Myrtle Beach Real Estate Outlook in 2024: Trends, Prices, Predictions

Graphic depicting trends for 2024 myrtle beach real estate

As we bid farewell to 2023 and eagerly anticipate the dawn of a new year in Myrtle Beach real estate, it's the perfect moment to delve into the current housing market and unveil the potential trends awaiting both buyers and sellers in the Grand Strand for 2024.

At Right Find Homes, a leading real estate team in the Myrtle Beach region, our seasoned agents have engaged in conversations with countless prospective buyers and sellers. Many of our clients share a common curiosity about the forthcoming twists and turns in our real estate landscape for the upcoming year. Drawing from these discussions, we've distilled the most pressing questions, and now, armed with the latest data, we're ready to provide insights into what lies ahead.

We’ll cover trends, prices, inventory, and more. Join us as we navigate the intriguing outlook for the Myrtle Beach real estate market in 2024.

Note: All numbers for the Myrtle Beach market were obtained from InfoSparks analysis of data from the Coastal Carolinas Association of REALTORS© Multiple Listing Service. We looked at data for single family homes only to provide the most consistent and accessible analysis for the reader.

What was 2023 like for real estate in Myrtle Beach?

In 2023, the Myrtle Beach real estate market experienced a noticeable shift from the high-flying boom of the pandemic years. Although activity and prices maintained an elevated status compared to pre-pandemic conditions, the number of homes listed and sold showed a decline year over year.

Number of Single Family Homes Listed and Sold in the Past 12 Months:

  • November 2021 = 13,975 listed; 12.341 sold
  • November 2022 = 13,049 listed; 11,437 sold
  • November 2023 = 12,091 listed; 10,253 sold

In short: Buyers have been less interested and able to buy, and sellers have been less willing to list.

We attribute this slowdown in the housing market is mainly to high interest rates that have decreased the affordability of homes. This makes buyers more apprehensive about buying homes compared to the busy years of 2021 and 2022. .

In the pandemic years, there was intense competition among buyers, where everyone aimed to have the "highest and best" offer. That has eased off. Now, buyers have more room to negotiate. Sellers had to adjust to this change by being patient, and it's taking longer for them to sell their homes. Many sellers are even open to accepting offers below the listed price, recognizing that the market has shifted, and they are trying to attract buyers looking for a good deal in a less active market.

Current Myrtle Beach Housing Market Trends

For those eager to forecast the 2024 market landscape, a crucial starting point is the analysis of Q4 2023 trends. Let's delve into the current observations that might signal enduring patterns.

Minor Drop in Prices

Median Sales Price for Single Family Homes:

  • November 2021 = $326,000
  • November 2022 = $365,647
  • November 2023 = $349,000

Even though there are fewer people looking to buy homes, as we near the end of 2023 prices have dropped only slightly from 2022 and remain higher than they were in 2021. It might sound surprising, but this is happening because there aren't many homes available for sale in Myrtle Beach. A lot of homeowners got good deals on their mortgages, so they've decided to keep their homes instead of selling. This means there aren't many homes on the market, and sellers know this. Even with fewer buyers around, sellers understand that their homes are kind of rare, so they're holding firm on keeping prices high.

Builders Scaling Back?

New Construction Single Family Homes for Sale:

  • November 2021 = 1030
  • November 2022 = 1600
  • November 2023 = 1363

Just like in many sunny cities across the Southeast, big home builders strategically leaned into the busy Myrtle Beach real estate scene in 2020-2021 to meet the high demand. They spent a lot of money creating new communities and building thousands of homes.

But now, three years later and billions of investment dollars later, are builders taking a step back? Last year, the inventory of new homes for sale rose steadily throughout the year. This year, inventory has hovered around the 1300-1500 homes mark all year long.

Even though there are still quite a few homes available, the overall trend is leaning towards less homes available in the future, not more. This change is quite significant for a market used to having a steady flow of new homes. The slowdown in production is making it even tougher for buyers who are already dealing with limited choices in the current housing market.

Changing Investment Landscape

According to this post from Nick Gerli of Reventure Consulting, revenue for Airbnb listings in Myrtle Beach, South Carolina were down 45.1% from May 2022 to May 2023.

The past year brought challenges for owners of Airbnb condos, especially those along Myrtle Beach's sought-after oceanfront. Revenue from Airbnb properties declined likely due to lower demand and increased supply. While plenty of investors still made a profit with their Myrtle Beach Airbnb rentals, the overall outlook for Airbnb properties is less optimistic than it was a couple of years ago.

On top of this, rising insurance costs led to significant hikes in Homeowners Association (HOA) fees and assessments, putting extra pressure on investors' finances. Combined with the already high cost of borrowing for investment properties, this has created a challenging environment. New investors are finding it tough to locate cash flow properties along the beach.

To overcome these challenges, cash deals for investment properties have become more common. This allows investors to avoid worries about changing interest rates and high mortgage payments. Additionally, some investors are shifting their attention to long-term rental properties, exploring opportunities in condos and single-family homes away from the beach. As Myrtle Beach's permanent resident population grows, so does the demand for rental homes, prompting a shift in investment strategies in the local real estate scene.

investment real estate in myrtle beach

Key Metics to Track

In the vast world of real estate, grasping key metrics is like having a weather barometer for the market — a tool to measure its well-being, vitality, and potential opportunities. Just as a barometer enlightens us about atmospheric conditions, specific indicators serve as invaluable instruments for investors, buyers, and sellers navigating the dynamic landscape of property transactions.

Median Sales Price

Median Sales Price of Single Family Homes:

  • November 2021 = $326,000
  • November 2022 = $365,647
  • November 2023 = $349,000

The median sales price stands as a pivotal real estate metric, representing the middle value of homes listed for sale. It acts as a crucial indicator, providing insights into market trends and affordability. Investors and homebuyers keep a close eye on this figure, using it to decipher market dynamics and make informed decisions. Fluctuations in the median sales price can signal changes in supply, demand, and the overall health of the market.

Sale-to-List Price Ratio

Percentage of List Price Single Family Homes Sold For:

  • November 2021 = 100%
  • November 2022 = 99.3%
  • November 2023 = 98.6%

The Sale-to-List Price Ratio is a vital metric indicating the percentage of a home's listing price achieved at the time of sale. This ratio offers valuable insights into market competitiveness and negotiation dynamics. A ratio above 100% suggests homes often sell above their listed price, while a ratio below indicates room for negotiation. Investors and sellers rely on this metric to understand market conditions and fine-tune pricing strategies, making it a crucial factor in navigating the intricacies of property transactions.

Median Days on Market

Median Days on Market for Single Family Homes:

  • November 2021 = 75
  • November 2022 = 94
  • November 2023 = 93

The Median Days on Market serves as a key real estate metric, marking the midpoint of the time it takes for homes to sell after being listed. This metric provides valuable insights into the market's pace and property demand. A shorter median indicates a lively, competitive market, while a longer duration may signify a more gradual sales environment. Buyers and sellers closely track this metric to discern trends and adjust their expectations and strategies accordingly. Understanding these metrics equips participants in the real estate realm with essential tools to navigate the ever-evolving market landscape.

Myrtle Beach 2024 Housing Market Forecast

infographic explaining predictions and trends for the 2-24 myrtle beach real estate market

As the stage is set for Myrtle Beach real estate in 2024, both buyers and sellers find themselves on a journey far removed from that of their counterparts just a few years ago.

In general, we expect the trends observed in Q4 to persist, with adjustments for the seasonal patterns typical in Myrtle Beach (a more competitive market in the summer and a slower market in the offseason).

🔮 Here's our forecast for 2024:

  • Prices are expected to continue to dip early in the year before gradually rising through the summer.
  • Inventory is anticipated to remain low for single-family homes.
  • The median days on market are projected to increase until there's a significant lowering of interest rates.
  • Relief is expected in the form of lower interest rates, anticipated at some point in the first half of the year.

We would be amiss not to emphasis just how much rumored changes in interest rates could impact the 2024 real estate scene. Imagine if interest rates significantly dropped throughout the year—this could bring in a bunch of new buyers who were waiting for a better deal from the government. With the current shortage of homes for sale, all these new buyers might drive up prices, making things a bit crazy in the market.

Sellers would have to move quickly to keep up with the sudden demand. But here's an interesting twist: the lower interest rates might not only get more people looking to buy but also convince some hesitant sellers to finally put their homes on the market. Especially for those who hesitated to sell when interest rates were better in 2019-2020, the chance to take advantage of the current market conditions could be pretty tempting.

So, as we navigate the twists and turns of the real estate world, keep an eye on interest rates—they're like a big player that can shape how things go for both people looking to buy and those looking to sell in the ever-changing market.

Advice for Buyers and Sellers

If you’re aiming to secure your dream home in Myrtle Beach in 2024, brace yourself for a competitive arena where options are limited. Be ready to navigate through fewer available choices and understand that patience may be required as you wait for the right opportunity. Making a strong offer for a home that meets your criteria becomes crucial, or you may need to prepare to wait for the next available option.

On the seller's side, patience will be key, especially for those who are firm on price. Strategic positioning and marketing of your home becomes vital in this selling journey. The low number of homes for sale can make it seem like your listing is the only one that isn’t selling – but we can’t ignore the fact that there simply aren’t that many buyers out there right now!

As the real estate scenario unfolds in Myrtle Beach, both buyers and sellers should be ready to navigate through challenges and make informed decisions in this evolving market.

Will 2024 be a Buyer's or Seller's Housing Market?

The question of whether 2024 will favor buyers or sellers in the Myrtle Beach housing market is an intriguing one, hinging on a delicate balance of various factors. The outcome, whether tilted towards buyers or sellers, will likely be shaped by the interplay of interest rates, inventory levels, and the broader economic landscape.

That being said, Myrtle Beach has been a seller’s market for the last few years and if inventory remains low, it will stay that way. Sellers don’t have as much power now as they did when the market was flooded with buyers a couple of years ago, but as long as they are patient, most sellers continue to get the better end of the bargain.

Are Home Prices Dropping in Myrtle Beach?

The median sales price of single-family homes experienced a decline, dropping from $365,647 in November 2022 to $349,000 in November 2023. This represents a 4.5% decrease from the same period a year ago. However, it's crucial to recognize that despite this decline, the current figure is still 7% higher than the median sales price of $326,000 in November 2021.

So, if you're comparing the sales price now to a year ago, the answer is yes – there has been a decrease. However, if your reference point is 2021 or even earlier, prices remain well above that mark and show no signs of returning any time soon.

Will the Myrtle Beach Housing Market Crash?

As of now, there is no indication or sufficient evidence to suggest that the Myrtle Beach housing market will experience a crash. The real estate landscape is subject to various factors, and predicting market behavior with absolute certainty is challenging. Myrtle Beach has historically been an appealing destination, and while market conditions may evolve, there is currently no compelling evidence pointing towards an imminent crash.

It is crucial to stay informed about economic trends, interest rates, and local dynamics, but at this juncture, there is no concrete basis to anticipate a housing market crash in Myrtle Beach.

Is 2024 Your Year?

As we unravel the intricate threads of Myrtle Beach's real estate forecast for 2024, one question emerges: Is 2024 your year to make a move?

Whether you're a prospective buyer eyeing the competitive arena or a seller strategizing in a shifting landscape, Right Find Homes is here to guide you. Our expert agents are equipped with the knowledge and insights to help you navigate the evolving market. Don't just observe from the sidelines; take the plunge and start your home search with Right Find Homes today. Your dream property may be just a click away, waiting to be discovered in the vibrant tapestry of Myrtle Beach real estate. Let 2024 be the year you find your perfect home with us!

Ready to start your search? Want to connect with a Right Fnd Homes agent to discuss buying or selling in 2024? Contact us today for more information about the local market and trends in Myrtle Beach, SC! We look forward to working with you!

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