2017 Sue Adler Team Chatham Real Estate Market Review

REAL ESTATE MARKET REVIEW Presented by

sueadler

team

Dear Neighbor, It is a pleasure to share with you our annual review of the Mid-Town Direct Train Line residential real estate market and surrounding towns.

With 2017 in the books, we have completed extensive research and analysis on the state of the market over the past year, as well as insight into the trends for 2018. We’ve broken down each town by price bracket to give you, the local homeowner, a true sense of the real estate market for your home. We hope you find this information useful, and that you will share it with your friends and family.

We are happy to report that the trend for New Jersey and New York City economic growth continues. This is especially evident along the Mid-Town Direct Train Line, which includes the towns of Chatham, Madison, Maplewood, Millburn, New Providence, Short Hills, South Orange and Summit. This is due to the direct access that the Mid-Town Direct Train provides. Additionally with national unemployment at low of 4.1%, we continue to see more and more individuals seek the dream of homeownership, typically coming from Hudson County, or New York City. They are drawn to our area for the exceptional school districts, ease of commute, and the amazing lifestyle that our towns provide.

The average price point in these towns dipped slightly by .35% or roughly $2,200 lower than 2016. We attribute this to the slowing luxury market which was soft for the better part of Q3 and Q4 of 2017. Luxury homes that were prepared for market, and priced for the shift, continued to sell at the pace we have seen in 2015 and 2016.

One important trend is the the drastic increase in inventory which grew by 311 homes, which is the largest year over year growth we have seen in the past 7 years of creating this report. This is likely due to the strong market we saw in 2016, which enticed sellers to get into the market in 2017. With the rise in inventory we also saw a growth in sold homes by 161. This means 67% of all homes listed sold in 2017, compared to 69% in 2016. There are buyers looking for homes in all price points, so if you, or someone you know, has been considering selling, now is still a great time.

On a personal note, The Sue Adler Team is very grateful for having been able to help 200 clients move forward in their lives in 2017, which was not only our best year ever, but got us attention from Barbara Corcoran, who publicly is endorsing us as the go-to agents in our Mid-Town Direct Towns!

For the 4th year in a row, we were the #1 producing Real Estate Team in the state of New Jersey, and received over 50 five star reviews on Zillow, Trulia, Google, and Facebook in 2017. We helped Downsizers, Upsizers, Relocation Buyers, and Sellers, Urban to Suburban Buyers, Suburban to Urban Sellers, Tear Downs, Estate Sales, Builders, and Investors.

We outperformed the market and sold 54 of our 90 listings at or above list price, with an average of 36 days on market.

Our 2nd annual 100th Home Sale Charity Program grew by nearly 100% with over 30,000 people voting for their favorite charity. This year, Imagine A Center for Coping and Loss took the top spot. We were once again humbled to see the level of participation.

Our entire team is proud to live, work, and serve in our beautiful communities, and we are extremely grateful for the opportunity to make a difference in your life.

Yours to count on, The Sue Adler Team

Sue Adler Team’s Market Commentary of GSMLS Data AVERAGE DAYS ON MARKET

ORIGINAL LIST PRICE TO SALE PRICE

80

100% 98%

70

65

96%

56

40

46

44

45

46

96

94%

20

92%

93

93

2011

2012

98

97

99

99

2016

2017

90%

0 2016

2017

The average days on market for the Mid-Town Direct Train Line Towns increased again by 1 day from 2016, now up 2 days from 2015 lows. When looking at the sales data broken out by price point, it is evident that the high end market continued to slow, while the mid and entry level markets continued to perform at or better than years prior.

HOME SALES BY PRICE RANGE Average Days on Market

Number of Sales

Average List to Sale

$1M or less

41

1,304

100.70%

$1M-$2M

44

471

98.26%

$2M or more

87

78

94.33%

3,000

2015

Inventory

Sales

2,000 896,198

1,500

850K

860,507 846,200

1,204

1,000

800K 500 785,274 768,112

2013

2014

2,527

898,437

1,688

887,263

2,440 1,590

$900K

2,313 1,652

2,500

SELLING PRICES

750K

2014

INVENTORY & SALES

1,288

Price Range

2013

We continued to measure original list price to sale price ratio, which gives us a snapshot of the health of the market based upon price reductions and listings that were withdrawn and then relisted with a new price. It is clear that 2017 continued to be a very strong year in real estate with a near perfect original list to sale price ratio. We look to see this trend continue in 2018, especially in the entry and mid level markets. The luxury markets continue to see an influx of inventory which is increasing the total months supply. This creates a buyers market, which will naturally lower the original list price to sale price. Please see page 6 for a more accurate depiction of your town.

1,853

2015

2,758

2014

2,447 1,692

2013

2012

2,210

2011

2,287

60

0 2011

2012

2015

2016

2017

700K 2011

2012

2013

2014

2015

2016

Inventory levels grew in a big way in 2017, as did sales. Strong numbers in 2016 motivated many sellers to enter the market in 2017; much like in 2007 and 2008, we saw many sellers “testing” the market, to see if buyers would pay top dollar and entice them to move. Additionally with the uncertainty of the presidential election over, and the markets rallying, a new influx of buyers entered the marketplace which was further encouraging for sellers to get their home on the market. In 2017, 67.18% of homes listed sold, vs. 69.14% in 2016. Like the other areas of the market, we see the luxury market contributing to this drop.

2017

In 2017 we saw the first regression in average selling price since 2010. The good news is the slip is very slight, barely representing .35% less. Compared to the low in 2011, the average selling prices in the Mid-Town Direct Train Line Town markets are 13.1% higher representing stable year over year growth. While the majority of the market continues to see growth, the luxury markets have not bounced back as well, with the exception of new, newer, or totally renovated homes. Some of this has to do with demographics, as there are more downsizers than move up buyers in the market.

Luxury homeowners who realize the softness in the market, and position their properties appropriately are still experiencing success, as when the buyers see the value, they are quick to act.

2013

2014

283

350

194

SALES BY TOWN 2015

2016

2017

300 250 200 150

Maplewood

Millburn

4 | THE SUE ADLER TEAM

Chatham Boro

Chatham Township

South Orange

Madison

Summit

162

160

177

127

165

294

314

284

260

149

177

164

178

246

241

268

255

221

183

159

209

188

179

136

135

117

98

81

319

311

329

322

364

349

322

296

0

324

50

300

100

New Providence

DATA SOuRCE: GSMLS

HIGHEST SALE PRICE

In 2018 we expect to see a rise in inventory with a continued high demand from buyers in the entry and mid-level range.

$4,175,000 55 STEWART ROAD, SHORT HILLS A SUE ADLER TEAM LISTING

Average Sale Price

2 bedrooms

Average Sale Price

3 bedrooms

$413,786 $632,377

Average Sale Price

2 bedrooms Average Sale Price

$888,629

399,479

$ 4 bedrooms Average Sale Price

5+ bedrooms

$1,287,628

.35%

JUNE 253 homes sold

2016-2017

42%

average decrease in sales price

DATA SOuRCE: GSMLS

saw the most closings

with

of all listings sold at or above list price 973.936.9129

www.sueadler.com | 5

2017 Home Sale Statistics CHATHAM 2017 HOUSING OVERVIEW TOTAL LiSTeD: 401

TOTAL TRAnSAcTiOnS: 320

AveRAge DAyS On MARkeT: 63

Arrows indicate difference from 2016.

AveRAge LiST TO SALe PRice: 93.4%

SUe ADLeR TeAM LiST TO SALe PRice RATiO: 99.4%

Our Process: In order to give our local homeowners the most accurate data, we go through every home sold within the year to find out the number of times it has been listed and its original list price across all listings.

Total Listed: 55 2016: 87 2015: 81

Transactions: 57 2016: 59 2015: 66

UNDER $500,000

Average Days on Market: 55 2016: 45 2015: 49

Original List to Sale Price: 94.82% 2016: 95.36% 2015: 96.7%

Sold At or Above List Price: 17 2016: 15 2015: 15

Total Listed: 153 2016: 161 2015: 182

Transactions: 138

$500,001 TO $1,000,000

2016: 131 2015: 151

Average Days on Market: 42 2016: 42 2015: 45

Original List to Sale Price: 96.31% 2016: 96.51% 2015: 98.2%

Sold At or Above List Price: 54 2016: 58 2015: 66

Total Listed: 99 2016: 84 2015: 85

Transactions: 75

$1,000,001 TO $1,500,000

2016: 65 2015: 66

Average Days on Market: 49 2016: 51 2015: 46

Original List to Sale Price: 95.10% 2016: 94.8% 2015: 96.8%

Sold At or Above List Price: 20 2016: 4 2015: 26

Total Listed: 51 2016: 43 2015: 29

Transactions: 33

$1,500,001 TO $2,000,000

2016: 23 2015: 21

Average Days on Market: 59 2016: 41 2015: 55

Original List to Sale Price: 92.38% 2016: 94.16% 2015: 94.7%

Sold At or Above List Price: 6 2016: 4 2015: 8

Total Listed: 43 2016: 49 2015: 45

Transactions: 17 2016: 16 2015: 22

OVER $2,000,001

Average Days on Market: 112 2016: 72 2015: 81

Original List to Sale Price: 89.55% 2016: 90.2% 2015: 94.5%

Sold At or Above List Price: 1 2016: 0 2015: 45 6 | THE SUE ADLER TEAM

973.936.9129

www.sueadler.com

The Sue Adler Team is excited to announce the start of our 3rd annual 100th Home Sale. We will be donating $20,000 to 6 local charities. This year, we would like to invite other local businesses to join us, so we can collectively make an even greater impact. If you are interested in nominating a local charity, participating as a local business, or learning how your home could be our 100th Home Sale of 2018 call 973.936.9129 or 100home@sueadler.com Visit www.SueAdler.com/100Home for more information about how to vote for your favorite charity!

Thinking about selling in 2018?

Call 973.936.9129 and visit PriceMyNJHome.com for your complimentary consultation.

Thinking of moving? Your team matters!

Our in-house team of specialists help our sellers get top dollar by showcasing your home in the best light possible!

Professional Photography

Kitchen Makeover

Before

Before After

Staging

After

Twilight Photography

Before

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Aerial Photography

After

Dated to Chic

Before

Before After

After

973.936.9129

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Keller Williams Realty Premier Properties

159 Main Street, Chatham, NJ 07928 info@sueadler.com

973.936.9129 sueadler.com

488 Springfield Avenue, Summit, NJ 07901 | 973.376.0033 If your property is currently listed this is not intended as a solicitation.

Call 973.936.9129 for your comprehensive listing success strategy!

To sell your home for the most money, you need a sharp agent with a marketing strategy that creates the most demand. Bottom line is, you need a partner willing to put their own money on the line for you. No one sells more real estate along NJ's Train Line Towns than the Sue Adler Team, selling a home every 72 hours. Sue invests a million dollars a year to marketing and servicing their clients. Partner with the team I trust. Visit sueadler.com and get your home sold!

— Barbara Corcoran, SHARK TANK

The Sue Adler Team Real Estate Redefined RESULTS:

#1

team in the state of New Jersey (Dollar Volume) 2013-Present

Average Days on Market of

36

CLIENT EXPERIENCE:

COMMUNITY GIVING:

OUT OF #15 TEAM 165,000 AGENTS in Keller Williams Worldwide (Dollar Volume)

HHHHH 150+

5 STAR REVIEWS from happy clients

% 60

of our 90 listings sold at or above list price

Endorsed by

Barbara Corcoran as the GO TO AGENTS in our Mid-Town Direct towns

• We consistently deliver above and beyond solution-based client service, with the focus on bringing your goals to fruition.

• We empower our clients through consultation and education so you have the context to make informed decisions and move your life forward.

• Our goal is to make a difference for you; our tagline is “Yours To Count On” and we live by this.

• 100th home sale charity program. We donate $20,000 across 6 local charities. sueadler.com/100Home • We sponsor block parties to support the communities we serve.

• The more people we help, the more we can give back to our communities.