Many Looking, Few Buying

The news about the slowdown of the housing market is no longer surprising, even in Bergen County. Last week sales activity continued to be down sharply from last year (-19.8% across Bergen.) But the number of buyers actively looking is surprising. At my open house last weekend 35 groups came to see the home. Another new listing in the office received ten offers in its first five days on the market earlier this month. What this suggests is that people are looking but not buying unless they're confident they're getting a good deal.
Oddly enough, there isn't an oversupply situation in northwest Bergen. The inventory of homes listed below $1 million is 5.7 months, still considered a balanced market. Sales activity is down, but so is listing activity.
The moral here? Don't expect every home to sell 10% or more below asking price just because the market is soft. Base your offer on the value of the home, not just the list price.

- Michael Shetler

* source: NJMLS. Inf deemed reliable but not guaranteed. Single family homes only compared with the same period last year.