But then there is the issue of color.

I’ve been in thousands of homes with buyers who either really love or really hate the color of the walls. And don’t get me started on wallpaper which seemingly nobody likes somebody else’s choice of.

I’ve seen rooms painted black and garnet (University of South Carolina colors) and orange and purple (for Clemson fans) to some colors like lime green or sky blue. While you are living in your home, you can choose any color you want but it’s a different story when it’s time to sell.

Some buyers can see past bold colors while others are turned off completely and can you imagine a South Carolina fan looking at a Clemson home (or vice versa).

But if you want to make sure that buyers like your home, your best bet and safest choice is to paint it real estate beige. That’s the color that builders use for their model homes and there is a good reason for that.

Everybody likes it.

Even though an additional 426 homes were listed for sale, there are still less than 6000 active listings and as of this morning in the Charleston MLS, there are exactly 5746 homes for sale. There is still a high number of homes under contract. 2531 contingent and 928 pending is a positive indicator for future closings.

This week in Charleston real estate:

• 426 new listings came on the market at an average price of $333,257
• 306 homes went under contract at an average price of $291,480
• 275 homes were reported as sold this week in the Charleston MLS at an average price of $281,703

Statistics compiled by Howard Arnoff using the Charleston MLS as the source of data, information deemed reliable but not guaranteed.

I do that by watching the US Open, one of two golf tournaments that are must see events, the other obviously is The Masters.

Now this year might just be extra special. On his 43rd birthday and Father’s Day, Phil Mickelson has a one shot lead heading into today’s final round. For Phil fans, we all know the disappointments he has had especially at the US Open.

But I’m hoping this year just might be different and Phil finally wins it today. It’s going to be fun!

Highlights:

• Year to date, Charleston home sales are almost 22 percent higher than last year. Sales are sharply higher across all price ranges.
• Inventory remains stable and subdued. The actual number of available homes for sale as of this morning in the Charleston MLS is 5763. (Remember that homes that are under contract but contingent are still counted as inventory in the Charleston MLS statistics.)
• As low as the absorption rate appears, if you take out the contingent properties, the real absorption rate is approximately 4.5 months based on the current sales pace and is the lowest we’ve seen in the Charleston real estate market for many years.
• Home prices are a little higher especially for entry level homes. Prices in the mid priced move-up market and the luxury Charleston real estate market are about the same as last year.

Statistics compiled by Howard Arnoff using the Charleston MLS as the source of data, information deemed reliable but not guaranteed.

Monthly Home Sales

Monthly Home Inventory

Inventory and Absorption Rate

Year Over Year Comparison

It appears that the record low mortgage rates we saw during most of last year and very early this year are over.

And as for Charleston home prices, it seems as if the perfect entry point would have been in the first few months of last year.

So what do you do.

You should buy or sell when you’re ready, not when the market says so (and always in hindsight since they don’t ring a bell saying now is the time). Maybe you couldn’t get your home ready for sale last year so that you could buy as soon as you sold. Maybe your financial situation was not perfect in order to get a mortgage. Or maybe you were out looking for a home to buy but didn’t see anything that you loved enough to make an offer.

It’s ok, buying a home is a long term investment and a few dollars here or there shouldn’t be the ultimate determining factor. You are going to be living there for a while so make sure it is the right home.

And despite the increase in mortgage rates, they are still historically low. Don’t be greedy. 

Photo courtesy of Flickr Creative Commons by Alan Cleaver

The steady backlog of homes under contract remains at around 3400 with 2517 contingent and 874 pending predicting a high number of closings in the next few months. Inventory remains subdued with 5773 active listings as of this morning in the Charleston MLS.

This week in Charleston real estate:

• 395 new listings came on the market at an average price of $304,922
• 321 homes went under contract at an average price of $277,470
• 321 homes were reported as sold this week in the Charleston MLS at an average price of $311,197

Statistics compiled by Howard Arnoff using the Charleston MLS as the source of data, information deemed reliable but not guaranteed.

So guess what, our water heater recently blew out and what did we choose to do, go tankless of course.

We chose to go with the Rinnai tankless water heater because our plumber said it was the best on the market. The cost is about twice as much as a traditional water heater but apparently they last more than twice as long. Then there is the energy savings of only heating water when you need it and there is a small tax credit still available. It also should be a selling point when we plan to sell our home.

We’re enjoying the endless hot water and by the way, one common misconception is that it isn’t “instant” hot water (except at the unit) since it takes a minute or so to get to the faucet.  

Full Disclosure: I have not received any compensation for writing this content and I have no material connection to the brands, topics and/or products that are mentioned herein.

So what’s next.

Will rising mortgage rates create more urgency for home buyers as they see mortgage rates tick higher. The net effect of higher mortgage rates is either higher monthly payments or reducing your budget resulting in buying a little less home.

If mortgage rates move up by 1/2 percent from approximately 4 to 4.5 percent, the increase in your monthly payment is approximately $29 per $100,000. That’s really not that big a deal since it’s about the cost of lunch for two at a decent restaurant.

Let’s not forget that a 4.5 percent mortgage is still a historically low rate. Many years ago (mid 80′s), I purchased a home and was thrilled to get a 9 percent rate so in the big picture, all is not dire.

But as active as the Charleston real estate market has been over the last year, will it get even more active as some buyers might sense this might be their last best chance to get such favorable financing.

Sales in May topped last year by 22.5 percent and year to date, sales in the Charleston real estate market are over 20 percent higher than last year.

Long time readers will know that several dozen sales will typically drift in over the next few days and weeks so the final total should be even better.

And look out for June, it just might be a monster month. 1500 anybody?

Statistics compiled by Howard Arnoff using the Charleston MLS as the source of data, information deemed reliable but not guaranteed.

Now June is generally the best month of the year for closings and with 3374 homes under contract, 2517 contingent and 857 pending as of this morning, the only question is how high can we go. I’ll take a wild guess and set a target of 1500 and wouldn’t that be something pretty special.

This week in Charleston real estate:

• 392 new listings came on the market at an average price of $347,845
• 252 homes went under contract at an average price of $299,355
• 364 homes were reported as sold this week in the Charleston MLS at an average price of $289,006

Statistics compiled by Howard Arnoff using the Charleston MLS as the source of data, information deemed reliable but not guaranteed.