Morristown NJ Real Estate Market Update AUGUST 2014

Morristown NJ Real Estate Market Update AUGUST 2014

by Bob Zorechak - GRI, ABR, e-PRO

The numbers for AUGUST 2014 in Morristown are mostly down with the exception of Pending Sales:

• The rolling 12 month sales volume was down slightly by seven (7) units or (4%) - Last year: August 2012 thru August 2013  (181) homes sold as compared to the current period: August 2013 thru August 2014 with (174) homes sold.  This is the first time in the past 3 months that this category dipped into negative territory on the year, however Morristown is on the same pace it was last year at this time looking back 12 months.

• The August year-to-date numbers are down by thirty (30) units or (22%) which is very similar to last month, when compared to last year's total of (136) homes sold to the current period with (106) homes sold.

• The monthly volume for the number of sales occurring last August was eighteen (18) homes sold, as compared  to this August with fifteen (15) homes sold which is down by three (3) units or (17%), also similar to the prior month's numbers. This has been the second strongest August in at least the past 5 years.

• The volume of Pending Sales (Under Contract) as of the last day of August 2014 is running significantly higher at sixteen (16) units as compared to last year at this same time at eleven (11) units, which is up by five (5) units or (45%).

• 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 August is 3.8 months, which is (.6) months or (19%) higher than it was last year at this same time. This shortage of available will help keep prices higher, at least in the short time as buyers have fewer homes from which to choose.

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!

The Morristown market seems to be holding it's own through August even though the Year-to-Date numbers are down moderately, however the 12 month rolling YTD numbers are very close to last year's brisk pace.  A positive factor was the increase in the number of homes Pending or Under Contract which is an indicator of future sales volume and will most likely help to maintain a healthy pace of volume 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 in check 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 AUGUST in 2014.  Also shown below is a year to year comparison bar graph for homes SOLD in the month of AUGUST over the past 5 years, followed by another graph illustrating the amount of homes that have SOLD Year-to-Date through AUGUST through the same period.