Cape Cod Market Update February 2021

January Review: 

While the January market was still exceptional, it gave us the first opportunity to breath since May of 2020; however this was not a typical "seasonal slow-down".  Median price was up 33% from this time last year but held steady compared to the previous month, December 2020. Additionally closed sales declined significantly in January, to 297, which is more standard for this time of year. However the abysmal inventory (almost exactly 1000 fewer units than this time last year!) means that, what appears to be a slow down in the market is largely driven by the frenetic pace at which homes are being put under agreement, and therefore taken off the market. In other words, of course the industry saw a slowdown in house sales in January, there were only 453 homes in all of Barnstable County available to sell!

These numbers favor sellers greatly and the best advice we can give a potential seller is -- sell! The desperately market needs an infusion of inventory to start rebalancing and, since construction isn't keeping pace, the existing housing stock has to make up some of this ground.  With a prolonged dearth of inventory we see home affordability continuing to decrease on Cape Cod which will have larger ramifications for both the local economy and the shape of the real estate market on Cape Cod.

Whichever seat you are in, whether buying or selling, 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.

	Nov	Dec	Jan
Closed Sales	457	491	297
Inventory	724	542	453
Median Sales Price	$585k	$570K	$570k
Avg Days on Market	63	57	67
Avg % of Original Price	98%	98%	98%