One week before Memorial Day, there was a noticeable change throughout Shelter Island, with foliage filling in for a full green canopy, flowers blooming, boats returning to surrounding waters, and seasonal restaurants and shops now open for business.
The business of the real estate market continues to be brisk, with customers taking advantage of historically low interest rates: 30 year conventional mortgages are currently offered at an average of 4.02%. The National Association of Realtors predicted last week that interest rates will rise to 4.5% by the end of 2017 with more increases anticipated in 2018. Many buyers currently in the market are goal oriented, wanting to be in their new homes for the summer.
Sales for the first quarter of 2017 are 11.55% less than the first quarter of 2016, however there is a 12.72% increase in Winter-Spring sales for the time frame October 1 st 2016 to March 31 st 2017 compared to October 1 st , 2015 to March 31 st 2016.
FIRST QUARTER 2017-2015
2017 #Sold 18 Total $22,519,380 Median $736,440
2016 #Sold 25 Total $24,349,000 Median $821,500
2015 #Sold 12 Total $12,931,125 Median $797,500
OCTOBER 1 ST THROUGH MARCH 31 ST – WINTER/SPRING SALES
2016 – 2017 $57,891,280
2015 – 2016 $51,358,601
For the second quarter 2017, there are 13 closed sales as of this writing totaling $14,414,000 and 12 properties totaling $17,513,000 in contract.
Shelter Island traditionally has limited inventory, however there are currently excellent investment opportunities in every category: starter homes, inland homes, waterfront homes, and acreage.
The 2017 rental season has been a series of starts and stops, affected by inclement weather, holidays, and the outcome of Shelter Island Town short term rental regulations. Over the last five years, many seasonal tenants have opted to purchase their own vacation homes. There are still many good rental options available in all time frames.
This Memorial Day, as we enjoy our beautiful island at the beginning of summer, let us also “Never Forget and Ever Honor.”