Real Estate Market Update

Everywhere I go people ask about real estate. My answer is that this is a GREAT time to be a buyer. Yet buyers say they are afraid. The reason they are afraid is because they are listening to the media and to other naysayers who say the market is bad. Is it bad because real estate is currently not appreciating? It is actually depreciating ... in some places more than others. Luckily for us, our market in the Chathams, Madison, Short Hills, Summit and surrounding areas which enjoy excellent schools, an favorable train commute to NYC and offer charming, bucolic villages and neighborhoods, are still in demand. But, buyers are not willing to spend the same amount as at the height of our real estate market. Let's face it, our real estate was rapidly becoming unaffordable by many. So, an adjustment was due. It happens about every 10-15 years. A home that appreciated 100% in the last 5-10 years has still been a tremendous investment for its owner! A highly leveraged investment, since most of us use only about 20% cash to buy a home and we have to live somewhere. You can make your mortgage payment or your landlord's ... you pick.
So is it really that dismal? Should everyone give up on real estate? Should I find another line of work? ;-) Let's look at the facts:

Let's compare 1st Quarter 2007 vs 1st Quarter 2008

CHATHAM BORO, NJ
Listings 62/59
# under contract 39/22
# closed sales 55/42
Avg DOM 68/41
Avg Sale Price $851,569/629,842

CHATHAM TWP, NJ
# new listings 89/87
# under contract 84/52
# closed sales 86/77
Avg days on market 84/82
Avg sale price $966,175/993,457

MADISON, NJ
# new listings 90/73
# under contract 47/39
# closed sales 31/18
Avg days on market 70/62
Avg sales price $862,951/754,142

SUMMIT, NJ
# new listings 136/142
# under contract 89/77
# closed sales 63/68
Avg days on market 57/70
Avg sales price $991,586/862,851

MILLBURN/SHORT HILLS, NJ
# new listings 147/145
# under contract 93/65
# closed sales 5 2/49
Avg days on market 80/63
Avg sales price $1,182,625/1,282,427

This is a snapshot. As you can see it is not black and white ... some numbers are up, some are down.

If your town is not listed here, drop me an email or comment on this post and I will add the town you ask for.

Meanwhile, it's still a GREAT time to buy ... before interest rates go up and make up for any gains in affordability! Call me to find out the best deal out there today! 201-960-2090 or visit www.BestNJhomes.com to search for your dream home today.