LBI Real Estate Sales 2021-2022 Year Over Year Update

High Tides Digital Marketing
Sep 19, 2022
3 min read

How Is The Long Beach Island Real Estate Market This Year Compared to Last Year

Long Beach Island Real Estate

There is no doubt that both sellers and buyers in the LBI NJ real estate market are facing a new environment. Over the past two years, the Long Beach Island and national real estate market have been on fire with bidding wars and a "name your price" mentality for sellers. Buyers have benefitted from incredibly low interest rates and enjoyed almost immediate equity appreciation. While the market still favors sellers, there are new opportunities for buyers. We are seeing more "normal" market conditions, such as home inspections and mortgage contingencies, as we enter a more balanced real estate market on Long Beach Island. That leaves us asking, how is the LBI real estate market doing this year compared to last year?

LBI Real Estate Sales 2021-2022 Year Over Year Update

The chart below gives us a broad overview of the real estate market on Long Beach Island as a whole. While a bit generic, we can look at the number of closed sales, the average sales price, and the number of homes for sale in the LBI real estate market. Below are single family homes sales tracking each of these criteria for January 1st to September 1st of their respective year:

Month	Active Listings	Number of Sales	Average Sales Price
Jan-21	232	47	$1,492,250
Feb-21	223	44	$1,496,698
Mar-21	199	72	$1,455,042
Apr-21	198	47	$1,414,553
May-21	191	48	$1,629,368
Jun-21	193	42	$1,892,510
Jul-21	210	33	$1,409,379
Aug-21	257	23	$1,878,290
Jan-22	180	30	$1,759,562
Feb-22	177	25	$1,547,376
Mar-22	179	33	$1,701,024
Apr-22	178	32	$1,921,969
May-22	191	32	$1,777,719
Jun-22	186	43	$2,058,625
Jul-22	178	19	$2,238,075
Aug-22	158	29	$1,902,462

The data above shows some interesting trends. First and foremost, there are fewer homes for sale in the LBI real estate market now than there were a year ago. There are fewer sales as well, but that makes sense since there are fewer houses to pick from. The overall rate of absorption has dropped, meaning that homes are taking longer to sell. That too makes sense as we more towards a more balanced and sensical LBI real estate market. The average sales price has jumped quite a bit over the last year. While it was slightly lower in August than the previous months, The August sales price was higher than any in 2021. With inventory so low and demand still being high, this makes a strong case for prices to hold or perhaps even rise.

How Is The Long Beach Island Real Estate Market This Year Compared to Last Year

Undoubtedly, this is a tricky market for buyers and sellers in the LBI real estate to navigate. Demand is high, which favors sellers, but sellers have to be careful not to push a price too far. Buyers are being far more analytical and have realized that the competition has lessened. Buyers, too, face a challange with higher interest rates, higher prices, and low inventory, but their position has strengthed. Offers can now contain more traditional protections like inspections and appraisals, and bidding wars have lessened in their intensity. The market on Long Beach Island changes all the time, and we have to pay attention to these changes to decide how to proceed responsibly. For more information about buying, selling or investing in the Long Beach Island real estate market please do not hesitate to contact me.