By Walter Zephirin From 7th Heaven Properties

With an inventory squeeze leading to price increases, now is the time to invest in Cayman Islands real estate.
Average property prices in the Cayman Islands are rapidly rising as the levels of new inventory have declined considerably.

NEW LISTINGS DOWN

Analysis of data from the Cayman Islands Real Estate Brokers Association (CIREBA) published in Cayman Compass this week indicates that the number of new listings coming on to the market so far this year is significantly lower than the number of new listings which came on to the market last year and the previous year.

As a consequence, the average price per listing has increased dramatically.

According to the analysis, there were 1,418 new property listings in 2014 with a total value of $982 million and an average price of $692,525 per listing. In contrast, there were 1,348 new listings in 2015 with a total value of $898 million and a slightly lower average price of $666,172 per listing. This year, only 858 new property listings have come on to the market. These listings have a total value of $722 million, which works out at an average of $841,492 per listing – a significantly higher average price.

ACTIVE LISTINGS ALSO DECLINING

The total number of active listings is also following a similar pattern. In 2014 there were 1,987 active listings. This figure dropped to 1,716 in 2015. This year the figure has decreased again to 1,665 active property listings.

We are of course only part way through the year and we would expect the number of new and active listings to rise as the year progresses. Nevertheless, the analysis indicates that the fall in inventory levels is leading to price increases.

WITH INVENTORY SQUEEZE LEADING TO A PRICE RISE, NOW IS THE TIME TO INVEST IN CAYMAN ISLANDS REAL ESTATE

This is good news for property owners as property values are expected to continue to appreciate. And, for prospective buyers, now would be a good time to invest in Cayman Islands real estate. Levels of stock are expected to continue to fall in comparison to 2015 and 2014, particularly in the highly desirable Seven Mile Beach corridor, and prices are consequently expected to continue to rise.

IMAGES:
Seven Mile Beach, Grand Cayman, Cayman Islands

Cayman Islands real estate market – new listings & average property prices by year

For more on this story go to: http://www.7thheavenproperties.com/2016/08/cayman-property-prices-rise-as-inventory-falls/