South Carolina Is Winning in Affordability and Homebuilding: Can Governor McMaster Keep the Boom Going?

South Carolina’s housing market has become one of the South’s standout performers, fueled by steady population growth and a robust pace of construction.

The Realtor.com® State-by-State Housing Report Card gave the Palmetto State a solid B, reflecting strong new homebuilding and a balanced level of affordability. The report—part of the Let America Build campaign—measures how states manage both home prices and housing supply. For South Carolina, the data shows a market expanding at a healthy clip, though sustained growth will depend on continued infrastructure and workforce investment.

With that in mind, President Donald Trump recently put pressure on homebuilders to increase construction nationwide, given the issues with construction in the country. In a post on his Truth Social platform in early October, he accused major builders of hoarding lots to prop up prices—likening them to OPEC, which restricts oil output to maintain high prices.

“They’re my friends ... but now, they can get Financing, and they have to start building Homes. They’re sitting on 2 Million empty lots, A RECORD,” Trump wrote. He urged Fannie Mae and Freddie Mac to intervene and “get Big Homebuilders going” to “restore the American Dream.” 

South Carolina’s “B” grade explained

Realtor.com’s analysis gave South Carolina a total score of 64.8, placing it among the top-performing housing markets in the country. The state’s median listing price reached $369,772 in 2024, supported by a median household income of $67,432. The Realtors Affordability Score came in at 0.68—slightly below the national average but stronger than many fast-growing coastal states.

On the construction front, South Carolina accounted for 2.4% of national housing permits in 2024, despite holding 1.6% of the U.S. population. That gives the state a permit-to-population ratio of 1.5, showing builders are producing homes at an above-average pace. The new construction premium—the difference between new and existing home prices—was just 14.7%, among the lowest in the country, suggesting that new builds remain competitive for buyers.

Realtor.com economists say South Carolina’s mix of job growth, available land, and strong builder activity makes it one of the country’s healthiest housing markets. But rapid in-migration and limited infrastructure funding could create pressure if supply doesn’t keep up.

The South continues to lead

The Realtor.com New Construction Insights report highlights how Southern states like South Carolina are driving national homebuilding trends. The median new-home price held steady at $450,797, while resale prices rose 2.4%, narrowing the national new construction premium to just 7.8%—the lowest in recorded history.

The South now accounts for the majority of both new and existing home listings nationwide, keeping prices more affordable than in the West or Northeast. Realtor.com data show that states with higher levels of new construction activity, including South Carolina, continue to attract both in-state and out-of-state buyers seeking attainable housing.

“New builds continue to become more available and more affordable to the American homebuyer despite subdued single-family construction trends,” said Realtor.com senior economist Joel Berner. “Southern markets like South Carolina are proving that steady building pipelines can preserve affordability even as demand grows”.

Charleston, Greenville, and Myrtle Beach are leading the state’s expansion, combining strong job markets with growing new-home communities that appeal to retirees, remote workers, and young families alike.

“America is short more than 4.7 million homes, and every new home built helps close that gap while fueling local economies," says Shannon McGahn, executive vice president and chief advocacy officer at the National Association of Realtors®.

"NAR research shows that the U.S. has faced a persistent housing shortage for more than a decade, driving up prices and limiting options for buyers. Expanding housing supply creates jobs, supports small businesses, and affords families the opportunity to build generational wealth.”

Governor McMaster’s housing and workforce initiatives

In an effort to keep up momentum, Governor Henry McMaster signed new legislation in October 2025 aimed at increasing housing options and supporting community revitalization efforts across South Carolina. The law is expected to aid redevelopment projects in areas such as the old Navy Yard in North Charleston, with a focus on expanding opportunities and promoting sustainable growth.

Gov. McMaster and local officials say the measure will help make homeownership more attainable, bring residents closer to their workplaces, create jobs, and strengthen local resources. The legislation, known as the Tax Increment Financing Act (H. 3333), allows redevelopment authorities at former federal military installations to use tax increment financing (TIF) funds to support affordable housing projects. Officials say the change could accelerate the completion of new housing developments, cutting timelines roughly in half.

“With this signing, our local municipalities will be able to make significant investments in infrastructure, workforce housing, security, and economic development,” McMaster said. “By giving these redevelopment authorities the flexibility to use TIF funds for affordable housing projects, we are helping to strengthen our communities and generate additional investment and opportunity in South Carolina.”

Local leaders note that Charleston County—particularly North Charleston—continues to experience rapid growth, making it essential to expand housing options in step with demand. State Senator Deon Tedder said the new law marks a meaningful step toward creating more balanced and inclusive communities.

“The quality of life is certainly a big key here,” Sen. Tedder said. “This will create places for people to live and work in the same area, support small businesses and entrepreneurs with new workspaces, and improve public transportation. We’re excited, but we have to be mindful that we include everyone and ensure we keep things affordable as well.”

This article was produced with editorial input from Dina Sartore-Bodo and Gabriella Iannetta.