Ocean City Housing Market: Steady Demand Despite Longer Sales Times

Ocean City’s real estate market remains one of South Jersey’s most resilient segments, continuing to balance demand from both year-round residents and second-home buyers. According to recent Redfin data, the median sale price in September 2025 reached approximately $1,037,500 — a 6 percent increase from the prior year

While home values continue to climb, properties are taking slightly longer to sell, averaging 93 days on the market compared with 2024’s pace.

Market Snapshot: November 2025

The data point to a “somewhat competitive” market, scoring 31 out of 100 on Redfin’s competitiveness index. Multiple-offer situations are less common than during the post-pandemic boom, suggesting that buyers now have room to negotiate. Ocean City closed 76 transactions in September alone — a healthy figure for early-fall, when many seasonal owners typically step back after summer rentals wrap up.

Buyer Trends Along the Barrier Island

Most activity is concentrated around central and south-end neighborhoods near 34th Street and Bay Avenue. Homes near the 9th Street Bridge and Boardwalk corridor remain consistently popular with second-home buyers who prioritize walkability and rental potential. Inventory is limited, so even with slower sales speeds, prices are holding firm. According to agents familiar with the market, buyers are increasingly willing to trade speed for location and condition.

What Slower Sales Actually Mean

Longer marketing periods don’t necessarily signal weakening demand. Instead, they reflect a return to a more balanced environment where listings need to align precisely with buyer expectations. Homes priced correctly and staged well continue to move within weeks. The extra time primarily affects properties needing updates or those priced above market averages. Sellers who list strategically in late fall often benefit from reduced competition and motivated buyers looking to close before year-end.

Local Economics: The Broader Picture

Ocean City’s economy is still anchored by tourism and seasonal rentals, but steady housing prices have helped preserve tax base stability. City planning data show ongoing renovations throughout the Gardens and South End sections, where older cottages are being rebuilt into larger, elevated homes to meet new flood-resilience standards. That construction activity supports local labor and keeps supply turning over at a measured pace.

Why It Matters

“Even when the market shifts, the best spots in town still get attention,” said Mike Sutley, Team Leader at Lexy Realty Group. “Ocean City has a balance you don’t find everywhere — it’s family-friendly and it works for investors too. That mix keeps demand steady year after year.” — Mike Sutley, Lexy Realty Group.

For homeowners, this means continued equity growth and long-term value retention even if transaction volume slows. Buyers should view the current market as an opportunity to negotiate more favorable terms without the bidding-war pressure of recent years.

Looking Ahead to 2026

Industry analysts expect a stable winter season with modest inventory additions by spring. If interest rates ease, Pent-up demand could drive a new wave of buyers ahead of the summer rush. In the meantime, Ocean City continues to hold its position as a top-tier market for shore homes within driving distance of Philadelphia and New York.

Sources: Redfin Housing Market Data; City of Ocean City; Weekly Local News & Events ( Nov 3–10, 2025 ).