Charleston’s Resilient Real Estate Market
As spring unfolds across the Lowcountry, Charleston’s real estate market continues to buck national trends with remarkable strength and consistency. While much of the U.S. housing landscape sees volatility due to inflationary pressure, interest rate shifts, and regional affordability concerns, Charleston shines as a stable, appreciating, and highly desirable real estate hub.
From the cobblestone streets of the Historic District to the marshfront developments in Mount Pleasant, the Charleston metro area is proving once again why it’s considered one of the most resilient markets in the Southeast.
Market Growth and Price Trends
Average Home Values Rise Above $560K
The average home value in Charleston is now $567,164, marking a 4.5% increase year-over-year as of February 2025, according to Zillow’s Home Value Index. This puts Charleston ahead of the national average growth rate and reflects sustained confidence in the area’s housing stock.
2025 Forecast: 4–4.5% Appreciation
Charleston-based agencies like Matt O’Neill Real Estate are forecasting continued home price appreciation between 4% and 4.5% for the remainder of 2025. Unlike overheated boomtowns that are now correcting, Charleston is viewed as “right-priced” with room to grow.
Buyer and Seller Dynamics
Homes Flying Off the Market
Charleston homes are spending just 26 to 30 days on the market, per Zillow, compared to the national average of over 40 days. Inventory remains tight, pushing prices up and reducing negotiating power for buyers.
The Luxury Market is Alive and Well
Luxury neighborhoods such as Isle of Palms, Kiawah Island, and Old Village in Mount Pleasant continue to see steady out-of-state demand, particularly from high-income buyers in the Northeast, Midwest, and California. Real estate firms like Handsome Properties confirm that high-end homes are holding or increasing in value, even amid national luxury slowdowns.
First-Time Buyers Feeling the Squeeze
The challenge for many first-time buyers is Charleston’s limited entry-level inventory, particularly under $400,000. However, new build communities in Summerville, Moncks Corner, and Ladson are helping to fill the gap with more attainable pricing structures, sometimes offering rate buy-downs or closing cost credits.
Investment Outlook: Where the Smart Money is Going
Short-Term Rentals Still Driving ROI
Despite tighter regulations in Charleston’s historic districts, short-term vacation rentals (STRs) remain a powerful wealth-building tool. Areas like Folly Beach, Sullivan’s Island, and downtown neighborhoods continue to yield strong occupancy rates and premium nightly rates, especially in spring and summer. See AirDNA’s Charleston STR Data for detailed occupancy trends.
Multifamily & Build-to-Rent Booming in the Burbs
With rental demand skyrocketing, developers are eyeing North Charleston, Goose Creek, and Summerville for multifamily housing and build-to-rent communities. The South Carolina Housing Finance and Development Authority forecasts significant need for new rental units in Berkeley and Dorchester counties through 2028 (SCGOV).
Infrastructure and Tech Growth Fueling Real Estate
Charleston’s appeal is bolstered by economic drivers like the Port of Charleston, Volvo’s manufacturing facility, and the growing tech sector in areas like the Digital Corridor. These industries are attracting new workers and boosting housing demand, especially for workforce housing within commuting distance.
Final Thoughts: Navigating 2025 with Strategy
Charleston’s market is not immune to national forces—rising interest rates and tighter lending standards could cool things slightly—but its unique combination of economic vitality, cultural charm, and lifestyle appeal means the fundamentals remain strong.
