On July 26, 2023 the central bank’s Federal Open Market Committee (FOMC) raised its funds rate by a quarter percentage point. It is questionable as to whether there will be any additional increases this year. The increase is the 11th time the FOMC has raised rates since March 2022. The fed funds rate sets what banks charge each other for overnight lending and it impacts many forms of consumer debt ie.) mortgages, credit cards, automobile loans and personal loans. Thus, we have continued to see mortgage interest rates increase. During these rate increases we have seen Buyers take a step back to analyze the market.
As interest rates have continued to increase throughout 2023, so have LBI prices due to a lack of inventory. LBI inventory numbers remain extremely low in comparison to inventory levels pre-Covid. There are only about 100 single family homes on LBI for sale at the writing of this post. We expect inventory levels to take quite some time to rebound, but we do expect to see an uptick in inventory once the summer rental season is over.
Buying on LBI still remains a great investment opportunity but for some it may take longer than anticipated to find the right property. For Sellers, the lack of inventory and the holding of prices makes listing in the near future a great opportunity. If you are looking to buy, sell or are just curious as to the value of your home, please feel free to reach out to me!
Looking to buy or sell on LBI? Call me at 609-300-3899.
Email: lbideidre@gmail.com
Insta: deidre_martin_lbi
Website: lbideidre.com