Mid-Year Report

May 2015 Market Overview

March 2015 Newsletter

March 9, 2015

Spring is only 13 days away…at least that is what the calendar tells us.  Snow has covered the island now for 41 days and all I can say is “I will really enjoy summer this year!”  My calculation is that the island has experienced over 50 inches of snow this year which is about ½ of what other areas of the state received.  Personally, I like snow and cold so you will get no complaining from me.

I apologize for not providing you with a market update in February as I was traveling for a couple of weeks and once back on island, I was consumed with playing “catch-up”.

The statistics for the first part of the year are “hopefully” a harbinger of things to come!  There were 64 closings in the first 2 months of 2015 with an average price of $1.7M and a median price of $674K.  The increase in prices was partly due to a $22M sale and $10M sale.  Looking back to the first 2 months of 2014, there were 67 closings with an average price of #1.1M and a median price of $525k.  So, the number of sales in 2015 is consistent compared to a year ago but prices are trending upwards.

The amount of snow across New England is not only playing havoc with town budgets and peoples patience, it is having a negative effect on the real estate market.   This is evidenced with a decrease in the number of property showings, the number of properties currently for sale (300 currently listed; the height of the season we will see over 500 for sale) and the number of homes currently under contract (only 41).  The 41 “under contract” properties have an average price of $1.2 M and a median price of $730K.  Again, this supports an upward trend in sales prices. 

My prediction is that once the snow melts and there is some sign of spring, our market will get very busy.  Interest rates continue to stay at historic lows (at or below 4%) and “experts” predict that rates will remain stable throughout the year.  Put all this together and the real estate market on MV looks to be good in 2015.

Please let me know any questions and thanks for your patience in what I do.

Happy New Year! 2015!

January 8, 2014


Happy New Year! 2015…unbelievable! A New Year is a time for new starts, a fresh beginning and endless opportunities. I wish you all the best and hope this is a "ridiculously" good year for you.

While December was a "good" month in the island real estate industry, we did not see the "typical" surge of "high dollar" closings in the last few days of the year. Many times we see a flurry of late year activity as buyers try to close before January 1. As you can see in the chart below, Dec. 2014 saw 40 sales (compared to 33 sales in November), the average price was down ($823K) but the median price was up ($649K). The YTD numbers continue to be a "reality check" of the monthly news. The YTD news indicates we are still in a steady market with the number of sales slightly below last year and prices basically the same. The average "days on market", however, is down by 14%!
Month/Year        Dec/2014      Nov/2014       Dec/2013      2014(YTD)      2013(YTD)  # Residential
 Sales                        40                  33                     39                400                  408

Average Price       $823K          $1.44M            $1.15M          $1.01M            $1.01M

Median Price         $649K           $550K              $750K            $600K             $625K

Avg. Days on
 Market                    242               224                    249                 224                 260

Sales of building lots were strong in 2014 with 73 sales, up 10% from the past 2 years and prices up about 18%. This is real good news since land sales mean people are building and this helps drive one of the islands main industries…the building trades.

All indications tell me that 2015 will be another good year for real estate sales. I believe interest rates will remain below 5% (right now they are 4%) and prices will be steady to slightly increasing.

As always, I appreciate your patience in what I do and look forward to helping you reach your goal.

All the best…

Doug Reece
Accredited Buyers Agent®
Certified Residential Specialist®,
Certified Luxury Home Marketing Specialist®

December 8, 2014


This festive time of the year, is probably my favorite. I was recently reminded that my affinity for the Holidays is a "need to not let go of my childhood." Since I turn "60" this week…I must agree with this statement!

The real estate market settled down a bit in November after a very active September and October. In November there were 33 sales (compared to 42 sales in October) and the average price remained strong ($1.44M) but the median price was back to normal ($550K). As with last month, the YTD numbers continue to be a "reality check" of the good monthly news. The YTD news indicates we are still in a steady market with the number of sales slightly below last year and prices basically the same. The average "days on market", however, are down by 15%!
Month/Year              Nov/2014          Oct/2014          Nov/2013            2014(YTD)          2013(YTD)

# Residential Sales           33                      42                     38                        359                        369 Average Price             $1.44M              $1.36M              $1.1M                   $1.03M                $1.01M
Median Price              $550K                $1.02M              $710K                    $595K                 $610K
Avg. Days on Market   219                     190                    219                         222                      261

There are currently 78 properties showing "Under Agreement" in our system which should equate to 30-40 closings for the month of the December. And…the "pipeline" for January 2015 transactions indicates a good start to the New Year.

Have a great Holiday Season and in the words of Charles Dickens, ""I will honour Christmas in my heart, and try to keep it all the year. I will live in the Past, the Present, and the Future. The Spirits of all Three shall strive within me. I will not shut out the lessons that they teach!"

All the best…

Doug Reece
Accredited Buyers Agent®
Certified Residential Specialist®,
Certified Luxury Home Marketing Specialist®

November Newsletter

 

November 5, 2014

Mother Nature delivered us a "whooper" of a nor’easter on November 1st and 2nd. We experienced 60+ mph winds, torrential rains and ferry/road cancellations; reminding us of the fragile environment we live in (and on).
  
I mention the fragile environment, not only because of the storm, but because of some island happenings that I think you should be aware of:
1. There is an increasing issue of excess nitrogen in all the island ponds, especially Lagoon Pond, Sengekontacket Pond and Lake Tashmoo. Please note that the nitrogen level in each pond has exceeded the allowable threshold resulting in a decline in eel grass and overall water quality. I am involved in some groups who are looking into changing this. Let me know if you want to get involved or receive information.

2. There is a recent movement by the Commonwealth to introduce sand mining in some of the islands rich fishing grounds. Sand mining is a technique of removing sand from the ocean floor to replenish beaches. Public comment is welcomed until 11/25/14 before policy is established. Let me know if you would like more information.

I will now "step down off my soapbox" and discuss the real estate market. October was another strong month with 42 sales and both average and median price well over $1M! We have not seen both average and median prices above $1M in the same month for some time. As with last month, the YTD numbers are a "reality check" of the good monthly news. The YTD news indicates we are still in a steady market with the number of sales slightly below last year and prices basically the same. However, a steady market is not a declining market!
Month/Year              Oct/2014           Sept /2014           Oct/2013          2014(YTD)         2013(YTD)
# Residential Sales           42                       51                       44                      319                      331
Average Price                $1.36M              $911K                $1.40M               $992K                 $989K

Median Price                 $1.21M               $565K                 $670K               $595K                 $597K

Avg. Days on Market      190                     226                      188                    224                      269

There are currently 83 properties showing "Under Agreement" in our system which should equate to 25-30 closings each month forthcoming.

Have a great Thanksgiving Holiday. Enjoy your time with family and friends.

Please let me know any questions or thoughts you might have.

Thank you for your trust and patience in what I do. All the best.

Doug Reece
Accredited Buyers Agent®
Certified Residential Specialist®,
Certified Luxury Home Marketing Specialist®

September 15, 2014


And just like that…summer is over and the crowds are dwindling on the island. Where did the summer go? I hope you were able to spend some time with friends, family and relax a little.

Autumn not only brings cool air and colorful sights; it brings some "real" buyers to the island that are ready to make decisions! I expect the next 2-3 months to be quite busy.

The island real estate market slowed a bit in August, regarding the number of sales but values were up, both average and median:
 Month/Year                  Aug/2014        July /2014        Aug /2013        2014(YTD)        2013(YTD) 

# Residential Sales              18                    27                     38                     219                       232

Average Price                  $1.08M            $768K              $743K                $949K                 $875K

Median Price                    $667K              $575K             $584K                $575K                 $571K

Avg. Days on Market        188                   139                  196                     228                      287

The statistics show a significant decrease in the (month over month and year over year) number of sales, but an increase in the average price and the median price. Days on market are slightly up in July but still below 200 days and that is good! The YTD numbers (a better indicator of the health of the market) are all indicating a slight increase in the market values but the numbers of sales are still down about 8%! And "average days on market" is significantly down.

There are currently 91 properties showing "Under Agreement" in our system which should average 30 +/- closings each month forthcoming. In the past 2 years we have seen 400 closings on an annual basis and I hope we can reach that number again in 2014. To reach this goal an additional 90+ properties will need to sell before the end of the year.

Please let me know any questions or thoughts you might have.

Thank you for your trust and patience in what I do. All the best.

Doug Reece

Accredited Buyers Agent®

Certified Residential Specialist®,

Certified Luxury Home Marketing Specialist®  





 

October Newsletter

October brings colorful reflections noting the change of seasons, the end of the month long striped bass and bluefish derby and the beginning of the 4th quarter of the year.


The island real estate market that slowed a bit in August saw a huge surge in the number of sales in September. September leads the way, for number of closings in one month, this year (as it did in 2013) with over 50 closed transactions! Unfortunately that is where the good news ends as prices were down and days on market were up in both the month over month and year over year category. The year to date comparison (2013 and 2014) shows basically no change in the market which tells me the market is "steady"…no upward or downward trends.
Month/Year                     Sept/2014        Aug /2014       Sept/2013          2014(YTD)    2013(YTD)   # Residential Sales                 51                     18                   55                       277                   287

Average Price                       $911K             $1.08M           $1.134M             $936K              $925K

Median Price                        $565K             $667K              $660K                $575K              $589K

Avg. Days on Market             226                  188                   259                    230                    282

There are currently 80 properties showing "Under Agreement" in our system which should average 25-30 closings each month forthcoming. In the past 2 years we have seen 400 closings on an annual basis and I anticipate we will reach that number again in 2014. This trend continues to support the "steady" market we are experiencing. While many of the areas across the nation are experiencing a resurgence in the market, the island is not so fortunate. However, a steady market is better than a declining market.

Please let me know any questions or thoughts you might have.

Thank you for your trust and patience in what I do. All the best.

Doug Reece

Accredited Buyers Agent®

Certified Residential Specialist®,

Certified Luxury Home Marketing Specialist®

 

August Newsletter and Market Update

August 19, 2014

 

It hard to believe that we are past the halfway point of August 2014! This is the week of Illumination in Oak Bluffs and the AG Fair in West Tisbury.  It is also a reminder that I am 2 weeks late in getting my monthly market analysis out…my apology.

President Obama is visiting the island with his family so the island is “abuzz” with excitement and the intrigue of where he will be next.  Last evening I saw the “entourage” entering Featherstone for an R&B/Jazz show and in the afternoon I spied him golfing at Farm Neck. 

The island real estate market is continuing the good steady pace we discussed the past few months, but please do not take this as a significant increase in the market:

Month/Year                   July/2014           June/2014           July /2013         2014(YTD)         2013(YTD)

# Residential Sales               27                        23                         32                       202                      220

Average Price                 $768K                  $913K                   $915K                  $934K                    $889K

Median Price                    $575K                 $586K                  $597K                   $575K                   $571K

Avg.  Days on Market       139                        259                      211                       231                        286

The statistics show a slight increase in the (month over month) number of sales, a decrease in the average price and a slight decrease in the median price.  Days on market are down significantly in July.  The July sales (numbers and values) are also slightly down compared to one year ago (July 2013).   The YTD numbers (a better indicator of the health of the market) are all indicating a slight increase in the market values but the numbers of sales are still down about 8%!   And “average days on market” is significantly down.

I am a bit concerned about the current inventory. There are currently 517 residential properties on the market with an average asking price just under $2M and a median price of just over $1.1M.  I find this a bit curious since the average selling price (YTD) is $934K and the median selling price (YTD) is $575K.  Many buyers I speak with are confused with the pricing of the current inventory and confused buyers have trouble making decisions.  Current pricing trends may cause a slowdown in the market.

As we approach the end of summer, property showings may slow a bit as people get busy with school and activities at home.  Be patient though, as September and October bring back some “real” buyers.

Please let me know any questions or thoughts you might have.

Thank you for your trust and patience in what I do.  All the best.

 

Doug Reece                                                                                                         

Certified Residential Specialist®,

Certified Luxury Home Marketing Specialist®

July Monthly Newsletter

July 8, 2014

 

The 4^th of July was “washed out” this year by Hurricane Arthur…although by the time the storm arrived it had lost most of its punch.  Most events were postponed until Saturday the 5^th and the weather cooperated this time with low humidity and wonderful blue skies.  I hope you enjoyed a safe, glorious Holiday weekend.  Please remember those who are overseas protecting our freedoms.

Now to the real estate matters at hand:

The island real estate market, although slowing a bit in June,  is continuing the good steady pace we discussed the past few months:

Month/Year    June/2014      May/2014       June /2013      2014(YTD)     2013(YTD)

# Residential

        Sales               23                    35                   35                     173                  162

Average Price         $913K            $859K            $983K              $967K             $898K

Median Price          $586K            $628K            $540K              $590K             $550K

Avg. Days

 on Market              259                 249                 283                   238                  323

The data statistics this month show a decrease in the number of sales, an increase in the average price and a slight decrease in the median price.  The June sales (numbers and values) are also slightly down compared to June 2013.   The YTD numbers (a better indicator of the health of the market) are all indicating a slight increase in the market!   And “average days on market” is significantly down.

The month of June was, as expected, a fairly slow month for buyers looking at property.  July has exploded as many buyers are here and looking to purchase.   I expect July and August will be very busy. 

The island is full of activity and busier now (July) than in recent years past.  I hope this flurry of acitivity brings a buyer for your property
.
Please let me know any questions or thoughts you might have.

Thank you for your trust and patience in what I do.  All the best.
 

Doug Reece                                                                            

Certified Residential Specialist®,
Certified Luxury Home Marketing Specialist®
Accredited Buyers Agent®

Summer Has Arrived

And just like that...summer has arrived on the island in time for the High School graduation ceremony.    The graduation takes place at the Tabernacle in Oak Bluffs on Sunday June 8^th and is preceded on Friday night with a presentation of scholarship money to many of the island “soon to be” college students.  I mention this since I am a proud father of a graduating senior and looking forward to a very busy weekend.  Now to the real estate matters at hand:

The real estate market is continuing at a good steady pace and here are the recent sales numbers:

Month/Year   May/2014     April/2014     May/2013       2014(YTD)      2013(YTD)

# Residential
       Sales               35                  26                    36                    149                  127

Average Price    $859K           $905K              $837K             $979K             $876K

Median Price     $628K           $705K              $556K              $580K            $556K

Avg. Days

on Market           249                327                   365                   238                 333

 

Again, the data statistics this month show that the slow continued growth is continuing, as expected.  The month over month number of sales are up 35% but are equal to the number of sales in May 2013(one year ago). The average price is down compared to last month but up from a year ago and the median price is the same, down from last month but up from a year ago. The average days on market are also down.  The YTD numbers are all indicating a slight increase in the market…and any increase is good! 

The month of June is, historically, a slow month when it comes  to people viewing property for sale.  June is a busy month for graduation, spring youth sports and working in the yard after a long winter and even longer spring.  I expect July and August will pick up substantially.   

Please let me know any questions or thoughts you might have.

Thank you for your trust and patience in what I do.  All the best.

Doug Reece                                                                            

Certified Residential Specialist®,
Certified Luxury Home Marketing Specialist®
Accredited Buyers Agent®

In Like a Lion

 

April 7, 2014

 In like a lion…out like a lamb!  Not this year…March left the island just like she entered; like a lion.   However, entering this second week of April, spring has finally sprung.  Pinkletinks are singing along Lamberts Cove Rd, the spring trout stocking happened last Tuesday bringing many fisherman out and crocus flowers are blooming in most island towns. 

Let’s hope the island real estate market continues its busy first quarter of the year.

Here are the recent sales numbers:

Month/Year                           March/2014                 Feb/2014            March /2013           2014(YTD)             2013(YTD)

# Residential Sales                      21                                25                         35                         88                            63

Average Price                          $856K                        $1.126M              $1.01M                   $1,048M                 $871K

Median Price                           $499K                        $523K                  $640K                     $ 523K                    $600K

Avg.  Days on Market            262                              181                        397                         210                           322

The statistics this month, although not as positive as the first 2 months of 2014, are an indicator of the long cold winter we experienced.  All across the northeast, real estate sales reports are mimicking what we see here on the Vineyard. The number of sales and prices are down from the 2 previous months.  With spring arriving, I expect the market to pick up and we will see a good spring and summer selling season.  So make sure to give your property a good “spring cleaning”; inside and out.  With a strong inventory, buyers still have many choices and seem to wait for the properties that do not need work.

Speaking of inventory, there are presently 361 island residential properties on the market right now.  With the current rate of sales, this is about 10 months’ worth of inventory and the amount of inventory has a direct effect on the rate and price of sales. Locations that are experiencing an appreciation in property prices and number of sales have less than 3 months of inventory; locations with steady prices and sales have 3-8 months of inventory and locations with more than 8 months of inventory may experience a decrease in prices—according to national experts.  Personally I think the Martha’s Vineyard market will remain steady to slightly increasing due to the fact that we are a resort/second home market.
Please let me know any questions or thoughts you might have.

Thank you for your trust and patience in what I do.  All the best.
 

Doug Reece                                                                                                            

Certified Residential Specialist®,
Certified Luxury Home Marketing Specialist®
Accredited Buyers Agent®

96% of Markets Better Off Than in 2010

96% of Markets Better Off Than in 2010

February 7, 2014

 

Happy Winter greetings from a very snowy Martha’s Vineyard.  For those of us who love winter (and I am one of those), this has been a great season!  Four to six more inches starting tonight!

You may remember from last month’s update that the 2013 sales data was a mirror image of 2012; the first time we have seen 2 years in a row with positive numbers since prior to 2005.  The January 2014 numbers continue this course of mostly positive information. 

Month/Year                          Jan/2014               Jan/2013               Jan/2012               Dec/2013

# Residential Sales                36                           16                              33                         39

Average Price                       $1.126M               $697K                    $967M                   $1.154M

Median Price                        $521K                    $602K                    $597K                    $ 750K

Avg.  Days on Market        207                        254                            228                        249

These numbers indicate a steady market (month over month) with a decline in days on market.  Please remember the January 2013 numbers are “skewed” since the fiscal cliff pushed may sales into 2012.  The strong finish in the 2013 market is supported by a strong start in 2014!

 In the words of Steve Harney, a real estate economist, “2012 was a year of recovery; 2013 was a year of stabilization; 2014 will be a year of growth”.  I believe this statement also directly resembles what we have seen on the island.  And…all indicators point to a strong year ahead in real estate sales.

 

Thank you for your trust and patience in what I do.  All the best.

 

Doug Reece                                                                                                         

Certified Residential Specialist®,

Certified Luxury Home Marketing Specialist®

Accredited Buyers Agent®

Holiday Greetings

November Newsletter

Will the Government Shut Down Affect the Real Estate Market?

September Newsletter

Great Option for Islanders!

 

 

Cape Cod Five Cents Municipal Mortgage Program:

 

-100% financing available to Municipal Employees of Barnstable, Dukes, Nantucket and Plymouth Counties

-Low 30 year fixed portfolio loan at 4.375% 0 points APR  4.294 (as of 7/31/13)

-Purchase of a primary residence -No first time home buyer requirement

-Income caps of $106,000 for Barnstable County and $119,000 for Dukes County

-Eligible borrowers- Police, Firefighter, School Teachers, employees of municipalities, counties, state and federal government, employed in areas of public safety, law enforcement education, healthcare and social services.

 

 

 

August 5, 2013

 

August 1^st brought us cooler temperatures, lower humidity levels and lots of summer visitors.  And with all these visitors, I have only one question, “Where are all the buyers?”

The real estate market on Martha’s Vineyard is not living up to my “hopes and predictions”.  The number of property viewings has dwindled to just a few each week. For example, last week I had 3 showings of the 28 homes I have for sale and none of these were above the $600,000 price range!  The only explanation I have for this comes from Dave Liniger, founder/owner of RE/MAX international, whom I had recently had an opportunity to “skype” with.   He says that the second/resort home market historically lags 12-18 months behind a “jump” in the primary home market and if you are following the national real estate market, areas like Las Vegas and Boston are seeing double digit growth and multiple offers on many homes.  So it appears as though we are in a “wait and see” scenario for Vineyard real estate.

There were 25 residential sales in June (avg. price $805K and median price $600K) compared to 35 sales in July 2013 (avg. price $938K and median price $540K) and compared to 26 sales in July 2012 (avg. price $827K and median price $562K).  So, the average price is DOWN (14%) from last month and DOWN (3%) from the same month a year ago. The median price is “UP” (11%) when comparing month over month and UP (7%) compared to July 2012.  The average “Days on Market” in July is down to 220 days, from 283 last month and from 274 in July 2012.  Again, as last month, the numbers mixed with the lone positive being the increase in median price.  As mentioned above, the lack of current buyer interest tells me that we are in a bit of a slump.

As with last month, let us look only at the prices and days on market when comparing YTD totals.   The YTD (2013) average price is $886K and median price is $570K compared to 2012 YTD sales with $931K avg. price and $535K median price.  These numbers show the average price declined (by 5%) while the median price is up (by 7%).  These numbers mimic what we saw last month.  Average days on market is 307 for YTD 2013, up 21% from YTD 2012.

Lastly, interest rates have ticked up a bit again (many 30 year rates are over 4.5%) which will help those buyers who are “sitting on the fence” jump into the market.  We have some new lenders offering incentives for the “Jumbo” loans (those over $417K so hopefully we can entice some buyers to take advantage of these programs.  On a similar note, one local lender is offering 100% financing to any Dukes County municipal employees (teachers, medical profession, social service providers, etc), so I hope to see some buyer take advantage of this opportunity.

Please let me know any questions you might have about how this prediction affects your property. As always, I appreciate your trust and patience in what I do.  All the best in real estate and otherwise.

 

Doug Reece                                                                            

Certified Residential Specialist®,

Certified Luxury Home Marketing Specialist®

Accredited Buyers Agent®