Real Estate Market Report: 2nd Quarter 2018 – Sussex County, NJ

The Sussex market surged again in the second quarter, with sharp increases in both sales and prices. Transactions were up over 11% from last year’s second quarter, continuing a yearlong trend that brought sales up almost 14% for the rolling year. That kind of buyer demand has winnowed down the housing supply, with the months of inventory falling over 21% from last year and now getting close to the six‑month mark that signals a seller’s market. We’re certainly moving into that territory, given the spike in pricing in the quarter: rising almost 7% on average and 8% at the median. Prices are still relatively flat for the year, but the lack of inventory and high demand will likely drive both sales and prices in a strong summer and fall market.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter, Pinterest, and Instagram.

Posted on July 24, 2018 at 1:56 pm
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , ,

Real Estate Market Report: 2nd Quarter 2018 – Northern New Jersey

The housing market in the Northern New Jersey suburbs of New York City continued to develop as a fully‑realized seller’s market, with low levels of housing supply shackling sales growth but generally driving price appreciation throughout the region.

The regional market continues to suffer from a lack of supply. The number of homes available has settled at levels that generally signal a seller’s market, with about six months of inventory in most of the Northern New Jersey markets. The lack of inventory has been stifling sales growth, since the market lacks “fuel for the fire” to meet the existing buyer demand, even while driving meaningful price appreciation throughout the region.

Because of the lack of inventory, sales were mostly flat. For the region, sales were up just 0.3% in the quarter, and they were mixed in the individual counties: Bergen houses up 3%, Bergen condos down 2%, Hudson down 3%, Passaic up 3%, Morris down 4%, Essex up 1%, and only Sussex bucking the trend by rising about 11%. That said, sales are now at levels we haven’t seen since the seller’s market of the mid‑2000s, and almost double in many places from the bottom of the market following the correction of 2008‑09.

But even as low inventory stifles sales growth, it drives meaningful price appreciation. Prices rose about 2% regionally, with dramatic spikes in Hudson (8%), Passaic (6%), and Sussex (7%). Those types of increases are not sustainable, but the longer‑term trends are still meaningful, with regional average prices up about 2% for the rolling year.

Inventory, however, might be stabilizing. Textbook economics tells us that limited supply, coupled with high demand, drives prices up, which is what we’ve seen in the past several years. But that same textbook also teaches us that rising prices eventually attract more sellers into the market, which fuels sales and stabilizes pricing. And that seems to be what we’re seeing now ‒ after several years of sharply declining supply, inventory either flattened out or even rose in some markets.

Going forward, we expect the seller’s market to continue. Stabilizing inventory might drive more sales growth, but we still believe that demand is strong enough to soak up that added supply and still drive meaningful price appreciation. Accordingly, with good economic conditions, low interest rates, and attractive pricing, we expect that the Northern New Jersey market will see rising sales and prices through a robust summer and fall market.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter, Pinterest, and Instagram.

Posted on July 24, 2018 at 11:32 am
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , , , , , , ,

Real Estate Market Report: 1st Quarter 2018 – Sussex County, NJ

Sales in the Sussex market continued to surge in the first quarter, rising almost 7% and marking over three straight years of increasing transactions. This demand continues to winnow down the inventory, which was down almost 22% and is now getting close to the six‑month level that usually denotes the beginning of a seller’s market. But Sussex homeowners are still waiting for some meaningful appreciation, with prices flat for the quarter and still down for the year. We continue to believe that these high levels of demand coupled with declining inventory will eventually drive some meaningful price appreciation, perhaps even as soon as this spring market.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter, Pinterest, and Instagram.

Posted on April 11, 2018 at 4:28 pm
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , ,

Real Estate Market Report: 1st Quarter 2018 – Northern New Jersey

The housing market in the Northern New Jersey suburbs of New York City has become a fully‑realized seller’s market, with declining inventory stifling sales growth while driving meaningful price appreciation throughout the region.

The regional market continues to suffer from a lack of inventory. The number of homes available for sale compared to last year fell sharply in every market in the region. At the current absorption rate, we are now down to well under six months of inventory in every county for single‑family homes (other than Sussex), which usually denotes a seller’s market.

This lack of inventory is holding back sales. While regional transactions were up 3% for the year, they were down over 3% for the first quarter, and quarterly sales fell in most of the counties. We saw this most acutely in Bergen, where quarterly condo sales were down over 13%, and in Hudson County, where sales fell over 7% for single‑family and multi‑family homes, and over 10% for condos. But this isn’t a demand problem ‑‑ demand is strong everywhere in the region. This is more of a supply problem ‑‑ we simply don’t have enough “fuel for the fire.”

But with all this demand chasing fewer homes, prices are up significantly across the region. The regional average sales price was up over 5% in the quarter, rising for every county and property type, particularly in the markets closest to the city: Bergen was up 1% for single‑families and 19% for condos, and Hudson was up 6% for single‑family, 21% for multi‑family, and 11% for condos. This type of double‑digit appreciation is not sustainable, but the long‑term trend for the rolling year is still very positive, up about 3% for the region and rising in every county except Sussex.

Going forward, this is what a seller’s market looks like. Low levels of inventory will continue to hold sales back even while driving prices up. At some point in 2018, this price appreciation will attract more sellers into the market, which will increase supply, bring sales up, and maybe moderate price increases. But that will not happen right away, so we expect a spring market with even lower levels of inventory, which will stifle sales growth but continue to drive robust price appreciation.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter, Pinterest, and Instagram.

Posted on April 11, 2018 at 12:06 pm
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , , , , , , ,

Better Homes and Gardens Rand Realty to Hold Open-House Event

NANUET, NY – Better Homes and Gardens Rand Realty is excited to announce that they will be holding an open-house event, where attendees can receive advice on buying and selling homes. It will take place on Saturday, April 14, and Sunday, April 15, from 12:00-4:00 p.m. on both days.

“We’re a few weeks into spring, which means it’s the prime season for the housing industry,” said Denise Friend, Rand Realty’s regional manager for Westchester County. “Our brokerage receives many potential clients during this time of the year, and we would like to offer them guidance on how to achieve their real estate goals.”

All 27 of Rand Realty’s sales offices will be participating in the event, with listings located throughout the Lower Hudson Valley and Northern New Jersey. At these sites, attendees can engage with an agent for one-on-one assistance on how to conduct a home search or market their home for sale. They will also have the opportunity to enter a raffle to win a gift basket, with one being provided by each of the four regions that Rand Realty serves: Rockland, Orange, and Westchester Counties in New York, and Northern New Jersey.

“Being involved in a real estate transaction can be challenging, so it’s important for us to interact with buyers and sellers to make sure that their questions are being answered,” said Friend. “We want them to feel confident when they enter the market.”

 

About Better Homes and Gardens Rand Realty

Better Homes and Gardens Rand Realty, founded in 1984, is the No. 1 real estate brokerage firm in the Greater Hudson Valley, with 28 offices (including a corporate location), serving Westchester, Rockland, Orange, Putnam, and Dutchess Counties in New York, as well as Bergen, Passaic, and Morris Counties in New Jersey.

Better Homes and Gardens Rand Realty has over 1,000 residential real estate sales associates, as well as a commercial real estate company (Rand Commercial) and the Hudson United Group, which provides residential mortgage lending, title services, and commercial and residential insurance.

These companies can be found online at www.RandRealty.com, www.RandCommercial.com, and www.HudsonUnited.com. Better Homes and Gardens Rand Realty can also be found and interacted with on Facebook, Twitter, Pinterest, and Instagram.

Posted on April 3, 2018 at 12:20 pm
Vincent Abbatecola | Category: In the News | Tagged , , , , , , , , , , , , , ,

Fourth Quarter 2017 Real Estate Market Report: Sussex County Overview

Activity in the Sussex County housing market surged yet again in the fourth quarter of 2017, with sales up sharply even while prices continued to struggle.

Sales. Sussex sales were up yet again in the fourth quarter, rising over 18% from last year and now up over 22% for the year. And the 2,348 sales for the year represented the highest calendar year total in over 10 years. Indeed, Sussex sales have now more than doubled from the bottom of the market in 2011.

Prices. Even with these sustained increases in buyer demand, though, prices continued to struggle. Average prices were down every quarter in 2017 compared to the prior year quarter, falling 2% in the first, 2% in the second, 3% in the third, and now 3% in the fourth. Accordingly, the yearlong price trend was negative, down 2.5% on average and almost 5% at the median. We remain baffled by this, since rising sales and declining inventory would normally drive prices up, not down. But we’ve now seen this trend develop for over a year, so we are skeptical, if hopeful, that prices will turn around in the spring market.

Inventory. The Sussex inventory of available homes for sale fell again, dropping over 35% and now down to about seven months. That’s a significant decline, but inventory is still higher than in other Northern New Jersey counties, which are all below the six‑month inventory line that usually signals the beginning of a seller’s market. If inventory continues to go down, we would expect that to put some additional upward pressure on pricing.

Negotiability. The negotiability metrics indicated that sellers were gaining negotiating leverage with buyers. For the year, the days‑on‑market fell by 14%, dropping by about a month, and sellers were retaining a lot more of their asking price, with listing retention jumping almost two percentage points and now up to over 96%.

Going forward, we expect that Sussex is going to continue to see rising sales. The question is whether this will finally drive some meaningful price appreciation, or at least stem the decline we saw this year. But we remain hopeful that an improving economy, attractive pricing, and near‑historically‑low interest rates will eventually drive prices up in 2018.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter.

Posted on January 18, 2018 at 11:27 am
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , ,

Fourth Quarter 2017 Real Estate Market Report: Northern New Jersey Overview

The Northern New Jersey housing market finished 2017 strong, with prices up even while declining inventory throughout the region stifled sales growth. With demand high, and available homes low, we believe that homeowners will continue to enjoy price increases throughout 2018.

Regional sales were up, but not in every county. Regional sales were up slightly for the quarter, rising almost 2% from the fourth quarter of last year, even while some counties like Bergen and Morris were down slightly. We believe that a lack of inventory is stifling sales growth, simply because we don’t have enough “fuel for the fire” to satiate the existing buyer demand. That said, sales in every county were up for the full calendar year, with the 27,000 regional sales in 2017 representing almost a 6% increase from 2016, and a full 75% increase from the bottom of the market in 2011. Inventory was down significantly again. The number of homes for sale continued to fall in the fourth quarter, dropping in every county in the region. Indeed, most of our Northern New Jersey markets have now fallen below the six‑months‑of‑inventory level that traditionally starts to signal a seller’s market: Bergen at 3.4, Passaic at 4.9, Morris at 4.5, and Essex at 4.1. Only Sussex County, at 7.3 months of inventory, is above that six‑month indicator. If inventory continues to tighten, and demand stays strong, we are likely to see more upward pressure on pricing. With sales up and inventory down, prices are starting to show some meaningful price appreciation. Basic economics of supply and demand would tell us that after five years of steadily increasing buyer demand, we would expect to see some meaningful price increases. And we’re starting to see some promising signs: for the 2017 year, the regional average price was up about 1%, and average prices were up in most of the counties in the region: Bergen up 4%, Passaic up 3%, Morris up 3%, Essex up 2%. Again, only Sussex was the outlier, with the average price down about 2%. Going forward, we remain confident that rising demand and falling inventory will continue to drive price appreciation through 2018. Sales have now been increasing for over five years, which has brought inventory below the seller’s market threshold in much of the region. The economic fundamentals are all good: homes are priced at 2004 levels (without even adjusting for inflation), interest rates are still near historic lows, and the regional economy is stable. Accordingly, we continue to believe the region is poised for a robust seller’s market in 2018.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter.

Posted on January 17, 2018 at 3:45 pm
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , , , , ,

Third-Quarter 2017 Real Estate Market Report: Sussex County Market Overview

Activity in the Sussex County housing market surged yet again in the third quarter of 2017, with sales up sharply even while prices continued to struggle.

Sales. Sussex sales were up yet again in the third quarter, rising over 17% from last year and now up over 22% for the year. The 2749 closings represented the highest 12‑month total in over 10 years. Indeed, Sussex sales have now more than doubled from the bottom of the market in 2011.

Prices. Even with these sustained increases in buyer demand, though, prices continued to struggle. We saw some “green shoots” of price appreciation at the end of 2016, with the average price up almost 8% in the fourth quarter. But prices are now down every quarter in 2017, falling 2% in the first, 2% in the second, and now 3% in the third. As a result the rolling year price is basically flat, with the media down just a tick.

Inventory. The Sussex inventory of available homes for sale fell again, dropping 11% and now down to about 10 months. That’s a significant decline, but inventory is still higher than in other Northern New Jersey counties, which are all approaching the six‑month inventory line that usually signals the beginning of a seller’s market. If inventory continues to go down, we would expect that to put some additional upward pressure on pricing.

Negotiability. The negotiability metrics indicated that sellers were gaining negotiating leverage with buyers. The days‑on‑market fell sharply, dropping by almost a month and down now to about four months of market time. And sellers were retaining a lot more of their asking price, with listing retention jumping almost two percentage points and now up to almost 97%.

Going forward, we expect that Sussex is going to continue to see rising sales that will eventually drive meaningful price appreciation. With an improving economy, homes priced at attractive levels, and near‑historically low interest rates, we expect buyer demand coupled with declining inventory to drive a strong fall market and a robust 2018.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter.

Posted on November 13, 2017 at 10:57 am
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , ,

Third-Quarter 2017 Real Estate Market Report: Northern New Jersey Market Overview

The Northern New Jersey housing market surged again in the third quarter of 2017, with another increase in sales and modest-but-meaningful price appreciation. With inventory levels continuing to fall throughout the region, we expect that sustained buyer demand will drive a robust seller’s market through rest of the year and into 2018.

Sales surged throughout the region. All the Northern New Jersey markets continued to grow, with regional sales up over 4% and transactions rising in every market in the region: up 1% for Bergen houses, 5% for Bergen condos, 8% in Passaic, 0.4% in Morris, 4% in Essex, and 17% in Sussex. For the rolling year, sales were up 8%, reaching sales levels we have not seen since the height of the last seller’s market. Indeed, regional sales are now up over 75% from the bottom of the market in 2011.

The number of available homes for sale continues to go down. Indeed, inventory was down from last year in every individual county in the Rand Report: Bergen single‑family homes down 17%, and condos down 22%; Passaic down 28%; Morris down 29%; Essex down 29%; and Sussex down 11%. Moreover, most of our Northern New Jersey markets have reached the six‑months‑of‑inventory level that traditionally starts to signal a seller’s market. If inventory continues to tighten, and demand stays strong, we are likely to see more upward pressure on pricing.

With sales up and inventory down, prices are starting to show some “green shoots” of modest price appreciation. Basic economics of supply and demand would tell us that after five years of steadily increasing buyer demand, we would expect to see some meaningful price increases. And we’re starting to see some promising signs: the regional average sales price was flat, but prices were up sharply in Bergen, Passaic, and Morris, even while they continue to struggle in Essex and Sussex.

Going forward, we remain confident that rising demand and falling inventory will continue to drive price appreciation through the rest of 2017. Sales have now been increasing for five years, which has brought inventory to the seller’s market threshold in much of the region. The economic fundamentals are all good: homes are priced at 2004 levels (without even adjusting for inflation), interest rates are still near historic lows, and the regional economy is stable. Accordingly, we continue to believe the region is poised for a strong fall market and a strong 2018.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter.

Posted on November 13, 2017 at 10:38 am
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , , , , , ,

Second Quarter 2017 Real Estate Market Report – Sussex County, New Jersey

Activity in the Sussex County housing market surged yet again in the second quarter of 2017, with sales up sharply even while prices continued to soften.

Sales. Sussex sales were up yet again in the second quarter, rising over 25% from last year. And for the year, sales increased over 20%, with over 2,600 home sales representing the highest 12-month total in over 10 years. Indeed, Sussex sales are now up almost 125% from the bottom of the market in 2011.

Prices. Prices in Sussex have been bouncing around for the last year. The average was up 8% in the fourth quarter, then down 2% in the first quarter, and now down again by almost 2% in the second quarter. So what’s going on? Most likely, we’re just seeing some noise in the short-term data. If we look at the rolling year, the numbers make more sense, with both the average and the median up about 1%. That’s probably the kind of appreciation we’ll be looking at for the rest of the year.

Inventory. The Sussex inventory of available homes for sale fell dramatically again, dropping almost 26% and now down to under 10 months. That’s a significant decline, but inventory is still higher than in other Northern New Jersey counties, which are all approaching the six-month inventory line that usually signals the beginning of a seller’s market. But if inventory continues to go down, we would expect that to put some additional upward pressure on pricing.

Negotiability. The negotiability metrics indicated that sellers were gaining some negotiating leverage with buyers . The days-on-market fell again, dropping by 12% (20 days) and now down to under five months of market time. And sellers were retaining a lot more of their asking price, with listing retention jumping three percentage points and now up to almost 97%.

Going forward, we expect that Sussex is going to continue to see rising sales coupled with more consistent price appreciation. With an improving economy, homes priced at attractive levels, and near-historically low interest rates, we expect buyer demand coupled with declining inventory to drive a robust Summer market and a strong 2017.

To learn more about Better Homes and Gardens Real Estate Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter.

Posted on July 16, 2017 at 4:20 pm
Vincent Abbatecola | Category: Quarter Market Report, Rand Country Blog | Tagged , , , , ,