scratching their heads when hearing how an absentee buyer purchased entirely virtually without walking through the home in person . Many of these technologies are here to stay in the selling process , even as COVID restrictions and protocols may ease into the future . They place a silver lining on the selling and buyer process that is now more efficient and effective than ever before in our marketplace .
SEASONALITY - THE YEAR-ROUND MARKET
In 2020 , we fielded more than twice the number of new buyer inquires than we did in 2019 . That trend is continuing into 2021 . “ 24 / 7 / 365 ” has swiftly become the work schedule for our marketplace , undeterred by the likes of national holidays and elections that otherwise may have given pause to market activity in prior years . In fact , on Christmas Day 2020 , we saw a 200 % increase in new real estate inquiries over Christmas Day 2019 , while New Year ’ s Day saw a 47 % increase . And , kicking off the new year with a bang , we experienced an 85 % year-over-year increase in new online inquiries just in the first three days of 2021 . Plus , with the increase in our primary residential base of ownership , we anticipate that 2021 will mark the most well-rounded year of sales that our market has ever seen .
NEW CONSTRUCTION - FEEDING HIGH DEMAND
It seems that developers can ’ t build new homes fast enough to keep pace with the growing demand in the Lowcountry ! While the appeal to own a brand new home will always be at the center of this trend , the overall shortage of resale listings is driving more buyers to consider new construction options in our local market . Predominately focused on the mainland , this trend is drawing buyer attention into the expanding markets of Bluffton , Okatie , and beyond , as developers provide new communities . Similarly , one-off spec homes are being met with a similar demand , often selling well before completion as buyers opt to skip the planning and building steps for the option to immediately enjoy a new home . And , for those who wish to realize their dream to build their own custom home , we are seeing a marked increase in homesite / lot sales - a trend we expect to accelerate as certain market areas approach build-out .
PROPERTY CONDITION - FIXER UPPERS ARE BACK IN VOGUE
Immediate gratification is still the dominant driver for most buyers these days . However , an increasing number of buyers ( end-users as well as speculators ) are opening their eyes to the possibilities that exist with properties that need updating . Driven in a large part by the shortage in overall inventory , “ fixer-uppers ” are back in demand , effectively reducing the need for sellers to update their homes in order to sell , and thereby moderating a trend that has otherwise predominated our market for the past several years .
AMENITIES - HOW COVID HAS CHANGED WHAT ’ S IMPORTANT
If your home has a swimming pool , you ’ re ahead of
the game these days ! In fact , the number one question
on property listings in our market lately has been : Is
there a pool , or , if not , is there room for one to be built ?
At the same time , other property amenities and
features that buyers are seeking include expansive outdoor
living space , outdoor “ kitchens ,” dens / offices / extra bedrooms to accommodate at-home work and study , in-law suites
to accommodate multi-generational households ,
premium vistas , etc . In short , buyers are aiming to achieve a
new concept of “ home ” that aims to create a haven for safety
, entertainment , comfort , peace , and efficiency as a shift in how people are living amid the on-going pandemic .
INTEREST RATES - ICING ON THE CAKE
The 30-year fixed rate dipped under 3.0 % in December , making mortgage-money remarkably “ cheap ” in the eyes of homebuyers – a theme that dominated the real estate landscape across all of 2020 . While the difference between 3.0 % and , say , 5 % isn ’ t likely to sway someone from making a buying decision , it does reshape the economics of ownership , which is quite helpful in our industry . Amid rising insurance costs , taxes , regime fees , and other ongoing costs of ownership , reduced overall mortgage payments are nicely balancing the financial picture for some property owners . We continue to see a good number of otherwise cash buyers that are electing to go through the underwriting process to leverage the record-low interest rates to their advantage . Even if / as we see rates possibly creep up slightly into 2021 , this important aspect of our market should continue to be a positive steering factor for the year ahead .
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