New Jersey Real Estate Market Update November 2023: Key Trends and Insights

As the New Jersey real estate market enters the latter part of 2023, significant changes and trends are shaping the landscape for buyers, sellers, and real estate professionals. Here's a detailed look into the market as of November 2023, providing valuable insights for anyone involved in the New Jersey real estate scene.

Significant Increase in Home Prices

The average home price in New Jersey has seen a notable increase over the past year. From $443,000 in November 2022 to $491,000 in November 2023, the market has experienced almost a 10% rise. This trend highlights a growing market and presents an opportunity for homeowners looking to sell.

Seasonal Sales Patterns and Current Dynamics

Sales in the New Jersey real estate market follow a seasonal pattern. June emerges as the peak month for home sales, while February typically sees the lowest number of sales. Despite some recent fluctuations, there has been a slight decrease in sales, hinting at evolving market dynamics.

Inventory and Listing Trends

While the inventory was higher in the previous November, a significant decrease has been observed since. May and June witnessed the highest number of new listings. However, the number of active listings has remained steady, underscoring an ongoing shortage in housing supply.

A Persistent Seller's Market

The current market scenario in New Jersey is firmly a seller's market. This is evident from the supply statistics—less than six months of supply indicates a market favorable to sellers. Furthermore, most homes are selling in under 30 days, with prices averaging around $300 per square foot, a substantial increase from last year.

Strong Buyer Demand Despite Interest Rate Increases

Despite the hike in interest rates, buyer demand remains strong. About 55% of homes are selling above the asking price, and approximately 30% of homes go under contract within two weeks of listing. This enduring demand, coupled with the limited supply, continues to drive the market's competitiveness.

The New Jersey real estate market as of November 2023 presents a landscape of rising prices, strong seller advantages, and consistent buyer interest. Whether you're looking to buy, sell, or simply stay informed, understanding these trends is crucial for navigating the market effectively. For more insights and updates, stay tuned to our monthly real estate market reviews.