DECEMBER SALES CONCLUDE ON A HIGH(ER) NOTE
Despite the rantings of the real estate bears, the New Jersey housing market's contract-sales activity has moved into the black. For the first time in 16 months NJ's home market allowed a higher volume of monthly sales activity than the year before.
Home prices in Morris County overall have fallen drastically in response to the exaggerated appreciation of 2005. Rumblings amongst the real estate community suggest realistic pricing guidelines can be determined by researching 2004 sales prices. I've seen evidence of this pricing strategy in my own market of Jefferson Township and can attest to DOM that are RADICALLY decreased when pricing in this manner. Home buyers have begun to reenter the housing market in response to these lower home prices and favorable interest rates for mortgage.
Unsold inventory remains at a high with, for example, approximately 189 homes available in the Jefferson Township/Lake Hopatcong area. Pricing right remains key to inspire a level of 'urgency,' along with offering buyer incentives such as mortgage buydowns, buyer closing gifts of a percentage of sale price, and home warranties, to spur interest.