Lower interest rates have been a catalyst to increased sales activity. Future rate increases will again diminish the buying power. Indecisive buyers have a lot of competition. A strong economy and banking system will prohibit a market correction in the near future and the tight inventory will continue to drive up prices… just a little slower this year – a good time to make a move!

 

 

National Job Creation                   

2018 actual                           + 2.7M                   

2019 March                           +196,000!  (Feb only +33K)

2019 Forecast                        +2.1M 

 

 

US Unemployment               3.8%

 

New Jersey Job Creation                

2018 actual                            +39,000 jobs

2019 forecast                         +80,000

 

NJ Unemployment                4.1%

(lowest in 12 years    down from 9.8% in 2009)

 

Y-T-D Sales Activity              + 3% Mar 2019 to 2018

                                              (Q-1 +2% Y-O-Y)

 

Largest Gain           400K-600K  (+6%) 

Hardest Hit             1.2M-2.5M  (- 4%) 

 

NJ Unsold Inventory                +4% in March

continues to rise slowly                                   

 

below 400K a sharply decreased    (-3% Mar)              

                                                                          

– 47% compared to the cyclical high in 2011                                                                                              equating to 3.5 months of sales – in the seller’s favor

 

Bergen County comparison April 2019 to April 2018

 

Y-T-D Single Family Closed Sales                +1.4%

Y-T-D Single Family Pending Sales              +6.6%

Y-T-D Single Family New Listings                +9.2%

Y-O-Y Days-on-Market Single Family           -7.5%    

        (from 80 to 74 days)

Y-O-Y Residential Median Sold Price            +2.4%

Residential Absorption Rate                       +8.1% 

        (from 3.7mo to 4.0mo)

(<5-6mo of inventory = seller’s market and >5-6mo of inventory = buyer’s market)

 

Mortgage Rates                 

slightly rising at 4.20% up from 4.06% (4.58% Mar 2018)

resulting in more buyers jumping into action

== increasing the competition among buyers