The island’s real estate market is unique on so many levels and Team Fisher always endeavors to identify unique trends impacting home sales and vacation rentals. In addition to all of the data we produce in our monthly and annual reports, there are some bigger picture trends that are likely to continue to influence the Nantucket real estate market, particularly over the course of the next year.
Here are some of the key topics we see for 2021…
Proposed Limits on Short-Term Vacation Rentals
By Sarah Holmes
Here on Nantucket, it’s not just the sales market that is exceeding expectations, the rental market is also booming. Prior to 2020, short-term rentals (31 days or less) were the norm with one- to two-week rentals being the most common. Now that many families are working and educating remotely, renters are booking properties for multiple months and, in some cases, a full year. The uncertainty of international travel has also kept families local and increased the demand for a vacation close to home. Demand has seemingly never been greater.
Yet, with a record sales year, there is a shortage of rental homes as properties are acquired by new owners who may not be renting at all or who may be looking to use the properties themselves in 2021, thereby limiting availability.
There is also an organization proposing a new Town by-law that would not only limit the duration of a rental but also the aggregate amount of time a property could be rented in a calendar year. It may also cap the number of occupants and parking spaces per short-term rental.
There is much afoot for the rental market so read more on Sarah Holmes’ blog.
Expanding & Creative Property Amenities
By Cam Gammill
When looking to sell your property it’s important to set it apart from the field. Most properties on Nantucket are uniquely different but have similar amenity offerings. More and more we are seeing homes with pools, tennis courts or bocce courts. You almost can’t find a house these days without an outdoor shower, or four.
This year though, it seemed as we had some extremely unique properties which were the talk of the market for one reason or another. No, it wasn’t the view, the movie theatre or the infinity edge pool…
Check out the cool new amenities we saw in 2020 on Cam Gammill’s blog.
New FEMA Maps with Future Projections
By Brent Tartamella
Rising sea levels, erosion, coastal resiliency are all subjects of interest to any lover of Nantucket. Many of us know to reference the maps of the Federal Emergency Management Agency (FEMA) when we are looking at specific properties or concerns around the island, but did you know a new tool has been created to investigate future coastal erosion impacts due to sea-level rise?
We review the new maps that are provided as non-regulatory FEMA products to be used as a tool to identify areas where coastal erosion is a hazard, plan future mitigation actions and ultimately facilitate the reduction of future erosion risk, something that everyone on Nantucket would like to “sea” happen.
Continue reading on Brent Tartamella’s blog.
Nantucket’s Drinking Water & Testing Resources
By Danno Lynch
Nantucket’s drinking water is primarily pumped from two aquifers. These aquafers are replenished by the rainwaters and are filtered through 150 feet of the island’s sandy soil. This water has historically been known to be some of the purest in the northeast due to the incredible filtration of the island. This year reports came out that some water wells close to the airport were contaminated by chemical runoffs. This can be alarming for buyers purchasing a property on well water and it can create quite the hiccup for a seller. Luckily, there are tools to help test and gather information about the water so everyone can make an informed decision.
More information can be found on Danno Lynch’s blog.
By Liza Hatton
While there is a wide range of construction costs depending on the type of project, generally speaking, Nantucket construction costs vary from $450 per square foot for modular construction (Huntington Homes, Dreamline, etc.) to a starting range of $700 per square foot for the traditional, stick-build method of construction where the structure is framed on site.
Factors that impact the price per square foot are the quality and the type of finishes, amenities, and the complexity of mechanical systems and infrastructure. Several additional factors have more recently been placing upward pressure on construction costs including: a surge in demand with a limited supply of contractors, tariffs on materials, long lead times/complications due to the pandemic and the logistics of travel and housing for subcontractors.
Continue reading more in-depth detail about this topic on Liza Hatton’s blog.
The Septic and Sewer Maze
By Lara Hanson
Nantucket is served by both a municipal sewer system as well as by private septic systems on individual properties. Septic regulations are continually being modified to adapt to new technologies and lessen the environmental impact so it’s important to understand the obligations of property owners and whether these obligations may be impacted by a pending sale.
Additionally, the condition, capacity, and placement of a septic system are all important considerations when buying or selling Nantucket Real Estate, as they may influence the transaction and potentially the property’s value.
Lara Hanson shares more important information on this topic on her blog.
Our team welcomes the opportunity to discuss these in more detail with you so please reach out with any questions or comments.