The Savannah housing market is a dynamic landscape that has captured the attention of homebuyers, sellers, and real estate enthusiasts alike. In 2023, the market has experienced notable shifts in house prices and trends, making it a pivotal moment for those interested in the city's real estate.
Current Savannah Housing Market Prices & Trends
According to Redfin, the Savannah housing market is somewhat competitive. On average, homes in Savannah receive 3 offers and sell in around 40 days. In December 2023, the median sale price of a home in Savannah soared to $339K, marking a significant 18.7% increase from the previous year. This surge in prices reflects the city's growing desirability and demand for real estate.
Notably, Savannah's median sale price is 16% lower than the national average, contributing to an overall cost of living that is 8% lower than the national average. The somewhat competitive nature of the market is evident as homes sell in an impressive 37 days, showcasing the city's appeal to potential homeowners.
The average homes sell for about 1% below list price and go pending in around 37 days. Some hot homes, however, can sell for about 1% above list price and go pending in approximately 18 days. Comparing with nearby cities, Savannah maintains its somewhat competitive edge, making it a compelling option for those looking to settle in a city with a unique blend of history and modernity.
The allure of Savannah extends beyond its current residents, as migration trends reveal an influx of individuals from various metros. Notably, Atlanta, GA, leads the pack, with a significant number of homebuyers searching to move into Savannah. This trend is followed by interest from metros such as New York, NY, and Washington, DC.
Conversely, individuals are leaving Savannah for destinations like Greenville, SC, and Gulfport, MS. Understanding these migration patterns provides valuable insights into the city's appeal and factors influencing both inbound and outbound moves.
Savannah Housing Market Forecast for 2024
The Savannah housing market has experienced remarkable growth, with the average home value soaring to $302,542, marking a substantial 9.9% increase over the past year. According to Zillow, homes in the area typically go pending in approximately 24 days. Delving into specific metrics as of December 31, 2023:
- For Sale Inventory (December 31, 2023): 751
- New Listings (December 31, 2023): 214
- Median Sale to List Ratio (November 30, 2023): 1.000
- Median Sale Price (November 30, 2023): $318,000
- Median List Price (December 31, 2023): $369,933
- Percent of Sales Over List Price (November 30, 2023): 35.8%
- Percent of Sales Under List Price (November 30, 2023): 37.8%
Savannah MSA Housing Forecast
In analyzing the Metropolitan Statistical Area (MSA) forecast for 2023 and 2024, the outlook for Savannah, GA, is promising. As of December 31, 2023, the forecast indicates a growth rate of 0.3% by January 31, 2024, escalating to 1% by March 31, 2024, and reaching a significant 5.9% by the end of December 31, 2024.
The Metropolitan Statistical Area (MSA) includes Savannah, GA, and its surrounding counties. The housing market in this region is substantial, encompassing a diverse range of properties and catering to a growing population.
Is Savannah a Buyer's or Seller's Housing Market?
In the current scenario, the Savannah housing market leans towards being a Seller's Market, evident from the high demand and limited inventory, contributing to increased competition among buyers. Home prices in Savannah are on an upward trajectory, experiencing a 9.9% increase over the past year, reflecting the market's robust nature.
Will the Savannah Housing Market Crash?
As per the forecast and current trends, there is no indication of a housing market crash in Savannah. The consistent growth suggests a stable and resilient market. Considering the competitive nature of the market and the upward trend in home prices, potential buyers might find it advantageous to act sooner rather than later. However, individual circumstances and preferences should also be taken into account.
Is Savannah a Good Place to Invest in Real Estate?
Are you considering investing in the Savannah real estate market? Look no further! Savannah is a beautiful city in Georgia that offers a variety of benefits for real estate investors. Whether you are a seasoned investor or just getting started, there are many reasons to consider investing in this charming city. We will discuss the top reasons why Savannah is a great place to invest in real estate for the long term.
- Strong and Stable Market: Savannah's real estate market is known for its stability and consistency. The market has shown steady growth over the years, and experts predict that it will continue to do so in the future. This means that your investment in Savannah is likely to appreciate in value over time, providing a solid return on your investment.
- Historic Charm: Savannah is known for its historic charm, which draws tourists from around the world. The city has a rich history that is reflected in its architecture and culture, making it a unique and appealing destination for visitors. This appeal helps drive demand for short-term rentals and vacation properties, making it an ideal location for real estate investors.
- Thriving Economy: Savannah's economy is diverse and thriving, with a variety of industries including manufacturing, tourism, and logistics. This means that there is a strong demand for rental properties, as people move to the city for job opportunities.
- Low Cost of Living: Compared to other major cities in the United States, Savannah has a relatively low cost of living. This makes it an attractive location for people looking to relocate, which further drives demand for rental properties.
- Strong Rental Market: Savannah has a strong rental market, with a high occupancy rate and relatively low vacancy rates. This makes it a great location for buy-and-hold investors looking to generate passive income from rental properties.
In conclusion, Savannah is a great place to invest in real estate for the long term. Its strong and stable market, historic charm, thriving economy, low cost of living, and strong rental market make it an ideal location for real estate investors. The strong rental market in Savannah is a major draw for real estate investors. With a high occupancy rate and relatively low vacancy rates, rental properties in Savannah are in high demand. This is due to several factors, including the city's growing economy, tourism industry, and job opportunities.
The growing economy in Savannah has attracted many new residents to the city in search of job opportunities. This has resulted in an increase in demand for rental properties as these new residents need a place to live while they establish themselves in the city. Additionally, the city's thriving tourism industry has created a steady demand for short-term rental properties, such as vacation rentals and Airbnb listings.
Another factor contributing to the strong rental market in Savannah is the city's relatively low cost of living. Compared to other major cities in the United States, Savannah is more affordable, which makes it an attractive location for people looking to relocate. As a result, the demand for rental properties is high as people look for a place to live while they get settled in the city.
Real estate investors looking for a passive income stream can benefit greatly from the strong rental market in Savannah. Properties that are rented out long-term can generate consistent rental income, providing investors with a steady cash flow. Additionally, investors who purchase short-term rental properties can take advantage of the city's strong tourism industry to generate additional income.
Overall, the strong rental market in Savannah is a major benefit for real estate investors. With high demand for rental properties, investors have the opportunity to generate consistent rental income and take advantage of the city's growing economy and tourism industry.
Buying or selling real estate, for a majority of investors, is one of the most important decisions they will make. Choosing a real estate professional/counselor continues to be a vital part of this process. They are well-informed about critical factors that affect your specific market area, such as changes in market conditions, market forecasts, consumer attitudes, best locations, timing, and interest rates.
NORADA REAL ESTATE INVESTMENTS strives to set the standard for our industry and inspire others by raising the bar on providing exceptional real estate investment opportunities in the U.S. growth markets. We can help you succeed by minimizing risk and maximizing profitability.