7/29/2019 July 2013 Nantucket Real Estate Market Update

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Data source: LINK Nantucket, Nantucket Listing Service

The Nantucket Real Estate Report

Hot, cold,dry, rainy,foggyand clearweretheDaysOOurLivesonNantucket this July. But, when itcame topropertsales,themarketcontinuedtobewarm,sunnyandbright....

With 31 closings, 22 accepted offersand 43 price adjustmentJulywasburstingwithactivity,eventhoughdollarvolumedurinthemonthwassigniCicantly lowerthanwhatwas experiencediJune. Intotal,over$36.5Minreal estatechangedhands,anothe28properties,totalingalmost$49.4M,wentunderagreementanover$88.8Minpropertieshadacceptedofferslastmonth.

While Julys salesvolumemay have fallen 126%short of Junerecordbreakingvolumeand6%belowJuly2012svolume,morpropertieswereactually soldin July thaninanyotherJulysinc2006.Thevolumedifferenceisduetoalackofhigher-pricedsale(therewereno sales formore than$3.2M)andbecause54%o

thesalesduringthemonthwereforlessthan$1M.

JULYS10LARGESTTRANSACTIONS

CLICKHEREFORTHECOMPLETE

LISTOFPROPERTYTRANSFERS

Loweractivityandlowersalesvolume...

July 2013

15KingStreet$1,400,000

13&15BurnellStreet$1,200,000

4CapaumRoad$3,200,000

18EastTristramAvenue$3,000,000

2HamblinRoad$1,950,000

44MadequechamRoad$1,600,000

*15BrewsterRoad$3,000,000

77PolpisRoad$2,800,000

21WanomaWay

$1,500,000

7NewMillStreet$1,550,000

Dollar Volume and Number of Properties Sold By Month

(compared to previous year)

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ASmallCelebration...Julysdollarvolumeof$36.5MmaynothavecomeclosetoJunesperformanceineithervolumeornumberofpropertiessold,butJulyhasntreallybeenastrongmonthsince2005when38propertiessoldforatotaof$81.3M.Butthatdoesntmeanthereisntreasontocelebrate.

With31closings for themonth, yearto datesalesCinallysurpassed2012YTDnumbers, evenifitwas bonlyoneproperty-204to203.Interestingly,notsince2007havewehadthismanypropertiessoldduringtheJanuarythroughJulyperiod.

Asinpreviousmonthsthisyear,propertiessellingforlessthan$1Mmadeupmorethan50%ofJulyssaletransactions (54.8%- 17sales) yet contributed to only 30.3%of thesalesvolume. This segment of thmarketnowrepresents63.46%ofthetransactionsyeartodateand27.65%ofthedollarvolume.

LandSales:

Lastmonths6landclosingstotaled$4.6M(makingup19.35%ofthetransactionsand12.57%oftotalsalevolume), comparedto3landsalestotaling$4.96MinJune(makingup6.98%oftransactionsand6.02%othemonthssalesvolume).

Thelargestparcelsoldduringthemonthwas6.8acresonatoLanetotheNantucketLandBankfor$1.2MThis onetransactionmadeup 26.2%of the land transactions for themonthand3.3%of the total salevolume(therewasalsoatwo-lotparcel,totalinglessthan12,000sq.ft.,soldinSconsetforthesamedollaamount).

There are 73 land-parcels currently on-market with 6 of them larger than 5 acres. The largest parccurrentlylistedisstillthe21acreparcelinShimmo.Otherlandparcelscurrentlyavailable:

21propertiesbeinglessthan11,000sq.ft.insize-averageaskingprice$876,23816parcelsbeingbetween11,000sq.ft.and21,000sq.ft.,-averageaskingprice$1,332,00018parcelsbetweenacreand2acres-averageaskingprice$2,223,278($1.36Mwithoutthe$16.9M1.23acr

7HeatherLaneparcel)12propertiesbetween2and5acres-averageprice$2,286,916

CommercialActivity:

NocommercialpropertiessoldinJuly,thoughthereweretwoacceptedoffersduringthemonth.

Thereare12commercialpropertieslistedforsale(2ofwhichhave2unitseachbeingofferedseparatelyotogether).Onlytwoof thesecommercialpropertieshavebeenon-marketlessthan60days-17BroadStre

and44enterStreet.

The Nantucket Real Estate Report

7/29/2019 July 2013 Nantucket Real Estate Market Update

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es ent a a es:

Withalmost80.7%oftheactivity(84%inJune)and87.4%ofthedollarvolume(88.5%inJune),residentialpropertiescontinuedtoenjoythetopspotinNantucketrealestatesales.Julysresidential

sales involved25propertiestotalingover$31.9Mwith67.7%ofthe months transactions (21 sales) involving single-familyproperties representing81%($29.5M)of total sales volume forthemonth.

Atmonth-endtherewere383single-familyproperties listed forsale(upfrom317attheendofJune).Basedonsalesactivity thisCirst sevenmonths, there is more than a 17-month supply ofinventorycurrentlyon-market.Basedon Julyssales activity, thesingle-familyinventoryincreasestooveran18-monthsupply.

With 3 sales totalingalmost$1.6M, condosandco-opmade upanother 9.7% of Julys sales activity and 4.43% of the dollarvolume. Year to date, ondo and co-op sales are far ahead of

2012s sales (31 sales versus 22 in2012)and13.6%higher intotal dollar volume ($15M versus $13.2M in 2012). urrently,thereisabouta51/2-monthsupplyofcondoandco-opinventoryon-market(25listings).Pricesrangefrom$165KforastudiounitonOldSouthRoadto $2.65Mfor a4 bedroom/4bathcondo onStillDock.

Days On-Market:

On average, the 23 residential properties sold through a realestateCirmwereon-market241dayswithnoneofthepropertiesbeingon-marketmorethan2years.

Residential Pricing:

There were 36 price reductions during the month and 16accepted offers (the highest level since 2008) compared to 35reductions and 16 accepted offers in July 2012. The 36 pricereductions resulted in an average drop of 11.9% off originalpricing.

Onaverage,residentialpropertiesclosedat91.2%ofCinalaskingprice, 88.9%oforiginal askingpriceand107%oftheirassessedvaluation inJuly (for the23properties with a currentassessed

valuation).

LEE REAL ESTATE A higher level of Service

Price Range Total $ Volum< $750K $4,627,00

$751K - $999K $4,250,00

$1M - $1.499M $4,440,00

$1.5M - $1.999M $6,600,00

$2M - $2.499M $

$2.5M - $2.999M $2,800,00

$3M - $3.499M $9,200,00

$3.5M - $3.999M $

> $4M $

Total $31,917,00

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YTD Activity:

The Cirst sevenmonths have producedsome interestingresults.During the Cirst half of 2013, sales consistently trailed 2012 in

bothtransactions anddollarvolume. AttheendofJunewewereshort of 2012s pace by 5 transactions and $38M in volume(-14%)butstillwellaheadof2011levelsinbothareas.

At theendofJulythegap narrowed with2013 h av i ng on emore t ransac t ionthan in 2012 and2013 volume fallingeven further behind

2012 volume ending$40M, or -12.95%,belowlastyear.

While the number oftransactions are comparable to what was experienced in 2012,sluggishsalesforpropertiespricedbetween$2Mand$5Misthemainreasonfortheshortfallindollarvolumein2013.Withyeartodatesales inthispricerangenowstandingat21transactions(10.3%ofYTDtransactions)vs.40salesin2012(19.7%)and27sales (17.6%) in 2011, this particular segment of the marketremainsparticularlyweak.

Ifthethreesalesover$10Moccurringthisyear(totaling$45.2M)wereexcluded, year to date volumewould be the lowest since2009whiletransactionactivitywouldonlybetwoshortofwhatwassoldin2012andstillwellabovepreviousyearslevels.

Availability:

On July 31st, there were 502 properties listed for sale, 421 ofwhichwereresidential;comparedto443propertieslistedattheendofJune(372residential). Averagetimeon-marketforthesepropertieswas 252days (181 days with the 22 properties on-

marketmorethan3yearsomitted).Ofthe140propertiesbroughttomarketinJuly,over41.4%(58listings)werepreviouslistingsbroughtbackon-market.

58 Main StreetNantucket, MA 02554

Telephone: 508.325.5800 | Fax: 508.228.612

www.leerealestate.com

LEE REAL ESTATE A higher level of service

Bottom-line:

The Cirst questionasked, after someodiscoversyouareinvolvedinrealestais:Howsthemarket?Andeachtimam asked, I have to carefully considwhatI amaboutto say. After all, howouldyoudescribeamarketwhere:

outofthe500propertiescurrentlyomarket, at least 110 have been omarketformorethanayearwith41themonlongerthan2years.

of140propertiesbroughttomarketJuly,over41%havebeenherebefore

138 sales (68%) were for less th$1M(comparedto 105in2012,922011and76in2010).

propertysalesbetween$2M&$5Mahalfwhattheywereayearago.

property salesabove$5Mare atthelowestlevelsince2004(5salesYTD)

propertiessoldwithintheCirst90daon-market, sold for 96% of originask, while properties on-market

daysto1yearsoldfor83%ofask,71for those on-market between 1 yeand 2 years and 68% for those omarketformorethan2years.

Sothisismyresponsetoday:

Under $1M properties are hot and ov$1M properties are not. At least 1propertyownersneedtore-evaluate thpricing iftheyreallywantto sell,sodohesitate toofferfar lessifa propertyhbeenon-marketawhile.Fornowitiss

verymucha BuyersMarket anda gretimetopurchaseNantucketrealestate..

DanDunl

www.leerealestate.com

http://www.leerealestate.com/http://www.leerealestate.com/http://www.leerealestate.com/http://www.leerealestate.com/http://www.leerealestate.com/http://www.leerealestate.com/

7/29/2019 July 2013 Nantucket Real Estate Market Update

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Land Selling Price

% of Final

Asking

Price

% of

Original

Price

Lot size

(sq. ft.)

Price per

sq. ft.

Days On

Market

4 Cato Lane $305,000 92.71% 92.71% 5,227 $58.35 58

25 South Shore Road - Portion $497,000 95.76% 76.58% 40,075 $12.40 251

32 Somerset Lane $640,000 85.91% 85.91% 42,253 $15.15 34

8 Hydrangea Lane $745,000 93.71% 93.71% 4,792 $155.48 5 $36.75 Median per sq. ft. cost

13 & 15 Burnell Street $1,200,000 93.39% 93.39% 12,415 $96.66 56 $57.01 Avg per sq. ft. cost

40 - 46 Cato Lane $1,200,000 100.00% 100.00% 296,208 $4.05 N/A*

Total Land Sales $4,587,000 92.2% 89.06% (sold through a real estate f irm)

Residential Properties Selling Price

% of Final

Asking

Price

% of

Original

Price

Price

per sq. ft

(living area)

Lot size

(sq. ft.)

Days On

Market

Living Area

Sq. Ft. Beds Baths

95 Orange Street # #2 $445,000 90.82% 90.82% $1,202.70 Condo 57 370 1 1

71B Hinsdale Road # B $450,000 94.74% 92.02% $285.53 Condo 429 1,576 2 3

270 Madaket Road $525,000 97.51% 95.63% $131.25 3,999 262 4,000 3 2

1 Kinikinnik Way $545,000 91.60% 91.60% $388.18 6,098 104 1,404 3 2

82 Union Street $605,000 94.68% 94.68% $458.68 3,049 287 1,319 2 2

11 Gray Avenue $650,000 100.00% 100.00% $417.74 60,984 N/A* 1,556 3 2

61 Cato Lane $685,000 98.00% 98.00% $169.55 23,087 41 4,040 5 3

7 Autopscot Circle $722,000 100.00% 100.00% $451.81 Co-op 2 1,598 2 2

1 Sconset Avenue $750,000 100.67% 100.67% $478.32 10,454 5 1,568 4 2

8 Perry Lane $825,000 92.18% 92.18% $358.70 9,583 360 2,300 4 3.5

17 Goldfinch Drive $850,000 94.97% 94.97% $367.01 5,663 140 2,316 4 2.5

47B Fairgrounds Road $900,000 90.18% 72.06% $228.83 20,909 559 3,933 6 5

12 Sconset Avenue $925,000 92.96% 92.96% $744.77 17,424 390 1,242 3 1.5

3 South Cambridge Street $1,000,000 83.68% 77.22% $533.62 63,598 200 1,874 3 3.5

4 Heath Lane $1,025,000 97.62% 97.62% $573.27 25,700 259 1,788 4 3.5

7 Wigwam Road $1,045,000 87.45% 86.01% $430.04 50,530 423 2,430 3 3

15 King Street $1,370,000 91.39% 76.32% $854.65 7,841 686 1,603 3 3

21 Wanoma Way $1,500,000 93.81% 83.57% $1,050.42 17,860 336 1,428 3 2

7 New Mill Street $1,550,000 88.57% 88.57% $678.93 4,922 647 2,283 4 4

40 Madequecham Valley Road $1,600,000 92.75% 92.75% $1,065.96 250,034 78 1,501 2 1

2 Hamblin Road $1,950,000 82.98% 82.98% $701.94 11,761 248 2,778 5 3.5

77 Polpis Road $2,800,000 100.00% 100.00% $694.10 85,813 N/A* 4,034 5 4

18 East Tristram Avenue $3,000,000 75.09% 75.09% $1,034.48 17,860 0 2,900 4 4.5

15 Brewster Road $3,000,000 92.31% 92.31% $1,637.55 174,240 4 1,832 3 2

4 Capaum Road $3,200,000 98.46% 98.46% $2,244.04 11,326 16 1,426 3 2Total Residential Sales $31,917,000 91.2% 88.9%

Average: $1,276,680 $687.28 35,309 221 2,124 3 3

Median Of All Residential: $925,000 92.96% 92.31% $533.62 17,642 1,788

*Unknown - Not Sold Through A Real Estate

Properties Sold In July 2013(excluding foreclosures)