Homes for Sale Little Egg Harbor, NJ Market Report June 2014
The Little Egg Harbor Township Real Estate Market is showing significant improvement over last year. June saw a 3.8% increase in new listings coming on the market over June of 2013. 83 new single family homes where introduced to the market.
The number of Little Egg Harbor NJ homes for sale in the 12 month period ending June is up 6.5% over the previous 12 month period.
Sold properties in June where also up 48.5% with 49 sold single family properties. This brings the current total of sold properties for the 12 month period to 351. A 25.4% increase over the previous 12 month period.
Combined, the total number of newly listed Little Egg Harbor Homes for Sale and total inventory versus the number of properties being sold has allowed the months supply of inventory to decrease to 12.9 months a 23.2% drop from last year. This still denotes an extremely strong Buyers Market.
Average Days on Market for June is up 20.8% to just under 4 months months, down 17.4% for the running 12 month period to 109 days.
Days on Market only reflects the properties that have sold and not an average of the total inventory that is currently available. There are several factors contributing to this drop. More sellers realize that the market is really soft and are pricing their homes agressively in order to get them sold. Many are relocating out of state where housing costs are lower.
Another factor that is contributing to the decline in days on market of Little Egg Harbor Homes for Sale is that there are very few Short Sale properties. Additionally, many of the storm damaged properties are selling for cash which affords a very fast closing.
Median Sale Prices for this June are up 45.8% from June 2013. The 12 month Median Sale Price is down 15.1%. It's important to realize that the Median Sale prices are being dramatically affected by the sale of storm damaged properties that are being sold in "As Is" condition at substantially discounted prices. Median Sale prices are slowly gaining traction as properties are being repaired and sell at higher prices. The Little Egg Harbor Market and may continue to experience a gradual increase in prices. May's 12 month median sale price was $125,000 so there seems to be an increase taking place.
40% of the properties for sale are waterfront properties in Little Egg Harbor. There continue to be fewer and fewer distressed properties coming on the market and thus the median prices will continue to rise.
Mortgage Rates also continue to be reasonable and at this writing have reached the 4% to 4.5% mark. As can be seen in the below graph, we continue to see Median Sale Prices float in a sideways channel as a result of storm damaged properties coming to market.
With supply remaining high, demand light, and increasing interest rates, the Median Sale prices will have difficulty rising quickly. When interest rates increase, buyers qualify for lower mortgages.
Real Estate Trends - Homes for Sale Little Egg Harbor, NJ
By Bill Wagner
If you are considering the sale or purchase of a home give us a call to benefit from our 35+ years of experience.