Average Sale Price and Close Price to List Price Ratio in the Long Beach Island Real Estate Market
The real estate market on Long Beach Island has been showing strong signs of improvement since the beginning of 2016. January 2016 started off on a rather poor note which I attributed mainly to a weak stock market and volatility in the financial markets. As the year progressed, LBI real estate sales showed strength and in both the number of homes sold and the average sales price. While there is data to suggest that there are more homes for sale now than there were in January, this is partly a seasonal trend as sellers in the Long Beach Island real estate market will attempt to capitalize on the increased foot traffic throughout the LBI. An examination of closed Long Beach Island real estate transactions and the average sales price to list price ratio can help to clarify some of these trends, and provide guidance when investing in the Long Beach Island real estate market.
Closed Long Beach Island Real Estate Transactions.
As we can see, January started off with a lower than average sales price of $883,273. May 2016, which at the time of my writing was the last full month of data, showed an average sales price of $969,593. This is obviously a significant increase in the average home price and points to the higher end market showing more activity. What is interesting is that the average closing price to list price ratio on Long Beach Island was essentially unchanged between January and June. The worst ratio, in other words the month that saw the greatest degree of negotiation between a closing price and the listing price, was January at 95.1%. By contrast, the month with the best ratio was May with 95.7%. This is a deviation of just over half a percentage point. Examining these averages can provide guidance for buyers and sellers when attempting to negotiate a transaction in the LBI real estate market.
Long Beach Island Real Estate
When buying, selling, or investing in the Long Beach Island real estate market is extremely important to track data of recent closed Long Beach Island real estate transactions and attempt to derive a trend from the data. An examination of the closing price listing price ratio for a single-family home on Long Beach Island shows a relatively constant deviation between the two numbers. This can be helpful for buyers when determining where to make their initial offer and it can be helpful for sellers when deriving not only their initial listing price, but also how to gauge if someone is trying to “low ball” their property. For more information about the average sale price of single-family homes on Long Beach Island or the closing price listing price ratios highlighted above, contact me and I will be happy to answer any questions you have.
By : Nathan Colmer | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | email@example.com
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