Located on the North Shore of Boston, the coastal town of Marblehead and nearby towns such as Newburyport, Swampscott, and Manchester-by-the-Sea are all affluent luxury markets with limited inventory, says Michael Cannuscio, Managing Partner of The Agency Marblehead.

As of press time, Marblehead only had 18 active listings, according to Cannuscio, with nine between $1 million and $3 million. “Inventory is slowly trickling in, but there’s just a void of listings between around $900,000 until you get to $1.5 million to $2 million.” The lock-in effect of low mortgage rates is “a big reason inventory is so low, because even in the $1 million to $2 million range most homeowners have debt on their property,” Cannuscio says. “About 80% of the $2 million to $3 million price range buyers pay cash.”

Most buyers in Marblehead are buying a primary home, although some split their year and spend the winter in Naples, Florida, or other similar locations, he says.

Cannuscio says inventory was 50% higher before the pandemic.

“Demand is still high for people who want more outdoor space than they can get in a city condo, especially people who want the boating lifestyle and proximity to the mountains in New Hampshire, Vermont, and Maine, which are only about two hours away,” he says. “You’re not getting a big house here for $1 million to $3 million, but you’re getting ‘attainable’ luxury and a great lifestyle.”