Myrtle Beach Real Estate in 2012

It appears that we have survived another year of ups and downs in our Myrtle Beach area real estate market. You may have noticed the word "survived" in my statement, which is the way most people describe their real estate positions these days. This will be the last newsletter update that we send for the year so I wanted to share a few things that people are thinking about as they plan their real estate strategy for 2012. The following is a short list of current trends you need to know about as well as a list of suggestions for those thinking of selling next year.

As always, you can count on us to share information, both good and bad, as we think it is our job to paint a realistic picture - versus a candy-coated version that leads people down the wrong path. With that said, please review the current market trends so you can see the direction we are heading as we end the year and begin 2012.

Current Trends: 

1. Increased amount of buyer traffic.  Of course, this may vary from company to company yet we are seeing a better response to the marketing efforts we have employed. The result is more written contracts and closings. We expect this trend to continue over the next 6 months
2. Short sale approvals on the rise.  As I have mentioned before, banks are approving these sales at a faster rate. In addition, we are seeing them negotiate some great deals with our clients. We expect this trend to continue as banks want the inventory off their books
3. Foreclosures have increased by 100% in the last 30 days.  This is the last thing that I want to report. The foreclosure moratorium no longer exists in SC therefore the number of foreclosures coming to the market is enormous. Our banking relationships tell us this will continue for the next year.
4. Inventory is shrinking.  There is less competition listed for sale today then we have seen in a long time. This is a result of a previous slowing of foreclosures, more short sales selling and owners waiting to list until April 2012. This trend will continue until approximately March and then we will see supply increase again. This is common every year.

The following suggestions should be considered if thinking of selling in 2012:

1. Do the opposite of the masses. When others are waiting...make your move. The best time to be on the market is when the inventory is low. Don't wait until everyone lists their property, because that increases supply which tends to decrease value. Sell when there is the least amount of inventory. The masses will try to sell in the Spring, beat them to the market and avoid the competition.
2. Look at the costs of selling as well as the costs of holding. It is very important to study the numbers. Make sure you put the pencil to the paper and look at the costs associated with the decisions you make. Information followed by a strategy is what leads us to a solution. Lack of information is why a lot of people got in trouble by making bad investments. Of course, it is easy to conclude this now that we can look backwards.
3. Don't look back...what's in front of you is what matters. Where the market was has no baring on what we should do next. We must evaluate our current position, evaluate the current market, evaluate the current trends and decide what is best. What has happened has happened. What will happen next is determined by your next move.
4. Investigate before choosing an agent. Of course, I want you to choose us if you ever need anything, yet let's put that aside for a moment. Too many bad decisions have been made from a lack of information. There are times when agents are afraid to give you the important information, and there are times when agents may not even know what's important or not.  In either case, this can cost you thousands of dollars. I remember times when another agent would get mad at me for telling my seller to reduce their price so it could sell in 2007. They were mad because they didn't want their seller to be upset. In the end, my willingness to be truthful with my seller resulted in a sale while the other seller sat there and watched their value decrease by another $100,000 over a 18 month period of time. What's the point?  You must investigate who you hire. Make sure they are getting results, make sure they have an actual marketing plan, and make sure they will level wiith you up front.

I hope you see the value in this month's message. I am happy we survived the last 12 months, and I look forward to C21 The Harrelson Group being the solution for you and your real estate needs in 2012. You can count on us to be your Myrtle Beach real estate resource throughout the new year. So please take advantage of our willingness to help. Even if you have no need at this time, please refer us to help those family members and friends that need real estate advice.

I sincerely wish the safest and most joyful holiday for each of you.

~Greg Harrelson, Century 21 The Harrelson Group