APRIL MARKET UPDATE

Home Prices & Market Activity

• Statewide Trends: The average home value in New Jersey reached $548,338, marking a 5.7% increase over the past year. Homes are going under contract in approximately 20 days, indicating a brisk market pace.

• Essex County (07028): In this area, 3-bedroom homes saw an 18% year-over-year price increase, reaching a median of $900,500. Conversely, 2-bedroom homes experienced a 29.4% decrease, settling at $364,500.

Inventory & Sales Dynamics

• Statewide Inventory: New Jersey's housing inventory rose by 30.6% year-over-year, marking the 18th consecutive month of growth. However, pending home sales declined by 3.2% compared to the previous year.

• Time on Market: Homes are spending a median of 50 days on the market, four days longer than the same period last year, suggesting a slight cooling in buyer urgency.

Mortgage Rates & Affordability

• Mortgage Rates: The 30-year fixed-rate mortgage averaged 6.83% in April, a slight increase from the previous month but remaining below the 7% threshold.

• Affordability Challenges: The income required to afford a median-priced home has risen significantly compared to pre-pandemic levels, underscoring ongoing affordability challenges for buyers.

Buyer & Seller Insights

• For Buyers: The increase in inventory provides more options, but affordability remains a concern due to rising home prices and mortgage rates. Buyers should be prepared for competitive bidding, especially in desirable areas.

• For Sellers: The market continues to favor sellers, with many homes selling above asking price. However, pricing strategically is crucial, as buyers are becoming more price-sensitive amidst affordability constraints.

Here’s a comprehensive look at the real estate market trends for April 2025.

Overall, the Northern New Jersey real estate market in April 2025 is characterized by increased inventory and sustained buyer demand, leading to a competitive environment. While sellers continue to have the upper hand, buyers are navigating affordability challenges, making strategic pricing and preparedness essential for successful transactions.

If you're considering buying or selling in these areas, it's essential to stay informed about the latest market trends. Feel free to reach out for more detailed information or personalized advice.