Another Rough Summer for Jersey Shore Real Estate? [AUDIO]
In 2013, many landlords were struggling to find tenants who were scared away by Sandy, and many of the rentals that were able to attract tenants did so at significantly lower prices than usual.
Keith Reinhart, director of Monmouth University’s Kislak Real Estate Institute, said with seemingly little changed, it could be more of the same.
“There’s still a lingering perception that the Jersey Shore is still not fully recovered from Sandy, and it’s probably true. Given that, I don’t think you’ll be able to see rental prices increased,” Reinhart said.
While the short-term may be bleak, Reinhart is optimistic the shore’s economy will rebound eventually. “The market will adjust. If there’s a thousand fewer homes the market will adjust to that as will retail establishments.”
Reinhart said ultimately people who traditionally came to the shore will continue to do so, but the area’s recovery could make way for a demographic change, particularly with smaller bungalows being replaced by larger homes that are elevated.
“I think you will see a more affluent area, whether it goes all the way to the Mantoloking level, I don’t think that will be the case, but I do think there will be few ‘blue collar’ families,” said Reinhart. He foresees the Jersey Shore resembling the Outer Banks of North Carolina after they were hit by Hugo.