|
There is no more solid vacation home destination along the New Jersey coastline than Seven Mile Beach. Once again, NJ vacation home destinations ended up being exceptional in 2025, with Stone Harbor and Avalon leading the way with property values. Although real estate markets have their ups and downs over the course of many years, with the low population density, strict zoning codes and quality construction Seven Mile Beach is the premier destination.
NEW CONSTRUCTION SALES continue to have a positive impact on property values, and are continuing to show appreciation, especially with over 80% of new construction being “custom homes.” With the abundance of NEW CONSTRUCTION on the island, land values continue to increase. 2020 was an exceptional year in the number of units SOLD with the numbers dropping in recent years.
APPRECIATION: On a barrier island, like Seven Mile Beach, Average Sale Price is not always the best indicator of whether there is appreciation or depreciation in property values. Average Sale Price is greatly impacted by the number of high end and low-end properties selling. Determining the value of property is much more specific than looking at Average and Median price of properties on a barrier island where there is such disparity in value from block to block going east to west, BEACH to BAY.
The two categories to focus on that impact property values in Stone Harbor and Avalon are SINGLE FAMILY HOMES & CONDOMINIUMS which accounts for over 90% of the sales on the island.
AVERAGE DAYS ON SALE MARKET: The overall average DAYS ON MARKET (DOM) for all properties SOLD is much higher in a vacation home market than in a primary home market. In the primary home market buyers have a greater sense of urgency, i.e.: change of jobs, moving to a different school district, retiring, etc. which is why there are far more multiple offers and much shorter DOM. Over the years Average Days on Market in Stone Harbor and Avalon, in the best of times, run between 120 to 180 DOM. Even in the amazingly high vacation home demand of 2025, the average DOM in Avalon was 146 days and in Stone Harbor 166 days.
The four charts below provide you with a 10 year view of sales in both towns. They demonstrate stability and consistency.
See more in the February issue of Hugh's News
|
