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Data source: LINK Nantucket, Nantucket Listing Service

The Nantucket Real Estate ReportMarch 2013

MarketUpdate:

Inlikealion,outlikealamb?- Talkaboutvolatility...Marchnot only brought rough weather to the island causing bot

destructionandloss,italsoaffectedrealestateactivityaswell.While1stquarter2013soverallslowdowninclosingsmaystillbinpartattributabletotheElurryofclosingsoccurringatyear-end2012,Marchsdropin salesactivitywas still somewhat startlingWithatotaldollarvolumeofonly$16.3M,March2013witnessedthelowestdollarvolumeofactivity for aMarch since1997buenjoyedhavingthehighestnumberofactualpropertiessold thiyear(with24propertiessold).

Withdaffodilssprouting upeverywhereandspring Einallyherthe combined 30 accepted offers and Purchase and Sal

AgreementsexecutedinMarch(reElecting$32.7Mintotallistingsisapositivesignthat2013continuestolookpromisingdespiteitrelativelyslowstart.

16SwiftRockRoad$830,000

MARCHS10LARGESTTRANSACTIONS

34PineStreet$815,000

CLCKHEREFORTHECOMPLETELSTOFPROPERTYTRANSFERS

8CoonStreet$2,000,000

52GoldEinchDrive$742,000

17NanahumackLane$1,195,000

54NobadeerAvenue$1,025,000

3MarcusWay$1,355,000

39PilgrimRoad$1,217,500

29LyonsLane

$925,000

2HendersonsDrive$734,000

LowestdollarvolumeMarchsince1997buthighestnumberofpropertiessoldthisyear...

Sold $ Volume Sold Sold $ Volume Sold Sold $ Volume Sold

Land 8 $4,371,504 3 $1,605,000 166.67% 172.37%

Commercial 0 $0 1 $1,450,000 -100.00% -100.00%

Multi-Family 0 $0 0 $0 0.00% 0.00%

Condos & Co-op 4 $1,351,000 4 $2,415,400 0.00% -44.07%

Single-Family 12 $10,611,000 23 $25,920,494 -47.83% -59.06%

24 $16,333,504 31 $31,390,894 -22.58% -47.97%

20122013 % Of Change From Last Year

March 2013 Activity Com pared to March 2012 Activity

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Lower o arvo umewit moretransactions:

Still feeling the effects of 2012s year-end sales blitz, lastmonthsdramaticdropindollarvolume,whilecontinuingtoseagreaternumberofpropertiesthaninJanuaryorFebruary,wasnotthatunusual.Since2009Marchhasexperiencedsteady decline in overalldollarvolume while consistently being the most active salesmonth when compared t

JanuaryandFebruaryofeachyear.Whatstandsoutisthatlastmonthstotaldollarvolumewasnotonlythe lowesince1997,the numberofactualsaleswerejustunder66%ofMarchsaveragenumberofsalessince 1997aswe(thoughaboutaverageforlastEiveyearsdueto2009sverylowactivityofonly9sales).

Marchsdollarvolumefellshortof2012svolumeby48%andwas51.6%below2011levels,57.8%below2010leveand15.8%lower than2009 levels. March2013sclosingswere 22.6% lowerthan whatoccurred in 2012, 11.1below2011levels,22.6%lowerthan2010levelsand200%higherthan2009levels.

LandSales:

Landclosingsinvolved8parcelstotaling$4.37Minsales(makingup33.3%ofthetransactionsand26.8%ofthesalevolume). Thisis incomparison to4 land purchasestotaling $3.87MinFebruary(makingup18.2%ofthemonth

salesvolume,and13.9%oftransactions).There are 61 land-parcels currently on-market with 5 of them larger than 5 acres. The largest parcel currentavailableis13.5acres(ithasbeenon-marketover21/2years).Otherlandparcelscurrentlyavailable:

17propertiesbeinglessthan11,000sq.ft.insize,

18parcelsbeingbetween11,000sq.ft.and22,000sq.ft.,

12parcelsbetweenacreand2acresand

10propertiesbetween2and5acres.

Pricesrangefrom$2.60/sq.ft.foran8.82acreparcellocatedonTuckernuckto$520.12/sq.ft.fora14,000sq.ft.lotlocatedat16LincolnAvenue.Over80%ofcurrentlyavailablepropertiesarepricedlessthan$70/sq.ft.

CommercialActivity:

NocommercialpropertiessoldinMarch2013,compared to1 commercial propertysoldlastMarch(therewerencommercialproperty transactionsin JanuaryorFebruaryeither).However,7 commercialpropertiesareundeagreementwaitingtoclose.

Currently,thereare17commercialpropertieslistedforsaleon-island(4ofwhichareunitsbeingofferedseparatelytogether).Ofthese,4arelocatedinTownwiththebalancespreadthroughouttheisland.Basedonlastyearssaleof22commercialproperties,wehavelessthana6monthsupplyofcommercialpropertycurrentlyforsale.

The Nantucket Real Estate Report

WONDERINGIFNOWISTHERIGHTTIMETOSELL ?

IwillbehappytoprepareaComparativeMarketAnalysisthatincludesanopinionofvalueforyourpropertyandin-depthlookatmarketconditionsforyourparticularareaoftheisland.

http://www.leerealestate.com/contact-us/comparative-market-analysis/http://www.leerealestate.com/contact-us/comparative-market-analysis/http://www.leerealestate.com/contact-us/comparative-market-analysis/http://www.leerealestate.com/contact-us/comparative-market-analysis/http://www.leerealestate.com/contact-us/comparative-market-analysis/http://www.leerealestate.com/contact-us/comparative-market-analysis/http://www.leerealestate.com/contact-us/comparative-market-analysis/http://www.leerealestate.com/contact-us/comparative-market-analysis/

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ng e- am y ome a es:

While there was a deEinite increase in land sales activity in March,residentialrealestatecontinuedtobewherethe bulkof salesactivityoccurred. Accounting for 66.7%of the months transactions (82% in

February),residentialrealestatesalescontributedtoslightlymorethan73%ofthemonthsdollarvolumeaswell(86.5%inFebruary).

Single-family home sales made up 65% of the total sales volume in

March (76% in February) but accounted for only 50% of thetransactions(54.4%inFebruary).Condosamountedtoonly8.3%ofthesalesvolumebutaccountedfor16.7%ofthetransactionsforthemonth.Residential properties under $1,000,000 made up 61.8% of Marchshome sales volume (compared to 30.7% in February) and 45.2% ofMarchstotalsalesvolume(26.4%inFebruary).

While the 3residentialsalespricedbetween$1M and$2.5Mwere thesame number as seen in February, there were no transactions over$2.5M(comparedtoFebruarys 2transactionstotaling$11.5M makingup48.3%ofthe totalresidentialsalesvolume and41.4%of totalsalesvolumeinthatmonth).

Since February 2012, last month was the Eirst month to have nopropertysales higher than $2.5M (highestsale was$2M). Residentialpropertysalesaveraged$747,625for themonthversus$1,121,563 in2012, $1,296,229in2011and$1,454,942 yeartodate 2013(a20.3%increaseoverthesametimeperiodin2012).

Days On-Market:

Onaverage,the13residentialrealestatepropertiessoldthrougharealestateEirmandclosedinMarch,wereon-market155dayscomparedto215daysforFebruarys16properties.

Residential Pricing:

The 8 price adjustmentsmade during the month of Marchwere thesame numberof price adjustments seen in February butsigniEicantlylowerthanwhathashistoricallytakenplaceinMarch(15in2012,21in2011,25in2010and27in2009).Despitea33%declineinclosingslastmonth (compared to March 2011 and 2012), the 15 accepted offerswereonparwithrecentyears(14in2012,16in2011,12in2010and3in2009).

Of the 244propertieswith a pricing adjustment in the past year, 90have eitherbeen sold or are under agreement. Average reduction inpriceofsoldpropertieswas22.9%duringthistimeperiod.

Onaverage,residentialpropertiesclosedat93.3%ofEinalaskingprice,

88.7% of original asking price in March (for the 13 properties soldthrougharealestateEirm,excludingprivatesalesandforeclosures).

LEEREALESTATE A higher level of Service

Price Range Total $ Volume< $750K $4,819,50$751K - $999K $2,570,00

$1M - $1.499M $2,572,50

$1.5M - $1.999M $

$2M - $2.499M $2,000,00

$2.5M - $2.999M $

$3M - $3.499M $

$3.5M - $3.999M $

> $4M $

Total $11,962,00

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YTD Activity:

Yea r t o d a te , 57 r ea l e st at e t ra ns ac ti on s h av e b ee ncompleted compared to96 for the same time-period last year. Of

these transactions, 44 involved residential properties, comparedto72residentialpropertiessoldduringthesametime-periodin2012.

Residentialpropertypricesareaveraging$1.455Msofarthisyear,up20.3% from 2012 levels while median prices declined 11.2% to$715K.The 35propertiessellingthrougharealestateEirmthisyear(excludingforeclosuresandprivatesales)soldonaverageat:

92.6% of their Einal asking price (89% if the large SquampropertysoldinFebruaryisexcluded)

87.5%oftheiroriginalaskingprice(82.1%ifthelargeSquampropertysoldinFebruaryisexcluded)

94%oftheircurrentassessedvaluation(forthe42propertiesshowinganassessedvaluation)

101%of theircurrent assessed valuation for the 33propertiessoldbyaEirmwithanassessedvaluation

Average time on-marketwas205days (6were on-marketmorethan1year)

There have been 14 land sales this year at an average sale priceof$660,107.The9parcelssoldthrougharealestateEirm(excludingforeclosuresandprivatesales)soldonaverageat:

88.7%oftheirEinalaskingprice 83%oftheiroriginalaskingprice 99%oftheircurrentassessedvaluation(forthe9properties

showinganassessedvaluation) Average time on-marketwas574days (206daysforthe5

propertieson-marketlessthan500days)

Availability:

OnMarch31at, there were332Nantucketproperties listed forsale,264ofwhichwereresidential;comparedto318propertieslistedforsaleattheendofFebruary(253residentialproperties).Attheendof2012therewere337propertieslistedforsalecomparedto483attheendof2011, 432attheendof 2010and488attheendof2009.TheEirstweekofApriltherewereatotalof19newlistingsandpropertiesbroughtbackon-market-a5.7%increaseinoneweek.

Based on the last 12 months activity, there is approximately 13monthsof residential real estate inventory, a 81/2 month supply ofland inventoryand 1yearsupplyof commercial inventorycurrentlylistedforsale.

58 Main Street

Nantucket, MA 02554

Telephone: 508.325.5800 | Fax: 508.228.612

www.leerealestate.com

LEE REAL ESTATE A higher level of service

Bottom-line:

With453salestransactionsinthepa12months resultinginover$781M ivolume,comparedto 357transactiontotalingalmost$557Mduringthesamtimeperiod in2011/2012, the last1months activity reIlects an overaimprovement in the Nantucket reaestatemarket.

Andwhile this improvement is a sursign buyers have returned to thmarketplace, pricing continues tdrivesalesatallpricepoints.

While these particular propertieaveraged 262 days on-market wit30% of them on for more than 30days, compared to 24% on-markemorethan300daysin2011/2012,yomightthinktherewouldnt bea lot oo lder inventory s t il l avai lab leHowever, 38.5% of the propertiecurrentlyforsalehavebeenon-markemore than 300 days with 10.5% othemon-marketmorethan2years.

tisstillabuyersmarket...

DanDunladan@leerealestate.com

www.leerealestate.com

http://www.leerealestate.com/mailto:dan@leerealestate.comhttp://www.leerealestate.com/http://www.leerealestate.com/http://www.leerealestate.com/mailto:dan@leerealestate.commailto:dan@leerealestate.comhttp://www.leerealestate.com/http://www.leerealestate.com/