Princeton Real Estate - Mercer County NJ Homes -

Montgomery NJ Real Estate - First Quarter 2008

The Montgomery NJ real estate (greater Princeton NJ) report is now completed with the results for the 1st quarter. This report details the prices of Montgomery NJ homes for sale, trends in the numbers of homes sold, the average  days on the market it took to sell the house and the rate at which houses have sold. Data is compared it to the real estate statistics for the same period of last year -Q1 2007. Princeton real estate is different from Montgomery real estate. The report for Princeton NJ real estate could be used for comparison.

This is important information for Montgomery NJ real estate area buyers and sellers. In summary the data suggests significant slowing of the real estate market as the uncertainty of the buyers about further price declines and the condition of the economy continue, resulting in fewer houses going under contract and being sold. The Montgomery NJ real estate average sale price is almost unchanged, which does not mean that the prices have stabilized, as I explained in the article "Who else wants clarity about real estate prices." There is slight increase in the average Days On The Market - a measure of time it takes to sell.

The decline in the number of houses on the market illustrates home sellers reluctance for putting their homes on the market, unless they absolutely have to. This could be good news for the buyers. More sellers serious about selling could lead to more realistic home prices. The data bellow is for the Q1 2008*.

There are various sources of information available to Montgomery NJ real estate buyers and home sellers. It is important to make sure you understand the credibility of the realtor or another information provider and the sources of the underlying data. Most important is to understand the meaning of each price of information, as such information could be quite confusing not just to consumers but to many New Jersey Realtors as well.

Montgomery NJ Real Estate Prices of Houses Sold
Average home price - $593,479

Average price Q1 2008 vs. Q1 2007: Unchanged

No dramatic conclusions about the direction of the real estate prices can be determined by looking at the numbers for one quarter, because they depend on the type of sales during this quarter. Preponderance of more expensive homes sold during this period would increase the price, but does not mean prices are going up. In fact the exact opposite could be happening.  To determine the real direction of real estate prices, same property sales has to be tracked over time.

Montgomery NJ Real Estate - Housing Supply
Number of Montgomery Township houses on the market

Q1 2008 -192

Q1 2008 vs. Q1 2007 Down 12%

The  12% decline compared to first quarter 2007 indicates, the sellers decisions not to sell, unless they absolutely have to.

Montgomery NJ Real Estate - Housing Demand

Two most important indicators of Montgomery NJ real estate demand are: the number of houses sold and the number of houses put placed under contract (Pended). there has been significant decline in both of these  categories in Q1 2008 compared to Q1 2007.  Montgomery NJ number of Houses Pended is most indicative of the market today, since it reflects the contacts being entered now, as compared with the Sold category, which reflects houses gone under contract several months ago, and closed this quarter.

Montgomery NJ- Number of Houses Sold

Q1 2008 - 24

Q1 2008 vs. Q1 2007 -Down 53%

It could be expected that with fewer houses on the market there would be fewer houses sold. To have an indication of the houses sold relative to the number of active listings, I am introducing a new measure:

% Houses Sold compared to Active

Average % (Sold+Pended) vs. Active - Q1 2008 - 16%

Average % (Sold +Pended) vs. Active - Q1 2007 - 26%

 Montgomery NJ - Number of Houses Pended

Q1 2008  - 42

Q1 2008 vs. Q1 2007 -Down 42%

 Montgomery NJ Homes For Sale - Days On The Market

Average DOM Q1 2008 -96

Average DOM Q1 2008 vs. Q1 2007 - Up 4%

The data for the NJ real estate market suggests 27% decline in March in contract sales compared to one year ago despite a 9% increase from February.

The same trend could be seen in the number of houses that went under contract (Pended), which  was slightly down from the same period last year.

Average days on the the market for the sold houses is also slightly up from Q1 last year. Buyers uncertainty and unwillingness of many sellers to price their houses correctly is reflected in the increased length of time it take to sell them.

Related  first quarter and monthly market report articles:

West Windsor NJ Mercer County Real Estate - Housing Report First Quarter 2008

Princeton NJ Mercer County Real Estate Market Housing Report -First Quarter 2008

Princeton NJ Real Estate Mercer County homes -Housing Market Statistics March 2008

Princeton Mercer County NJ Real Estate - Prices of Houses Sold in Princeton -January 2008

Tips for buying and selling New Jersey real estate in Princeton:

 Princeton Mercer County NJ Real Estate - Secrets to selling your house like an agent.

Princeton Mercer County NJ Real Estate -Secrets To Buying A Home Like A Realtor

Princeton Mercer County NJ Real Estate Sellers- 3 Things That Sell Houses Now

Princeton Mercer County NJ Real Estate - 5 Deadly Mistakes When Selling Your House

Please call 609-553-4175 to learn how Montgomery NJ real estate market could affect your decisions to buy and/or sell you greater Princeton area home.