Home prices rose throughout the South Jersey Shore real estate market last month, according to the Long & Foster Real Estate Market Minute report. Atlantic County experienced a 23% increase, while Cape May County ticked up 17% in median sale price.
Active inventory decreased across the region with Cape May County exhibiting a 20% drop while Atlantic County experienced a 2% decline. The number of units sold were up by 4% in Atlantic County but dropped by 16% in Cape May County, compared to a year ago.
“Like many people in the country, we’ve been actively monitoring the developments around the coronavirus,” said Gary Scott, president of Long & Foster Real Estate. “It’s a constantly changing situation and although the long-term impact is not yet known, we do know some short-term opportunities have arisen for buyers and sellers.”
Mortgage interest rates are now at an all-time low – almost 1% lower than they were a year ago, which can increase a consumer’s buying power significantly. “While inventory continues to remain a significant challenge, our sales units and sales volume are up significantly during the first two months of this year, which we attribute to our low interest rate environment,” said Scott.
Scott added that real estate remains a solid investment with proven appreciation over time. “Homes increase in value nearly 5% per year nationwide,” said Scott. “In times of stock market downturns, consumers and investors will often put their money into the purchase of real estate as a safe haven from the volatile swings of the stock market.”