How Much Has NJ Home Inventory Increased In Last Year
Q: Gerald, you said earlier that the number of homes available for sale on the market has been rising recently. How much has home availability increased and is it enough? Derek, Metuchen, NJ
A: After a long period of record low housing inventory, the number of homes available for sale in NJ has increased this year by over 50%. Home inventories in Hudson County where my office is located are now about 3 months or more which is significantly higher than they were in most of the last few years. The tipping point where home prices stabilize is at about 6-7 months of home inventory supply. When home supply inventories exceed 6-7 months home prices start to drop. Higher supply means more options for home buyers particularly for first time home buyers which is a welcome sign. Thanks for your question, Derek.