Columbia SC Home Prices Continue to Rise

Columbia SC home prices continue to show signs of improvement, but the road to recovery remains a long one.

Home Prices Up

According to the S&P/Case-Shiller home price index, average home prices increased 1.6 percent in July compared to the previous month, marking the third consecutive month that all 20 major markets studied in the index have improved, with a general uptick continuing. Home prices are now 1.2 percent above July of last year.

The index covers over 80 percent of the housing market, with a 10-city composite index, and a 20-city composite index, all of which showed small signs of improvement in July, its most recent reading. While improving values is one of many potential signs of health, housing has a long way to go before all vital statistics are back to “normal,” particularly with the high default rates compared to before the boom and bust, tight lending not only for consumers but for builders, to name a few factors.

David Blitzer, Chairman of the Index Committee at S&P Dow Jones Indices said, “The news on home prices in this report confirm recent good news about housing. Single-family housing starts are well ahead of last year’s pace, existing home sales are up, the inventory of homes for sale is down and foreclosure activity is slowing.”

Inventory levels remain extremely tight, which combined with historically low interest rates have helped to improve home prices, but to call housing recovered is certainly a bad call. Progress is being made, but a one percent improvement over one year, does not a healthy market make.

Of course, the law of supply and demand would dictate that, as home inventory levels go down, Columbia SC home prices go up. Don’t wait until inventory levels drop to the point of boosting home prices beyond what is reasonable for your budget. Contact us today to start looking for the best home at the best price.