The Local Market in the 4th Quarter
October 23rd, 2019
There is a common notion that the real estate market comes to a complete stop during the fourth quarter of every year. Homeowners eager to sell their homes tend to remove themselves from the market. Even some Realtors will start “shutting it down” for the year with the belief that they won’t sell anything else. This type of thinking couldn’t be further from reality. There was a time, maybe 3 decades ago, that there was a huge difference in the number of homes sold in the fourth quarter to the ones sold in the other three quarters. Weather was a big impact. Maybe not as much here as in the northern states, but if it was bad there, buyers weren’t coming here to look. Population was a big impact. We’ve grown a lot in population over the last 20-30 years and, as you’ve experienced, traffic isn’t that much different now in November than it is in June!
Here is the reality; Real Estate sales take place in all 12 months and every single quarter. There are differences though. What I’ve experienced over 20 plus years, especially in the last 8-10 years, is that while we may see a few less Buyers in October – December, the ones we see are out shopping property to buy, not just look. There is a difference in the motivations of a Buyer here during November to shop for real estate than a Buyer here in June to hit the beach for a week with real estate as an afterthought.
More isn’t always better. There are also fewer properties to compete against if you’re selling. Remember those sellers that remove themselves from the market due to their perception that sales slow and they don’t want to show during the holidays? The overall market sees anywhere from 20% to 35% fewer homes available during the 4th quarter. You have more motivated Buyers looking at fewer properties available.
Additionally, the holiday season just might be the best for your Buyers to feel at home. Believe it or not, holiday decorations can be a positive motivation for a Buyer when viewing your home. The warmth of Thanksgiving to the beautiful colors and lights of the December holidays whether it be Hanukkah, Kwanzaa or Christmas; these decorations and celebrations can help a Buyer “see” themselves in the home and become emotionally connected to it. Lastly, by now it should go without saying that potential Buyers can see your property very easily and year-round from the comfort of their couch on a computer. Your property can be exposed to its next owner with 5 feet of snow on the ground in South Dakota if it is on the market. They don’t need to be touring homes physically in Myrtle Beach for it to be seen.
The variance in the number of homes sold in June to November is 9 homes per day. That’s for the entire Grand Strand. June 2018 was 32 homes closed per day and November 2018 was 23 homes per day. That variance is even less when taking a whole quarter into account. So, don’t approach selling a home with a mindset stuck in the 80’s. Our market sells homes year-round and if you’re on the market yours could be the next one!
Contact Ben Guyton, Broker-In-Charge at Grande Dunes Properties to learn about opportunities happening in our neighborhood!
843-315-0284 or
ben.guyton@grandedunes.com
*All data and information set forth in this blog regarding real property, for sale, purchase, rental and/or financing, is for information purposes only and is not intended to give advice on any sales, purchases or financial transactions. No warranties are made or voided due to the accuracy of any descriptions and/or other details and such information is subject to errors, omissions, changes of price, tenancies, commissions, prior sales, leases or financing, or withdrawal without notice. Square footages are approximate. Customers should seek advice and proper legal counsel with respect to all closing costs, timing considerations, financing options, default provisions, zoning implications, renovation considerations and appropriate transfer taxes.
