Hilton Head Real Estate: Prices Up 4.7% Even as Rates Hit 7.4%

----- Mortgage rates have reached 7.4%, yet Hilton Head Island’s median sale price is still 4.7% higher than last year and inventory is down more than 5%. So what’s really happening in the Hilton Head real estate market? Bailey Patterson breaks down the numbers and explains why uncertainty may be creating opportunity. Welcome back to Market Monday with the Prud’homme Team! This week, Bailey Patterson takes us through the latest Hilton Head Island real estate numbers and what they mean for buyers and sellers. 🏡 THIS WEEK’S HILTON HEAD MARKET NUMBERS ✔️ New Listings YTD: 2,130 — 7.5% below last year ✔️ Current Inventory: 884 properties — 5.2% below 2025 ✔️ Pending Sales: 1,603 YTD — 1.3% below last year ✔️ Closed Sales: 1,556 YTD — 2.3% below 2025 ✔️ Absorption Rate: 5.1 months ✔️ Days on Market: 100 ✔️ Median Sale Price: $777,600 — 4.7% above last year 🏠 INVENTORY IS TIGHTENING Hilton Head currently has 884 properties for sale, down from 895 last week and 932 at this point last year. New listings are also running 7.5% below 2025, which means fewer properties are entering the market. That limited supply continues to help support property values even as buyers become more selective. Market Mondays 10.12.2026 1 📊 BUYERS ARE STILL MOVING—CAREFULLY Pending sales stand at 1,603 YTD, only 1.3% behind last year, while closed sales are 2.3% below 2025. Buyers aren’t rushing. They’re taking their time, completing their due diligence, exploring their options and making calculated decisions when the right property and value come together. ⚖️ A BALANCED MARKET Hilton Head remains at approximately 5.1 months of supply, compared with 5.3 months last year. That continues to point toward a relatively balanced market—a much more level playing field between buyers and sellers than we experienced during the frenzy years. ⏱️ HOMES ARE TAKING LONGER TO SELL Days on market have moved to 100, compared with 86 last year. That’s another sign that buyers are being deliberate. For sellers, it means pricing correctly and preparing the property well from the beginning is increasingly important. 💰 PRICES CONTINUE TO RISE The median Hilton Head sale price is now $777,600: 📈 4.7% above last year 📈 Approximately 63% above 2021 That’s particularly noteworthy considering today’s higher mortgage-rate environment. 📉 CURRENT MORTGAGE RATES • 30-Year Fixed: 7.40% • 15-Year Fixed: 6.73% Rates moved higher again this week, but that can also affect competition. When some buyers step back, prepared buyers may find additional room to negotiate. 🔑 FOR BUYERS Take your time—but be ready. Do your homework, understand the comparable sales, get pre-approved and evaluate the entire opportunity rather than simply reacting to the asking price. Where there is uncertainty, there can be opportunity. 🏠 FOR SELLERS Today’s market requires more than simply putting a property on the MLS. Marketing, strategy, condition and pricing all have to work together. Buyers have choices and are taking longer to make decisions, so understanding how your property compares—and how to make it stand out—is critical. 🚨 BOTTOM LINE Hilton Head remains remarkably resilient. Inventory is down. Prices are up. Buyers are cautious. And the market remains relatively balanced. Higher mortgage rates may slow some buyers down, but limited supply continues to support values. For both buyers and sellers, preparation and strategy matter more than ever. 💬 What would influence your decision more right now—7.4% mortgage rates or Hilton Head’s limited inventory? Let us know in the comments! 🔔 SUBSCRIBE + HIT THE BELL Stay ahead of Hilton Head Island real estate with Market Monday from the Prud’homme Team. Subscribe and turn on notifications so you never miss our weekly take on the local market. #hiltonheadrealestate #HiltonHeadIsland #MarketMonday #MortgageRates #HiltonHeadHomes #HousingMarket2026 #SouthCarolinaRealEstate #RealEstateUpdate #HomeBuyingTips #HomeSellingTips #PrudhommeTeam ___ MAILBAG https://forms.monday.com/forms/91736f... ----- EXPERIENCE HILTON HEAD https://youtube.com/playlist?list=PL_... --- WHAT'S YOUR HOME WORTH? Book a free consultation. http://ebrochure.tì.cc/bookPTlistings --- FIND YOUR DREAM HOME www.theprudhommeteam.com --- The Prud'homme Team @prudhommeteam on all platforms