Last year saw historically high prices and record inventory levels in the Cape Cod real estate market with housing inventory nearing depletion and a lack of new homes to replace off-market properties.
According to Cape Cod & Islands Association of Realtors 2021 Annual Market Reportthe lack of homes for sale continues to fuel the rise in prices.
In 2021, 5,296 homes were sold, down 13.4% from 6,117 in 2020. More than 5,000 homes were put on hold in 2021 (5,274), down 16.7% from last year. previous year, which had seen 6,328 pending sales.
The booming housing market caused by the pandemic has been dampened by a lack of inventory, but that hasn’t dampened prices, only sales, said CCIAOR CEO Ryan Castle.
“There is an imbalance in the market,” Castle said. “We have more demand than available homes and we are seeing a historically low number of new listings coming onto the market. This is a bad harbinger for Cape Cod’s economy as home sales drive many other facets of the economy.
Homes for sale on Cape Cod fell 54.8% at the end of 2021, with only 388 homes for sale, compared to 859 homes at the end of 2020.
The report also revealed that the median sale price of a house in Cape Town was $570,000 in 2021, an increase of 19% from the previous year, while the average sale price of a house was $786,120, up 18.3% from 2020.