August 2024 Market Update
Sales Performance:
August: 26 property sales
Comparison: Sales decreased from July's 36 transactions to 26 in August. This represents a notable dip following July's strong rebound. The decrease may suggest a seasonal slowdown, buyer patience for the fall market, or a more cautious buyer approach in response to market conditions.
Inventory Levels:
August: 158 active listings
Comparison: The active listings in August slightly decreased from July's 169. After three consecutive months of rising inventory, this reduction could imply that the market has started to absorb some of the newfound supply, or it may reflect a temporary lull in new listings. This can be typical in August since many owners may wait to list their homes until after all of their summer rentals have been completed, family is done using the property, and the fun of summer is coming to a close.
Average Sold Price:
August: $2,141,000
Comparison: The average sold price in August increased slightly compared to July's $2,006,514, suggesting a moderate shift back toward higher-end property sales or an uptick in demand for mid-range to high-end properties. This rebound in the average price might indicate a stabilization following the more significant drop from May to June.
Days on Market (CDOM):
August: 62 days
Comparison: The CDOM increased to 62 days in August, up from 39 days in July. This reversal suggests that homes are beginning to take longer to sell again, possibly due to the reduced number of sales and increased inventory earlier in the summer, leading to a more balanced market where buyers have more time to consider their options. The increase in CDOM may also indicate that competitively priced homes are selling more quickly, while 'imperfect' properties—those that are either less desirable, overpriced, or as-is—are lingering on the market longer. During a lull period such as August, the CDOM tends to rise as these homes begin to sit again, reflecting a market adjusting to more selective buyer behavior.
New Listings:
August: 61 new listings
Comparison: The number of new listings in August (61) was slightly above July's 60. This steady flow of new inventory may provide more opportunities for buyers but hasn't significantly impacted the inventory levels, reflecting a balanced pace of new listings entering and leaving the market.
Sales-to-List-Price Ratio:
August: 97.6%
Comparison: The sales-to-list ratio improved slightly to 97.6% in August, up from 96.6% in July. This indicates that while there was a softening in July, August saw homes selling closer to their asking prices again, which may suggest that sellers are pricing more strategically, or there is renewed confidence among buyers. As always, time will tell!
Conclusion: The Long Beach Island market in August 2024 exhibited mixed signals. While sales slowed and days on market increased, average prices remained stable, and homes continued to sell close to their listing prices. This could reflect a market finding its equilibrium after a period of heightened activity in July. Buyers and sellers should remain vigilant, as the ongoing changes may offer new opportunities or challenges depending on their specific market position. With September already off to a busy start, the outlook for the coming months remains positive, suggesting continued market activity and opportunities for both buyers and sellers as we move into the fall season. Happy house hunting!
Source: Bright MLS ® 2024. Single-family, Multi-family, and Land sale statistics for all of LBI
