Raritan Township, Hunterdon County, NJ Real Estate continues to experience its own unique and challenging market. In December, 2010, a total of fifteen (15) homes were placed under contract, while twenty seven (27) homes were newly listed for sale in Raritan Township for a total of one hundred and seventy seven (177) homes for sale in Raritan Township. In other words at the end of 2010 Raritan Township had twelve (12) sellers for every one (1) buyer. In comparison, one year ago, in December, 2009, we had twelve (12) homes under contracted and a total of one hundred and fifty one (151) homes for sale. Although in 2010 the number of contracts have increase (which is good news), we have also increased our inventory (the number of homes for sale) by whooping fifteen percent (15%). This is because the pace of the market (i.e. homes for sale versus homes contracted) is not keeping up. As our inventory rises, our prices will decline. 
Two primary reasons for Raritan Township's increased inventory are:
1. New Jersey continuing (higher paying) job losses.
2. Raritan Township's proximity to New York City, where the higher paying jobs in our area are now located.
To put some perspective on our job market, in 2010 New Jersey has lost an average of 3,900 jobs per month. In all of 2010, the job market in New Jersey \experienced a net loss of 33,000 jobs compared to an increase of 1.2 million jobs for the US overall. Focusing on the private sector, which excludes government jobs and had been showing a slightly positive trend in our state, December registered the largest job loss of the year indicating that private employers remain unconvinced about the timing of economic recovery. In Hunterdon County, we are hopeful that this market might improve somewhat in the months and years ahead with the news that Merck will be consolidating its New Jersey offices to its Whitehouse Station headquarters. Although Merck will not be paying for relocation cost due to the proximity of the relocation, and because most of these employees will be commuting in the opposite direction of heavy traffic patterns, we cannot assume that this impact will be substantially changing the Raritan Township Real Estate Market in the near future.
Because the majority of today's buyers are downsizing, the McMasions are out of favor. This might be slightly better news for overall home sale in Raritan Township because Raritan Township has a large inventory of lower priced homes and condos for the first-time homebuyer , which is the bulk of the current real estate market.
Additionally, labor productivity has increased in the past several years. Because we are working longer and harder, our time has become a very valuable commodity. Today's homebuyers are now seeking locations offering shorter commute, access to public transportation, and walkable communities . This, too, may be good news for Raritan Township, because nearby Flemington and Raritan Township offers close proximity to shopping. Although commutability to higher paying jobs is still a challenge, so if we need to sell our Raritan Township home, we have the challenge of finding a buyer from a (much) small pool of buyers. Considering the law of supply and demand, it is little wonder we are experiencing a larger inventory of homes for sale in Raritan Township and lower sale prices for the homes that do sell. For example, a total of (231) homes sold in Raritan Township in 2010 with an average sale price of $406,898. In 2009, Raritan Township sold a total of 291 with an average sale price of $402,820. We are down twenty one per cent (21%) in the number of homes sold year over year and our sale price has remained almost unchanged.
To put another perspective on the home sale prices in Raritan Township, the average asking price of home under contacts in 2010 was only $396,470, while in 2009 average list price of homes under contract was $413,731. An average of 45% of the home sales are condos and town houses. Additionally, in 2009 a total of 40 Raritan Township home sales were above $600,000; and, in 2010 a total of 37 had a sale price above $600,000. Which is showing us that the McMansions are falling out of favor with buyers. Additionally, the current data shows that now two (2) out of three (3) households in New Jersey have no children and do not want to pay for property taxes to support school systems they do not use, which may be why townhomes and condos are selling at a high pace in Raritan Township.
What can you expect if you need to sell your Raritan Township Home in 2011? First, don't put it off. Indications are interest rates are on the rise. Higher interest rates will reduce the number of buyers in the marketplace. Secondly, we anticipate a decline in home prices in 2011. The longer your home is on the market the more likely the price will decline. Second, you'll need patience. With 177 homes for sale in Raritan Township, and a total of fifteen (15) contract in December, 2010, we currently have one (1) buyer for every twelve (12) sellers. The average days on the market is currently one hundred and twenty four (124) days. This does not reflect any prior times (and days) the home may have been listed without selling. 
What do you do if you need to sell? Assess your situation carefully and honestly. If you need to sell your home, don't put it off! In this challenging market, you'll also need a Realtor® who will be as serious as you are about selling your home. The Realtor® you choose should evaluate your home in detail and present a convincing Market Analysis that shows exactly where your home should be priced. If you are not convinced get a second, or third opinion, but keep in mind, the definition of "the market" is what a buyer is willing to pay, and not what you may hope to get from the sale. Sometimes that's a tough pill to swallow, but your Realtor® should provide you with convincing evidence that her figures are correct. My customized Market Analysis is over 50 pages of concise and customized information with detailed assessments of your individual home. It's also very important to keep in mind the reason you hire a Realtor® (i.e. what you are paying a Realtor® to do for you). Do not make the mistake of choosing a Realtor® because they've given you a higher market value of your home than other Realtors®. That's an old trick that inexperienced Realtors® use to get your business. Then, once your home is on the market, they'll tell you why you need to continually reduce the price. You are paying a Realtor® to market your home in order to bring the most buyers through the door. Once the buyers have viewed your home, their feedback will tell you what you need to know. So when choosing a Realtor® review their marketing plans to see how they plan to get qualified buyers into your home. In short, that's exactly what you're paying a Realtor® to do for you. When you're ready to take the first step, let's talk. Call me at (908) 537-6596. I look forward to hearing from you. Find me on Facebook.
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