CC_Header_HRMarket Highlights

  • High-end $2,000,000+ sales in the first half of 2015 continue to perform at near record levels with 38 sales compared to 39 in the first half of 2014.
  • Inventories are high, nearly record levels, especially at the higher end of the price range.
  • Pent-up demand and a strong stock market are fueling the market, but excess inventory means sellers must compete for buyers.
  • Barnstable (mostly led by Osterville) is the sales leader for the first half of 2015. Last year Chatham was hot, but this year has dropped back by 50% to average levels of sales.

 

Active Listings and Sales, $2,000,000+, First Half, 2000-2015

On Cape Cod, Massachusetts, at the end of June 2015 the inventory of high-end listings was close to record levels with 252 listings compared to an all time high of 271 at the same time in 2011. Typically the listing inventory grows through the first half of the year and then declines in the fourth quarter as sales are closed and properties are taken off the market. Last year there were 248 at the end of the second quarter, 249 at the end of the third quarter, 188 at the end of 2014, and 218 at the end of the first quarter of 2015. Sixty percent of high-end listings are in the $2-3,000,000 range, 20% are $3-5,000,000, and the remaining 20% are at or above $5,000,000. About 5% of these listings are at or above $10,000,000.

The high-end market on Cape Cod continues to perform at near record levels with 38 sales in the first half of 2015 compared to 39 sales at the same time last year. The previous record for the first half was set in 2006 with 44 sales. Post-bubble sales dipped to 17 in 2009 and have been steadily improving with the biggest improvement this year.

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Highest And Median Sale, $2,000,000+, First Half, 2000-2015

According to MLS, the top sale in the first half was 122 Pinquickset Cove in Cotuit, selling for $6,400,000. This Scandinavian-style 7,928 sq. ft. residence has a private 7.6 acre site with limited water views. Overbuilt for the site, this property illustrates the value of patience in real estate, 2,423 days to offer, and the challenge of finding the unique buyer for a unique property.

The median value for high-end sales in the first half 2015 was $2,775,000. The high-end market on Cape Cod is predominately in the $2-$3,000,000 range. Of the 38 sales, 21 in the $2-$3,000,000 range, 11 in the $3-$4,000,000 range, 4 in the $4-5,000,000 range, 2 sales in the $5-$7,000,000 range, and no sales above $10,000,000.

Days On Market, Sales, $2,000,000+, First Half, 2000-2015

Days on market for properties sold during the first half 2015 were down to 355 days compared to 391 days in 2014 and 430 days in 2013. Turnover has been steadily improving since 2010 when the average sale took 589 days. In the early 2000s high-end properties sold in less than 200 days. Despite the high inventory, properties that are selling are selling quicker. Demand is strong, but selective.

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Sales by Town, $2,000,000+, First Half, 2000-2015

Starting around 2002 the high-end market on Cape Cod broadened as the perennial top markets were perceived as too expensive and buyers bid up the prices of special properties in other towns. For the first half of 2015, there were high-end sales in 13 of the 15towns. This compares favorably with only 5 towns at the bottom of the market in 2010. The 2015 towns with high-end sales include: Barnstable (12, 5 in Osterville), Brewster (1), Chatham (5), Dennis (1), Falmouth (5), Harwich Port (2), Mashpee (2), Orleans (3), Provincetown (1), Sandwich (1), Truro (2), Wellfleet (2), and Yarmouth (1).

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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.