LBI Real Estate Market Sales and Months of Inventory May 2021

High Tides Digital Marketing
Apr 30, 2021
2 min read

Long Beach Island Real Estate Market Sales and Months of Inventory

Long Beach Island Real Estate Market Trends

The LBI real estate market has been seeing tremendous activity with fierce competition among buyers. Over the past year, and as a direct result of COVID, the number of homes for sale on Long Beach Island has been in a steady decline. At present, there are only about 75-100 homes for sale in the LBI real estate market! Looking at the months of supply of inventory, we see a lack of supply show, though, and the number of sales each month has followed suit with less inventory to meet the demand of buyers. Understanding LBI real estate market sales and months of inventory is a useful statistic to evaluate the health of the local sales market.

LBI Real Estate Market Sales and Months of Inventory May 2021

The chart below shows the months of inventory and the number of sales each month on Long Beach Island over the past 12 months.

Month	Months Of Inventory	Sales, Number of
May-20	14	44
Jun-20	8	70
Jul-20	6	96
Aug-20	7	80
Sep-20	5	127
Oct-20	4	132
Nov-20	4	111
Dec-20	4	98
Jan-21	5	63
Feb-21	5	60
Mar-21	2	98
Apr-21	3	60

There are a few apparent trends. The months of supply had fallen each month until April, when there was a slight increase. This is not a surprise, as my weekly sales updates have shown some degree of balance returning between the number of new listings and the number of pending sales. It will be interesting to see if this trend is temporary or if it is a sign of things starting to slow down a little. As a reminder, a buyer's market shows around 10-12 months of inventory, a balanced market around 6 and a seller's market around 1-3. We are clearly in a seller market on Long Beach Island. The number of sales has also been falling, but this is not due to a lack of demand. Instead, with fewer homes to sell in the LBI real estate market, it is a natural and expected assumption that home sales will fall as well.

Long Beach Island Real Estate Market Sales and Months of Inventory

While the data tells us this is a seller's market (and it is), there are many opportunities for buyers as well. The low interest rates go a long way to incentivize buyers in the LBI real estate market. With some patience and a clear understanding of what determines value on Long Beach Island, a buyer can find a good home at a fair price. LBI Real Estate Market Sales and Months of Inventory show us some trends to follow in the future and encourage us to keep an eye out for a balance or slowdown in the market. If you have any questions about buying, selling or investing in the LBI real estate market, please do not hesitate to contact me.