South Carolina · State guide
How to buy a house in South Carolina
A fast-growing, tax-friendly state where owning a primary home is cheap — but insuring one on the coast is not. Here is the playbook for buying in the Palmetto State.
Last updated June 2026
Why South Carolina is different
Buying a house in South Carolina, the short version
The federal process is the same everywhere — read the complete guide to buying a house for the eight universal steps — but South Carolina has its own programs, taxes, and closing rules worth knowing before you start.
The picture: South Carolina is moderately affordable but rising fast (a statewide median around $352,000; Charleston is the priciest, Greenville is booming, and Columbia is the most affordable). The state agency, SC Housing, offers below-market loans plus forgivable down payment help.
Two things make South Carolina unusual. Its property tax is among the lowest in the country for a primary home thanks to a special 4% rate you must apply for, and every closing is done by an attorney (required by law). The catch: on the coast, hurricane insurance is a major cost. Use the 50-state hub to compare other states.
The market
What homes cost in South Carolina
Moderately affordable, but rising fast on in-migration.
The statewide median sale price was about $352,000 in spring 2026 (Redfin), up around 2% year over year, with rising inventory and homes taking longer to sell (~76 days) — a more balanced market that’s shifted some leverage back to buyers. Prices vary sharply by metro:
Median prices by area
Charleston (the priciest, coastal) ~$640K · Hilton Head / Bluffton (Beaufort), also expensive · Greenville (Upstate, booming) ~$368K · Columbia (the capital, most affordable) ~$276K · Myrtle Beach (Horry, retiree/coastal) ~$266K · Spartanburg and Rock Hill (Charlotte suburb) — affordable growth markets.
Down payment & rate help
SC Housing programs
You don’t apply directly — you work through a participating lender. A 620–640 credit score and a homebuyer course are the main requirements.
-
01
SC Housing mortgage + forgivable help
The core: a 30-year fixed mortgage (conventional, FHA, VA, or USDA) with optional down payment help as a 0% second loan forgiven over 15 years — stay the full term and it disappears. First-time buyers only in most counties. Credit: 620 (FHA) / 640 (conventional, VA, USDA).
-
02
Palmetto Heroes ($10,000)
SC Housing’s most popular program gives $10,000 in forgivable help plus a low fixed rate to public servants — teachers, nurses, police, firefighters, EMTs, veterans, and active military. It’s first-come, first-served with limited funds and sells out in weeks, so be contract-ready when the annual round opens.
-
03
Palmetto Home Advantage & County First
Not a first-timer? Palmetto Home Advantage gives up to 4% down payment help with no first-time requirement and no price cap. And County First gives a lower rate plus help (up to ~$8,500) in underserved, mostly rural counties.
-
04
Local & federal help
Cities add more: Charleston and Spartanburg each offer up to $20,000. Plus the federal loans — big here given the military presence: VA (0% down), USDA (0% down — much of rural SC qualifies), and FHA (3.5% down).
The SC Housing rules in brief
You’ll generally need a 620–640 credit score, completion of a homebuyer education course, and household income and price under limits (income roughly $95,800–$117,500 for 1–2 people depending on county, with a $450,000 home-price cap on the bond program). The down payment help is forgiven over 15 years. Note: SC Housing’s Mortgage Tax Credit (MCC) — a credit up to $2,000/year — is set to end on June 30, 2026, so ask your lender if it’s still available.
★ Free expert help
Buying in South Carolina? Get matched with a local expert.
From SC Housing’s down payment help to filing for the 4% tax rate and getting a coastal insurance quote, a local pro can walk you through it — and answer the questions this page can’t. Free, with no obligation.
Property taxes
Property taxes in South Carolina: very low (if you apply)
Great news for owner-occupants: South Carolina has some of the lowest property taxes in the country — an effective rate around 0.5% on a primary home. The reason is a special rule: your primary residence is taxed on just 4% of its value (the “Legal Residence” rate), and it’s also exempt from school operating taxes. But a second home or rental is taxed at 6% with no school exemption — which can more than double the bill.
You must apply for the 4% rate — it’s not automatic
This is the single most important thing to do after closing: the 4% primary-residence rate is NOT automatic. You have to apply with the county assessor and show proof you live there (SC driver’s license, car registration, voter registration). Miss it, and you’re taxed at 6% — potentially doubling your bill. Owners 65 and older can also claim a $50,000 homestead exemption on top. And when budgeting for a home, never trust the seller’s old tax bill — it may reflect a different classification than yours will.
Closing & costs
Closing on a home in South Carolina
South Carolina is an attorney-closing state — by law, a licensed SC attorney must run the closing, do the title search, and record the deed (and as the buyer, you usually get to choose the attorney). Title insurance is standard. The transfer tax — the deed recording fee — is low, $1.85 per $500 (0.37%), and paid by the seller (about $1,295 on a $350,000 home). On financing, the 2026 conforming limit is $832,750 and the FHA floor is $541,287 in most counties, rising to $690,000 in the Charleston metro.
South Carolina requires a seller disclosure — now including floods
South Carolina requires the seller of most homes to complete a Residential Property Condition Disclosure Statement before contract — covering the home’s condition, systems, termites (a constant concern here), and, after a recent update, its flood and coastal history (past flooding, flood-zone status, and FEMA claims). The federal lead-paint disclosure applies to pre-1978 homes. Always get your own home inspection — and a termite/wood-infestation inspection — since the form is the seller’s knowledge, not a guarantee.
Insurance & risks
Insuring a South Carolina home
Here’s the trade-off for cheap taxes: South Carolina home insurance is high and rising — averaging around $3,000 a year, and far more on the coast (Myrtle Beach and Charleston can run $5,000–$6,000+). The driver is hurricane and coastal exposure (Hugo in 1989 devastated Charleston; Matthew, Florence, and Helene followed). And Helene in 2024 proved the risk reaches inland too, flooding Greenville and the Upstate. Inland areas like Columbia are much cheaper.
On the coast, watch the hurricane deductible — and the Wind Pool
If you’re buying near the water, plan for a few things. Coastal policies carry a separate hurricane/named-storm deductible — a percentage of your home’s value (often 1–5%) — plus a separate wind/hail deductible; confirm both. Flood is never covered by a standard policy, so add an NFIP policy — and after Helene, consider it even inland. And in the coastal counties (Horry, Georgetown, Charleston, Beaufort, Colleton, Jasper), if the regular market won’t cover wind, the state’s Wind Pool (SC Wind and Hail Underwriting Association) is the backstop. Get quotes before you remove your inspection contingency.
Wherever you buy
The steps that work the same in South Carolina
South Carolina sets the local rules, but these parts of buying are the same everywhere.
Quick answers
Buying a house in South Carolina: common questions
How much money do you need to buy a house in South Carolina?
With a conventional loan you need 3% down, FHA 3.5%, and VA or USDA can be 0%. On a typical ~$352,000 home that’s roughly $10,500–$12,300 down plus closing costs. SC Housing’s help — up to $10,000 through Palmetto Heroes — can cover much of it. See how much you really need →
Does South Carolina have down payment assistance?
Yes. SC Housing offers forgivable down payment help on its main loan (forgiven over 15 years), $10,000 through Palmetto Heroes for public servants, and up to 4% through Palmetto Home Advantage. Charleston and Spartanburg add up to $20,000. See assistance programs →
Why are South Carolina property taxes so low?
For a primary home, they’re among the lowest in the country — because your home is taxed on just 4% of its value and is exempt from school operating taxes. But you must apply for that 4% rate, and second homes are taxed at 6% (much higher).
What is the 4% vs 6% property tax rate?
South Carolina taxes an owner-occupied primary home on 4% of its value (the “Legal Residence” rate), but a second home, rental, or investment property on 6% — with no school-tax exemption. That can more than double the bill, so filing for the 4% rate after you buy is essential.
What credit score do you need in South Carolina?
SC Housing requires a 620 for FHA and 640 for conventional, VA, or USDA. For loans broadly, FHA can go to 580 and USDA/VA typically want 620. A higher score mainly earns a lower rate. Check the score by loan type →
Do I need an attorney to buy a house in South Carolina?
Yes — South Carolina law requires it. A licensed SC attorney must conduct the closing, do the title search, and record the deed. As the buyer you usually get to choose the closing attorney, so budget for attorney fees.
Who pays the transfer tax in South Carolina?
The seller pays the deed recording fee, which is $1.85 per $500 of the price (0.37%) — about $1,295 on a $350,000 home. There’s no separate mortgage recording tax.
Do I need flood or hurricane coverage in South Carolina?
On the coast, likely yes. Coastal policies carry separate hurricane and wind/hail deductibles, and flood is never in a standard policy — add NFIP coverage (and consider it inland too after Helene). In coastal counties, the state Wind Pool covers homes the regular market won’t.
What’s the conforming loan limit in South Carolina?
$832,750 in every county for 2026, with the FHA floor at $541,287 in most of the state. The Charleston metro (Charleston, Berkeley, Dorchester) is higher at $690,000. Loans above the conforming limit are jumbo.
★ Ready for the next step?
Don’t navigate the South Carolina market alone.
Tell us where you are in the process and we’ll connect you with an expert who can help — whether that’s an SC Housing loan, Palmetto Heroes, a USDA or VA 0%-down approval, or fixing your credit. It’s free, with no obligation.
Compare states
Buying in a different state?
The programs, taxes, and closing rules change at the state line. Pick another state, or see all 50.