As Poonacha said the market is tricky at best and there is no crystal ball to make any predictions. I will say that Edison has been doing a bit better than some other surrounding areas. That's because the number of foreclosures and shorts sales are relatively small in relationship to "regular sales".
Keeping value, and appreciating in value, in general also relies on location as far as proximity to public transit to NY , Philly, Trenton etc, access to highways, and of course school systems.
Talking about edison great place to live and i am here since 1980 and i see,appricaition in real estate
by 10 to 15% depend on the property.
compare to other states we have very low percentage of short sales and forclosures.
good school always appriciated by parents.
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So looking today at areas in Edison that have a strong demand could be a factor used in forecasting future appreciation.
Other factors to consider in Edison are the impact of the foreclosures and short sales on traditional housing on the negative side.
Also if today there is a stronger demand for a specific Zipcode making sure that this demand is based on genuine reasons (effective transportation system, recognize school systems, etc...) and sustainable in the short/medium term would increase the likelihood of any forecast.
There are 3 zip codes in Edison (08820 North Edison, 08817 South Edison, 08837 Clara Barton and other neighborhood.).
08820 North Edison from an average home price perspective is the most expensive one ($500,679) for 2011 (calculated in January from the Middlesex County MLS for homes only).
YTD the average home price is $503,365 (Single family homes only. Calculated for 2012 YTD on Sunday 03/04/2012) with a fairly good Sale price Vs List price of 94.3%).
So we are seeing a price increase already.
Will this Zipcode keeps on appreciating in the next 5 years? time will tell...