Charter One Realty Blog

Hilton Head Real Estate 2023: New Listings Down, Prices and Days on Market Up as Inventory Rises

The Hilton Head Island real estate market remains strong, although data from the Hilton Head Association of Realtors shows signs of balancing after years of seller's market conditions. The 12-month period ending November 2023 brought moderating price growth, stabilizing sales activity, and expanded choices for buyers.

New Listings:

New Listings experienced a decline, marking an 8.3% decrease. This reduction in new properties entering the market may have contributed to other dynamics observed within the region.

Pending Sales:

Similarly, Pending Sales decreased by 9.7%, a trend reflecting a slightly slower pace in buyer-seller agreements compared to the previous year's data.

Closed Sales:

The Closed Sales metric also dipped by 7.1%, indicating a decrease in completed real estate transactions during this period. 

Days on Market:

One of the significant shifts was the increase in Days on Market, reaching 39.3% to an average of 107 days. This extension in the time properties spend on the market might suggest a more deliberate decision-making process among buyers or increased competition among sellers.

Median Sales Price:

Conversely, the Median Sales Price rose by 8.4% to reach $515,000, showcasing the market's resilience and continued appreciation in property values. This rise could be a result of various factors, including limited inventory and high demand for certain types of properties.

Inventory:

The available inventory increased by 20.5%, indicating a rise in the number of homes available for sale within the Hilton Head market. However, the market still remained relatively tight, with a 3.0 months supply, indicating a potential imbalance between supply and demand.

Hilton Head Homes

Key Metrics Year-Over-Year:

• New Listings decreased 9.0%
• Closed Sales decreased 14.6% from 738 to 630
• Days on Market increased 2.1% to 89 days
• Median Sales Price rose 14.6% to $1,117,500

Hilton Head Villas

Key Metrics Year-Over-Year:

• New Listings decreased 6.3%
• Closed Sales decreased 21.7% from 1,147 to 900
• Days on Market increased 40.8% to 100 days
• Median Sales Price rose 15.6% to $520,000

Bluffton and Mainland Homes

Key Metrics Year-Over-Year:

• New Listings decreased 10.6%
• Closed Sales decreased 12.9% from 2,140 to 1,865
• Days on Market increased 28% to 119 days
• Median Sales Price rose 13.5% to $539,000

Together with strong prices, market dynamics overall remain favorable in Hilton Head. While the rapid price escalations over the past few years are tapering off, the market retains resilience. For buyers and sellers, it's a welcome shift towards stability and balance across the island's real estate landscape. The days of bidding wars may be winding down, but Hilton Head remains one of the region's most vibrant and desirable second home and retirement markets.