Hilton Head Island - Today's Real Estate Outlook

Hilton Head Island has always been a place to get away from the hustle and bustle and enjoy quiet, relaxing days and nights in a peaceful setting. Throughout the years the area has grown and prospered while maintaining an unmatched standard of living. What were once fertile indigo, rice and cotton plantations is now a wonderful assortment of fantastic amenities and world class communities. the modern plantation is a master-planned resort and residential community where you can find top rated golf courses, homes and villas with views of these courses, lagoons, marsh and best of all, the Atlantic Ocean.

Careful planning, conservation, and environmental sensitivity were all goals in the planning process of Hilton Head Island. Careful land planning and town ordinances prohibit excessive building and paved the way for the quiet, relaxing atmosphere islanders, and guests, enjoy today. These strict regulations have kept a delicate balance between islanders and nature, as well as keeping real estate values high. This has all created a harmonic existence, where the serenity of the natural environment and the luxuries of a world-class resort are inextricably mixed.

Who are Hilton Head Island residents?

Those that have decided to make Hilton Head Island their home come from all across the country and all parts of the world. People choose to purchase real estate on Hilton Head Island for a number of reasons; warm, tropical year round climate, world class beaches, renowned golf courses, top rated tennis facilities, shopping & dining, the list goes on and on. Hilton Head is home to over 33,000 full-time residents and has grown enough to support all the services associated with a small city; i.e. exceptional schools (public and private), a full sized hospital and medical center, town government, a wide array of financial institutions and churches as well as art centers, shopping centers and all types of businesses. With an average age in the mid-40's, the typical Hilton Head Island resident is just as likely to be a career and family-oriented professional as an empty-nester. Early retirees account for just over 25% of the population. Young professionals have found the area to be unmatched as a town in which to work and raise a family. With access to nature, wildlife, sports and all types of schools (public and private), children thrive on Hilton Head Island.

Hilton Head Island real estate serves two purposes. One is a residential community and the other is a vacation destination. Hilton Head plays host to over 2 million visitors a year with almost 60,000 people inhabiting the island at any one time during the season. With all these people in one area you would think there would be animosity. Quite the contrary, visitors and 'locals' coexist very well and the areas reputation for tasteful tranquility precedes itself. The commercial hubbub does not disrupt the island community. What unifies Islander's and Blufftonians alike is an abiding love and respect for the nature that surrounds us and a desire to preserve the areas special way of life.

There are always pluses and minuses when making a move. When moving to Hilton Head Island the pluses far out weight the minuses. Moving to this area means fresh air, tree lined roads, warm subtropical climate, world class amenities, top rated beaches and more. A move to Hilton Head Island is without a doubt, a move in the right direction. You will soon discover it is more than a place to visit; It's an amazing place to live.

Hilton Head Island Real Estate-You CAN afford it!

Since its inception almost 40 years ago, Hilton Head Island has been a world class destination. Because of its reputation as a first class community and its limited amount of inventory (due to the fact it is an island) prices of property have traditionally held steady. For the past 30 years, through three recessions including today's, property values have seen an average of 9% appreciation per year for lots, condos and homes combined. At the height of the market, a vast majority of people did not think they could afford to live in such a beautiful place. The thought was 'It's a great place to visit but I could never afford to live there.' The other mis-perception was 'Even if I could buy a home, condo or lot, for a great price the monthly payments would be to high.'

I am here to let you know Hilton Head Island IS affordable! Even though we have a limited amount of inventory, demand is down and it has effected property values. These values are currently 20-30% off their high in 2005. Add to this interest rates are as low as they have ever been and this creates the 'Perfect Storm' to Buy. Think about this for a second, if you were to purchase a $500,000 condo and put down 20%, your monthly payment (principle and interest) would be $1,960/mo with a 4.25% interest rate. For every point the interest rate increases 5.25%, 6.25%, 7.25% your monthly payment (principle and interest) would increase approximately $240/mo!

In real estate, fortunes are made in down markets. I cannot think of a better time to purchase property here on Hilton Head Island. What you once thought was out of your price range is now affordable. Interest rates are at all time lows and most likely headed one way from here...up. Now is the time to take advantage of this opportunity. If you are still on the fence consider this, the savvy Hilton Head buyer purchases property with a buy and hold mentality. By purchasing at the bottom of the market, or as near to it as anyone can predict, and holding onto that property for 3.5..7 years you will have a solid investment you and your family can enjoy for years to come.

If you, a friend or a family member are interested in buying or selling real estate in the Hilton Head Island/Bluffton area and would like a no-obligation consultation on property values, the state of the local economy and 'Best Buys' feel free to contact me anytime. I look forward to putting my 18 years of experience in the Low Country to work for you.

Hilton Head Real Estate Taxes

When purchasing Hilton Head Island Real Estate it helps to have an understanding of how the Hilton Head Island Real Estate Taxes are figured. Hilton Head Island is located in Beaufort County, SC. The Beaufort County Tax Assessor places an appraised value on your Hilton Head Island Real Estate, based on comparable sales, the property's condition, etc. This appraised value is then multiplied by 4% for residents and 6% for non-residents and corporations, to determine the 'assessed value' of a property. The assessed value is then multiplied by the appropriate millage rate for your district. Residents that qualify for the 4% tax ratio are exempt from taxes imposed for school operating expenses. Therefore, the millage rates differ for non-residents and residents. For example: A resident with a $100,000 home in district 550 is $100,000 multiplied by 4% and then multiplied by .0935 ($4,000 x .0935 = $374). For a non-resident multiply $100,000 by 6% and multiply that number by .1973 ($6,000 x .1973 = $1,162.20). It is important to remember that the information provided here is general in nature; if you have specific questions about your personal tax situation, you should check with:

County Auditor's Office in Beaufort
843.470.2555
Tax Assessor's Office
843.470.2522
www.bcgov.net
www.sctax.org
Or check with your personal accountant