So what’s really happening with Cape homes for sale, i.e., the local real estate market? It started to happen last summer and has tuned into a potential game-changer for buyers and sellers alike. Or perhaps it’s just the market cycle starting all over again resulting from the bubble – that’s the easy answer.
All the reporting and national econometric firms have pointed out record sales volumes, increasing prices for single-family homes and even pending sales that point to a sustainable housing recovery coming off 2012. With few exceptions all are on-board with a recovery. With less distressed properties coming on market, builders are back to work and new construction is seeing its best market since 2009. Interest rates remain relatively low, so what’s not to like?
There’s a Liza Minnelli hit song “It’s A Quiet Thing.” That’s what I see happening in the market right now. Read quiet as inventory, or lack thereof. It’s hidden amongst all the other statistics. I have at least a dozen clients I simply can’t find property for and when I do it is often under agreement before I can get them there. I have even had multiple offers on listings within weeks of being on market. A nice problem to have but I’m asking myself – where are the sellers? The market is turning in your favor right now. Even though the Cape’s supply appears a bit higher than off Cape, it’s the quality or saleable properties that are in short supply. The most demand is in the price range from $250-$600,000.
Let’s take a look at the Cape year over year January 2012 – January 2013
- Sales of single-family homes – Up 29%, 3709 vs. 4786
- Prices - Up 3.5% from negative 1.9% in 2011, $430,300 to $445,500
- Inventory – Down 19% from same period last year
- Supply – At the end of January 2012 there was 12.9 months supply at the current rate of sale. At the end ofJanuary 2013, there was 10.6 months supply at the current rate of sale.
- Days on Market – The average days on market for single family homes decreased from 228 days at the end of January 2012 to 209 days at the end of January 2013.
- Pending - The number of single-family homes put under agreement in January of 2013 was up 10% over the same time the previous year from 249 in January 2012 to 275 in January 2013.
(*Based on information provided and compiled by Cape Cod & The Islands MLS covering the periods January 1, 2012 through January 31, 2013)
I suspect many sellers are thinking they can wait out the rising market and sell for more money as they rebuild lost equity or simply recover from being underwater with their mortgage. If this is you, please give me a call to discuss your situation. Time value of money and future market realties may not be as favorable and credit may not be as easy to obtain for buyers. Timing is everything in life and sacrosanct in real estate.
Cape real estate is doing fine and there are homes for sale. The question is one of price/value. If you as a seller have the home, we can help you sell it quickly in this market.
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