from your best friend. But selling your home successfully may depend on it. The truth is, buyers want to focus on your property during a viewing—and even the most well-behaved dog can pose a distraction. Many home hunters aren’t even keen on purchasing a house or condo where pets have recently lived. Often, they’re envisioning hidden damage.

We strongly advise making alternate arrangements for your dog during showing periods. Your best option is to find a close friend or family member who’s willing to act as a temporary caregiver. If that’s not an option, look for a reputable dog hotel or boarding service. There are some great ones in Hilton Head, so hop online and start reading those reviews!

3) Scour Your Home

Few things turn buyers off quicker than dog hair, stains, and odors. That’s why we always suggest doing a full, honest-to-goodness cleaning before putting a home on the market. Start by searching each room carefully for stains. Don’t just check the obvious places—get a good look at that hard-to-reach carpeting. When you find a troublesome spot, treat it with a stain remover made especially for pet messes. Products with odor-fighting capabilities are especially helpful, since strong air fresheners are never wise to bring out before showings.

Next up, it’s time to tackle your dog’s little shedding problem. Even if you have a short-haired breed, vacuuming thoroughly is a must. Other tricks include using dryer sheets and pieces of masking tape to pick up stray hairs.

4) Assess your yard

There’s nothing better than having outdoor space where your four-legged friend can run around. On the flip side, there’s nothing worse than finding waste in your front or back yard. And we can pretty much guarantee that any potential buyer who notices it will be seriously turned off.

In preparation for a showing, we suggest doing a thorough assessment of your home’s exterior. Keep an eye out not only for waste, but for dead or yellow grass (which is often caused by urine) as well as turf damage. There are a few different ways that dogs can wreak havoc on a lawn, so keep your eyes peeled!

5) Ask a friend for help

It’s a universal truth about dog owners. They tend to stop noticing the smells and shedding caused by their beloved canines. For this reason, you should consider asking someone who doesn’t live in your home to do a walk-through. It could be a close friend or a neighbor, so long as they’re willing to be thorough and honest.

While it’s hard for many dog lovers to believe, some buyers just aren’t interested in a property once they know it’s been home to a pooch. Luckily, you can remove the signs that point to your furry family member in just a few steps—and make your living space more appealing in the process.

Have questions about selling a home on Hilton Head—with or without pets? Get in touch. We’ll walk you through the selling process and give you an idea of what to expect!

June 13, 2019
67 Baynard Cove Drone Video

Located in the highly sought-after neighborhood of Baynard Cove Road in Sea Pines, this beautifully remodeled home exudes a warm and casual elegance with amazing views to the infamous Egret Lagoon. This home offers heart of pine flooring, updated baths, smooth ceilings, 2 fireplaces, newer roof, 4 bedrooms and 5 baths. On the first floor there is an impressive Kitchen/Family Room with Taj Mahal granite and top of line appliances, a large great room with soaring ceilings and a dining area overlooking a tremendous entertainment deck with pool, fire pit all surrounded by lush landscaping and wide open lagoon views giving total privacy. The Second floor offers 2 bedrooms with en-suite baths and a separate living area. Enjoy being a Baynard Park member and have access to a new pavilion, new community dock, and kayak storage!

Perfect for full time living, 2^nd home, or rental investment property, you decide!

Want more information on this beautiful home? Click here!

Ready for a private tour? Give us a call, text, email, or comment below!

October 12, 2018