It is always a challenge to assess the current market conditions without the benefit of hindsight. However, a recent, and rather stark market indicator is that there have been only two single family residential sales so far in 2018 under $500,000 (that were not restricted to affordable housing or a condominium property). In January a Madaket townhouse sold for $460,000 and a 2 BR/1 BA cottage on Hooper Farm Road of 912 s.f. sold for $500,000. There are currently no single family residential properties listed on the open market for sale on Nantucket for less than $500,000. Yikes.
What does this mean? It means that folks who live on the island year round are feeling the market pressures even more acutely than they were a year ago. It means that the demand has rapidly outstripped supply and that folks are faced with some serious choices about whether not not to remain on island. And it may mean that we are headed for some sort of slow down or correction. This is a typical pattern before the market hits a price zenith.
In 1994 the average price of a Nantucket property was $291,000. Ten years later is was $1,353,000; in 2014 it was $1,915,000 and today, so far this year, it is $2,029,000. Stay tuned.