Long Valley NJ Real Estate Market Update JUNE 2014

Long Valley NJ Real Estate Market Update JUNE 2014

by Bob Zorechak - GRI, ABR, e-PRO

The numbers for Long Valley were somewhat of a mixed bag through JUNE 2014:

• The rolling 12 month sales volume remained virtually unchanged with a slight increase of one (1) unit or less than (1%) - Last year: June 2012 thru June 2013  (177) homes sold as compared to the current period: June 2013 thru June 2014 with (178) homes sold.

• The June year-to-date numbers decreased modestly by eleven (11) units or (13%) as compared to last year's total of (83) homes sold to the current period with (72) homes sold. This represents the lowest volume for this category in at least the past five (5) years.

• The monthly volume for the number of sales occurring last June (29) homes sold as compared to this June (19) homes sold is down ten (10) units or (34%).  This represents the second lowest June in at least the past five (5) years.

• The volume of Pending Sales (Under Contract) as of the last day of June 2014 is at nineteen (19) units which is ahead by four (4) units or (19%) as compared to last year at this same time which was sixteen (16) units. While this is a positive sign for the short term, it is certainly not enough to indicate a major shift in momentum for the local Long Valley market.

•  The supply of available inventory (the time it would take to sell all of the homes currently on the market) as of the end of June is at 8.5 months,  which is up from 6.9 months from this same time last year.  Basically this indicates that the local market has an excess of inventory giving the advantage to Buyers.

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 Long Valley 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.

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 Long Valley 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.