How's the market right now in Middlesex County?

As your real estate professional, it's my job to constantly read into the data and understand how the market is changing. Here's the latest on New Jersey Real Estate as of October 2024.

1. Increase in Listings with Decline in Sales

Middlesex County has experienced a substantial increase in new property listings this year. For single-family homes, new listings rose by 5.1% year-to-date. However, closed sales have not kept pace, showing a 7.5% decline in single-family sales. This contrast suggests a growing inventory paired with buyer caution, possibly influenced by fluctuating mortgage rates and economic conditions.

Similarly, townhouse and condo listings grew by 7.5%, with a slight 3.5% drop in closed sales, indicating cautious buyer activity in these segments as well.

2. Shorter Days on Market, Indicating High Demand

Despite fewer closed sales, the “days on market until sale” metric has declined across all property types. For single-family homes, the days on market decreased from 40 to 34 days year-to-date—a 15% reduction. Townhouses and condos also saw a 15.2% reduction in market time, indicating strong demand for quicker transactions and potentially competitive buying conditions.

3. Median Sales Price Shows Notable Increases

The median sales price across all property types has risen. Single-family homes reached a median price of $575,000, marking an 11.7% increase year-over-year. Townhouse-condo properties followed this trend, with a 12.6% price increase, reaching a median of $416,500. Adult communities recorded a 14.6% rise in median sales prices, highlighting a broader countywide rise in property values. This price growth reflects consistent demand and limited supply, even as new listings enter the market.

4. Decline in Inventory and Supply Levels

The inventory of homes for sale has decreased, with single-family home inventory down by 17.4%. Townhouse-condo inventory also dropped, albeit more modestly, by 5.9%. Months of supply—a measure of how long it would take to sell current inventory at the current sales pace—has declined for single-family homes, indicating a tightening market.

5. Slight Dip in List Price Received

One metric that has shown a slight drop is the percentage of list price received. Single-family homes have maintained high levels, at 104.4% year-to-date, yet this represents only a 1.5% increase. This metric decreased slightly for townhouses and condos, indicating a slight shift in negotiation power back toward buyers in certain segments.

Summary

The 2024 Middlesex County real estate market is characterized by increased listings and fewer closed sales, revealing buyer caution alongside steady demand. Although there are more listings, properties are selling faster, and prices continue to rise, pointing to a market resilient to economic pressures.

The landscape remains dynamic, with affordability, economic stability, and inventory levels playing critical roles as the year progresses.