Real Estate in New Jersey

Real Estate in New Jersey is a very valuable commodity.  Whether you are referring to North NJ, Central NJ or South NJ; real estate in New Jersey has a tremendous amount of value.  This is if you are interested in selling or buying.

This is from a recent article from northjersey.com

Housing losing sparkle

 

Tuesday, May 16, 2006
STAFF WRITER

 

The pace of single-family home sales slowed in the first quarter of this year as the housing boom lost some momentum, the National Association of Realtors said Monday.

The pace of sales in the first quarter slowed nationwide to a seasonally adjusted rate of 6.8 million units, a drop of 2.1 percent compared with the same period last year. In the Northeast, the pace fell 2.9 percent to 1.12 million units. In New Jersey, the sales pace dropped 8.1 percent from the first quarter last year.

For the most part, property values continued to rise, though they did drop in several markets in the Midwest and, by a slim margin, even in the once white-hot Boston region.

Nationwide, median single-family home prices reached $217,900 in the first quarter, up 10.3 percent compared with the same period last year. In the Northeast, the median single-family home price was $285,200, up 6.6 percent compared with the first quarter of 2005. In the New York City region, which includes Bergen, Passaic and Hudson counties, the median sale price was $528,700 in the quarter, up 15.8 percent over the same period last year.

Still, appreciation from January through March was relatively modest, and several observers said prices have been flat since then, amid rising interest rates and increasing energy costs. Also, the supply of houses on the market is growing, which could put downward pressure on prices.

Sean T. Shallis, CEO and chief real estate strategist for the Shallis Team of Re/Max Villa Realtors in Jersey City, noted that the NAR data released Monday on real estate closings reflects some deals that were negotiated in November or earlier.

Shallis said that in more recent negotiations, buyers have had the upper hand. Sellers -- particularly those who are motivated to sell quickly -- have started dropping prices.

"What we're seeing is a softening market," Shallis said.

Many real estate insiders say the market appears to be slowing, not crashing. Buyers who reduce their asking price can sell quickly, and sometimes get multiple offers. And the North Jersey market has some protection because of its proximity to New York City and a limited supply of housing, experts say.

Still, the National Association of Home Builders on Monday said builders' confidence in May dropped to its lowest level in since mid-1995. The index, which gauges current sales, expectations for the next six months and traffic of prospective buyers, dropped six points to 45 (any number below 50 indicates that more builders view sales conditions as poor than good). The group, which predicts an "orderly cooling-down process," said builders are concerned about rising mortgage rates, home affordability issues and the retreat of investors and speculators from the market.

Bob Moulton, president of Americana Mortgage Group in Long Island, said he expects prices to drop about 5 percent in the Northeast during the next year. But he expects prices to quickly rebound.

"Right now we might be seeing a correction, but not necessarily a bubble," Moulton said.

Maureen McSpirit, a Realtor with McSpirit & Beckett Real Estate in Tenafly, said buyers are being more selective and deliberative because they now have more homes to choose from. But homes that are priced right are selling, she said.

"Many sellers are willing to drop their prices," McSpirit said. "They're becoming more aware of the change in the market and are making adjustments to reflect that."

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Tip #23

Home Buying Tip, Big Ticket Items:
Before you buy a home you should avoid buying any big ticket items.  When this is found out during the credit process or reporting it can make mortgage banks nervous.

Even if you will be able to get a loan, you might not be able to get the best available interest rate.

 

Tip #24

Home Selling Tip, Listing Right:
A common mistake when people list their house (especially in a buyers’ market) is list the house at a high price that they don’t anticipate to sell it at.  They figure that if they get it then GREAT but if not they can always lower the price.

This is not a good practice because what mostly happens is it will stay on the market for a while and make potential home buyers nervous because it’s been on the market so long.