Where Wall Street Layoffs Will Impact NJ Housing Most
Q: I read a few articles this year about more Wall Street layoffs. Will this affect NJ home prices? Curt, Berkeley Heights, NJ
A: Every day over 300,000 people in NJ go into work in New York City. While the US labor market is historically strong, banks like HSBC & Deutsche Bank have laid off thousands of people this year. Wall Street certainly appears to be shrinking as investment management is expanding beyond New York City which may have an impact on home prices in some Jersey communities. Big luxury homes are the weakest sector in NJ housing markets as days on market for these homes is substantially higher than for other homes. There is a shift happening in housing as some wealthier towns with train access to Manhattan are falling out of favor and people priced out of Brooklyn and Manhattan are moving to Jersey towns like Jersey City, Rahway even as far south as Burlington County towns like Willingboro. The towns with the highest % of luxury homes are likely to be most affected by Wall Street layoffs. Thanks for your question, Curt.
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