Mortgage Applications Increase in Latest MBA Weekly Survey

According to the latest information from Mortgage Bankers Association (MBA), mortgage applications increased 26.8 percent for week ending June 7, 2019 from one week earlier. The results from the week ending May 31, 2019 included an adjustment for the Memorial Day holiday.

“Mortgage rates for all loan types fell by a sizable margin for the second straight week, pulled down by trade tensions with China and Mexico, the financial markets reacting to more bearish communication from several Fed officials, and weaker than expected hiring in May,” said Joel Kan, MBA’s Associate Vice President of Economic and Industry Forecasting. “Despite the less positive outlook, both purchase and refinance applications surged, driven mainly by these lower rates. The refinance index jumped 47 percent to its highest level since 2016.”

Added Kan, “With the 30-year fixed-rate mortgage at its lowest level since September 2017, purchase activity was more than 10 percent higher than a year ago. Demand is still relatively strong, but there is likely restraint from some prospective buyers, driven by some economic uncertainty. Furthermore, housing supply is still very tight for first-time buyers.”

Other MBA findings:

• Average contract interest rate for 30-year fixed mortgages with conforming loan balances ($484,350 or less) decreased to 4.12 percent from 4.23 percent with points remaining unchanged at 0.33 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans. The effective rate decreased from last week.

• Average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $484,350) decreased to 4.04 percent from 4.09 percent, with points decreasing to 0.17 from 0.21 (including the origination fee) for 80 percent LTV loans. The effective rate decreased from last week.

• Average contract interest rate for 15-year fixed-rate mortgages decreased to 3.53 percent from 3.65 percent, with points decreasing to 0.32 from 0.36 (including the origination fee) for 80 percent LTV loans. The effective rate decreased from last week.

• Average contract interest rate for 5/1 ARMs decreased to 3.43 percent from 3.62 percent, with points increasing to 0.32 from 0.19 (including the origination fee) for 80 percent LTV loans. The effective rate decreased from last week.

For additional information, visit MBA's Web site: www.mba.org.

Charleston real estate market facts from Carolina One

Will Jenkinson, Broker in Charge with Carolina One New Homes released the most recent real estate stats for the Charleston real estate market and the outlook is good. His findings were as of June 14, 2019.

Overall Charleston Real Estate Market:

• Currently 5,654 active homes in MLS (very consistent over last 60 days)

• 4,505 resales and 1,144 New – 20 percent are NEW

• Inventory is down around 3 percent over same time last year

• Pending sales are at 3,325

• 2,406 resales and 914 new – 28 percent are NEW

The market remains extremely strong through May:

• With 440 properties going under contract, last week was tied for the fourth strongest single week on record in the Charleston MLS (coming on the heels of the third strongest week ever last week and two weeks ago was the "other" fourth strongest week ever).

• This also marks the 11th consecutive week with over 400 contracts written; there has never been more than 6 consecutive weeks over 400 contracts written before; and only 43 -- all time.

• The last 11 weeks are the busiest 11 consecutive weeks of contract writing activity ever in the Charleston MLS (4,650 contracts written this 11-week period versus 4,573 in the previous "best" period).

• 1,812 Closed Homes in May 2019 – highest number EVER for month of May

• 1,949 Pending Sales in May 2019 – highest number EVER for month of May (+322 over May 18)

New home sales accounted for 27 percent of ALL homes closings through April 19

• Charleston: 21 percent

• Berkeley: 36 percent

• Dorchester: 29 percent (% of new vs. resale) – NHR April 19

• 4,351 new homes closed in Last 12 Months (May 1, 2018 – April 30, 2019)

• Historical high – 7,100 in 2006; low was 2,100 in 2009

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• Average sales price for new homes in 2019 (April 19): $371,597 (Overall)

• Charleston: $444,040; Berkeley: $333,481; Dorchester: $316,012

Single Family Permits

• 5,172 permits were issued in last 12 Months (May 1, 2018 – April 30, 2019)

• Historical high – 8,084 in 2005; low was 2,732 in 2009

KIRE sells multi-million dollar home on Kiawah River

Kiawah Island Real Estate (KIRE) listed a home at 499 Old Dock Road in the Middlewood East neighborhood of Kiawah Island on January 28, 2019. The 7,000 plus square foot home sold for $5.1 million on March 16, 2019. The estate-like home with guest house sits on nearly an acre with phenomenal river views – one of the largest river front dock lots with deep water access from the Kiawah River to the ocean. Built in 1984, it was completely renovated in 2009 and has a third-floor roof top observation deck and pool.

For more information about Kiawah Island properties and KIRE, visit https://www.kiawahisland.com/.

Indigo Park showcases one of its LEED certified homes

The newest home at 115 Halona Lane in Indigo Park on Kiawah Island is open for showings 24/7 throughout the month of June. The four-bedroom, four and a half bath home has nearly 2,800 square feet of living space, plus 180 degree views from the wrap-around deck. The home is listed for $2.35 million. Contact Mid Rutledge at 843-345-9137 or email Mrutledge@DanielRavenelSIR.com to schedule a private tour.

Mungo Homes combines affordability and convenience in Mackey Farms in Goose Creek

Mackey Farms, a new development by Mungo Homes in Goose Creek, satisfies a big need for young families and first-time home buyers. The homes start in the mid $220,000 and are located on Old Summerville Road off Highway 17A. The perfect combination of rural-like living with easy access to downtown Summerville, Goose Creek, I-26, Carnes Crossroads, Nexton and the new Roper Hospital and medical facilities, the homes range in size from 1,600 to 2,700 plus square feet with three to six bedroom and two to four baths options.

The homes feature energy efficient natural gas and tankless water heaters, as well as upgrades such as screened-in porches and gas fireplaces. For more information about Mackey Farms or to view the model at 101 Clydesdale Circle, contact Graham Drayton at (803) 517-0805, gdrayton@mungo.com or Ian Schmidt at (843) 864.3211, ischmidt@mungo.com.