Charleston-North Charleston, SC Federal Housing Finance Agency Home Price Index (FHFA HPI)

The Charleston-North Charleston, SC, Federal Housing Finance Agency (FHFA) house price index (HPI) is a weighted, repeat-sales index measuring average price changes in single-family properties in the metropolitan area. The HPI is a valuable tool for tracking house prices at the local level over time.

Between 2000 and 2006, the Charleston-North Charleston HPI rose steadily, from 100 to nearly 180. This appreciation was driven by strong economic and population growth in the metro area. The housing market began to cool off in 2007, however, as the national economy entered a recession. The HPI dipped below 170 in 2008 and 2009 before beginning to recover in 2010. Since then, it has risen steadily and reached an all-time high of just over 200 in 2016.

Despite this recent growth, house prices in Charleston are still well below their pre-recession peak. In fact, they remain nearly 20% below their peak levels from 2006. This is likely due to a combination of factors, including stricter lending standards and a continued preference for renting over owning among many Americans.

Looking forward, it is difficult to say how the Charleston housing market will perform in the coming years. However, if job and population growth continue at their current pace, it is reasonable to expect that home prices will continue to rise modestly over time.