Is The Charleston Housing Market Going to Crash in 2023?

Throughout 2022, you probably heard a number of doomsday predictions about the housing market, saying that the market was set to crash in 2023. Understandably, these predictions have a lot of people worried about selling their homes, but we actually may not get this crash that people have been anticipating. Let’s go over some of the reasons why a housing market crash in Charleston may be less likely than people think, and why right now is actually the perfect time to sell your home.

  • A Bubble That’s About to Pop?
  • How a Market Crash Could Happen
  • The Time to Sell in Charleston is Now
  • What You Can Expect

A Bubble That’s About to Pop?

The term “bubble” gets thrown around a lot to describe the recent rise in market value, implying that it is bound to pop sometime in the future, meaning a massive, devastating, downward crash in the housing market is imminent.

This “pop” is what a lot of people in Charleston have been preparing for and worrying about for a year since current prices in the Charleston real estate market have been significantly higher than they should be. However, none of this speculation means that a crash is definitely going to happen. In fact, rather than the dramatic market crash people have been predicting, we should be expecting a slower decline in Charleston real estate prices in 2023 based on past trends and they way things are currently headed.

How a Market Crash Could Happen

Even though the likelihood of a market crash is low and a slow decline is much more likely, the housing market isn’t always predictable, and it’s good to be prepared for anything. An unexpected crash could happen given the right conditions and circumstances in the right combination. Let’s review a few factors that contribute to the instability of the housing market so you can know what to look out for:

Unemployment Rates:

Although a small, gradual rise in unemployment rates won’t affect much in the grand scheme of things, a large unexpected rise in unemployment rates could make the housing market take a turn for the worse. If many people are without jobs, they may frantically try to sell their houses, and foreclosure numbers could rise.

Homebuilding:

When it is thriving, homebuilding leaves more desirable houses on the market. However, during the 2020 Covid Pandemic, the rising prices of materials meant builders were struggling and facing an increased difficulty in getting building permits. These combined factors can lead to a shortage of homes for sale, which causes prices to rise as they have recently. We are already expecting a continuation of this slow progress in the new-home market in 2023.

Buyer Demand and Motivation:

Demand and Motivation are arguably the two most important aspects of tracking the housing market in Charleston. After all, the market won’t exist at all if no one is buying houses. If the public’s demand and motivation to buy houses started to drop suddenly, it could mean bad things for the housing market as a whole.

The Time to Sell in Charleston is Now

Low housing prices are a great situation for buyers, but sellers and real estate agents will not find this scenario ideal. Because there are so few Charleston homes on the market in the first place, competition is high, and lower-priced houses will usually get offers very quickly. The bottom line is: if you’re thinking about selling your home this year, there is no better time to act than right now. Get your home on the market while demand for homes is high and prices are higher.

What You Can Expect

This year, we think you should expect to see a gradual decline in prices in the Charleston housing market. While this might not sound good, it is nowhere near the dramatic “bursting bubble” that people have been worrying about! Prices have skyrocketed recently and will simply be sinking back to a more appropriate market value over the course of the year.

If you’re thinking of selling your home or buying a new one, there is no one better to help you than our team, EmpowerHome Team. We’ve helped thousands of families through dramatic market shifts, and we have decades of experience navigating the changing markets, so you can rest assured that we can get your home sold regardless of whatever the 2023 markets have in store. Most sellers last year had to call a second or third agent to get the job done, or even worse, not sell at all. The agent you hire the first time matters! Our team sells 98% of our listings the first time, so when you hire us, your home is more likely to sell fast & for top dollar! 

Call or Text us now at 854-800-3100 to start working with a team that will help and support you every step of the way!

Your Home SOLD for 100% of the Asking Price or We Will Pay You the Difference.* No Gimmicks! Visit us HERE for more information.