Morristown NJ Real Estate Market Update JUNE 2014

Morristown NJ Real Estate Market Update JUNE 2014

by Bob Zorechak - GRI, ABR, e-PRO

The numbers for Morristown are somewhat of a mixed bag for JUNE 2014:

• The rolling 12 month sales volume was up slightly by four (4) units or (2%) - Last year: June 2012 thru June 2013  (167) homes sold as compared to the current period: June 2013 thru June 2014 with (171) homes sold.  This is the second month in a row where this category was in positive territory and indicates that Morristown is on the same pace it was last year at this time looking back 12 months.

• The June year-to-date numbers are down by thirty-three (33) units or (32%) which is very similar to last month, when compared to last year's total of (103) homes sold to the current period with (70) homes sold.  This breaks a cycle of two consecutive years of increased sales YTD through June.

• The monthly volume for the number of sales occurring last June was twenty-three (23) homes sold, as compared  to this June (18) homes sold which is down by five (5) units or (22%), also similar to the prior month's numbers.

• The volume of Pending Sales (Under Contract) as of the last day of June 2014 is running moderately higher at sixteen (16) units as compared to last year at this same time at fourteen (14) units, which is up by two (2) units or (14%).

• The supply of available inventory (the time it would take to sell all of the homes currently on the market) as of the the end of June is at a four year low of 4.24 months.

Note: A "balanced" market is considered to have a 6 month supply. Anything below that amount would be considered a "low" inventory and thus less than balanced. This market condition typically favors Sellers.  Anything above a 6 month supply would result in a "high" inventory of homes on the market and typically favors Buyers.

Read below to find out the very latest information on your local Morristown NJ Real Estate market!

While all real estate is local, there are many positive signs being seen all across the Northeast and in other major regional markets across the country. The next several months will be critical in determining if the recent upswing has any sustained staying power.  Most experts are anticipating a longer, more robust spring selling season mainly due to the harsh winter, which delayed a lot of buyers from starting their search as well as sellers who planned on getting their homes ready for the market.

In addition to the harsh winter, there is also a certain amount of "pent-up demand" on both the buying and selling side of this market as many buyers and sellers have been sitting on the fence for several years now and see that the pendulum is beginning to swing in the other direction and as a result, they are taking action.

The Morristown market seems to be holding it's own through June even though the monthly numbers are down modestly, the 12 month rolling YTD numbers are slightly ahead of last year's pace.  In addition, the slight increase in the number of homes Under Contract which is an indicator of future results bodes well for continued good news for the short term at least.

Prices are expected to remain steady and interest rates continue to remain low.  There has rarely been a time where both prices AND interest rates were so low. Combine these two factors with a relatively high inventory of homes to choose from and you have the perfect conditions for a robust and steady housing recovery. The general state of the economy along with a high rate of foreclosures and distressed properties are expected to keep prices low for several more years as this inventory eventually gets cleared out.

Look below to see the individual homes that sold in Morristown NJ for the month of JUNE in 2014.  Also shown below is a year to year comparison bar graph for homes SOLD in the month of JUNE over the past 5 years, followed by another graph illustrating the amount of homes that have SOLD Year-to-Date through JUNE through the same period.