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New Jersey beachside town has become a hotspot for luxury buyers, with property prices nearly tripling over the past five years. Margate, known for its long sandy beaches, now boasts an average home sale price of over $2.1 million, up from $525,000 in 2019. This four-fold increase makes it one of the top three hottest luxury housing markets in the US, according to The Philadelphia Business Journal's rankings.

    The exclusive town, with a population of just 5,000, has seen its appeal grow among high-end buyers seeking a summer vacation destination. Researchers looked at towns where average selling prices exceeded $2 million and had more than ten sales between July and September. Margate ranked third behind Osterville in Cape Cod and Longboat Key off the coast of Sarasota, Florida.

    The town's high prices are largely due to low inventory and high demand, according to local real estate agent Vincent Novelli. In the pre-pandemic era, there were typically 160-170 homes on the market at any given time, but now it's rare to have more than 60 listings simultaneously. This has led to a situation where houses often sell before they even make it onto public listing platforms.

    The low inventory and high demand have resulted in a lower volume of sales compared to pre-pandemic levels, but buyers are willing to meet the rising prices with bigger budgets. Margate's popularity is also driven by its beautiful beaches, stunning ocean views, and picturesque sunsets.