The South Carolina Department of Commerce is reporting the state’s leading index lost 0.11 points, recorded a 4.5 percent increase in residential real-estate activity, and issued 59 fewer residential building permits during June.
While the decrease in residential building permits contributed to the weakened South Carolina Leading Index (SCLI), the Palmetto State ended June with a value of 101.38. An SCLI value above 100 suggests economic conditions will improve for the state over the next three to six months, according to the report.
Clemson economist Bruce Yandle agrees, saying South Carolina’s leading Indicator is pointing north, “calling for continued improvement in the state economy.”
The news comes on the same day the U.S. Department of Commerce conducted a first estimate for second-quarter GDP growth, he said. The pace of the national economy picked up 4.0 percent, which means “we should see continued improvement in housing starts and employment.”
The median home sales price of $173,777 during June is a state high, and is more than 5.0 percent higher than a year ago. Comparing sales volume and home prices in the second quarter of 2014 to the second quarter of 2013, the strongest improvements have been in the Charleston and Spartanburg markets. Both Columbia and Myrtle Beach have seen gains of approximately 5.0 percent in median sales prices but declines of about 4.0 percent in sales volumes.
South Carolina issued 2,129 residential building permits throughout June, down 2.7 percent from the previous month.
However, comparing the second quarter of 2014 to the same time in 2013, statewide housing permits are up nearly 7.0 percent, with both Greenville and Myrtle Beach experiencing the largest increases in building activity.
Greenville reported 1,004 home sales during June, an improvement of 48 sales from the same month one year ago, while Spartanburg registered 357 home sales last month, an improvement of 29 home sales from June of 2013.
