The Nantucket real estate market in 2024 showed signs of recovery after a slowdown in 2023. The number of sales increased across most categories, while prices continued to climb. Higher median sales prices reflect strong demand, despite a limited number of available properties. These trends align with broader luxury market dynamics, where high-end home prices have outpaced the overall market [Redfin].
Five-Year and Ten-Year Price Index: Long-Term Growth for Investors
Over the past five years, Nantucket’s real estate prices have increased significantly. The average sale price for single-family homes has risen from $3.32 million in 2020 to $4.86 million in 2024, reflecting a 46% increase. The median sale price jumped from $2.5 million to $3.78 million, a 51% rise over the same period.
The ten-year price index shows even stronger appreciation. In 2014, the average sale price for single-family homes was approximately $1.9 million. Today, at $4.86 million, prices have more than doubled in a decade. This long-term trend demonstrates Nantucket’s resilience as a high-value real estate market.
What This Means for Investors
- Steady Price Appreciation
Nantucket real estate has delivered strong returns over five and ten years. Investors who purchased property five years ago have seen significant value growth, making real estate a strong wealth-preserving asset.
- Limited Market Corrections
While some markets have experienced volatility, Nantucket’s high-end properties have maintained stable growth. The 2023 market slowdown did not lead to falling prices, which indicates that demand remains strong.
- High Entry Costs But Strong Returns
With the median sale price now approaching $4 million, the cost of entry is high. However, the long-term data suggests that property values continue to rise. Investors with a long-term outlook can expect continued appreciation.
- Strong Demand in Luxury Segments
Homes priced over $6.5 million saw a 57% increase in transactions in 2024, indicating strong demand for ultra-luxury properties. This aligns with national trends where high-net-worth buyers dominate the luxury segment, making these properties less sensitive to mortgage rate fluctuations [Redfin].
- Resilience in Uncertain Markets
During economic downturns, high-end real estate often holds its value better than other asset classes. The past decade has shown that Nantucket’s market remains highly desirable, even when broader market conditions fluctuate.
Investor Considerations for 2025 and Beyond
- Buying Opportunities in Mid-Range Homes
Homes in the $1.5 million to $4.5 million range continue to move steadily. Investors looking for growth potential may find opportunities here before prices climb further.
- Limited Land Supply Drives Property Values
With land sales remaining relatively low, undeveloped parcels are likely to appreciate as availability decreases. Buyers interested in long-term appreciation may benefit from securing land now.
- Short-Term Rental Demand Remains Strong
Nantucket’s vacation rental market continues to attract premium rates. Investors seeking rental income can benefit from steady appreciation while generating cash flow.
Residential Sales: Growth in Volume and Prices
Sales of single-family and multi-family homes on Nantucket increased by 9% in 2024, reaching 242 transactions. The average sale price rose 11% to $4.86 million, while the median sale price jumped 19% to $3.78 million. The total dollar volume of residential sales reached $1.17 billion, up 20% from 2023.
Homes sold 170% above their assessed value, slightly lower than 2023. The average time on the market remained stable at three months, with properties taking an average of five months to close.
Luxury Segment ($4.5M+): Strong Activity
The high-end segment saw increased activity. Homes priced above $6.5 million had 47 transactions, up 57% from 2023. The median price in this range reached $8.85 million. Properties in the $4.5 million to $6.5 million range had 48 sales, an increase of 26%.
This growth mirrors the national luxury market, where luxury home prices rose 8.8% year-over-year in Q2, significantly outpacing the 3.8% rise in non-luxury home prices [Redfin].
Lower-Priced Homes: Limited Inventory
The number of homes sold under $750,000 remained low, with just four transactions. The median price in this range was $650,000. Limited inventory at lower price points made entry-level purchases difficult.
Land Sales: Declining Transactions, Steady Pricing
Land sales dropped slightly in 2024, with 34 transactions, down 3% from 2023. The median land sale price increased 9% to $2.16 million. Total dollar volume reached $92.8 million, a 4% decrease from 2023. The highest land sale price was $9.5 million.
Condo Market: Strong Rebound
Condo sales surged 53%, with 26 transactions in 2024. The average sale price increased 19% to $1.77 million, and the median price jumped 26% to $1.39 million. Total condo sales volume rose 82% to $46.09 million, reflecting renewed interest in this segment.
This increase aligns with broader luxury trends, where sales of homes priced at $1 million or higher increased by 5.2% in the first half of 2024, even as total home sales dropped 12.9% [HousingWire].
Commercial Sales: Fewer Deals, Higher Prices
The commercial market slowed in 2024, with 11 transactions, down 27%. However, the average sale price rose 13% to $3.02 million, and the median price increased 5% to $2.2 million. The total dollar volume dropped 17% to $33.25 million.
Quarterly Trends: Strong Finish in Q4
First half of 2024 sales were slower, with 43 transactions in Q1 and 60 in Q2. Activity picked up in Q3 with 94 sales and surged in Q4 with 118 sales. The total number of sales for the year reached 315, marking a 7% increase.
Inventory and Market Conditions
The number of active listings remained tight, keeping prices high. Homes in prime price ranges ($1.5M to $4.5M) continued to move steadily. Luxury homes saw the largest year-over-year growth in transactions. Condo demand increased significantly, attracting buyers seeking lower-cost alternatives to single-family homes.
Nationwide, the luxury market saw a 9.7% year-over-year increase in inventory, marking the fourth consecutive quarter of growth, though overall supply remained below pre-pandemic levels [Redfin].
Outlook for 2025
Market trends suggest that high-end properties will continue to see strong demand. The mid-range market could experience price stabilization if inventory increases. The land market may slow further unless more buyers commit to new development projects.
Nantucket remains a high-value real estate market with limited supply and strong demand, particularly at the luxury level. The high median sales prices across all property types suggest that demand continues to push values higher, even as transaction volume fluctuates.
As one of Nantucket’s leading realtors, I am happy to provide further insights and answer any specific questions you may have about market conditions, investment opportunities, and pricing trends. Contact me directly for expert guidance tailored to your real estate needs.
** Primary data is derived from the Nantucket annual sales summary 2024 from LINK, Nantucket’s listing service. For access to the full report, and for access to LINK, please email me at [email protected]
** Other sources include Redfin and HousingWire
