Spanning sixteen states along the Atlantic and Gulf coasts, the Beach Real Estate Market Report provides an in-depth look at these desirable beach and coastal markets.
This quarterly report from Beach Homes Realty is filled with promising news for those eyeing a waterfront lifestyle, with the total market value growing to $111 billion. Ten of the sixteen states included have a combined home and lot listing value of over $1 billion each, creating an array of opportunities for prospective beach home buyers.
The complete list of states exceeding $1 billion in listings includes:
- Florida (78.7 billion)
- South Carolina (7.58 billion)
- Texas (4.37 billion)
- New Jersey ($4 billion)
- Massachusetts ($3.86 billion)
- North Carolina ($3.26 billion)
- Maryland ($3 billion)
- Alabama ($2.06 billion)
- Delaware ($1.20 billion)
- Connecticut ($1.10 billion)
Florida also leads in the number of listings, with 59,238 beach homes and lots, followed by:
- Texas – 10,070
- South Carolina – 10,021
- North Carolina – 5,843
- Maryland – 5,682
- Alabama – 2,849
- Mississippi – 2,870
- New Jersey – 2,666
- Massachusetts – 2,312
- Delaware – 1,626
- New Hampshire – 653
- Connecticut – 630
- Louisiana – 520
- Georgia – 455
- Virginia – 178
Top Beach Real Estate Markets
The Fall 2024 Beach Real Estate Market Report from Beach Homes Realty presents a promising outlook for those looking to invest in beachfront properties. Naples, Florida, stands out as the leader, boasting the largest selection of properties, with a combined value of $4.88 billion in beach homes and lots.
While Naples provides an abundance of options, the possibilities don’t end there. Here are some of the top locations in the nation for beachfront listings:
- Fort Lauderdale, Florida – $4.12 billion
- Tittabawasee River, Florida – $2.76 billion
- Miami – South Miami, Florida – $2.59 billion
- Sunny Isles Beach, Florida – $2.51 billion
NAR Settlement Meets Unofficial Recession: Minimal Impact for Discretionary Housing
While the U.S. economy remains robust, the housing market continues to navigate an unofficial recession. Despite the cooling in primary residential real estate, beach properties and other discretionary housing types are showing early signs of recovery, potentially poised to pick up momentum ahead of the broader market.
Although it’s too soon to determine the full effects of the NAR commission settlement, real estate commissions could see a gradual reduction across several property types. However, due to unique demand patterns and the premium often associated with beach and vacation homes, any compression in commissions may be less pronounced in these niches compared to primary residences.
Glenn Phillips, CEO and Chief Economic Analyst, expects a smaller impact on beach and discretionary housing, where high-net-worth buyers appreciate the value of professional guidance.
“Beach home buyers are financially capable and tend to value expertise over minimal fees,” said Phillips. “These clients understand that sometimes being cheap on a fee can lead to a more costly deal overall.” This sentiment highlights the distinct dynamics of the beach real estate market as it navigates current economic challenges.
Factors Impacting Beach Real Estate in Late 2024
Several factors are influencing this year’s housing stall. The lead-up to the presidential election traditionally slows discretionary home sales as buyers are preoccupied with election news. “I don’t believe people are genuinely waiting for election outcomes; they’re simply distracted,” Phillips noted. Additionally, he observes a seasonal slowdown in home sales during the holidays when buyers focus on work and family, which is even more noticeable for beach homes in distant markets.
Rising inventories are also contributing, with many properties initially overpriced. Phillips expects more realistic pricing trends through 2025 to better meet buyer expectations.
“Sellers are starting to understand that overpricing only keeps properties stuck in inventory,” Phillips explained. “The trend toward realistic pricing should continue, helping move these homes to sellable price points.”
More Purchase Power Without Market Frenzy
Unlike traditional markets, beach property buyers are less impacted by interest rate fluctuations, as many pay in cash or secure favorable rates due to strong financial positions.
Phillips observes that beach buyers are highly strategic, waiting patiently for the right property at the right price rather than entering the market hastily due to interest rate changes. “Beach home buyers are not in a frenzy. They have the buying power and patience to wait for properties that meet their expectations,” he said.
Phillips urges beach property sellers to consider the national competition from other beach areas when setting prices. Buyers on Beach-Homes.com often compare multiple beaches in different states, creating a competitive landscape that requires sellers to price accurately against similar properties nationwide.
“Sellers must recognize they’re competing not only with local listings but also with properties on other beaches across the country,” Phillips explained. While broad marketing is essential, he emphasizes, “I want to be clear: NO amount of marketing can overcome overpricing!”
Top 5 Most Expensive Beaches for Home Listings (Average Price)
1. Manalapan, FL – Avg. of $38,800,643
2. Miami – Palm Island, FL – Avg. of $14,138,909
3. Miami – Fisher Island, FL – Avg. of $13,937,660
4. Jupiter, FL – Avg. of $8,719,474
5. Duxbury, MA – Avg. of $7,434,900
Top 5 Beach for Number of Home and Lot Listings
1. Cape Coral, FL – 3,124
2. Myrtle Beach, SC – 2,783
3. Corpus Christi, TX – 2,227
4. St. Petersburg, FL – 1,920
5. Galveston, TX – 1,720
The Fall 2024 Beach Real Estate Market Report shares a summary of data collected from 36 Multiple Listing Services (MLS) areas in the 16 states served by Beach Homes Realty and is, to its knowledge, not available from any other source. Copies of the Fall 2024 Beach Real Estate Market Report are now available to download at https://www.beach-homes.com/info/beach-real-estate-market-reports