Market Highlights
- 2015 was a repeat of last year’s record for the high-end $2,000,000+ market with 93 sales vs 69 in 2013 and the previous record of 92 sales in 2012.
- Inventories grew to record levels with 232 listings at year-end vs 188 at the end of 2014.
- Barnstable is the high-end sales leader in 2015 with 26 sales, 12 in Osterville. Chatham followed with 18 sales.
- Pent-up demand has been fueling the market and turmoil in global stock markets makes U.S. real estate an increasingly attractive investment. Turnkey condition and value pricing are critical.
Active Listings and Sales, $2,000,000+, Year End, 2000-2015On Cape Cod, Massachusetts, at the end of 2015 the inventory of high-end listings expanded with 232 listings compared to 188 in 2014 and the previous record level of 215 listings at the end of 2013. 127 (55%) of these listings were in the $2-3,000,000 range, 64 (28%) in the $3-5,000,000 range, 27 (12%) at $5-10,000,000 and 14 (6%) at $10,000,000 and above. 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. In 2015 there were 218 at the end of the first quarter, 252 at the end of the second quarter, and 283 at the end of the third quarter. High-end sales boomed to record levels in 2012, declined by 20% in 2013, and roared back in 2014. The first two quarters of 2015 were on track, but faltered in the third quarter. Recovering in the 4th quarter, 2015 ended with 93 sales repeating last year’s record. The previous record was 92 sales at the end of 2012 and the recent low was 41 sales in 2009. Highest And Median Sale, $2,000,000+, Year End, 2000-2015According to MLS, the top sale in the 2015 was 96 Tilipi Run in Chatham, for $8,200,000. The 2008, 9,315 sq.ft., residence is sited on 1.9ac among exclusive estate properties with Atlantic water views and an association beach. This sale illustrates the adage: “Good things come to he who waits.” Listed for 2,604 days with a starting price of $8,495,000, then raised to $8,695,000, the owner of this unique property was able to wait for the unique buyer and staging the property likely revealed possibilities unrealized by vast unfurnished spaces. The median value for high-end sales in 2015 was $3,000,000. The high-end market on Cape Cod is predominately in the $2-$3,000,000 range. Of the 93 sales, 46 (49%) were in the $2-$3,000,000 range, 25 (26%) were $3-$4,000,000, 13 (14%) were $4-5,000,000, and 9 (11%) in the $5-$6,000,000 range. There were no sales above $9,000,000. Days On Market, Sales, $2,000,000+, Year End, 2000-2015Days on market for high-end properties sold during 2015 were down slightly to 378 days compared to 386 days in 2014 and 324 days in 2013. Properties are taking significantly longer to sell since 2010, but the range is wide with some properties selling in days and others taking years. Inventories are growing particularly at the higher end of the market with 2.8 years of inventory at the $2-3,000,000 price range and 4.6 years at $5,000,000+. While pricing is always key, turnkey properties continue to be favored. Sales by Town, $2,000,000+, Year End, 2000-2015 |
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In 2015, there were high-end sales in 14 of the 15 Cape Cod towns. These towns include: Barnstable (26, 12 in Osterville), Bourne (1), Brewster (1), Chatham (18), Dennis (4), Falmouth (10), Harwich (6), Mashpee (6), Orleans (10), Provincetown (3), Sandwich (1), Truro (4), Wellfleet (2), and Yarmouth (1). Although the total sales were the same as last year, there were notable changes in some towns: Barnstable up 53%, Chatham down 22%, Falmouth down 41%, and Orleans up 33%.
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.
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