Record rains dampened November home sales in the Myrtle Beach area

Sales of single-family homes sank nearly 8 percent in November, a downturn over the same month last year that was likely caused by record rains that temporarily kept potential buyers away from the Myrtle Beach area or delayed closings.

The nasty weather also affected condo sales, which declined 9 percent last month after experiencing steady growth throughout the year. Residential lot sales were down by 25 percent in November compared to the same month in 2014.

The flooding happened in October, but the affects on sales lingered into November because it delayed appraisals, inspections and, ultimately, closings.

The monthly statistics compiled by SiteTech Systems of local real estate trends are based on closings.

“A lot of businesses, restaurants and everybody got hit hard with the weather being so bad, and it affects people wanting to get out and look at property with as much rain as we had,” said Chip Abernethy with The Lachicotte Co.

Although the Myrtle Beach area saw only limited flash flooding along streets in coastal areas, there was a perception that homes were severely impacted from flooding, said Jim Allison of Dunes Realty.

“The national news said we were under water, so trips were postponed to purchase property because they were concerned we were damaged goods. The coast itself was completely unaffected, but it was the perception that we had an issue” that affected sales, Allison said.

Although the record rains kept buyers at bay, it did not affect median prices for homes that rose more than 8 percent, and nearly 2 percent for condominiums.

Abernethy said the steady increase in prices continues to bode well for the local real estate market.

“Any sort of increase is good, it doesn’t need to be dramatic like it was in the day when we got into trouble,” Abernethy said. “Overall, the market seems to be really good.”

The dip in monthly sales was a blip on an otherwise solid year for the Myrtle Beach area. Year-to-date home sales increased 16 percent, condo sales were up 9 percent and residential lot sales rose more than 5 percent, compared to the same period last year.

“One month never makes a trend,” said Todd Woodard, president of SiteTech Systems.

“A lot of that can be attributed to external, one-time events which are not reflective of the local housing economy,” Woodard said.

Additional federal requirements implemented in October as part of the Dodd-Frank financial law also extended closing times beyond the typical 30-day window, which could have delayed the recording of sales during November.

The extended closure of Interstate 95 during October also had a lasting impact on sales.

“I dealt with buyers who wanted to come, but couldn’t get here because the roads were shut down,” Allison said.

Hudson can be reached at 843-444-1765

Twitter @AudreyHudson

This story was originally published December 18, 2015 at 4:16 PM with the headline "Record rains dampened November home sales in the Myrtle Beach area."