Long Beach Island Real Estate Market Trends

Real Estate Trends in the LBI NJ Real Estate Market

Long Beach Island New Jersey Real Estate

Long Beach Island or “LBI” as it is also known is a barrier island off the southern coast of New Jersey. LBI is known for its beautiful white sandy beaches, exciting shopping and dining and its safe, family atmosphere. These characteristics have made Long Beach Island a favorite vacation destination for over 200 years and also help to make the Long Beach Island NJ real estate market a very active facet of the local economy. The LBI real estate market did see a decrease in value from the height of the national real estate market in 2006, however even this decrease was minimal as compared to other real estate markets and LBI saw few short sales and foreclosures. Even the direct impact sustained by Hurricane Sandy has not deterred buyers and sellers from completing real estate transactions as both buyers and sellers saw opportunity in the purchase and sale of storm damaged homes. For those looking to buy or sell in the LBI real estate market, it is very important to understand Long Beach Island Real Estate Market Trends and how they will influence future market values on Long Beach Island New Jersey

Hurricane Sandy

Hurricane Sandy was a game changer. The storm and the aftermath will be felt for a long time in the Long Beach Island real estate market and it is important for both buyers and sellers to be aware of the new rules pertaining to flood insurance and the need to raise homes on Long Beach Island. There are a few key points to consider:

Not all homes will need to be raised on Long Beach Island
Flood insurance is still very affordable and the flood insurance rates on Long Beach Island will now be directly tied to the elevation above sea level
Long Beach Island Real Estate Market Trends show us that there is equal interest in storm damaged homes and storms that suffered little to no damage from Hurricane Sandy

Buyers and sellers need to understand how flood insurance will impact the value of their home. Except in extreme circumstances, for example homes with basements, flood insurance is still very affordable. It is important for sellers to understand this so they can relay that information to prospective buyers and it is equally important for buyers to understand this so they do not eliminate homes from their search unnecessarily. Current Long Beach Island Real Estate Market Trends point to a very active real estate market provided buyers and sellers are properly informed.

Pricing and Transaction Terms Carry Great Value in the Long Beach Island NJ Real Estate Market

If you are considering selling your house in the LBI real estate market, it is important to understand the market as a whole and how your house fits into that market. An overpriced house will not sell for its true value. In fact, a house that is overpriced to begin with spends more time on the market , thus incurring additional carrying costs, and sells for less money than a house that is priced correctly from the start. While the LBI real estate market is strong, buyers are typically well educated and banks are still cautious with their lending. Therefore, buyers and sellers must work together to close a transaction at a fair market price.

Terms can matter almost as much as the price in the LBI real estate market. Long Beach Island Real Estate Market Trends show us that cash is still king and a large percentage of buyers in the LBI real estate market are not seeking a mortgage. This is especially true with storm damaged homes on LBI. A cash offer or an offer that is made “as is” can sometimes be the better deal even if it is for less money. As buyers and sellers in the LBI real estate market, it is important to consider all aspects of a deal…not the contract price alone.