LANDMARKS REAL ESTATE
Second Quarter Sales Commentary
Sean D. Federowicz, M.B.A.
Broker, Owner, Realtor
Happy summer from the Vineyard! Apologies for the delay in disseminating our normal and customary quarterly missive. It has been a busy and chaotic start to the summer season, especially since the spring market was truncated by Mother Nature this year. And we have also recently launched our new web site (www.mvlandmarks.com) that we hope continues to deliver meaningful information and valuable insight into Martha’s Vineyard real estate.
With the summer buying season now at hand, please allow us to share some market commentary concerning the market activity thus far on-Island. The positive and improving sentiment toward Island real estate continues with a measured but consistent number of transactions being consummated. We are observing an increase in search activity by prospective buyers demonstrating more intent and action this season comparative to last year. Median and Average sales prices have improved year over year too. And while we continue to carry an above average level of inventory, it is still the better priced, better conditioned, ideally located and more unique properties that continue to generate interest and garner bids.
Transaction volume is increasing on-Island, and now that the weather has vastly improved since late spring, the composition of our inventory is evolving quickly as well with new listings arriving weekly. Prices have remained relatively consistent within each market segment and the low interest rate mortgage climate still remains available. But noticeably different this season is that consumer confidence has markedly improved toward discretionary purchases like vacation, second-home acquisitions. All told, Martha’s Vineyard still offers opportunity and relative value in comparison to many other like-kind markets, but choice of inventory and attractive finaincing options may become less available in the not too distant future to those who wait.
Here are the more meaningful statistics to consider through Second Quarter 2014:
Inventory has crept higher from the early spring to reflect 721 total units as of this writing. The total value of listed real estate on-Island equates to $1.5B.
Thus far in 2014, a total of 174 residential properties were sold among the Island towns: Edgartown-55, Oak Bluffs-57, Vineyard Haven-31, West Tisbury-15, Chilmark-13, and Aquinnah-3.
Year-to-date median sale prices on-Island have increased 5% from $550,000 to $578,000 along with improved average sale prices also increasing by 7.3% from $899,000 to $965,000 compared to the same period in 2013.
Year-to-date sales have captured 93.3% of their final asking prices and garnered almost 104% of their respective tax assessments. The strength of this correlation remains subject to factors such as condition, amenity, and uniqueness of the subject properties sold.
As an independent franchise that is associated with a national brand, we are often introduced to proprietary market analysis. We’ve learned that, without question, the northeast as a region has fared better than many areas of the country. And resort-vacation-destination markets like Martha’s Vineyard have continued to enjoy consistent attention and acquisition.
Please visit www.mvlandmarks.com regularly to keep abreast of all Island properties for sale. And as always, please do not hesitate to contact us with your questions and curiosities concerning properties of interest, or Martha’s Vineyard real estate in general.