Currently there are 174 active condos listed in Downtown Jersey City. In the last 30 days there were 61 properties that went under contract. That an absorption rate of 2.8 months. Market absorption of 5-6 months is a normal market. 7+ is a buyers and 4 and less is a sellers market. On average condos are on the market for 75 days. As I said in my first post the market is becoming a sellers market and just in Downtown Jersey City.
Buyers are picky and have a lot of information at their finger tips. There are still properties that are over priced and the sellers may need to do a price reduction to get their property sold. The key is pricing the property correctly from the start. At Weichert we use a price trend analysis that helps sellers price their property correctly.
Its is hard for sellers to realize that their homes are not worth the same that they paid for it especially if they bought at the market highs. If your underwater it really becomes a difficult situation. I just recently sold my own house in an area that the market was at the bottom and I had purchased at a high in 2005. Its difficult to come to terms that you may have to show up to closing with money. Luckily I was net flat at closing but I was over 60k down from where I purchased.
The bottom line is there are a ton of people out looking at properties in this area and buying.
If your priced right from the start you should sell your property quickly. If you have any other questions please feel free to contact me directly at firstname.lastname@example.org
Currently the market absortion in the area is showing that the Downtown area is becoming a sellers market and properly priced condos are selling very quickly and some with multiple offers. Values are starting to increase off their lows. If you have owned for a while, and didn't buy at the highs now is a great time to list your property.
Also most of the new construction planned for the area is Rental and not Condo. This is good for condo owners as the demand for their condos should continue to grow and should help to rais prices.
For your specific property it depends on where your condo is located in the building. One thing in real estate is never to promise a specific view to someone unless you are 1000% sure nothing will be built infront of that view in the future.
I'm looking at JC/Hoboken compared to downtown Manhattan for more space/$. However, the concern is that buying now in JC during this mini-peak will place a buyer in a situation similar to your own, ie. selling without appreciation in 5-7 year time frame. Correct me if I'm wrong, there seems to be a larger fluctuation in prices during the last several years in JC/Hoboken. This fluctuation will likely be more dramatic with the addition of a few high rises in downtown JC. By comparison, Manhattan apts seem to hold their values more steadily. At this point, it is my opinion that Manhattan is a better bet from an investment perspective. If the current mini housing bubble induced by the low interest rates and mild winter busts soon, maybe JC would be a good buy, or at least more apts to choose from, with all the upcoming new constructions in Waldo. On other hand, if Euro or China busts and induces another recession, maybe I will sleep better by simply renting those beautiful new waterfront apts :).
Agree, properly priced condos in very good condition in desirable locations are moving, but how can you say it's a sellerâ€™s market. First there are over 70 listings that have been reduced in the last two months and over 300 condos for sale downtown. Last I checked the absorption rate was 25 units per month? Thatâ€™s over a year of inventory. I frankly can't stand realtors that talk nonsense. Prove yourself. Whatâ€™s the current level of absorption and how many units are on the market? Donâ€™t back down from this..when you tell people things like this you need to back it up.