February Review:
Well, it's been an interesting week. Let's take a look at how changes in the larger economy and continuing market trends are shaping the upcoming Spring real estate season on Cape Cod.
Days on Market nearly doubled last month. In February, single family homes took 86% longer to sell than the same period last year. This trend of increasing days on market has persisted since June.
Percent of Original Price may be stabilizing. This metric indicates buyers' appetite for homes and it looks like we may be leveling off after hovering around 94% for the past three months.
The recent bank failures may have an impact on mortgage rates. Smarter people than I are suggesting there may be a trickle down effect on mortgage rates, let's take a quick moment to explain. As the FDIC bails out failed banks, SVB at the time of writing and potentially more, banks will be on the hook to make up these insurance premiums. We expect that many banks may be passing this added expense on to customers through higher loan interest rates, including mortgages, which may push more buyers out of the market. However, this could potentially cause ripples in the real estate market as investors seek more stable and tangible assets, like real estate.
Whichever seat you are in, whether buying, selling or vacation renting, the professionals at Chatelain Real Estate are here to give you the expert advice you will need to make your transaction a success. For more market data check out our blog category Real Estate Trends. You can also give us a call any time - we look forward to hearing from you.
| Dec | Jan | Feb | |
| Closed Sales | 247 | 172 | 157 |
| Inventory | 393 | 320 | 303 |
| Median Sales Price | $650k | $660k | $661k |
| Avg Days on Market | 47 | 41 | 65 |
| Avg % of Original Price | 94.7% | 94% | 94% |