Home Buying in Brewster>Question Details

A. Lee Hembe…, Home Buyer in 77339

How low can it go? The Cape Cod RE Market.

Asked by A. Lee Hemberger, 77339 Thu Oct 6, 2011

While it is a great time to buy for those who've got any skin left in the game, the Cape RE market as a whole is still continuing its downward trend. Any ideas or theories to share as to when we may begin to see it plateau?

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7
I can understand the Realtors answering the way they did, but there are some fundamentals at work here that could be long-term. Most properties in the Brewster / Wellfleet area are overpriced. It's obvious because you can't justify the price by local job/income opportunities or rental income. There are already alot of rentals available in the summer. The baby-boomers are buying these properties with the idea of retiring, but once that demand slows, who is going to buy these ? Most people who work in the area can't afford the houses. My advice: beware, and if you buy something, let it be a choice property that needs work. Otherwise, good luck ! :)
1 vote Thank Flag Link Sun Sep 30, 2012
Hi,
My name is Trish Graham and I have had over 30 years of experience in the financial and real estate markets. Commodities, like real estate, oil, metals, run in cycles.
Trying to capture the bottom of the market increases the probability that you will miss it. Think of the real estate cycle as the face of a clock. 12 is the height of the market and 6 is the bottom. It is virtually impossible in a dynamic market to pinpoint the top or the bottom until after the fact. The goal should be to buy between 4 and 8 and sell between 10 and 2. In my estimation we are between 6 and 7 right now.

I am an accredited buyers representative, and have managed an investment advisory practice for over 30 years. I have owned everything from strip malls, apartments, manufacturing space, rental properties, even hospitality properties. If you need assistance buying a retirement home or an investment property, give me a call.

508-963-9666 or email me @ tgraham@kinlingrover.com
0 votes Thank Flag Link Fri Nov 16, 2012
My name is Deborah Kantor, an Accredited Buyers Representative (ABR) with TODAY Real Estate. I can tell you this current market is fantastic for buyers and sellers! Interest rates are still very low, which is bringing the buyers, and market values are on the rise! Buyers - this is a GREAT time to purchase Cape Cod property! Call me at 508-568-8157 to answer any questions you may have!
0 votes Thank Flag Link Mon Oct 29, 2012
Already happening. Take the town of Brewster on the Lower Cape, for example. Year-to-date, January to June 2012, Brewster has seen the following compared to 2012*:

44.3% increase in the number of units sold (all real estate) over last year
48.3% increase in total dollar volume in the same period (single family/condos)
10.3% increase in the average sales price for single family properties
6.5% increase in median sales price for single family properties

With interest rates at historic lows and prices attractive, the window for buying with optimum purchase power seems to be .....now. Increased demand combined with level inventory will inexorably lead to rising prices.


*Per Cape & Islands MLS statistics.
0 votes Thank Flag Link Fri Jul 13, 2012
Trying to tell you where the bottom is before passing it is basically impossible. I can tell you the activity of sales has been good on homes that are priced in line with todays market values. That being said Real Estate on Cape Cod is still about those three words location,location,location. If it's not location then it's about price for the investors and first time home buyers. So, if you're looking to sell better to list now than wait until we reduce in value further unless you don't need to. If you can afford to wait it out until things turn around that's a great place to be. I will say I have seen homeowners who wanted to sell three years ago and thought waiting a few years would be better. Well we all know how that turned out. Brewster is a very desirable area of the Cape and if priced well tends to sell quickly. If I can be of service feel free to contact me or visit my website to check out Cape Cod property values.
Web Reference: http://www.lisacannata.com
0 votes Thank Flag Link Fri Oct 7, 2011
Anyone that tells you when a plateau is should be in the stock market not the real estate market.

Property values can go down a lot further. Rates are so low, which is trying to help, but try values are based on demand and ones ability to pay.

The cape has many second home owners and those that have retired. Second homeowners will let those homes go firest to save their primary home. Those that retire and sell their primary home at a lower price will have less to buy their retirement property.

I don't believe I'm telling you anything your didn't already know. But all that said, if you like a home, can afford the home and are buying it for those reasons, not caring if it increases or decreases in value, then buy it.

If you are always going to try to catch the market, go to VEGAS
0 votes Thank Flag Link Fri Oct 7, 2011
Hi Lee,

It seems like we are bouncing along the bottom. Some properties are selling for prices higher than I would expect, others are still being reduced to lower than what I'd expect before they go under agreement. One thing is for sure, you don't know you've hit the rock bottom until you've passed it. For buyers, the most important variable right now is the amazingly low interest rates. We don't know how long these rates will last. Experts seem to agree that there will not be significant appreciation in real estate until 2015 at the earliest. The converging factors of low interest rates, low prices, and high inventory make this a "perfect storm" for buyers. Right now is the best opportunity for buyers on Cape Cod. That's why my phone is ringing off the hook for showings this weekend! Sincerely, Amy Harbeck
0 votes Thank Flag Link Fri Oct 7, 2011
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