When Will Prices Drop in the Long Beach Island Real Estate Market?
Click here to search all homes for sale in the Long Beach Island NJ real estate market
When Will The LBI Real Estate Market Crash? 
When Will The LBI Real Estate Market Crash? 
When Will The LBI Real Estate Market Crash?
Long Beach Island Real Estate
The rapid increase in home prices in the LBI real estate market, largely fueled by COVID, has led many buyers and sellers to ask when the LBI real estate market crash will crash. Unfortunately, trying to time the top or bottom of a market is almost impossible, so the best we can do is look at the current data and past trends to predict home prices‘ trajectory. While COVID is certainly an underlying cause of the price increases, buyers need to understand that the LBI real estate market has almost always been strong and stable. 2019, the year before COVID, was one of the strongest years in the LBI sales market. While it is true that at some point, prices will stabilize and could potentially go down, it is doubtful that such action is in the near future.
By : Nathan Colmer | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com
Click here to search all homes for sale in the Long Beach Island NJ real estate market
When Will The LBI Real Estate Market Crash?
One of the best ways to predict the future of a real estate market is by looking at how many months of supply exist for buyers. A buyer’s market usually sees about 7-10 months of inventory. A balanced market usually sees around 5-6 months, and a seller’s market is generally less than five months of inventory. Currently, the LBI real estate market has about 2-3 months of inventory, so we are clearly in a seller’s market. So long as that imbalance in the inventory levels persists, prices really only have one direction to move. Before home prices fall (or crash), there are several months of inventory to be replenished-something that is hard to see happening with demand being so high. As it stands, the imbalance between supply and demand is likely to keep home prices on Long Beach Island high.
When Will Prices Drop in the Long Beach Island Real Estate Market?
The simple truth is, nobody knows! Right now, the data points to the market rising in the near future and then leveling off. The forces at work right now seem to all but ensure this, barring some unforeseen occurrence. When looking to buy a home in the LBI real estate market, it is best to understand what determines value. Above all else, knowing the basics of a home on Long Beach Island and knowing how these impact prices will help a buyer to make an intelligent and informed decision. If you have any questions about buying, selling or investing in the LBI real estate market, please do not hesitate to contact me.
By : Nathan Colmer |LBI Real Estate Agent | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com
Click here to search all homes for sale in the Long Beach Island NJ real estate market
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