Montgomery Township NJ Real Estate Housing Inventory January 2008 

The condition of the real estate market in the Montgomery Township NJ and other surrounding towns is something most Home sellers and homes buyers are concerned about.

This also applies to homeowners who are currently selling or buying their house but are concerned about the values of the Montgomery Township NJ real estate. How can we find the possible answers?

The Press has been consistently reporting that now is the buyers market and that five years ago it was sellers market. By this, people usually mean who has the upper hand in the market, or whether there are more buyers than sellers in the market.  In the buyers market home prices usually decline, in the sellers market - home prices increase.

In the real estate language buyers and sellers market are often defined  by inventory accumulation. This technical sounding term is a result of simple arithmetic: dividing the total number of the available houses on the market by the average number of sales per months. For example, if there are currently 20 houses on the market and on the average 2 houses per month are sold, the inventory accumulation equals two.

In the past it was believed that the ˜buyers market is when the inventory accumulation exceeds 6-7 months. It is considered to be the ˜sellers market when inventory accumulation is less then 6-7 months.

Montgomery Township inventory accumulation is one of the lowest in the greater Princeton area at 3 months. Looking at the chart bellow it would appear that Hopewell NJ is the only market (out of the five examined) that by this definition is buyers market.

Princeton Area Housing Inventory and Accumulation - January 2008* 

This data seems to contradict what we hear on the news about the real estate markets that it is a buyers market. What is happening is that the sellers are holding off putting their homes on the market, or taking them off the market, resulting in the low supply of homes for sale and driving the inventory accumulation numbers down. That does not necessarily mean that the prices of homes will go up (which is what usually happens when there is scarcity of supply).  The buyers are not rushing into the market and are waiting for the prices to go down.

What this means for the Princeton area home buyers is that is still a good supply of homes without the pressure of the imminent price increases. For the Montgomery Township sellers the low inventory can easy the downward pressure on home prices. It does not mean that home sellers can now count on home appreciation if they bought their home within the last two-three years.

 You can read more about the Princeton NJ area real estate statistics in the following articles:

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

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

Please contact Faina Sechzer at 609-553-4175 with questions about real estate, homes for sale and/or listing your house to sell, and relocation assistance in Princeton, Montgomery Township, West Windsor, Hopewell, and Lawrenceville New Jersey. Referrals are accepted.
If you are moving out of the greater Princeton area, please inquire about the countrywide relocation program.

Copyright   2007 Faina Sechzer All rights reserved. This information cannot be copied, reproduced, transmitted, distributed, displayed or published.

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