Drew Grossklaus, Sales Director/BIC East Cooper
It has been an interesting start to the year – both globally and in real estate. In Charleston, the story remains familiar – strong buyer demand and low inventory. This trend has continued into 2025 with home sales over $500,000 rising approximately 7% compared to 2024, even as inventory has held steady. The median sales price of homes in this category also increased by 7%, all while interest rates have remained in the high 6% to low 7% range. These are encouraging signs for the Charleston market as we close out the first quarter. That said, the second quarter already has some auspicious indicators.
The second quarter – and the rest of year – has become difficult to predict with one word dominating the conversation: tariffs. The current tariff situation has created a whirlwind situation with all financial markets, making it challenging to predict the future of real estate, even in the short term.
One major concern has been the potential rise in construction costs, especially since a significant portion of lumber comes from Canada and Mexico. The President recently announced that lumber would not be included in the tariffs which was a great relief, however many other key building materials, like copper, would be included in the tariffs.
At the same time, other pundits have felt the current financial situation may have people looking to move money into real estate as a safer investment model. In these early weeks, we have seen cautious activity as buyers remain active but are a bit more hesitant to make an offer until a clearer picture of the financial future becomes available. One steady factor in all this has been mortgage interest rates, which have held firm in the 6.5% to 7% range throughout the year so far.
William Means has had an outstanding start to the year. In the first quarter, our sales volume rose by 15% compared to the same period last year. Even more impressive, the average sales price increased by 41%, reaching $1.8 million. We are also proud to share that William Means ranked #9 in total sales across all real estate companies in Charleston —an especially notable achievement as the highest-ranked firm with fewer than 50 agents. Our continued success is a direct result of the trust our clients place in us, and for that, we are truly grateful. If you have any questions or real estate needs, we’re always here and happy to help.
