We've seen significant growth in sales prices in both Jefferson and Berkeley County in the last two years, and everyone has been asking: are we headed for a market correction? Well, let's start by looking at the actual numbers: the median sales price for Jefferson & Berkeley Counties combined has risen 13.7% since this time last year, to $267,114. Jefferson County has seen the fastest price growth, up 21% since this time last year, to $335,000.
Median days on market have held fairly steady at 8 to 10 days on market since this time last year, and inventory levels remain low, with only 27 days of inventory. For context, a balanced market is roughly six months of inventory. Or, to put that another way, at current market demand, we would need six times as many houses for sale to reach a balanced market.
So what does that mean in plain english? Well, it means that home prices have risen faster in the last year than they have in over a decade, and that we're a long way from reaching a buyer's market (with longer days-on-market and declining prices).
Also, while the price growth has been extremely strong in the last year, a longer term view of how median prices have risen over the past five, ten, and twenty years in Jefferson & Berkely County is helpful (all rates are annualized) :
- 8.71% over the last five years
- 7.00% over the last ten years
- 4.15% over the last twenty years
So, what are your predictions? Are we headed for a market correction? Will prices level off? Or are we looking at continued strong price growth in 2022?
All data above is from Bright MLS, and if you're interested in seeing additional numbers, here's a spreadsheet that has a bit more detail.
