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Category: Market Update

Welcome Summer with Bountiful Blooms and Beautiful Homes

Your Homestead Real Estate Update

Spring has gracefully unfolded its vibrant colors and is here to welcome summer with open arms. As nature bursts into bloom, so does the real estate market in Homestead. With warmth in the air and flowers in full bloom, it’s the perfect time to explore what’s budding in the world of Homestead Real Estate.

Embrace the Blossoming Market:

As temperatures rise, so does the excitement in the housing market. Spring and Summer bring new listings, offering a diverse range of properties to suit every taste and budget. Whether you’re searching for a cozy bay area retreat or a beach house with ocean breezes, Homestead Real Estate has something to offer.

A Symphony of Choices:

From quaint cottages nestled in lush greenery to modern marvels with views, Homestead boasts a variety of architectural styles to captivate your imagination. With spacious layouts, luxurious amenities, and charming neighborhoods, finding your dream home has never been more exhilarating.

With the sun shining bright and gardens in bloom, our Cape May communities shine with a special allure. Take a stroll through the picturesque streets adorned with flowering trees and vibrant gardens. Feel the pulse of the community as neighbors gather for outdoor festivities and shop for local delights.

Things to Do in Cape May:

Cape May isn’t just about beautiful homes; it’s a treasure trove of activities and attractions. Enjoy a leisurely bike ride along the scenic promenade, visit the historic Cape May Lighthouse, or indulge in wine tasting at the local vineyards. Don’t miss the chance to explore the Cape May County Park & Zoo, or take a sunset cruise for breathtaking views of the Atlantic Ocean. The summer calendar is brimming with events like outdoor concerts, farmers’ markets, and art festivals—perfect for immersing yourself in the vibrant local culture.

Expert Guidance Every Step of the Way:

Navigating the real estate market can be overwhelming, but you don’t have to go it alone. Our team of dedicated professionals at Homestead Real Estate is here to guide you through every step of the process. From identifying the perfect property to negotiating the best deal, we’re committed to turning your real estate dreams into reality.

As the season unfolds its splendor, now is the time to seize the moment and embark on your Homestead Real Estate journey. Whether you’re buying, selling, or investing, Homestead offers a world of possibilities waiting to be explored.

Ready to embark on your Homestead Real Estate adventure? Reach out to us today to explore the latest listings, schedule a viewing, or discuss your investment goals. Let’s make this sunny season one to remember as we welcome you home to the Homestead Family. Office: 609.884.1888

Cape May Communities Residential Market Stats

The residential Real Estate Market is constantly changing.  Review the information below to see our Cape May Communities market snapshot with the median estimated home value and the incremental changes for the noted time periods.  Call Homestead Real Estate to discuss your home’s value today at 609.884.1888.

Relationship Building

Amanda Riddles
Salesperson
Homestead Real Estate

Several years ago, I started my real estate career with Homestead Real Estate, and I can’t recommend them highly enough because of the support and knowledge they offered me as a new agent. I’d like to share some of my favorite tips on Relationship Building that I think will be beneficial to you not only in your business relationships but your personal relationships as well.

Working in the field of Real Estate offers tremendous personal growth opportunities. You acquire many leadership skills along the way that help you to be the best version of yourself in all areas of life. One of the things I love most about Real Estate is all the amazing relationships you gain! In my opinion, relationship building is the most important aspect of Real Estate. Starting off on the right foot & making a lasting first impression is so crucial in our business. Learning effective ways to build rapport will lead to long lasting relationships. Whether it’s acquiring a new client, or recruiting a new team member, I have learned the following relationship building skills to be beneficial.

Keys To Victorious & Positive Engagement when focusing on Relationship Building

TRUST – In a professional setting, many believe competence is the most crucial factor. They try to prove they are smart and talented enough to manage your business. But, in fact, trustworthiness is the most important factor in how people evaluate you. While competence is highly valued, it is evaluated only after trust is established. To build trust, spending the initial 20 to 30 minutes asking open-ended questions and actively listening to your clients is a great way to build trust.

SMILING – Projecting a grumpy demeanor or expressing that you are having a bad day is not a good way to start a relationship. Make a point to smile, especially when you first meet someone. Science has shown that the mere act of smiling can lift your mood, lower stress, boost your immune system and potentially even prolong your life.

LISTEN WITHOUT JUDGING -I always keep in mind the importance of offering nonjudgmental validation when engaging with clients and customers. When a person feels judged, they tend to retreat into a fight or flight mode of thinking. Nonjudgmental validation is taking the time to listen to what your client’s needs, wants, and dreams are and acknowledging them without judgement.

SUSPEND YOUR EGO – What does it mean to suspend your ego during a conversation? It is nothing more complex than putting others individual wants, needs, and perceptions ahead of our own. This approach creates an environment where a client can explore their thoughts and feelings while also feeling free to expand their opinions when presented with new opportunities.

BE A GREAT CONVERSATIONALIST – There are several keys to being a great conversationalist.

  • Focus and Self-awareness – Remember that you are trying to build rapport so keep focused on your client and do not give in to self-centered behavior.
  • Listening Posture – When you are eager to hear what a client is saying you will naturally lean forward or tilt your head which conveys interest and curiosity. Head nodding can be a powerful sign of encouragement, especially when discussing emotionally charged topics.
  • Eye Contact – Researchers consistently demonstrate that ‘holding someone’s gaze’ increases feelings of warmth, respect & cooperation. It lets the speaker know you are intent on understanding what they are saying.
  • Avoid Interrupting – Always allow the speaker to finish talking before responding, as interrupting can be seen as disrespectful and detrimental to rapport building.
  • Restating – Repeating another person’s words ensures you’ve heard them correctly. It allows the speaker to get a better sense of how he or she is coming across while also confirming that their thoughts are being clearly communicated

Ultimately, who you are and the energy you present are what potential clients will be drawn to. By following these principles, you’ll become skilled at attracting people and fostering respectful, long-lasting relationships, which are the foundations of enduring success in Real Estate and Life!

If you or someone you know is interested in a full-time career in Real Estate, or is looking to buy or sell their home, give me a call – I’ll be happy to help!

Cape May Communities Residential Market Stats – 3rd Quarter 2023

The residential Real Estate Market is constantly changing.  Review the images below to see our Cape May Communities market snapshot with the median estimated home value for the 3rd quarter of 2023 and the incremental changes for the noted time periods.  Call Homestead Real Estate to discuss your home’s value today at 609.884.1888.

A Better Way to Buy at the Beach!

by
Karen Smith
Sales Associate

As with all things in life, Real Estate Agents and Agencies come in all shapes and sizes, with a perfect fit somewhere out there for everyone! So, How do you know which agent and agency is for you then? Well, when I started in this business at a time when many people were beginning in the real estate business I was asked…”How are you going to set yourself apart from the rest?” “How are you going to be able to stand out amongst the crowd?”

To be quite honest, I really didn’t know the answer to the questions. How WAS I going to set myself apart from the new agents and even more importantly, the experienced ones, with a large following of loyal clients? Well, many months later I think I am just beginning to figure it out and I think that the secret is…To Be Better, to do more, and to be there for my clients! Exceed Expectations! Give my Clients “A Better Way to Buy at the Beach”.

So that is exactly what I set out to do. Firstly, I realized that “Real Estate” is so much more than just buying and selling homes. It’s really all about building relationships and helping people navigate the process that can seem so overwhelming for most buyers and sellers. Getting to the closing table may be the end goal but believe me it begins much further back to the initial meeting with a client and the building of trust one step at a time. Those trusting relationships are the building blocks to success at the closing table. For many buyers, buying a home is about creating memories and building dreams, building generational wealth and family stability. And for some, it may be the beginning of the final chapter to a well lived adventure!

So as I ask myself the questions….

What can I do To Be Better? To Help my Clients? Build Relationships? Give my Clients a Better Way to Buy at the Beach?

To Exceed Expectations, so that when our transaction is complete, I know that our relationship is just in the beginning stages!

And just like that….I already know the answers…Choose

#1 Surround yourself with the best in the business! ✓

#2 Be Thorough, Put the work in! ✓

#3 Pay Attention, Listen and Learn! ✓

#4 Be There, Be Ready! ✓

#5 Be Honest, Be Helpful, Work Hard, Be Yourself! ✓

Support along the way◆Finding Answers to Questions and Solutions to Problems◆ Carry the Burden when needed ◆Be Ready to Celebrate when Appropriate◆

A Better Way to Buy at the Beach!

CAPE MAY COMMUNITIES RESIDENTIAL MARKET STATS – 1st QUARTER 2023

Existing-home sales edged lower in March, according to the National Association of Realtors®. Month-over-month sales declined in three out of four major U.S. regions, while sales in the Northeast remained steady. All regions posted year-over-year decreases.

“Home sales are trying to recover and are highly sensitive to changes in mortgage rates,” said NAR Chief Economist Lawrence Yun. “Yet, at the same time, multiple offers on starter homes are quite common, implying more supply is needed to fully satisfy demand. It’s a unique housing market.”

“Home prices continue to rise in regions where jobs are being added and housing is relatively affordable,” Yun noted. “However, the more expensive areas of the country are adjusting to lower prices.”

“With overall consumer price inflation calming and rents expected to decelerate from robust apartment construction, the Federal Reserve’s monetary policy will surely shift from tightening to neutral to possibly loosening over the next 12 months,” Yun added. “Therefore, home sales will steadily rebound despite several months of fluctuations.”*

*Excerpt from article by Troy Green, National Association of Realtors “Existing Home Sales Slid 2.4% in March”

Cape May

1st Quarter 2023

  • Number of Transactions: 21
  • Average Sale Price: $1,545.670
  • Average Days on Market: 139   
  • Total Value of Real Estate Sold: $32,459,071

Cape May Point

1st Quarter 2023

  • Number of Transactions: 1                     
  • Average Sale Price: $2,170,750
  • Average Days on Market: 17     
  • Total Value of Real Estate Sold: $2,170,750     

West Cape May

1st Quarter 2023

  • Number of Transactions: 10
  • Average Sale Price: $1,053,750
  • Average Days on Market: 154
  • Total Value of Real Estate Sold: $10,537,500

Lower Township

1st Quarter 2023

  • Number of Transactions: 95       
  • Average Sale Price: $411,343
  • Average Days on Market: 93
  • Total Value of Real Estate Sold: $39,077,615

Data is from the MLS. All information is deemed reliable but is not guaranteed.

COMMUNICATION IS KEY

By Nick Arena

Communication is key seems like an obvious statement but it’s a problem found with many real estate companies and their agents. During my licensing classes and while beginning my career with Homestead Real Estate the words “communication is key” were drilled into my brain.

Whether training in the office with my Broker, watching training videos or speaking with other agents in my office, there was one piece of groundbreaking advice I heard over and over. That advice was “Answer your phone and return e-mails in a timely manner.” The first few times I heard that, I thought, “of course! That’s good advice for a beginner like me.” By the time I heard it for the 317th time I finally shouted out, like a pressure cooker whose curiosity had built up too much steam, “why does everyone keep telling me to answer my phone and return e-mails? Why would I not answer my phone and return emails?” I would say 99% of the response, which was met with a knowing look was, “oh, just wait, you’ll see!”

The advice imparted to me by my Broker and fellow agents was repeated over and over again during my many hours and weeks at the office while I tried to absorb as much information I could. Another helpful piece of advice was “you are never going to have all the answers but if you get on it right away and get quick answers for your clients you’ll be respected as an agent.” All this advice came in handy when I started to gain momentum in the business. My first two transactions were with a couple who wanted to buy and then a new listing. I finally experienced for myself why this was such great advice.

Real estate is a fast-paced business with clients wanting quick answers, rightfully so, to their questions and offers. There have been too many times where it has been extremely difficult to get hold of an agent. Particularly when you have a new listing or a contract to submit for buyers, that initial momentum is key. Several times I’ve experienced the complete lack of response from an agent, sometimes until the next day!  This situation really slows down the momentum of a transaction, but it also lowers your client’s morale and confidence in the deal, especially when it becomes habitual.  At the start of my career I had already received very good feedback from my clients.  I don’t say this to brag instead to show that all the credit goes to my peers for the simple advice they gave me as I started this journey.

It is such a breath of fresh air working with like-minded agents who are proactive. Many people get into real estate thinking they can do it part time, but the reality is that if you are in the midst of a transaction, let alone multiple deals, there is no such thing as part time. Your first few deals, especially your first listing, can seem very daunting but if you practice good communication, are tenacious about getting answers, all while being kind and honest, you can go far in this business, not just sell houses but building long lasting relationships.

The training, advice and close mentoring has been the key to my success so far.  If you or someone you know is considering entering the business Homestead Real Estate is currently hiring and looking to fill valuable sales positions with eager to learn new agents.  Don’t hesitate to contact me with any and all questions. After seeing first hand just how important training is I am now a part of the recruiting team.  Call today, remember I answer the phone because communication is key!

CAPE MAY AREA RESIDENTIAL MARKET STATS

4th QUARTER 2022 vs 2021

Strategists are predicting that the 2023 housing market will not see dramatic widespread, national price declines. The consensus is that the housing supply will continue to be limited with a housing inventory between 2.9 and 3.3 months in the first half of the year with it easing slightly as the year progresses. Mortgage rates have dropped from a high over 7% in November which will allow buyers to get back into the market.  The last few years of a red-hot market have eased, and the general opinion is 2023 will be a more normal market similar to the market we last experienced in 2019.

Cape May

4th Quarter 2022

  • Number of Transactions: 24
  • Average Sale Price: $1,495,278
  • Average Days on Market: 150
  • Total Value of Real Estate Sold: $35,886,685

4th Quarter 2021

  • Number of Transactions: 55       
  • Average Sale Price: $1,007,383
  • Average Days on Market: 133
  • Total Value of Real Estate Sold: $55,406,097

Cape May Point

4th Quarter 2022

  • Number of Transactions: 3         
  • Average Sale Price: $1,417,000
  • Average Days on Market: 189
  • Total Value of Real Estate Sold: $5,668,000

4th Quarter 2021

  • Number of Transactions: 6
  • Average Sale Price: $1,591,500
  • Average Days on Market: 128
  • Total Value of Real Estate Sold: $9,549,000

West Cape May

4th Quarter 2022

  • Number of Transactions: 7
  • Average Sale Price: $913,532
  • Average Days on Market: 174
  • Total Value of Real Estate Sold: $6,394,724

4th Quarter 2021

  • Number of Transactions: 8
  • Average Sale Price: $1,119,250
  • Average Days on Market: 176
  • Total Value of Real Estate Sold: $8,954,000

Lower Township

4th Quarter 2022

  • Number of Transactions: 111
  • Average Sale Price: $420,778
  • Average Days on Market: 87
  • Total Value of Real Estate Sold: $46,706,427

4th Quarter 2021

  • Number of Transactions: 171
  • Average Sale Price: $390,580
  • Average Days on Market: 84     
  • Total Value of Real Estate Sold: $66,789,323

Data is from the MLS. All information is deemed reliable but is not guaranteed.

Adventures in Cape May Real Estate – The Benefit of Working in an Office of Full Time Professionals

By Jan Conwell
Salesperson

There is an assumption that a real estate agent’s job is easy.  That anyone can be a successful real estate agent.  Even working in the administrative end of real estate before becoming an agent I might have agreed, that is until I became an agent myself.

I thought my real estate career was over with my first sales contract. Fresh out of Real Estate school and having been the bookkeeper for Homestead Real Estate since the day it opened, my self confidence wasn’t lacking. Being married to an attorney that practiced Real Estate law didn’t hurt either… and then my first contract started to go off the rails.

First the property was an estate that had riparian rights issues, and with the home being in an estate, there were estate taxes due. Throw in that the house was in the historic district of Cape May and on an undersized lot, I felt my lack of experience would affect the transaction. My resolve to become an agent began to crack.

Of course my husband was a big help, especially with estate taxes and riparian rights but it was my fellow agents at Homestead and my Broker, Dagmer Chew, that helped me through many of the other issues. Be honest was the best advice she gave me. Dagmer gave me a lot of guidance, things like Tell them you are not sure but will find out and get the answers for them…Communicate… Don’t leave them hanging in limbo.,, Tell them what is happening and how soon you expect to get an answer… Stay in touch… The client is relying on your knowledge and connections in the area to help them accomplish their goals of owning or selling their dream home at the shore.  All great advice for any real estate agent let alone a new agent handling their first contract!

If honesty was the key to communicating with the client, the cooperation between the agents in the office was an overwhelming benefit to me. Homestead is dedicated to hiring full time agents and the benefits that allows. The relationships that the seasoned agents in the office had built over the years, and were willing and able to share with me, were immeasurable in my ability to grow as a well rounded agent. There is no substitute for the experience and information shared between professionals.

From that first contract I wish I could say it was smooth sailing afterwards but as life goes it hasn’t always been calm seas. In the course of my now 20 year career I have had my share of crazy contracts and quirky circumstances. Unfortunately, I have had some unusual circumstances including a Seller who passed away in the middle of a sale, a Buyer pass away, a client whose family member was accused of murder. I have learned all about the varied mortgage options, septic systems and well testing. FHA/USDA qualifications, termites and mold. I’ve even had the adventure of buying and flipping property and owning rental property.

This experience has made me a good agent, but the honesty and cooperation within Homestead has made me Successful. The saying at work is “A Rising Tide Lifts All Ships” and it could not be truer in Real Estate, especially here at Homestead.

When choosing an agent look for one that considers Real Estate their full time career and is ready to assist you on your real estate adventures.

CAPE MAY COMMUNITIES 3rd QUARTER 2022 vs 2021 RESIDENTIAL MARKET STATS

Recently the National Association of Realtors (NAR) published the 2022 Profile of Home Buyers and Sellers.  The data collected spans from July 1, 2021 to June 30, 2022.  This specific time frame has seen the market change from low interest rates, and low supply with high demand resulting in multiple bid offers to a market with higher interest rates and a continuing low inventory situation.

According to an article written by Jessica Lautz, the Vice President of Demographics and Behavioral Insights at NAR, there are multiple takeaways from the report.  We’ve listed a few of Jessica’s takeaways:

First-time buyers drop to an all time low of 26% from 34% just a year ago – potential first time buyers also face a rise in rental costs making it challenging to save for a down payment.

The age of first-time and repeat buyers hit all-time highs – For repeat buyers, the age has risen to 59 years, up from 56 years in last years report.  Americans feel confident taking on a mortgage later in life and purchasing a primary residence.

How far a buyer moved jumped to an all-time high of 50 miles from a range that had been steady between 10 to 15 miles – Another factor is remote and hybrid work settings. In January 2021, many headlines touted that CEOs provided employees with permanent remote work. This allowed buyers to separate themselves from city centers or inner suburbs and migrate to farther areas. 

The share of all-cash repeat buyers jumped from 17% to 27% in the past year – Homeowners have accumulated tremendous housing equity in the last decade and hold about $210,000. This has allowed many to avoid holding a property mortgage and pay all cash for their purchase.

Buyer and Sellers use and want the help and expertise of a real estate agent – Eighty-eight percent of buyers used a real estate agent to purchase their home. Buyers are most satisfied with their agent’s honesty and integrity, and knowledge of the purchase process. For sellers, 86% used an agent to help sell their home. Sixty-three percent of sellers used an agent that they had worked with before or that was referred to them. Sellers most wanted their agent to price the home competitively, help market the home to potential buyers, and sell within a specific time frame.

As we can see from the NAR Profile, and local Cape May Real Estate stats listed below, the market has made a shift however inventory remains low which allows for a continuation of a sellers market without the frenzy of the last two years.

Cape May – 3rd Quarter 2022

  • Number of Transactions: 38
  • Average Sale Price: $1,248,257
  • Average Days on Market: 154
  • Total Value of Real Estate Sold: $47,433,800

Cape May – 3rd Quarter 2021

  • Number of Transactions: 38
  • Average Sale Price: $1,043,914
  • Average Days on Market: 159
  • Total Value of Real Estate Sold: $39,668,744

Cape May Point – 3rd Quarter 2022

  • Number of Transactions: 10
  • Average Sale Price: $1,206,899
  • Average Days on Market: 115
  • Total Value of Real Estate Sold: $12,068,999

Cape May Point – 3rd Quarter 2021

  • Number of Transactions: 9
  • Average Sale Price: $1,007,222
  • Average Days on Market: 187
  • Total Value of Real Estate Sold: $9,695,000

West Cape May – 3rd Quarter 2022

  • Number of Transactions: 5
  • Average Sale Price: $873,020
  • Average Days on Market: 72
  • Total Value of Real Estate Sold: $4,365,101

West Cape May – 3rd Quarter 2021

  • Number of Transactions: 4
  • Average Sale Price: $663,250
  • Average Days on Market: 146
  • Total Value of Real Estate Sold: $2,653,000

Lower Township – 3rd Quarter 2022

  • Number of Transactions: 122
  • Average Sale Price: $443,727
  • Average Days on Market: 88
  • Total Value of Real Estate Sold: $54,134,774

Lower Township – 3rd Quarter 2021

  • Number of Transactions: 152
  • Average Sale Price: $377,647
  • Average Days on Market: 87
  • Total Value of Real Estate Sold: $57,402,378

Data is from the MLS. All information is deemed reliable but is not guaranteed.

Negotiators VS Messengers. The importance of working with a local full-time agent

By Rachel Arena

Getting into the Real Estate Business has been the most rewarding, challenging, and exciting experience that I could have imagined. Just turning 30, I was ready for a change of pace and always had Real Estate in the back of my mind. I have been with Homestead Real Estate in Cape May, NJ, since the beginning of my career, I truly could not have picked a better place to land. Homestead offers our team and clients unwavering support, the most advanced technology, and the experience and resources that are unparalleled to anyone or anywhere else.

Something that sets me and our team at Homestead apart from the rest, is our incredible negotiation skills. Supporting your client, negotiating strongly on their behalf is what will get your clients to the closing table. We hear a lot of agents say that they “are just saying what their client said.” That is being a messenger not a negotiator. During the last couple of years, we have moved into a sellers-market, resulting in a shortage of inventory and more likely than not multiple-offers-situation which is great for Sellers and listing Agents. Multiple offer situations require ethical and strong negotiation skills that I believe myself and my team at Homestead have proven. I have been in numerous “best and final” and multiple offer situations all of which I used my negotiation skills to win my client’s offer.

Our job as a realtor is to manage our clients’ expectations, provide an objective standpoint, and guide them through the entire process. The best offer is not always the number on the dotted line. A seller is just as likely to choose an offer that best suits their needs at the time, it is our job as a realtor to communicate with the other agent in a professional and timely manner to help guide our clients in the right direction. As a newer agent I have heard from other agents that we are just messengers and that is all we can do; however, I strongly believe that if we are knowledgeable, available, and can present better advice as to why something is a better idea than what they want to do- we must be assertive enough to present that to them. Not just say ok and hang up.

 Being available and answering the phone seems rudimentary but you would be amazed at how many agents do not pick up, sometimes you are lucky if you get a text back. Being a strong negotiator is what will get your clients to the closing table, not being a messenger. As a local full-time Real Estate agent in Cape May, I take pride in my work ethic and being available to my clients. It is something that sets me apart from the rest. Having grown up in Cape May, I thoroughly love where I live and will always guarantee to my clients that I will work harder, negotiate better, and have more local knowledge than the next. I strive to give my clients my utmost attention to detail, keeping them informed every step of the way. Selling or buying a house can be scary and intimating, I am here to make that process an enjoyable one.

I would be thrilled to help you on your next Real Estate venture. I am partners with my husband Nick. We work very well together, and you get two agents for the price of one! Between the two of us, we pride ourselves on being available no matter big or small.

We are available via phone/email/text – whatever works best for you.

Rachel Arena                                                      Nicholas Arena
Cell: 609-435-4298                                       Cell: 856-912-3836
RArena@homesteadrealestate.net          NArena@homesteadrealestate.net

CAPE MAY COMMUNITIES 2nd QUARTER 2022 vs 2021 RESIDENTIAL MARKET STATS

The real estate market is adjusting and is best explained in these excerpts from Brenda Richardson a contributor on Forbes.com The June 13, 2022 article is “Housing Market Is Set To Gain Momentum As Inventory Recovers”

As rising inflation and mortgage rates bring housing demand back from the 2021 frenzy, Realtor.com’s updated 2022 forecast predicts inventory will grow double-digits over 2021 and offer buyers a better than expected chance to find a home.

The updated forecast anticipates a summer break from a feverish pace of home sales that will provide space for active listings to grow at a faster year-over-year pace than originally projected (+15% vs. +0.3%). Combined with returning seasonality and builders ramping up production, these trends could lead to a refresh of the housing market by as early as this fall.

“Financial conditions have shifted in a big way since the end of 2021 and the housing market is adjusting accordingly,” said Danielle Hale, chief economist for Realtor.com. “As Americans grapple with higher prices for everyday expenses while today’s buyers face housing costs that are up 50% from a year ago, recent home sales data shows some are taking a step back from the market.”

Hale added, “Our updated 2022 forecast anticipates that demand will continue decelerating through the summer, providing breathing room for the inventory recovery to accelerate. As a result, this fall could be an opportune time to find a home for both first-time and repeat buyers alike. Still, preparation will be key throughout 2022, as it continues to be a seller’s market and asking prices remain high. For buyers who choose to wait until later in the year, take that time to assess your budget so you’re set up with a strong financial footing whenever you’re ready to move forward.”

Cape May

2nd Quarter 2022

  • Number of Transactions: 42
  • Average Sale Price: $1,097,145
  • Average Days on Market: 146
  • Total Value of Real Estate Sold: $46,080,101

2nd Quarter 2021

  • Number of Transactions: 63
  • Average Sale Price: $1,017,954
  • Average Days on Market: 104
  • Total Value of Real Estate Sold: $64,131,141

Cape May Point

2nd Quarter 2022

  • Number of Transactions: 2
  • Average Sale Price: $1,399,950
  • Average Days on Market: 358*
  • Total Value of Real Estate Sold: $2,799,900

2nd Quarter 2021

  • Number of Transactions: 6
  • Average Sale Price: $1,173,966
  • Average Days on Market: 80
  • Total Value of Real Estate Sold: $7,043,800

West Cape May

2nd Quarter 2022

  • Number of Transactions: 11
  • Average Sale Price: $892,863
  • Average Days on Market: 86
  • Total Value of Real Estate Sold: $9,821,500

2nd Quarter 2021

  • Number of Transactions: 11
  • Average Sale Price: $798,081
  • Average Days on Market: 144
  • Total Value of Real Estate Sold: $8,778,900

Lower Township

2nd Quarter 2022

  • Number of Transactions: 138
  • Average Sale Price: $419,845
  • Average Days on Market: 77
  • Total Value of Real Estate Sold: $57,938,655

2nd Quarter 2021

  • Number of Transactions: 164
  • Average Sale Price: $376,739
  • Average Days on Market: 69
  • Total Value of Real Estate Sold: $61,785,216

*The number of days on the market is an anomaly due to both transactions being new construction properties.

Data is from the MLS. All information is deemed reliable but is not guaranteed.

Top Remodeling Projects for Resale

Refinishing hardwood floors is the remodeling project that pays back the most, recovering the highest percentage of its cost—147%—at resale, according to the 2022 Remodeling Impact Report, a joint study from the National Association of REALTORS® and the National Association of the Remodeling Industry.

Home remodeling projects aren’t only offering a potential boost at resale; they’re also making homeowners happier. Painting a home’s interior, adding a home office, installing hardwood flooring, and renovating closets made consumers happiest, the report shows.

The remodeling boom has continued since the pandemic began as homeowners’ desires to spruce up their homes grow, whether through large house additions or simply small one-room painting tasks.

“Quite often, an added benefit to home renovations is the possibility of an increase in the home’s value, which is a reason why some people remodel,” says Jessica Lautz, vice president of demographics and behavioral insights at NAR. “This is especially advantageous to a homeowner who may be considering selling their house or converting the home to a rental property.”

For the report, REALTORS® provided an estimate of the likely dollar value of various remodeling projects that could add to the value of a home during resale that was compared to National Association of Remodeling Industry remodelers’ estimations of project costs.

Besides refinished hardwood flooring, new hardwood flooring also had the potential for a high recovery at resale, at 118%, as did upgrading the home’s insulation, at 100%, the survey shows.

Among exterior projects, new roofing and garage doors had recovery rates reaching 100% of the project costs, according to the report.

Kitchen upgrades also showed a high potential payback at resale. NARI remodelers estimated an average kitchen remodel would cost about $45,000. But REALTORS® surveyed estimated that $30,000 of that would likely be recovered at resale – a 67% recovery rate.

House Projects That Bring the Most Joy

The survey also identified projects that made home renovators want to remain in their homes and those that brought them an increase in the enjoyment of their spaces. The home remodeling projects that received a “Joy Score” of 10, the top score, were:

Painting a home’s entire interior     Painting one room     Adding a home office    

Hardwood floor refinishing         Closet renovation        Insulation upgrades    

The Remodeling Boom Continues

Americans spent $420 billion in 2020 on home remodeling. Contractors report greater demand for services and for larger-scale projects, such as remodels of more than one room, according to the 2022 Remodeling Impact Report. Eighty-six percent of consumers reported that remodeling one area of their home then inspired them to remodel other areas of the house.

“The pandemic has changed the way we use our homes, and many of those changes are here to stay,” Lautz says. “As a result, homeowners needed to reconfigure or remodel how they use their home and maximize space.”

Thirty-five percent of homeowners said one of the top motivators for their remodel was to improve their home’s functionality and livability. Also, 22% of homeowners were motivated to have greater durability in the materials and appliances inside their homes. Fourteen percent were motivated to improve the beauty and aesthetics of their home.

Source: “2022 Remodeling Impact Report,” National Association of REALTORS® (April 6, 2022)

Cape May Communities 1st Quarter 2022 Residential Market Stats

The Cape May Communities continued to show impressive price appreciation over the last few years, but we are starting to see a slowing of sales activity. This change in activity is mostly due to a lack of inventory. At this time, we have not seen a slowing of buyer demand due to the recent rise in interest rates. The average interest rate throughout 2021 was 2.96%, but by the end of the first quarter, rates had risen to over 4.5%.

Cape May

1st Quarter 2022

  • Number of Transactions: 36
  • Average Sale Price: $1,129,876
  • Average Days on Market: 152
  • Total Value of Real Estate Sold: $40,675,544

1st Quarter 2021

  • Number of Transactions: 51
  • Average Sale Price: $1,095,492
  • Average Days on Market: 140
  • Total Value of Real Estate Sold: $55,870,129

Cape May Point

1st Quarter 2022

  • Number of Transactions: 1
  • Average Sale Price: $2,170,750
  • Average Days on Market: 17
  • Total Value of Real Estate Sold: $2,170,750

1st Quarter 2021

  • Number of Transactions: 4
  • Average Sale Price: $1,062,162
  • Average Days on Market: 141
  • Total Value of Real Estate Sold: $4,248,650

West Cape May

1st Quarter 2022

  • Number of Transactions: 10
  • Average Sale Price: $1,053,750
  • Average Days on Market: 154
  • Total Value of Real Estate Sold: $10,537,500

1st Quarter 2021

  • Number of Transactions: 15
  • Average Sale Price: $905,920
  • Average Days on Market: 162
  • Total Value of Real Estate Sold: $13,588,800

Lower Township

1st Quarter 2022

  • Number of Transactions: 97
  • Average Sale Price: $424,021
  • Average Days on Market: 93
  • Total Value of Real Estate Sold: $41,130,115

1st Quarter 2021

  • Number of Transactions: 141
  • Average Sale Price: $387,903
  • Average Days on Market: 86
  • Total Value of Real Estate Sold: $54,694,376

*Data is from the MLS. All information is deemed reliable, but is not guaranteed.

What are the qualities you need in a Real Estate Agent?

Courtesy of Trisha Kellaway, Sales Associate

The 2021 market was extremely strong and one which our community has not experienced in years. Low interest rates enticed more buyers and investors to surface and there was little to no inventory to meet the growing demand. Homes listed for sale garnered multiple offers. In some cases, buyers waved inspections (not something I recommend) and bid over asking price. Some sellers saw offers that were too good to be true. One such scenario is when an appraisal does not meet the offer and the buyers do not have the cash to cover the difference between their offer and the actual appraised value.

A buyer needs the right support to navigate this market and to achieve their goals of home ownership, without overpaying. A seller needs an agent who will advise them on what to look for in all aspects of each offer, not just the dollar amount.

As a local, full-time real estate agent with Homestead I offer the skills mentioned above in addition to the care and compassion I give each of my clients. Last year, I assisted my clients in buying and selling millions of dollars in real estate. My most rewarding sale in 2021 was a colleague from my prior career who reached out to me as their rental lease was ending. With short notice they needed to find somewhere to live, fast.

Not only did I find them a house to purchase, I found them the perfect home! We went to work that day making a strong offer, beating out other offers with an FHA mortgage. I had excellent communication and rapport with the listing agent, which assists in a more viable transaction. I recommended my clients use the best local mortgage consultant in town, who has a proven track record of getting to the closing table. The job does not stop there, there are inspections, appraisals and more to anticipate. Making it to closing day and handing my clients their keys was my highest accomplishment. I believe their review of my work says it all, “Trisha was phenomenal from our first conversation. She cared about our dream home and making the process simple. Trisha would be an asset to anyone who is looking to buy or sell a new home! Thank you, Trisha, for making our dreams come true!!!” When you make the decision to hire any professional what is the first thing you do? You ask for referrals from friends and family based on their firsthand experiences, research reviews online and hire based on a proven track record. Hiring a real estate agent should be handled the same way. I would be happy to give you my expertise and experience and assist you in the search for your dream home or the sale of your home. Please call 609.780.4469 or email TKellaway@HomesteadRealEstate.Net and allow me to assist you in achieving your real estate goals.

Cape May Communities Residential Market Stats

The year 2021 started off with the lowest interest rates on record, short supply and high demand. This trend continued throughout the year making 2021 the strongest housing market in the last 15 years. Home prices continued to dramatically increase from prior years and sellers experienced multiple offers with some being over asking price. Review the stats below to see the market growth for 2021 vs. 2020.

Cape May

Last 12 Months Sold Data (Jan 1, 2021 to Dec 31, 2021)

  • Number of Transactions: 198
  • Average Sale Price: $1,036,692
  • Median Sale Price: $877,500
  • Average Days on Market: 132

Previous 12 Months Sold Data (Jan 1, 2020 to Dec 31, 2020

  • Number of Transactions: 164
  • Average Sale Price: $887,524
  • Median Sale Price: $759,250
  • Average Days on Market: 139

Cape May Point

Last 12 Months Sold Data (Jan 1, 2021 to Dec 31, 2021)

  • Number of Transactions: 25
  • Average Sale Price: $1,221,458
  • Median Sale Price: $1,015,000
  • Average Days on Market: 140

Previous 12 Months Sold Data (Jan 1, 2020 to Dec 31, 2020)

  • Number of Transactions: 31
  • Average Sale Price: $1,096,668
  • Median Sale Price: $1,070,000
  • Average Days on Market: 149

West Cape May

Last 12 Months Sold Data (Jan 1, 2021 to Dec 31, 2021)

  • Number of Transactions: 38
  • Average Sale Price: $894,071
  • Median Sale Price: $800,000
  • Average Days on Market: 158

Previous 12 Months Sold Data (Jan 1, 2020 to Dec 31, 2020)

  • Number of Transactions: 46
  • Average Sale Price: $710,260
  • Median Sale Price: $694,450
  • Average Days on Market: 159

Lower Township

Last 12 Months Sold Data (Jan 1, 2021 to Dec 31, 2021)

  • Number of Transactions: 557
  • Average Sale Price: $376,432
  • Median Sale Price: $320,000
  • Average Days on Market: 79

Previous 12 Months Sold Data (Jan 1, 2020 to Dec 31, 2020)

  • Number of Transactions: 629
  • Average Sale Price: $316,828
  • Median Sale Price: $269,900
  • Average Days on Market: 116

Cape May Market Update – February 2016

A review of Southern Cape May County real estate markets for the month of February 2016. Written by Micah Yerk.

Cape May County is making it’s final lap of the first quarter of 2016 and two months of data is now in the books as we examine our most serviced markets – what is selling, key market metrics, and what are the 12 month trends…

CAPE MAY

It was a slow month for property transfers in Cape May compared to February 2015, only seeing 5 transactions this past month versus 9 in the previous year (in a leap year, no less). But don’t be alarmed with such a small sample, as it is only worth weighing data samples of at least 6 months in such a small market. Click below to see what sold this past month:

View Sold Homes

Active Homes 
Last 12 Months Sold Data (03/01/15 – 02/29/16):

  • Average Sale Price: $640,374
  • Median Sale Price: $576,000
  • Average Bedrooms: 3.7
  • Average Baths: 2.4
  • Transactions: 108
  • Average Days on Market: 231
  • CLICK HERE for a closer look at what sold in this period

Previous 12 Months Sold Data (03/01/14 – 02/28/15):

  • Average Sale Price: $687,932
  • Median Sale Price: $505,000
  • Average Bedrooms 3.7
  • Average Baths 2.4
  • Transactions: 75
  • Average Days on Market: 270
  • CLICK HERE for a closer look at what sold in this period

What may be striking at first glance here is that the average sale price the last 12 months is over $47,000 LESS than it was the previous 12 months. Do not fret. A better indicator of what is happening in the market is the median price, which saw over a $70,000 increase in that same time. Since the average sized home is almost identical in both data sets it is worth noting the trend. We find ourselves in an election year following some stock market volatility both domestic and abroad. Being in a second home market Cape May could simply be the victim of buyers choosing to forgo purchasing more expensive beach/vacation/investment properties for more modestly priced options.  The fact that the average size of the homes selling is identical, the selling price is significantly less, and the median selling price is significantly higher, what we’re seeing is a concentration of SMALLER homes selling. This reflects the activity we have seen in the Village Green section of Cape May comprised primarily of quads and twins.

Thinking of selling or would like more information from an expert? Reach out to one of our full time agents for more insight into the Cape May Market.

CAPE MAY BEACH

Two new comparables have sold in the Cape May Beach section of Lower Township for you to gauge against your own property (use the sold property search function to further research area sold data and to restrict your search to homes more similar to your property).

View Sold Homes

Active Homes

Last 12 Months Sold Data (03/01/15 – 02/29/16):

  • Average Sale Price: $334,841
  • Median Sale Price: $277,500
  • Average Bedrooms: 3.3
  • Average Baths: 2.0
  • Transactions: 36
  • Average Days on Market: 177
  • CLICK HERE for a closer look at what sold in this period

Previous 12 Months Sold Data (03/01/14 – 02/28/15):

  • Average Sale Price: $328,466
  • Median Sale Price: $232,500
  • Average Bedrooms 2.9
  • Average Baths 2.0
  • Transactions: 18
  • Average Days on Market: 218
  • CLICK HERE for a closer look at what sold in this period

All signs point favorably for Cape May Beach; average and median sale price have increased, the last 12 months has seen a huge increase in activity for residential listings sold (up 100%), and the average days on market for listings sold has decreased significantly.

Thinking of selling or would like more information from an expert? Reach out to one of our full time agents for more insight into the Cape May Beach Market.

CAPE MAY COURT HOUSE

Seven residential homes sold in Cape May Court House this past month while only four home sold in that same time in 2015.

View Sold Homes

Active Homes

Last 12 Months Sold Data (03/01/15 – 02/29/16):

  • Average Sale Price: $218,983
  • Median Sale Price: $215,000
  • Average Bedrooms: 3.1
  • Average Baths: 1.9
  • Transactions: 127
  • Average Days on Market: 205
  • CLICK HERE for a closer look at what sold in this period

Previous 12 Months Sold Data (03/01/14 – 02/28/15):

  • Average Sale Price: $234,424
  • Median Sale Price: $220,000
  • Average Bedrooms 3.1
  • Average Baths 2.0
  • Transactions: 83
  • Average Days on Market: 218
  • CLICK HERE for a closer look at what sold in this period

The good news: there was a huge increase in activity in the past 12 months and the average days on market has dropped. The bad news: the pricing trend in the last 12 months is down slightly, but not significantly. The most important takeaway is that properties are moving more frequently in what has been a stagnant real estate market since the housing crisis.

Thinking of selling or would like more information from an expert? Reach out to one of our full time agents for more insight into the Cape May Court House Market.

CAPE MAY POINT

One property sold in the beautiful town of Cape May Point this past month, and incidentally only one home sold in February of 2015 as well.

View Sold Homes

Active Homes

Last 12 Months Sold Data (03/01/15 – 02/29/16):

  • Average Sale Price: $774,959
  • Median Sale Price: $646,250
  • Average Bedrooms: 3.4
  • Average Baths: 2.2
  • Transactions: 18
  • Average Days on Market: 236
  • CLICK HERE for a closer look at what sold in this period

Previous 12 Months Sold Data (03/01/14 – 02/28/15):

  • Average Sale Price: $712,745
  • Median Sale Price: $650,000
  • Average Bedrooms 3.7
  • Average Baths 2.2
  • Transactions: 21
  • Average Days on Market: 254
  • CLICK HERE for a closer look at what sold in this period

Activity is slightly down in “The Point”, but the average days on market has decreased, median sales price has held steady, and the average sales price has increased significantly (up 8.7%). Temper expectations slightly with the large increase in average sold price knowing that the average sized home to sell was measurably smaller.

Thinking of selling or would like more information from an expert? Reach out to one of our full time agents for more insight into the Cape May Point Market.

NORTH CAPE MAY

Seven North Cape May homes sold in February, up from the count of four to sell back in 2015.

View Sold Homes

Active Homes

Last 12 Months Sold Data (03/01/15 – 02/29/16):

  • Average Sale Price: $211,177
  • Median Sale Price: $198,000
  • Average Bedrooms: 2.8
  • Average Baths: 1.6
  • Transactions: 105
  • Average Days on Market: 152
  • CLICK HERE for a closer look at what sold in this period

Previous 12 Months Sold Data (03/01/14 – 02/28/15):

  • Average Sale Price: $189,058
  • Median Sale Price: $175,165
  • Average Bedrooms 2.8
  • Average Baths 1.5
  • Transactions: 74
  • Average Days on Market: 167
  • CLICK HERE for a closer look at what sold in this period

Things are looking rosy in North Cape May. This desirable off-shore market is up in every category listed above, and most importantly activity has increased along with prices.

Thinking of selling or would like more information from an expert? Reach out to one of our full time agents for more insight into the North Cape May Market.

TOWNBANK

Only one property sold in the Townbank section of Lower Township this past month, which is actually an increase from the zero properties that sold in February last year.

View Sold Homes

Active Homes

Last 12 Months Sold Data (03/01/15 – 02/29/16):

  • Average Sale Price: $365,277
  • Median Sale Price: $297,250
  • Average Bedrooms: 3.1
  • Average Baths: 1.9
  • Transactions: 22
  • Average Days on Market: 173
  • CLICK HERE for a closer look at what sold in this period

Previous 12 Months Sold Data (03/01/14 – 02/28/15):

  • Average Sale Price: $327,329
  • Median Sale Price: $265,000
  • Average Bedrooms 3.0
  • Average Baths 2.0
  • Transactions: 29
  • Average Days on Market: 180
  • CLICK HERE for a closer look at what sold in this period

Townbank has improved in all but one of the categories calculated above (total transactions).

Thinking of selling or would like more information from an expert? Reach out to one of our full time agents for more insight into the Townbank Market.

VILLAS

Ten properties have sold in the Villas this past February, just slightly above the eleven homes that sold the February prior.

View Sold Homes

Active Homes

Last 12 Months Sold Data (03/01/15 – 02/29/16):

  • Average Sale Price: $143,265
  • Median Sale Price: $125,000
  • Average Bedrooms: 2.6
  • Average Baths: 1.4
  • Transactions: 152
  • Average Days on Market: 155
  • CLICK HERE for a closer look at what sold in this period

Previous 12 Months Sold Data (03/01/14 – 02/28/15):

  • Average Sale Price: $141,178
  • Median Sale Price: $125,000
  • Average Bedrooms 2.6
  • Average Baths 1.4
  • Transactions: 127
  • Average Days on Market: 177
  • CLICK HERE for a closer look at what sold in this period

The average property size is almost identical, but prices, days on market, and the number of transactions have all slightly improved in the Villas.

Thinking of selling or would like more information from an expert? Reach out to one of our full time agents for more insight into the Villas Market.

WEST CAPE MAY

Two homes sold in West Cape May, an improvement from the zero homes to sell in  February 2015.

View Sold Homes

Active Homes

Last 12 Months Sold Data (03/01/15 – 02/29/16):

  • Average Sale Price: $486,225
  • Median Sale Price: $469,000
  • Average Bedrooms: 3.5
  • Average Baths: 2.3
  • Transactions: 35
  • Average Days on Market: 209
  • CLICK HERE for a closer look at what sold in this period

Previous 12 Months Sold Data (03/01/14 – 02/28/15):

  • Average Sale Price: $453,186
  • Median Sale Price: $465,000
  • Average Bedrooms 3.4
  • Average Baths 2.1
  • Transactions: 23
  • Average Days on Market: 238
  • CLICK HERE for a closer look at what sold in this period

West Cape May is trending upward in all categories, just keep in mind that these increases should be tempered with the marginal increase in average size of homes selling.

That’s it for this time, sports fans. Want to know more about an area that wasn’t include? Let us know in the comments section and we’ll be sure to add your area of interest for next month’s article.

Data gathered from CMCMLS deemed reliable but not guaranteed.

Micah Yerk is a licensed full time real estate agent and office manager with Homestead Real Estate Co., Inc.