Mendham NJ Real Estate 2011 Annual Market Report Mendham Borough
by Bob Zorechak - GRI, ABR, e-PRO
Find out the latest real estate market information for Mendham Borough NJ through 2011 in addition to a look back at the years in between to 2005. See what the trends are indicating and what is next for the Mendham Borough NJ real estate market. If you are considering buying and or selling a home in 2012 in Mendham Borough NJ, this valuable annual market report is an absolute must read.
Attention... all residential real estate is local! Not everything you read about online, in the papers and hear through major media outlets about the housing market is correct or relevant, especially when information is presented on a "national" or "regional" basis. There are many factors that make up the differences in local real estate markets, even from town to town and especially in a state like New Jersey with its inordinate amount of municipalities making it a challenge for some to drill down and obtain the correct market value of any given home. This is why it is important for both buyers and sellers to start with the latest "local" market data before they make any real estate decisions.
As you can see from the chart above the volume of Listings in Mendham Borough have been on a slight downward decline over the past 2 years with Closed Sales maintaining a steady pace over the past 7 years with the exception of 2008.
Inventory has increased moderately by 13% from this same time last year up from 6.8 to 7.7 months, which is not necessarily a step in the right direction. Ideally, the inventory level should be between 5 and 6 months in order to be considered a "balanced" or normal market where neither Buyers or Sellers have any distinct advantages over one another. Anything above this level is considered to be a Buyer's market and anything below would be a Seller's market.
Simply stated, "inventory" represents the number of homes currently available or For Sale in a given market, or in this case a specific town. This means that with all things remaining equal, at the current rate of sales, it will take a little more than 7 1/2 months to sell all of Mendham Borough's current inventory.
By most accounts, this data indicates that the real estate market in Mendham Borough is currently providing Buyers with the advantage, and should remain this way at least for the short term.
The chart above indicates a somewhat steady level in the Sale Price of homes in Mendham Borough NJ over the past 4 years in particular with a range from $700K to $775K. Based on the reasonable and consistent pace of Closed Sales, it is apparent that sellers are pricing their homes fairly close to true market value. Based on the current trend of increasing inventory, I would expect to see prices in Mendham Borough remain flat or rise slightly in 2012.
What Does the Market Hold for 2012?
Follow the link below to find out in addition to reading the rest of this Mendham Borough 2011 Annual Market Report:
For more information on Mendham Borough including the school system, follow this link: