Cape Cod 2021 Real Estate Market Recap for Chatham, Harwich, Orleans & Brewster

January 13th, 2022

2021 was a year for the record books. The shortage of available listings continued from 2020, with multiple offers and bidding wars becoming the norm. It was a very frustrating year for Buyers AND for Realtors. I personally do not like when my Buyers to have to bid against other Buyers, dropping normal contingencies like mortgages and home inspections just to make a competitive offer. In the end, many Buyers would seemingly overpay for a home that had not been inspected before purchase. Sometimes this home would be in the millions of dollars, too.

That being said, I do not see this market changing in the near future because there is so much pent up demand. Life is different for people who can now work from home and choose to not live in a crowded city environment anymore. The Cape offers a more relaxed lifestyle and is still very close to Boston; I don’t feel things will slow down in 2022. Many Buyers are also cash customers so the rising rates are not a deal-breaker as some may think. The sales prices continue to rise so if you REALLY want a home on Cape Cod in the near future, you need to jump in and buy sooner rather than later. Here is a summary of the four towns that make up the Lower Cape.

CHATHAM – Median Sale Price increased 44.8 percent in 2021 versus 2020. It went from $863,000 to $1,250,000. There were 242 CLOSED sales of single family homes (SFH), down 14.5 percent from 2020, and 235 PENDING sales of SFH, down 23.5 percent.

HARWICH – Median Sale Price increased 18.7 percent in 2021 versus 2020, from $514,000 to $610,000.  There were 257 CLOSED sales of SFH versus 328 in 2020, a difference of -21.6 percent. PENDING sales of SFH were down 23.7 percent.

ORLEANS – Median Sale Price rose 14.9 percent for SFH in 2021, to $951,000. In 2020 it was $827,500. CLOSINGS sunk 33.8 percent to only 131 SFH sold; compared to 198 in 2020. Finally, PENDING sales were also down 35 percent year over year.

BREWSTER – Median Sale Price for Brewster SFH increased 29.6 percent in 2021 to $700,000, compared to $540,000 in 2020. CLOSINGS were down by 18.6 percent with 175 SFH sold, compared to 215 that sold in 2020. PENDING sales were down 24.9 percent as well.

Finally, DENNIS is not the Lower Cape but I do work in this market and I know it’s a popular destination for a lot of Buyers. So I will give a recap for Dennis, too.  Here the Median Sale Price for a SFH rose 26.9 percent to $533,000. This is compared to $420,000 for 2020. The number of CLOSINGS dropped 12.8 percent to 355, versus 407 in 2020. PENDING sales were also down 13 percent by year’s end.

Keep in mind that Pendings and Closings were not down because it’s a bad market and no one wants to buy. On the contrary there were just not enough homes for sale across the Cape in 2021. If there was more inventory, we would have blown away 2020 numbers by a landslide! I personally sold 35 Million dollars of real estate in the first 6 months of 2021; the second half of the year there was literally nothing to sell.

On a positive ending, we are off to a new start with 2022, so let’s see where this journey takes us!

 

 

Market Update Jan-May 2021 Lower Cape Cod

June 21st, 2021

So you heard that real estate is a bit crazy right now? Take that and quadruple it because these are unprecedented times.  At the root of this craziness is supply and demand; there is very high demand with few homeowners listing their property for sale. Most of them cannot find a replacement home (whether they want to downsize or buy a larger home), there’s just not much for sale right now. Not just here but all across the Country.  The first five months of the year have been unbelievable. Here is the breakdown for the Lower Cape towns from January through May, 2021:

Chatham – Pending sales of single family homes are up 26.2 percent and Closed sales are up 76.7 percent with 106 sold homes. The Median sale price in Chatham year to date has increased 74.5 percent, from $735,500 to $1,283,750. Normally our busiest market for new listings, they are down 25.6 percent this year.  Condo sales in Chatham are at a record high with 23 under agreement compared to just 3 this time a year ago; an increase of over 600 percent! So far 12 have sold at the Median sale price of $394,500, an increase of 7.6 percent.

Orleans – Pending sales for single family homes are up 67.6 percent with 62 homes under agreement through the end of May, versus 37 the year prior. Closings increased 28.9 percent with 49 sold homes thus far. The Median sale price increased 28.65 percent year to date ending at $977,000.  New listings in Orleans decreased 15.9 percent. Condo sales in Orleans include Pending sales up 38.5 percent and Median sale price up 11.3 percent to $339,000.

Harwich – Single family home sales are down ONLY because there is not enough inventory to meet demand of would-be Harwich Buyers. Pendings are down 4.8 percent, Closings down 14.3 percent but Median sale price UP $24.6 percent to $532,500. Many Buyers are looking towards condos as a viable alternative; Pending condo sales are up 118.2 percent and Closings up 133.3 percent. The Median sale price of condos year to date is up 36.9 percent, to $349,000.

Brewster - Much like Harwich there is not the inventory in Brewster. Pending sales of single family homes are exactly the same as 2020 with 64 under agreement, and Closings down 3.6 percent with only 53 year to date Sold. However, Median sale price is up 30.76 percent, to $637,000. Same in the world of condos in Brewster; through May there were 24 condos Pending, 23 Closed, and a Median sale price up 33.7 percent to $325,000. One of the most stunning statistics to me is days on market for Brewster condos. This went from 87 days in 2020 to just 6 days in 2021, a 93 percent decrease.

So it may be a Seller’s Market right now, but with a top Buyer Agent on your side, you can still make your dream of a home on Cape Cod a reality!