If you’re following the real estate market in Augusta, GA, you know it’s been an eventful year. From shifting demand to fluctuating interest rates, buyers and sellers alike are navigating a changing landscape. Here’s a snapshot of the latest trends, insights, and what I expect to see as we move toward the end of 2024.
Unfortunately, interest rates have continued to rise over the past year, putting a bit of a squeeze on affordability. Nonetheless, our area remains attractive to both local buyers and newcomers, thanks to the area’s quality of life and still relatively affordable housing options compared to larger metropolitan areas. Demand is especially strong for homes in established neighborhoods with convenient access to downtown Augusta and Fort Eisenhower, which continues to draw both military families and civilian employees.
While higher interest rates have slowed the market slightly, our area is still hot compared to national averages. Homes priced well and in good condition are selling fast, sometimes within days of being listed.
The biggest challenge for buyers, especially first-time homebuyers, is inventory. There’s a shortage of affordable, entry-level homes across the CSRA, creating stiff competition for the limited options that do hit the market. Some sellers are hesitant to list their homes due to high interest rates, as they’re likely holding onto lower-rate mortgages themselves. This “golden handcuff” effect means fewer homes are circulating on the market, and buyers still may face bidding wars, particularly for homes in desirable neighborhoods.
Sellers, if you’re considering listing, know that the market is on your side. Well-priced homes in good condition are still selling, and even though buyers are facing financing challenges, demand is still strong for well-maintained properties.
With the limited inventory of existing homes, new construction is playing a crucial role in meeting demand, particularly in areas like Aiken, Grovetown, and Graniteville, which are experiencing rapid growth. Several new developments are underway, offering a range of housing options from townhomes to single-family homes. Buyers should be prepared to wait a little longer for new construction as build times average around 6-12 months, and prices for new builds are higher than resale homes due to increased material and labor costs.
Additionally, spec builders are offering incentives, such as covering some closing costs or providing upgrade packages, to attract buyers as they adapt to the current market conditions. If you’re open to a new build in a community development, now could be a great time to explore those options.
While home prices in the CSRA are still appreciating, the rate of growth has slowed compared to the frenzied 15-20% pace of the last couple of years. On average, prices are up 4-5% from last year, which represents a more sustainable growth rate. This is encouraging news for buyers hoping to gain equity over time without paying record-high prices seen in 2021 through early 2023.
However, sellers can still expect to see a return on investment. Homes in popular neighborhoods like Summerville, River Island, and Bartram Trail are maintaining strong values, as these areas are particularly desirable for their amenities, school districts, or proximity to key locations.
The rental market in Augusta and the CSRA remains strong, thanks to consistent job demand and industry growth. Investors are taking note, particularly those seeking long-term buy-and-hold properties in neighborhoods close to employment hubs. For those considering short-term rentals, neighborhoods near the Augusta National Golf Club are attractive due to the influx of visitors for the Masters Tournament each April, though keep in mind there are lots of areas where short-term homes have also flourished for medical staffing.
Flipping will be popular again as Hurricane Helene will produce new opportunities to purchase storm-damaged homes at fractional values. We have hundreds of homes that will not be rebuilt as owners liquidate to avoid costly repairs and find new residences quicker.
Regardless of who you are or where you fall in the real estate world, the CSRA remains a wonderful place to call home. Offering a unique combination of affordability, growth, and quality of life that continues to attract a variety of buyers and investors, creating a sustainable market for Augusta and its surrounding counties.
For more information, visit Shawna’s Thought Leader page HERE.
Shawna Woodward
130 North Belair Road
Evans, GA 30809
Phone: (706) 993-1133 or (706) 399-8707
Website: https://www.mhpaugusta.com/
