PASSAIC COUNTY, N.J. -- Real estate sales rose 8.1 percent in the first quarter in Passaic County, while the median sale price also increase.
There were 548 transactions in the first quarter, and the median sale price rose 1 percent, to $272,750, compared to the first quarter in 2015, according to the quarterly report from Better Homes & Gardens Rand Realty.
“Indeed, we’ve now seen sustained increases in buyer demand for almost five years, with quarterly sales up in 18 out of the last 20 quarters,’’ Joe Rand said in the report. He is the Managing Partner and General Counsel for Better Homes & Gardens Rand Realty. “As a result, the almost 3,000 sales over the past rolling year approaches the kinds of sales totals we last saw during the last seller’s market. Demand in Passaic shows no signs of abating.”
Rand found the “months of inventory” figure particularly noteworthy in Passaic. The number measures how long it would take to sell out the existing inventory of homes at the current rate of home sales. Passaic’s months of inventory stood at 7. 1 percent.
“In the industry, we generally consider anything below six months as a signal for a seller’s market, where tight inventory leads to multiple-offer situations, bidding wars, and ultimately appreciating prices,’’ Rand said. “Passaic County is approaching that level, and inventory is clearly tightening quarter by quarter.”
The average days on market fell 7.9 percent, although it still takes a lengthy average of 172 days -- nearly six months -- for properties to move.
“Going forward, we believe that Passaic’s fundamentals are sound, with homes priced at relatively attractive levels, rates near historic lows, and a stable economy,’’ Rand said. “Accordingly, we expect that Passaic County will continue to flower into a fully realized seller’s market in 2016, marked by sustainable increases in both sales and prices.”
Click here for the complete first quarter report from Better Homes & Gardens Rand Realty.