More About the Single Family Property in Ocean City, New Jersey with special emphasis in the "
Northend & Gardens"
With really only two major property categories (single family and condominium) ... with the multi-unit with such low numbers that for most buyers it is not an option, the option of choice has been the condo mainly due to the high numbers of available sale units as well as the wide range of listing price options out there. In other words, one must pay more for a single family property as well as put more money into it in terms of refinement and renovation after the sale. Now it can be a long-term effort in terms of the latter point, but for many buyers the condo looks fast and easy and cheaper ... and in far better condition with little or no financial emphasis required after the sale.
But the real concern relates to buyers who really want the single family, but who aren't willing to spend the money at the time of their first purchase of a shore property in Ocean City, New Jersey. That worked for quite a long time with many owners moving to a single family property as their second or third property purchase. But in the past few years with a slower real estate market, many have found that the property value for condos has not increased as quickly as they wanted. That became the problem ... because although property values were somewhat slowed down in all property categories ... the question that bothered many buyers was: "why were single family sellers holding on to their higher listing prices?
Well, the answer is as varied as the number of selling owners ... but two factors play into the process. Most, or at least many more single family property owners (in Ocean City, NJ) are not investors ... not even renters, but second home owners and they didn't "have to sell" their property right away. Therefore, the higher listing price and market value remained for this property category.
What happened was that the under $600,000 single family market had great results during the past three years. Many buyers were willing to purchase and renovate if they could get in at what they viewed as a reasonable cost at that time. They saw the what they considered to be "the bottom of the market in terms of price. I think they were right. Looking just at the "Gardens," I have said often that "the ocean side of the Gardens Parkway would eventually have single families only above $1 million." Obviously, we are not there as yet ... and there remains many on and off the market below that figure ... but the pickings are slim.
I now see the single family market with more options just a bit higher ... above $600,000 to maybe $700,00-$750,000. They have generally a bit better locations, possibly a rental history, some improvement but need more; and the negotiations to purchase these properties will be interesting.
BUT ... finally, I see those people who make the choice to move into this property category coming out the best when the single family market listing and selling prices begin to rise (as they will) ... but "when" remains the question. dap
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