Fact sheet for Market Spring 2008
All statistics based on information provided from Cape and Islands Board of Realtors
Barnstable County (Cape wide) through February 29, 2008.
Current # of active listings: 5879
Current ‘rate of absorption’ (number of properties being sold per month) 282
Current inventory level (at present rate of sales-how long it will take
to sell all properties currently for sale) 20 months
Historically it is considered a Sellers Market if inventory level is 3 months or less, and a Buyers Market if 6 months or more. At present we have a very strong Buyers market with 20 months of inventory liquidate if NO NEW LISTINGS COME ON MARKET!
Some positive news:
- Reduced interest rates on conventional mortgages
- Legitimate government supported mortgages for Buyers with little or no money to put down
- “Jumbo mortgages” limit will be raised to the high 400’s (from current $417,000)—critical to properties in the $500,000+ price range.
- Several very recent press articles (Boston Globe Sunday Magazine of 3/16/2008 have an upbeat perspective on the Cape Market, and Money Magazine has a very positive article on second home purchases) may indicate that our market is at a turning point. www.boston.com/bostonglobe/magazine/articles/2008/03/16/the_cape_is_calling/
Talking points:
Is our market at the bottom? I wish I could predict that accurately, but unlike the early 1990’s, the prices have fallen most dramatically on the lowest end of the market, and the houses in the most disrepair, the most out of date or in foreclosure constituting the bulk of that inventory. It is a good time to be a Buyer with imagination and energy (and an excellent credit rating). It is not a bad time to be a Seller if updates and regular maintenance items have been tended to. That said, price is King, so pricing it to reflect its condition and location will allow the property to be sold. Many agents tell me (and I have seen it myself), that their Buyers have high expectations for a fair market price, and if the Buyers don’t find it they will continue to shop. If they do find that good ‘fit’ they will move forward to purchase, and many Buyers who have remained on the sidelines delaying for price adjustments on those ‘great’ houses are disappointed when the property is sold.
CALL or EMAIL us for the market statistics we have used in this report.
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