Peak Shore?

From the Philly Inquirer:

Did Shore house owners push their luck with high rents? Prices are dropping and weeks are open.

Last summer, her Shore house in Avalon fully booked, Katie Leighton took the family on a vacation to Europe. But this summer, a gaping hole emerged in prime season as some of her regular renters decided to take their families to Europe.

So she and her family spent a lovely week at the Jersey Shore.

“My kids have never spent a week at the beach at high season because it was always rented,” said Leighton, of Wilmington. “They were doing cartwheels.”

After three summers of a pandemic-bloated crush of demand that filled up Shore homes, created new investors, and pumped up rental and sale rates, things this summer are quite different. Unheard of in past summers, weeks are going unrented, and rental prices are dropping.

Maryellen Sheehan, who owns five Shore houses in Ocean City and manages others, says the market has definitely softened this summer.

One owner of a home she helps manage dropped a prime week’s price of a five-bedroom place with ocean views from $10,000 to $5,000 in order to get it booked.

It’s a big deflation from the last three summers, when it seemed nobody went anywhere else but the Shore.

But as owners raised their rates, people began to balk.

Overall, she said, there were 5,174 available listings at the Jersey Shore in June, down to 4,988 in July. This still represented a 13% increase in availability from a year earlier, possibly reflecting an increase in investors new to the market. Demand did not keep pace, she said.

This entry was posted in New Jersey Real Estate, Shore Real Estate, Unrest. Bookmark the permalink.

23 Responses to Peak Shore?

  1. Phoenix says:

    First

  2. Phoenix says:

    The Joker was right.

  3. Phoenix says:

    Poor ladies like nice purses too- marketing, advertising-it works so well on everyone:

    Merry Christmas early Capitalists!

    Nordstrom Westfield Topanga Mall is ransacked by feral swarm of FIFTY looters who targeted Bottega Veneta concession
    Video shows men in dark hoodies and face masks ransacking the Nordstrom store at Westfield Topanga Mall, and attacking security guards with bear spray
    The group sprinted to the door in an attempt to make swift exit from the store, securing as much merchandise as they can carry
    Investigators believe the group stole about $60,000 and $100,000 worth of merchandise

  4. The Great Pumpkin says:

    Pretty good video about what’s coming. Intersection of ai with biology. Once this thing gets going, will rapidly change our lives.

    https://www.youtube.com/watch?v=UMHc0aN1iJI

  5. The Great Pumpkin says:

    Carl Icahn Should Be Sailing Into the Sunset. Instead, He’s Scrambling to Save His Empire.

    A short-seller attack nearly halved the value of the legendary investor’s company and sapped his cash

  6. Fast Eddie says:

    True on the shore rentals. Right now, you can find some nice deals if you’re looking for the last week or two in August, anywhere from Monmouth County to Cape May.

  7. 3b says:

    Excellent opinion piece by Niall Ferguson in Bloomberg, on the whole soft landing narrative currently popular in the market. In short he is not buying it.

  8. Fast Eddie says:

    We’re approaching $33 trillion in debt; inflation up another 3.2% in July. There’s nothing to worry about, go buy a jet ski and celebrate with a steak dinner. Use the Amex card, there’s still some balance left on it. You deserve it.

  9. Juice Box says:

    re: “when it seemed nobody went anywhere else but the Shore.”

    I was headed up the parkway Saturday around 12:30 PM. The weekly benny traffic headed south with beach renters vehicles and roof racks full of gear with bicycles strapped on the back were all in a rush to get to their weekly rental. Headed north also were the usual cadre of Quebec cars and trucks some towing trailers along with a smatter of other states north of us. I don’t think much has changed 13% does not seem like a huge drop, considering no more covid etc.

  10. Juice Box says:

    Eddie – It’s a growth industry, perhaps you should get your own label?

    “Data Bridge Market Research analyses that the luxury handbag market is expected to undergo a CAGR of 8.20% during the forecast period. This indicates that the market value, which was USD 22.61 billion in 2021, would rocket up to USD 42.48 billion by 2029.”

  11. NothingGood inCrappyMiami says:

    Pumpkin,

    Icahn is already in Feinstein territory, plus he’s a vampire like creature that needs the financial, intellectual and social stimulation of Manhattan to survive. He lost a lot of talent that did not want to follow him down to Miami.

    I love the guy, but going to live in that Indian Creek development and drive up Collins to his high rise office in Sunny Isle and go to lunch to some restaurant or country club, which is more appropriate for Chi or Phoenix once he marries right is horrible for someone like him.

    I know the area too well. My father and second wife lived in the next set of island over Biscayne Point during the time that the drug runner swill bring their boats right of to the houses they owned or like in another town/set of island -North Bay Village – they were met at the docks by the local cops that escorted them to safe house.

    Finally, may I remind you that David Tepper left NJ and made a U turn that cost him $120 million/yr just to get away from that place. Only worse that Miami is Scottsdale with no hurricanes to blow the chit away every so often.

  12. Juice Box says:

    Pumps – He is one of the inspirations for Gordon Gekk0, he worked with Oliver Stone to make the Gordon Gekko character a compelling wall street figure for the movie, and the “greed is good” speech is based upon apparently many speeches at shareholder meetings etc.

    In a true Gekko fashion he own a majority of shares in his publicly traded company and has appoined his son CEO, fuck the little guy as usual. Also his shares why are they down?
    Icahn Enterprise LP’s disclosure of a inquiry by the Feds. The SDNY is investigating to see if he is a Ponzi. Perhaps or perhaps not.

  13. Very Stable Genius says:

    Utah man identified as Craig Deleeuw Robertson was fatally shot by FBI agents on Wednesday and previously posted ominous messages on social media, including ones aimed at U.S. President Joe Biden.

    The Associated Press reported that FBI agents executed a search warrant in Utah at Robertson’s residence when the shooting occurred. According to the Associated Press, Robertson made several social media posts appearing to threaten Biden and showed support for former President Donald Trump.

  14. Chicago says:

    I’m not sure what you are writing.

    The only restriction is that you cannot make both a Roth & a Traditional IRA contribution in the same year. Also bear in mind, since you are contributing to Traditional IRA’s, I assume you are eligible for Roth contributions. There is an AGI restriction.

    Jim says:
    August 12, 2023 at 3:58 pm
    Chicago says:
    August 12, 2023 at 1:41 pm
    Put the money in Roths. Don’t take the tax deduction.

    I already have Ira’s , it was my understanding you cannot have both, is that still valid?

  15. The Great Pumpkin says:

    Nothing,

    You know I was screaming on this blog past year to get the f out of Florida real estate. Check this…it begins.

    “It’s starting. Housing inventories are surging in Orlando. Disney is slow so AIRBNB’s are bailing. Listings have doubled near Disney.

    21% of listings have seen price reductions. Highest on record for June. 💀☠️”

  16. The Great Pumpkin says:

    Chi,

    Go drive an M3, and tell me with a straight face that cars suck. And I mean really drive it to the point you feel alive.

    But i get it…different strokes for different folks. I grew up riding dirtbikes and go karts. So I crave that feeling.

  17. The Great Pumpkin says:

    Pretty excited. Getting new tires and new plugs this week. Going to be so fast for those first couple thousand miles. Insane the difference.

    Twin turbo eats plugs. Really, should change them every 5k….but at 700 a pop, just do it every 3 oil changes.

  18. The Great Pumpkin says:

    Btw, had the car for 4 years this November. Chit is a tank. I daily it and no problems. I change rear differential, antifreeze, and brake fluid every two years. Hopefully, it continues. Highly recommend the f80 m3.

  19. The Great Pumpkin says:

    Buckle up. Coming this year or next year. Going to be a lot of opportunities being created from the ashes.

    “This is not fear mongering.

    This is not about being a perma-bear.

    We just went through the fastest rate hike cycle in history.

    Those hikes hit the market and economy with a 9-12 month lag.

    That is right now.

    I screamed melt-up in January.

    I now scream credit event.”

  20. BRT says:

    4 years no problems? Is that good? My 2012 Civic has had zero issues in 11 years other than a starter dying.

  21. Jim says:

    Chicago says:
    August 13, 2023 at 8:16 pm
    I’m not sure what you are writing.

    The only restriction is that you cannot make both a Roth & a Traditional IRA contribution in the same year. Also bear in mind, since you are contributing to Traditional IRA’s, I assume you are eligible for Roth contributions. There is an AGI restriction.

    I have already put money in my IRA for this year, I will put my wifes in a Roth. Thanks for the advice, I haven’t kept up on the changes on the rules.

Comments are closed.