September 2024 LBI Market Update
Sales Performance:
September: 43 property sales
August: 26 property sales
Comparison:
There was a significant rebound in September with 43 sales, up from August’s 26, showing an increase of over 65% month-over-month. This could indicate that buyers who were cautious in August have re-entered the market with more confidence, or it could reflect the typical uptick in activity after the summer lull, as more buyers finalize deals before the fall season.
Inventory Levels:
September: 169 active listings
August: 158 active listings
Comparison:
Inventory levels in September increased slightly compared to August, moving back up to 169 active listings. This reversal in the trend from August suggests a renewed interest from sellers who may be looking to take advantage of the active fall market. The rise in new listings reflects the typical post-summer pattern where homeowners, who held off listing during the summer, return to the market. Some of the reasons for holding off in the summer include waiting on the completion of summer leases, families enjoying their last summer in the property, strategic marketing purposes, and more.
Average Sold Price:
September: $2,410,856
August: $2,141,000
Comparison:
The average sold price jumped from $2,141,000 in August to over $2.4 million in September, marking a significant 12.5% increase month-over-month. This indicates a potential shift toward higher-end property sales, with more luxury or larger homes entering the market. It could also reflect increased demand for mid- to high-end properties, continuing the trend seen in August.
Days on Market (CDOM):
September: 56 days
August: 62 days
Comparison:
The median CDOM in September decreased to 56 days, down from 62 days in August. This decrease suggests that homes are moving faster, possibly due to the uptick in sales and buyer demand. It could also be indicative of more strategically priced properties that are attracting quicker offers compared to August.
New Listings:
September: 77 new listings
August: 61 new listings
Comparison:
The number of new listings increased to 77 in September, compared to 61 in August. This increase aligns with the post-summer trend where more sellers return to the market. The boost in new listings could provide more options for buyers and contribute to the ongoing market activity. The injection of more listings is crucial in the struggle to rebalance the market on LBI which still is feeling effects from COVID (specifically inventory-wise).
Sales-to-List-Price Ratio:
September: 96.1%
August: 97.6%
Comparison:
The sales-to-list-price ratio in September declined slightly to 96.1%, down from 97.6% in August. This suggests that buyers may be negotiating slightly better deals or that sellers have adjusted their expectations following the slower summer period. However, this remains a healthy ratio, indicating that homes are still selling close to their asking prices overall.
Conclusion:
In September, the Long Beach Island market showed a strong resurgence compared to August, with sales rising sharply and the average sale price increasing. While the sales-to-list-price ratio dipped slightly, the overall market activity remains healthy, with properties moving faster and more new listings entering the market. The increase in inventory and continued demand for high-end properties point to a competitive fall season, offering opportunities for both buyers and sellers as the market continues to balance itself. It will be interesting to see how buyers and sellers react as we continue to see changes in the overall market, interest rates, and of course the election.
