We realtors can talk all we want about our local real estate market, but there’s nothing like good, hard numbers to bring out the true picture. So here are the numbers for the Cape May County, New Jersey market since 2005. These statistics are for properties sold through our local Multiple Listing Service and don’t include private sales. They also don’t include Ocean City, which belongs to the Atlantic County Association of Realtors and MLS.
In 2005, there were 3,628 properties sold. The asking price total was $2.01 billion and they got $1.92 billion, meaning sellers got 95.5% of asking price on average. The average property was listed at $555,000 and it sold for $530,000. (All prices are rounded off).
In 2006, there were 2,386 properties sold, a volume drop of 34% from 2005. The total asking price was $1.43 billion and sellers received $1.34 billion, or about 94% of asking price. The average asking price was $601,000 and the selling price averaged $563,000. Did you just notice that the 2006 price average was up 6% over 2005?
In 2007, there were 2,279 properties sold, a slight drop of 4% from 2006. The asking price total was $1.33 billion and sellers received $1.28 billion. The average asking price was $583,000 and sellers averaged $539,000. So even in 2007, prices were still higher than in the benchmark year of 2005. Of course, sales were off 37% in volume in 2007 from 2005.
In 2008, there were 1,901 properties sold, a drop of 16.5% from the previous year. The total asking price was $1.07 billion and they got $978 million, or about 91% of asking price. The average property listed at $564,000 and sold for $514,000, which is still in the ballpark of 2005.
In 2009, there were 1,879 properties sold, a 48% drop from the gold rush era of 2005, but still close to 2008 totals. But here’s where the numbers dive. The total asking price was $889 million and sellers received $813 million. The average listing price of $473,000 went for $432,000. Selling prices dropped 16% from 2008. That’s substantial. Hopefully, the market found the bottom and will now level off. Short sales were a big part of 2009, driving down price averages.
Here at Jewell Real Estate Agency, our figures for sales and commissions from 2001 to 2009 tell our story. Our most sales, in order, were 2002, 2004, 2005 and 2003. Those four years had double – and sometimes triple – the sales volume of 2001, and 2006 through 2009. Our best year of gross commissions was 2005 (no surprise there), followed by 2004, 2002, and 2003. Again, 2001 (our first year in business, so it might not be a fair comparison) and 2006 through 2009 were the dog years.
We do expect 2010 to be our best year since 2005. In January, we’ve already had 25% as many transactions closing as in all of 2009. And the phones are ringing and the offers are coming in. Yeee-haaa!
– Mountain Man and City Girl
The blogsite of Jewell Real Estate Agency, Wildwood Crest, NJ