Market Highlights
- The Cape Cod market for high-end $2,000,000+ properties was strong in 2013, but off from the record performance of 2012, 69 sales vs 96 in 2012, 41 in 2009, and 88 in 2007.
- 2013 top sale by LandVest of Fairview, a 7 acre compound on Little Harbor in Woods Hole, for $11,750,000.
- Inventories are high and represent 3 years of absorption and more than 4 years at the $5,000,000+ level.
Active Listings and Sales, $2,000,000+, Year End, 2000-2013
On Cape Cod, the inventory of high-end listings is at record levels with 215 properties at year-end compared to 192 in 2012 and 191 in 2011. Typically the listing inventory grows through the first three quarters and then declines in the fourth quarter as sales are closed and properties are taken off the market. This year there were 258 active listings at the end of the second quarter and 251 listings at the end of the third quarter. At the highest-end there are 36 listings at $5,000,000+, 21 listings $8,000,000+, and 13 listings $10,000,000+
In 2012 high-end sales boomed to record levels, but could not be sustained in 2013, falling to 69 sales from 96. Compared to past years, current performance is strong. At year end 2011 there were 50 sales and 55 sales in 2010. The previous peak level of sales at year-end was 88 in 2007. The post-bubble low was 41 sales in 2009. Although sales are at relatively high levels, inventories are much higher leading to an absorption rate of about 3 years and more than 4 years at the $5,000,000+ level.
Highest And Median Sale, $2,000,000+, Year End, 2000-2013
According to MLS, LandVest had the top sale of $11.75 million for Fairview, a spectacular seven acre multiple residence compound on Little Harbor in Woods Hole.
The median value for high-end sales in 2013 was $2.65 million, about on par with median sale prices over the past decade. The high-end market on Cape Cod is predominately in the $2-$3 million range. During 2013, there were 69 sales at $2.0 million+. Of these sales 38 of 69 (55%) were between $2 and $3 million and 55 of 69 (80%) were below $4 million. At the highest-end there were 8 sales at $5,000,000+, 4 sales at $8,000,000+, and 1 sale above $10,000,000.
Days On Market, Sales, $2,000,000+, Year End, 2000-2013
Days on market for high-end properties sold during 2013 increased to 324 days compared to 319 in 2012 and a record level of 473 days in 2011. For 2000-2013, the average days on market ranged from 90 to 473 days, generally increasing over time with a significant jump in 2010 consistent with the growing inventory. Properties in turnkey condition with rational pricing are favored and can sell quickly, while others languish resulting in days on market for individual properties ranging from a few weeks to years.
Sales by Town, $2,000,000+, Year End, 2000-2013
Starting around 2002 the high-end market on Cape Cod broadened as the perennial top markets were perceived as being too expensive and as buyers bid up the prices of special properties in other towns. Cape Cod towns with high-end sales in 2013 include Barnstable (25, 12 in Osterville), Chatham (13), Falmouth (10), Dennis (4), Mashpee (4), Provincetown (4), Harwich (3), Bourne (2), and Orleans (2). Of the 8 top sales at $5,000,000+, 3 were in Osterville, 2 in Falmouth, and 1 each in Chatham, East Dennis, and Orleans.
The LandVest High-End Market Watch is a periodic review of select high-end markets in Maine, Massachusetts, New Hampshire, Vermont and the Adirondacks. Market data are collected from Multiple Listing Services and do not include private listings. LandVest makes no representation as to the accuracy of the data and therefore is not responsible for any actions taken as a result of use of or reliance on this information.
For additional information about LandVest’s brokerage, real estate consulting, and appraisal services,
please contact:
Stewart Young | (syoung@landvest.com) | 617-359-8930
or click here to view Stewart’s current Real Estate listings.
