How’s The Real Estate Market in South Jersey and PA? – Winter 2024 Update!

Now that the cold winter is in full swing, it is a good time to check out how the current market is doing in our South Jersey and Pennsylvania areas.   While you are involved in your winter activities, such shoveling snow, scraping ice, and cleaning off your car, and we’re now in an election year, you may be curious about the real estate market.

Here is a snapshot of where the market is this winter:

National Economy (because it has some effect on the local market)

Right now, the U.S. economy has actually more than doubled its growth, in the 3^rd quarter to 4.9% from 2.1% in the 2nd quarter of this year.  Now, keep in mind that the Federal Reserve raises interest rates to slow down the economy and reduce inflation.  In November, the unemployment rate came down to 3.7% from 3.8%, thus showing the economy is still strong, ever so slightly.  The Federal Reserve Bank of Atlanta puts the 4th quarter GDP (Gross Domestic Product) estimate at 2.3% which is lower than the previous quarters.   Although it is still a strong job market, it looks like the economy may be slowing down.   To increase the slowdown the interest rates may be coming down some, but only time will tell.    So far, the economy has been avoiding a recession, to date. Some experts want a recession to begin so interest rates can come down and not cause long-term damage to the economy.   (Source:  Otteau Reports)

As of this writing the interest rates are slightly below 7%, which is lower than in the last quarter.    At the last meeting held in December, the Federal Reserve did not lower interest rates.  It is believed that mortgage rates may come down slightly in the coming months, but not by much.  Buyers that have been sitting on the sidelines, may jump back into house hunting.   This will increase competition and drive home prices up, but with slightly lower rates.  Sellers who have been waiting to put their house on the market may now be more willing to sell at a higher price and buy their next home with lower interest rates.    This will help buyers because there may be more homes on the market.  I’m seeing some lenders now are offering mortgages with a “work-around” to avoid paying the higher interest rates.    I am continuously speaking with various lenders and staying updated on these programs.   Reach out to me (click here) if you want to learn more about them.  (Source:  Bankrate.com)

To date, the conflict in the Middle East, and domestic issues, have not had a major impact on our local housing market.    At this moment it is unknown if this will affect our economy, but it is important to monitor it and see how it can affect home prices in our area.

State Economy

New Jersey – unemployment as of as of November has increased to 4.7% which is higher than the national average of 3.7%.    Compared to November of last year, there have been less jobs created this year and unemployment claims have been increasing.    New Jersey’s economy has been unstable these past few months and there is an increasing of uncertainty of what is coming down the road.  No matter what is going on, buyers still need to buy, and sellers still need to sell, and we should continue to monitor the state economy.   (Source:  Otteau Reports)

Pennsylvania – unemployment as of November is 3.4% which is slightly lower than the national average of 3.7%, that shows that Pennsylvania’s economy is doing better than its neighboring state.  However, the labor market is slowing down, and it is starting to tighten, thus causing unemployment to inch up in the new year.  The housing market in Pennsylvania continues to be affordable in the Northeast region. (Source: Ycharts.com and TD Bank State Economic Forecast)

Housing Market

New Jersey – home sales have continued to slow this past year, yet unsold inventory remains low.  Low inventory causes home prices to rise.  While we are still waiting for the final 2023 numbers to come in for, it is estimated that home prices will rise 7%, despite the economic uncertainty in the state.   (Source:  Otteau Reports)

As of December 2023:

• Burlington County
  • Burlington County is currently experiencing a strong seller’s market.  It has only 1.06 months of inventory.  The stronger the seller’s market, prices rise higher, there are more buyers than sellers – more demand. (Source:  RPR-Realtors Property Resource)
    
  • Homes are selling at 1% over asking price
    
  • Average days on market is 21  
    
  • Median sold price is $359,950
    
  • Prices are up 10.1% this year
    
  • There are 52 towns in Burlington County. (Source:  Realtor.com)
    • Moorestown has a median listing price of $649,000, making it the priciest town.
    • Browns Mills section of Pemberton Twp is the most affordable with a median price of $289,900.
    • Mount Laurel and Willingboro homes sell the quickest.
    • Marlton (Evesham), Willingboro, and Burlington Twp sell the most over asking.
    • Marlton median sold price is $403,500 which is 21.4% higher than last year
    • Willingboro median sold price is $339,500, which is 11.3% higher than last year.

• Camden County
  • Camden County is currently experiencing a strong seller’s market.  It       only has 1.26 months of inventory.  The stronger the seller’s market, prices rise higher, there are more buyers than sellers – more demand as well.  (Source:  RPR)
    
  • Homes are selling for 1.7% over asking.
    
  • Average days on market is 21.
    
  • Median sold price is $297,450.
    
  • There are 54 towns in Camden County. (Source:  Realtor.com)
    • Haddonfield has a median listing price of $899,900, making it the most expensive town.
    • Camden City has a median listing price of $129,000, which is the most affordable area.
    • Cherry Hill homes sell the quickest, average home price is $385,000.
    • Voorhees median sold price is $312,000 which is 6.2% higher than last year.
    • Pennsauken median sold price is $230,000, which is 15.6% higher than last year

• Mercer County
  • Mercer County is also experiencing a strong seller’s market.  It only has 1.06 months inventory.  The stronger the seller’s market, prices rise higher, there are more buyers than sellers and more demand as well. (Source:  RPR)
    
  • Homes are selling for 1.6% above asking
    
  • Average days on market is 28 days
    
  • Median sold price is $407,500
    
  • There are 22 towns in Mercer County. (Source:  Realtor.com)
    • Princeton has a median listing price of $974,500, making it the priciest town. 
    • Trenton City has a median sold price of $200,000, making it the most affordable.
    • East Windsor sold the most over asking.
    • Hamilton median sold price was $388,800, which is 10.8% higher than a year ago.
    • Robbinsville median sold price is $485,000, which is 17% lower than last year. 
    • Ewing Twp median sold price is $355,000 which is 13% higher than last year.

Pennsylvania – housing prices have slowed down some in 2023, down 7.2% from last year (Source: WRE News), yet it has risen higher than the national average.  It is expected for home prices to rise at a slower rate in 2024, the number of houses coming on the market will grow slightly and the labor market will slow.  It is estimated that this will result in a slight price gain of 2%.  (Source:  TD Bank State Economic Forecast)

As of December 2023:

• Bucks County
  • Bucks County is currently experiencing a strong seller’s market.  It has only 0.97 months of inventory (that is super low!!).  The stronger (or lower) the seller’s market, prices rise higher, there are more buyers than sellers – more demand. (Source:  RPR)
    
  • Homes are selling at 1.5% over asking price
    
  • Average days on market is 18   
    
  • Median sold price is $465,000
    
  • There are 79 cities in Bucks County. (Source:  Realtor.com)
    • New Hope has a median listing price of $2,000,000 making it the priciest town.
    • Quakertown has a median listing price of $334,900, making it the most affordable town. 
    • Levittown, Bensalem, and Hartsville homes sell the quickest
    • Yardley and Hartsville homes sell the most over asking.
    • Bensalem homes sell the fastest, their median selling price is $390,000.
    • Levittown homes median sold price $365,000, which is  6.85% higher than last year.
      
      
• Montgomery County
  • Montgomery County is currently experiencing a strong seller’s market.  It has only 1.01 months of inventory.  The stronger the seller’s market, prices rise higher, there are more buyers than sellers – more demand. (Source:  RPR)
    
  • Homes are selling at 0.3% over asking price (just slightly above)
    
  • Average days on market is 14 (that is low!)  
    
  • Median sold price is $410,000
    
  • There are 111 to in Montgomery County. (Source:  Realtor.com)
    • Ambler has a median listing price of $873,700, making it the priciest town.
    • Black Horse has a median listing price of $248,300, making it the most affordable town. 
    • Pottstown homes median sale price is $265,000, which is 16.2% lower than last year. 
    • Jeffersonville median sale price is $403,750 which is 19% higher than last year.
    • Norristown median sold price is $255,000, which is 11.7% higher than last year.
    • Collegeville and Lansdale homes sell the quickest.

• Philadelphia County
  • Philadelphia County is currently experiencing a seller’s market.  It has only 3.02 months of inventory.  Not as strong as the surrounding counties.  The stronger the seller’s market, prices rise higher, there are more buyers than sellers – more demand. (Source:  RPR)
    
  • Homes are selling at 98.8% of the asking price
    
  • Average days on market is 32  
    
  • Median sold price is $245,000
    
  • There are 7 cities in Philadelphia County. (Source:  Realtor.com)
    • Mid-City East has a median listing price of $775,000, making it the priciest city.
    • Overbrook Hills has a median listing price of $211,900, making it the most affordable city. 
    • Philadelphia city median sold price was $235,000, which is down -7.8% less than the previous year.
    • Mid-City West median sold price is $610,500, which is 18% higher than last year.

That is a snapshot of the real estate market in our area today.  If you want to get the knowledge of a specific town or neighborhood, feel free to reach out to me anytime (click here).   

Remember, despite what is happening in the market, some buyers still need to buy, and some sellers still need to sell. 

So, if you need to buy or sell, or both at the same time, make sure you are aware of the type of market you are in to better inform yourself on marketing, pricing, and coordination, all with the help of your real estate agent. 😊