Q2 Market Update

BY ERIN McFEETERS

Sales prices and mortgage interest rates are on the rise. Freddie Mac reported the average 30-year mortgage interest rate rising 2.50%, and reaching 5.3%, as of July 28.

There were 11,085 total closed sales in New Jersey in June, bringing the Q2 closed sales total to 53,129, a 12.9% decrease over last year. New listings declined in June, with just 15,263 new units available.

The limited inventory across the state continues to make for a more competitive market. In all market segments, the median sales price is $425,000 year to date, a 10.4% increase over last year.

Homes are selling higher as buyers continue to offer more than asking price. The percentage of list price received is 102.9% year-to-date, and homes sold in 14.6% less time than last year, which amounts to an average of just 35 days.

The atmosphere of the current market could be squeezing firsttime buyers and the older generation of home buyers the most. First-time buyers don’t have the leverage from a sale and tend to be strapped for cash, while the older generation no longer has the steady income to increase their monthly mortgage payment.

For the full reports and to read the market reports for your area, visit njrealtor.com/data.