A boom in house sales across New Jersey has reduced housing stock by 50% compared to this time last year. Recent uncertainty in the housing market has created a backlog of homebuyers who are now taking advantage of low-interest rates. And with a growing trend of leaving major metropolitan areas, more suburban but still well-connected towns in Camden County are proving popular. This is great news for sellers as competition over the low inventory pushes house prices up to over 20% higher than they were in January 2020. At the same time, the moratorium on foreclosures is reassuring for buyers who, having found the right house, are in a position to pay a little extra for a long-term home in the Garden State.
Buyers Prepared For Bidding Wars
In New Jersey’s thriving property market, fierce competition for decreased inventory is resulting in bidding wars over popular homes. Quick sales with multiple offers can be intimidating for buyers, so they need to be well prepared before they start house hunting. This means having a clear idea of the sort of house and features that they are looking for and setting a realistic budget for the current market. It doesn’t hurt either for you to have someone helping you who specialize in property management. Potential buyers can also show that they are serious about making an offer by arranging their mortgage early. With the possibility of same-day approvals on a choice of home loans in many states, buyers can quickly be in a stronger position for a competitive market. Although average house prices are the highest New Jersey has ever seen, the current boom is predicted to last. A good deal on a home loan, combined with the current low-interest rates, can outweigh the risks of paying more, especially on a long-term family home.
Property Hot Spots In South Jersey
Although interest rates are now starting to climb slightly to around 3%, they remain historically low, making it a good time to buy a new property in any state. However, South Jersey is proving to be particularly attractive, and areas of Camden and Gloucester County have recently made the top ten in a list of increasingly popular neighborhoods in the country. Local realtors have seen an increase in interest from Millennial buyers, as they have reached the age where they are settling down, having children, and looking for a larger, long-term family home. In addition, homebuyers of all ages are attracted by affordable properties in less congested cities. With so many more people working remotely from home, they no longer need to live in crowded urban areas and want to swap cramped apartments for homes with large backyards. However, despite wanting more space, the proximity to large cities such as Philadelphia is still very desirable.
As an increasing number of buyers look to New Jersey for their next home, house prices are soaring, making it a great time to sell. With fierce competition for properties, buyers who are in a good position to proceed promptly on a purchase will be less intimidated by fast sales and bidding wars.