The Jersey Shore by Karl Hess: June 2017

Housing Market Helps Premium Home Sales Soar in Ocean County

Nice Homes in Ocean County

We previously reported how a shortage of inventory in the starter and trade-up home markets is driving prices up and causing bidding wars, creating a true seller’s market. At the same time, in the premium home market, an over-abundance of inventory has started to see prices come down and put buyers in the driver’s seat, creating the beginning of a buyer’s market.

Year to Date Changes in Sold Homes Over $500,000 in Selected Ocean County Towns

  • Point Pleasant – Up 29.2%
  • Brick Twp - Up 4.5%
  • Toms River - Up 73.9%
  • Berkeley Twp (Bayville) – Down 50%
  • Lacey Twp (Lanoka Harbor/Forked River – Down 5%
  • Stafford Twp (Manahawkin) - Up 80.0%

One of the contributing factors for not having even more robust premium home sales in Ocean County is the general lack of inventory. In other words, if you're thinking of selling your Ocean County home, NOW is the time. 

Whats My Ocean County Home Worth?

Last week, the National Association of Realtors released their Existing Home Sales Report which shed some additional light on the impact of inventory levels on sales in each price range.

The chart below shows the year-over-year difference in sales at each price range.

 

The under $100K range has shown declines in recent years due to the shortage of distressed homes available for sale (just 5% of sales this past month, compared to 35% in January 2012). Sales in the next two price ranges are no doubt being hindered by low inventory as buyers compete for the same home.

 Search for homes in Ocean County

NAR’s Chief Economist, Lawrence Yun, explained: "Those able to close on a home last month are probably feeling both happy and relieved. Listings in the affordable price range are scarce, homes are coming off the market at an extremely fast pace and the prevalence of multiple offers in some markets are pushing prices higher."

The biggest surprise? This is the first time in years where the $1M and up price range had the highest jump in sales when compared to last year and to all other price ranges (29.1%)! The two price ranges right underneath the $1M range were a close second and third. As the price went up, so did the sales!

With additional inventory available in the higher price ranges, and the economy improving, many luxury buyers are finding it easier to find their dream homes. Yun commented,

“The job market in most of the country is healthy and the recent downward trend in mortgage rates continues to keep buyer interest at a robust level.”

Bottom Line

If you are one of the many homeowners who is looking to sell your starter or trade up home and move up to a luxury home, now is the time!

As always, thank you for your time and feel free to get in touch if you have any questions. Karl Hess, Keller Williams Shore Properties - #1 Real Estate Office in Ocean County

 

 609-553-7926

Find Your Dream Home on The Jersey Shore in Ocean County!

www.TheJerseyShoreHomeFinder.com

 

 Licensed in New Jersey.  Keller Williams Shore Properties 

1400 Hooper Ave. Toms River NJ 08753 Phone: 732-797-9001

 

 

 

Comment balloon 0 commentsKarl Hess • June 29 2017 09:44PM
Housing Market Helps Premium Home Sales Soar in Ocean County
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