“Jersey now has even more bad news to deal with.”

From the City Journal:

The Garden State Wilts

For decades, New York City residents and firms, seeking a haven from high taxes and overregulation, fled to New Jersey, boosting the state’s population and its economy. But a steady diet of New York–like tax hikes and business-toxic legislation has reversed that trend, sending residents and companies rushing for the exits and putting Jersey’s economy into a tailspin.

After a tumultuous summer, marked by a budget confrontation between new governor Jon Corzine and the state legislature, resulting in an embarrassing shutdown of government for several days and a $1.2 billion tax hike, Jersey now has even more bad news to deal with. The state’s economy was anemic in 2006, adding private-sector jobs at less than one-half the national rate, marking the third straight year that its growth has lagged the nation’s. Even worse, much of Jersey’s job growth is in low-wage service employment. Industries that feature higher-paying jobs, like telecommunications and financial services, have produced little new employment.

A dispirited business community, meanwhile, thinks that the harsh times won’t end soon. More than half the state’s businesses believe that Jersey’s economy will be worse in 2007, and only 17 percent now say that the state is a good place to expand in, according to a recent New Jersey Business and Industry Association survey.

State residents, weighed down by the nation’s highest local property taxes and a bevy of steep state levies, seem equally disenchanted. The number of residents moving out has tripled in four years, to about 72,000 last year, the U.S. Census Bureau recently noted, leaving Jersey with an essentially flat 0.2 percent population growth rate, as births and foreign immigration barely keep up with the exodus. With these latest figures, Jersey has ceded its place as one of the country’s ten most populous states for the first time since 1920.

Corzine has accomplished little in his first year in office that might staunch the outflow of residents or encourage businesses. After the tax increase, Corzine rejected proposals by legislators from his own party to cut government spending by trimming sky-high public-sector employee benefits. Balking at taking on public-sector unions, Corzine instead is exploring ways to raise revenues through fiscal gimmicks, such as selling the New Jersey Turnpike for $10 billion and putting a big chunk of the proceeds toward fulfilling his campaign pledge to cut property taxes. Such a move, of course, would do nothing to trim government spending and would put Jersey in an even bigger hole when the money from the Turnpike sale ran out in a few years.

After an unparalleled run that began in the post–World War II era, in which it blossomed, luring New York companies and growing its economy at twice its neighbor’s rate, the Garden State now seems stuck in the same kind of managed decline that the Empire State has experienced for the past 40 years.

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121 Responses to “Jersey now has even more bad news to deal with.”

  1. SG says:

    What a nice way to discuss RE and celebrate JB’s Blog that got all of us coming here pretty much daily, by coming to NJ RE Report Network Event.

    Please sign up for the Networking event (aka Cult Gathering) for some nice lively fun & discussions (along with Rituals).


    If many people sign up, we can try to get some exciting folks come as well. I dont think David Lereah will be in town though :-)

    PS: Sorry for repost. I imagine lot of folks will be reading this thread.

  2. James Bednar says:

    From the Record:

    N.J. to Nevada: Hands off our businesses

    New Jersey is striking back at Nevada’s recent effort to lure away state businesses.

    The New Jersey Small Business Development Centers network began distributing postcards Thursday with a no-entry sign printed over the word, “Nevada.”

    The postcard says that “when other states come knocking on your door to relocate your business — tell them where to go.”

    The card adds: “Businesses made in New Jersey stay in New Jersey.”

    Somer Hollingsworth, CEO and president of Nevada’s economic development authority, welcomed New Jersey’s push back.

    “I love it,” he said. “What it tells us is that we hit a sore spot. It means that what we said was factual and now they have to answer it.”

    He said Nevada is in discussion with four New Jersey companies attracted by last year’s $100,000 campaign.

  3. James Bednar says:

    Welcome to the Spring season!


  4. Clotpoll says:

    Absolutely sickening. Other states are gunning for our businesses, and the best thing Trenton can do is respond with Sopranos-like tactics?

    Why should businesses made in NJ stay in NJ? For all practical purposes, I cannot think of one reason.

  5. BC Bob says:


    Can’t make it, weeknight classes. Great idea though.

  6. BC Bob says:

    To those with MLS access,

    Can you please provide the street address. I have the town.

    MLS#- 2702523

    Thanks in advance.

  7. RentinginNJ says:

    OT, but interesting…

    Vacant Homes For Sale Cloud Economic Hopes

    Data Pointing to Glut Are Worst in Decades; Impact of Speculators.

    Amid brightening hopes that the U.S. housing market is stabilizing, some economists are zeroing in on a piece of data that could augur badly for the consensus view: the homeowner vacancy rate.

    That figure, an often-overlooked measure of how many homes for sale in the country are empty, has climbed to its highest level since the Census Bureau began tracking it four decades ago. Last week, the bureau said that in the final three months of 2006 there were about 2.1 million vacant homes for sale.

    That brought the national homeowner vacancy rate to 2.7%, up from 2.0% a year earlier. Before 2006, the number had never risen above 2.0%. Like the housing economy more broadly, the measure varies by region: The South had a homeowner vacancy rate of 3.0%, the Midwest had a rate of 2.9%, the West had a 2.4% rate and the Northeast had a rate of 2.0%.

    The report, which usually gets little attention, sparked fresh concerns about the housing market. Goldman Sachs economist Jan Hatzius concluded in a report last Monday that rising vacancies signal that excess housing supply continues to grow — and that new construction has to decline further this year, even after a 13% decline in new home starts in 2006.


  8. BC Bob says:

    Excess liquidity chasing too few opportunities???

    “There is too much money globally chasing meager returns, and the liquidity has found its way to asset markets,” says Arjuna Mahendran, chief Asia strategist at Credit Suisse Group in Singapore. “There is no perfect solution. If the flows aren’t absorbed, you’ll have a crisis at some stage.”

    “A bust would be “highly disruptive to the Asian economies themselves, and also very unpleasant for investors who have been chasing returns in Asia,” says Donald Straszheim, vice chairman of Roth Capital Partners in Newport Beach, California.”


  9. Clotpoll says:

    Wonder how many vacant NJ listings will have their pipes burst today. Two common homeowner mistakes when vacating the premises:

    1. Not winterizing the home.
    2. Failing to obtain vacant home inusrance.


  10. Rich In NNJ says:


    422 Beech St

  11. BC Bob says:



  12. RentinginNJ says:

    Corzine has accomplished little in his first year in office that might staunch the outflow of residents or encourage businesses.

    I just don’t see the political will to get anything changed in New Jersey. Labor costs are the largest piece of New Jersey’s budget and Corzine has made it perfectly clear that he stands on the side of organized labor.

    I don’t think he really cares about NJ’s lagging economy; at least not enough to make some hard, but necessary, decisions that might upset his political base.

    I guess he thinks that he can make it through his term without a real meltdown and remain popular with his base. Let the next guy gov. worry about it.

  13. RentinginNJ says:

    Why should businesses made in NJ stay in NJ?

    The only reason for a business to stay in NJ would be if the business were able to fully pass on its high costs to customers. Any business dealing with international or out of state competition would be better off someplace else.

    The practical implications of this are that higher paying jobs in manufacturing, pharmaceuticals and telecommunications leave the state. We replace those jobs with retail and chain restaurants. After all, since most people aren’t going to drive to PA or DE to go to a TGI Friday’s, those places can essentially pass on their high cost of doing business in NJ.

  14. Jamil Hussein says:

    just wait for the amnesty bill which brings in 100 million new welfare recipients. I have no doubt that many of them will find NJ very hospitable place to suck taxpayer money and public services.

    cost of illegals

    New Study by FAIR Shows Illegal Immigration
    Costs New Jersey More Than $2.1 Billion A Year

    Washington, DC-A new study by the Federation for American Immigration Reform (FAIR) showing that illegal aliens cost New Jersey more than $2.1 billion annually may help explain why the state continues to suffer multi-billion dollar budget deficits, and as Governor Jon Corzine admitted, “one of the worst tax burdens in the United States.” The Costs of Illegal Immigration to New Jerseyians analyzes public expenditures for education, medical care, and incarceration for the estimated 372,000 illegal aliens residing in the state.

  15. UnRealtor says:

    #14, love the name.

  16. James Bednar says:

    From Bloomberg:

    U.S. Home Market May Be a Little Shark-Infested

    The U.S. home market is like a beach after a shark has been spotted. Almost everyone is avoiding the water until an “all clear” has been given by the lifeguard.

    If you believe the industry’s main trade group — the Chicago-based National Association of Realtors — the frothy waters of the U.S. home market may be safe for waders. Yet some areas should be declared off-limits to buyers for a while.

    Determining whether it’s safe to purchase in any given area is a tough call. Local economic conditions combined with mortgage rates and speculative trading make things complex.

    Yet by collecting information to make a matrix on foreclosures, property-loss risk and sales trends, you can get a reasonably good idea of which markets to avoid.

    Overall, there’s some sign that residential sales may have hit a trough. The association said Jan. 10 that “existing-home sales are forecast to gradually rise through 2007 and into 2008 while new-home sales should turn around by this summer.” That prediction may be overly optimistic as it came before a Jan. 25 report that showed U.S. home sales last year were down 8.4 percent — the biggest decline in 24 years.

    You have to keep in mind that nationally, there’s a 3.5 million-home inventory of unsold houses and many areas are being hit by a wave of foreclosures.

  17. RenterQuestion says:

    Can you please tell me …

    Who pays realtor commission for a rental offered through a Realtor? Is it the renter or the owner? What is the going commission rate? Are they any regulations/rules specifying who should pay?

    Thanks in advance.

  18. Pat says:

    Jamil, once again, I’m gonna take the long-term view and look at this one from the opposite side.

    I’m thinking that something in NJ’s current state situation is bringing these folks here, which means there is a market and a need. Until that need is met otherwise, would the dislocation and vacuum created by removing illegals outweight the benefits of legalization?

    Anyway, here’s a protectionist article to back up your anti-illegal stance. There are so many positive articles in support of legalizing immigrants that I don’t need to post them.

    It’s also interesting to compare Steven’s articles.

    P.S. I wonder how Steven gets his information for his articles. Like the one on NJ today…wouldn’t it be interesting to learn he came to blogs for it?

  19. SG says:

    Jamil – FAIR is not unbiased news reporting organization. I have had my share of fights with them (which I won) in the past. It is run by folks, who I can call KKK of 21st century.

    If you don’t have Immigration, the first state that will be dead is NJ.

    BTW: I am an immigrant, and can choose to live anywhere in the world. My income is in top 5% of this country. It would be a big loss for USA to try to stop Immigrants. I would leave US the day, US becomes so agnostic and forgets its roots in how it became rich country in the first place.

  20. Jamil Hussein says:

    #19: Your secret “studies” are just propaganda from big business and pro-illegal activists.

    Business loves cheap workers (no need to pay american workers decent pay) so they are happy to bribe politicans to advocate criminal activity.
    Guess who’s going to pay for all those translation services, hospital services, public education and prisons for illegals?

  21. Jamil Hussein says:

    If you don’t have Immigration, the first state that will be dead is NJ.

    I think this tells a lot about you.

    I’m all for immigration. Illegal immigration is another thing (see the word, illegal). Pro-illegal activists always try to mix illegal and legal immigration.

  22. zane says:

    Normally the commission is one-month rent. There are three possible, paid by renter, landlord or each pay half of it.

  23. Pat says:

    “MortgageIT was acquired by Deutsche Bank in 2007 as a key element of the Bank’s build-out of a vertically integrated mortgage origination and securitization platform.” mortgageit.com
    Corporate Headquarters
    33 Maiden Lane
    New York, New York 10038.

    CARY – “Mortgage IT leased 6,173 square feet at Crossroads office park..”

    I guess that’s where the originations are,huh?

  24. SG says:

    Business loves cheap workers (no need to pay american workers decent pay) so they are happy to bribe politicans to advocate criminal activity.

    So, make them legal and businesses will not be able to eploit them. Also they will have to pay all the taxes just like you and me.

    Also go back in history and see how many people came legally back in 17th & 18th & early 19th century. The harsh reality was back then only Western Europeans were allowed to come to US and no one else was allowed. The laws are made by majority who normally punishes minority, that’s the history.

    Though I am legal immigrant, I will support legalization 100% for illegals. And even as legal immigrant, I had to struggle almost 6 years and lobby hard US Politicians to change laws, which made it possible for me to get Green Card, even though I was making more then 100K and making even more money for my employer and govt.

  25. Jamil Hussein says:

    Some really inconvenient truths about illegal immigration..

    the situation is now much worse.

    From the L.A Times(2002)

    1. 40% of all workers in L.A. County (L.A. County has 10 million people) are working for cash and not paying taxes. This was because they are predominantly illegal immigrants, working without a green card.

    2. 95% of warrants for murder in Los Angeles are for illegal aliens.

    3. 75% of people on the most wanted list in Los Angeles are illegal aliens.

    4. Over 2/3’s of all births in Los Angeles County are to illegal alien Mexicans on Medi-Cal whose births were paid for by taxpayers.

    5. Nearly 25% of all inmates in California detention centers are Mexican nationals here illegally.

    6. Over 300,000 illegal aliens in Los Angeles County are living in garages.

    7. The FBI reports half of all gang members in Los Angeles are most likely illegal aliens from south of the border.

    8. Nearly 60% of all occupants of HUD properties are illegal.

    9. 21 radio stations in L.A. are Spanish speaking.

    10. In L.A.County 5.1 million people speak English. 3.9 million speak Spanish (10.2 million people in L.A.County).

    (All 10 from the Los Angeles Times)

    Less than 2% of illegal aliens are picking our crops but 29% are on welfare.

    Over 70% of the United States annual population growth (and over 90% of California, Florida, and New York) results from immigration.

    The cost of immigration to the American taxpayer in 1997 was a NET (after subtracting taxes immigrants pay) $70 BILLION a year, [Professor Donald Huddle, Rice University].

    29% of inmates in federal prisons are illegal aliens.

  26. Pat says:

    #19 was missing referenced link, Jamil. I saw this one,same author, when I read the one posted at top of thread.


  27. UnRealtor says:

    The US should implement the same laws Mexico currently uses for illegal aliens in their country: immediate deportation as said illegals are discovered by authorities.

  28. what bubble? says:

    Can JB or someone else w/ appropriate access please tell me the listing price history for MLS # 2323377? Thanks in advance.

  29. BC Bob says:

    “How housing masked a weak economy”

    “Housing mania will end in tears.” That belief served as the headline of my column back on March 7, 2005. Now this scenario is slowly playing out as, directly or indirectly, the noose around the housing ATM continues to tighten.”

    “At some point, the amount of damage being done will rapidly accelerate. I am certain that one day, when we look back on this period — which witnessed the incredible housing-stock rally that ran from summer 2006 through early 2007, before it collapsed — and we describe it to folks who may not have seen it firsthand, they will shake their heads in disbelief, the same way that folks now look back at the Nifty 50, the stocks that propelled a doomed early-1970s bull market, and ask: How could anyone have been so naive to have believed that concept?”


  30. Commercial RE Consultant says:

    Clot: Haaa. It may be a real good time to be a plumber.

  31. Lindsey says:

    96% of economists agree: Housing will definitely be out of the woods by 2008.

    Only 9% of economists say the housing decline ended in 2006, according to a USA TODAY survey of 55 economists taken Jan. 18-24. Another 42% said the downturn will end in the first half of the year, and 45% said housing will bottom out in the second half.

    From USA today: http://www.usatoday.com/money/economy/housing/2007-02-04-housing-econ-usat_x.htm

    Apparently, this guy is the contrarian:

    Economist Tucker Hart Adams says the housing market won’t stabilize in 2007. The combination of resetting adjustable-rate mortgages, homeowners unable to keep up with payments on so-called exotic mortgages such as interest-only loans, and other debt will lead to higher foreclosure rates and more homes on the market, she says. “It’s really optimistic to think that it just took a little adjustment and everything is fine,” she says. “It’s one time I would like to be wrong.”

  32. RentinginNJ says:

    I’m thinking that something in NJ’s current state situation is bringing these folks here, which means there is a market and a need.

    I think the biggest driver for immigrants coming to NJ is a family and community support infrastructure that other places don’t have. New Jersey has a large Mexican and South American population already. New arrivals come to NJ because they likely already have friends and/or family here who can help with a place to stay and help finding a job in an immigrant community where employers are sympathetic to your situation and it is easier to blend in. I don’t think it is because there are just so many wonderful opportunities in NJ.

    That being said, recent census figures show that NJ is even losing its ability to attract immigrants. While NJ remains a popular choice for immigrants, other states are starting to catch up.

  33. rhymingrealtor says:


    Thats 422 Beech Street in Kearny, you know your in my territory with that one.


  34. Lindsey says:

    My apologies to Ms. Adams, she is not a guy. You would think a guy named Lindsey would have some kind of sense for these things…

  35. chicagofinance says:

    “This whole thing has been new,” says Mr. Seiders, the National Association of Home Builders’ economist. “We’ve never seen this kind of investor activity and we’ve never seen this kind of [vacancy] resale. It’s an extra complication moving forward.”

  36. James Bednar says:

    Can JB or someone else w/ appropriate access please tell me the listing price history for MLS # 2323377? Thanks in advance.

    MLS: 2323377
    OLP: $869,000
    LP: $799,000
    DOM: 136

  37. what bubble? says:

    jb…thanks a lot…much appreciated.

  38. James Bednar says:

    ISM Services numbers strong this morning.. From Bloomberg:

    U.S. ISM Services Index Rises to Highest Since May

    Growth at U.S. service industries accelerated last month as companies trimmed excess inventories, a sign that increased consumer spending is bolstering economic expansion.

    The Institute for Supply Management said today its index of non-manufacturing businesses increased to 59.0 in January, the highest since May, from 56.7 in December. Readings above 50 point to growth in industries that make up almost 90 percent of the economy.

    Lower energy prices and higher wages are fueling increased consumer spending and generating stronger sales at retailers, adding to economic growth. Today’s report confirms the view of Federal Reserve policy makers, who said last week that the economy is expanding at a “moderate” pace.

    “Consumers are spending, and that’s going to produce demand for these service firms,” Sam Bullard, an economist at Wachovia Corp., in Charlotte, North Carolina, said before the report. “Right now things are looking good and that’s what you saw in the Fed statement as well.”

    Economists projected the index to rise to 57, the median of 71 forecasts in a Bloomberg News survey. Estimates ranged from 53.5 to 63.

    The index of new orders for non-manufacturing industries fell to 55.4 from 55.6 in December. A measure of prices paid fell to 55.2 from 59.7.

  39. UnRealtor says:

    Lindsey #34, you just went and pulled a “Crying Game”!

  40. BC Bob says:


    Thanks!! My wife is from the manor section there. Friends and family are in this area. Our goddaughter [sophmore] was 3rd team All-State, soccer for Kearny high. I’m trying to appease the wife, at least for now. Where is your office???

  41. James Bednar says:


    I can pass along her contact info to you.


  42. BC Bob says:



  43. rhymingrealtor says:

    BC Bob

    I am a kearny girl born and raised graduated KHS 78 you can contact me on (*Edited -jb*)


  44. lisoosh says:

    To Kearny people – do they still have that street with the Scottish pubs and stores (transplanted Scot here)? I went years ago to pick up a couple of things, but was under the impression that the community was disappearing. Anything still there?

  45. James Bednar says:

    From the Mortgage Bankers Association (MBA):

    The Residential Mortgage Market and Its Economic Context in 2007 (PDF)

  46. rhymingrealtor says:


    There is only one fish & chip store left. Argyles. The town has changed dramatically. The Scottish club is still here. If you had came to pick up a few things I would have to assume you went to Argyles they have the scottish store with it. We still have the Irish store they move down the road a bit.

  47. BC Bob says:


    What about the Thistle??

    You are right about the town changing. The manor section is gorgeous, the arlington section is very nice. A little further south of midland??? Yikes.

    By the way, you may know my wife, although she went to Queen of Peace. I’ll email you.

  48. BC Bob says:


    You got me going;

    “Over the last few years, parts of Kearny have been seen nationwide, because many of the Soprano’s location scenes are filmed in the town. For example, every time Tony and his crew sit outside “Satriale’s Pork Store,” they are sitting on Kearny Avenue, the main street in Kearny. “Satriale’s” is actually a closed-up auto parts store. Several Kearny scenes (and those in nearby towns) appear in the opening montage as well. It’s great sport playing “I Know Where That Is” when watching the show.”

    By the way, don’t forget Pizzaland [Soprano’s] on the Belleville Tpk, although it technically is in North Arlington.


  49. James Bednar says:

    From CNN/Money:

    Prediction: More pain for homeowners

    A glut of vacant homes suggests that the U.S. housing market has not yet stabilized and may be poised for another downturn, Merrill Lynch said in a research note released Monday.

    “Now that oil prices and mortgage rates have stopped falling, we will be back lamenting the downturn in the housing market and its spreading effects on the economy in the second quarter, much as we were in the summer and fall 2006,” Merrill Lynch economist David Rosenberg wrote.

    “Looking at the inventory backlog and still-stretched affordability levels, this story is far from over.”

  50. rhymingrealtor says:

    yes Thistle is still here sorry, Lisoosh had said she was picking up some stuff in kearny and the only one left with a shop is Argyles, Thompsons is long gone, they opened up in sea bright, the original owner recently passed but the business is still open down there.


  51. lisoosh says:

    Thanks for the info. I had a craving for proper fish and chips.

  52. BC Bob says:


    I was in Thompsons in Sea Bright, Good Friday, 2005. Listed my place in Red Bank, the day before. Half the clientele was from Kearny, at one time or another. Subsequently, Thompsons either moved from there or opened another place in Belmar.

  53. James Bednar says:

    From MarketWatch:

    Banks tightened real-estate lending standards in Q4: Fed

    U.S. and foreign banks tightened their credit standards for approving both individual and commercial real-estate loans in the fourth quarter of 2006, the Federal Reserve said Monday. In its January senior loan officer survey, the Fed reported 33% of banks made it tougher to get a commercial real-estate loan, while 18% of banks made getting a home-mortgage loan harder. At the same time, 41% of banks surveyed said home-mortgage loan demand has gotten “moderately weaker” over the past three months. Thirty-seven percent of banks also said commercial real-estate loan demand has weakened. The Fed’s quarterly survey is based on responses from 57 U.S. banks and 22 foreign banks.

  54. gary says:

    PLEASE!! I’m begging you all, please have the njrereport get together on a Friday or Saturday night. Please consider it? My job sometimes throws me a curve ball and during the week is very tough.

  55. James Bednar says:

    From the Federal Reserve:

    The January 2007 Senior Loan Officer Opinion Survey
    on Bank Lending Practices

    Lending to Households
    (Table 1, questions 11-20)

    On balance, about 15 percent of domestic banks reported that they had tightened credit standards on residential mortgage loans over the past three months, the highest net fraction posted since the early 1990s. Almost 40 percent of domestic institutions—a somewhat smaller net fraction than in the October survey—indicated that demand for such loans had weakened over the previous three months.

    Domestic respondents reported that their willingness to make consumer installment loans was little changed in the January survey. Similarly, standards and terms on credit card and non-credit-card consumer loans had reportedly changed little, on balance, over the previous three months. One-third of domestic institutions indicated that they had experienced weaker demand for consumer loans, a slightly smaller net percentage than in the previous survey.

    A set of special questions asked domestic banks about the effects of the bankruptcy reform legislation that took effect on October 17, 2005. Virtually all domestic respondents reported that they had not changed their lending policies for credit card loans in response to the reforms. Two institutions indicated that they had tightened credit standards for approving applications for credit card loans. About one-fourth of domestic institutions indicated that, after accounting for changes in their lending standards and terms, they anticipate that their chargeoffs on credit card loans will be lower in the long term as a result of the reforms.

    Special Questions on the Outlook for Loan Quality in 2007
    (Table 1, questions 21-22; Table 2, question 11)

    A final set of special questions queried banks about their outlook for delinquencies and chargeoffs on their loans to businesses and households in 2007 under the assumption that economic activity will progress in line with consensus forecasts. Overall, the responses suggest that banks expect a deterioration in loan quality this year. About 45 percent of domestic respondents, on net, reported that they expect the quality of their loans to businesses—including both C&I and commercial real estate loans—to deteriorate somewhat. At U.S. branches and agencies of foreign banks, the fraction of respondents that expected a decline in the credit quality of loans to businesses was somewhat smaller. About 35 percent of domestic institutions, on balance, indicated that they anticipate that the quality of both credit card and non-credit-card consumer loans will deteriorate in 2007. A similar net fraction of domestic respondents reported that they expect the quality of their traditional residential mortgages to decline. One-half of domestic banks, on net, reported that they expect a worsening of the quality of their nontraditional residential mortgage loans this year; a few institutions noted that they anticipate that the quality of such loans will deteriorate substantially in 2007. Banks were asked the same set of special questions about their outlook for loan quality in the January 2006 survey. A year ago, the net fraction of institutions that anticipated some deterioration in credit quality was notably smaller for loans to both businesses and households.

  56. rhymingrealtor says:


    I know , but if I keep talking they’ll be too much name dropping going on! (-:


  57. James Bednar says:

    From NJBiz:

    On Track to Becoming a Transit Village

    In North Brunswick, a vast former manufacturing site for Johnson & Johnson consumer products will grow even larger if a proposal to build a train station and transit village there stays on course.
    The developer of the property, North Brunswick TOD Associates, is in the early stages of a process to turn the 212-acre campus into a mixed-use transit village that would include a new station. The project would include anywhere from 2,000 to 5,100 loft-style condominiums and rental apartments and from 610,000 square feet to 1.5 million square feet of office space. Also in the plans are 350,000 square feet of retail space, a 200-room hotel and a 100,000-square-foot civic building.

    When completed, the project could bring in about 9,200 new residents and generate up to $31.3 million in annual revenues and more than 5,730 permanent jobs for the township, according to a fiscal impact analysis released this month by the Center for Urban Policy Research at Rutgers University in New Brunswick. North Brunswick now has about 40,000 residents.

    “It’s a huge ratable for our town,” says North Brunswick Mayor Francis “Mac” Womack III. “It is very important that the property be put to the highest and best use.” However, he adds, “it won’t be a quick process. I believe our planning board will want to look at many, many aspects and it will occur over several meeting cycles.”

  58. njrebear says:


    We have started making ‘new land’ :)

  59. bergenbubbleburst says:

    #58 Too bad, there are no decent jobs being created to fill all of that new office pace.

  60. skep-tic says:

    unfortunately, both on the fed and state level, there are far too many politicians who think we’re still living in the 1930s.

    You can’t solve all of your problems by taxing the rich and hiding from world competition.

    Capital and labor are mobile like never before.

  61. zane says:

    #58, who want to live in new brunswick? The school is not good. This site is besides route 1, How about the traffic?

  62. what bubble? says:

    off topic question…does anyone know where online you can see tax lot maps of properties in new jersey for free? I know westchester county and nassau county have GIS websites, but it doesn’t seem like there is anything like that in NJ…any help on this front?

  63. chicagofinance says:

    BC Bob Says:
    February 5th, 2007 at 12:55 pm
    It’s great sport playing “I Know Where That Is” when watching the show.”

    On the closing credits, the last shot where it says “David Chase Films”. That is filmed coming up the ramp on the Pulaski Skyway from Broadway/1&9 Truck exit in Jersey City heading toward Newark.

  64. R Patrick says:

    Yeah whats up with the tuesday, some of us have work early

  65. Richard says:

    typically a rental represented by a broker on each side, the commission is 15% of annual rent payable by the renter. any other arrangement is unusual.

  66. Richard says:

    frankly i don’t see what’s going to save NJ from the current climate of high taxation. no matter what you do you’re going to piss off some group who’s got a good deal feeding at the trough and they won’t go down without screaming and kicking. the problems here are deeply systemic and such situations don’t change without serious pain. i would love to see how the income re-distribution side of the equation looks.

  67. skep-tic says:

    not seeing any enlightened sellers among the trickling of new listings. seems like people price more based on what their neighbors are asking than based on what might actually sell.

    I still tend to think the standoff will continue until there’s a recession

  68. eagle says:

    re: meet and greet.

    Similar to others on this board, I work in Manhattan (and live in Manhattan), so reluctantly am unable to meet during the workweek. (particularly because my workday rarely ends before 8 or so- which is why I review very critically all of the claims of “close to train”– my wife and I actually walk to any listing that claims “walk to train”)

  69. metroplexual says:

    Corzine has accomplished little in his first year in office that might staunch the outflow of residents or encourage businesses.

    Not for nothing but this guy should learn how to use the English language. It is “stanch” not “staunch”.

    Other than that the writer is spot on. I was with my brother in law over the weekend in Orlando FL. He cites a thing that is emblematic of NJ’s inevitable decline, no self serve gas stations. Sounds strange right? But it shows how intractable a population we have in this state. Innovation is no longer here, it is even shunned. That is why other states are are eating our lunch, we no longer adapt to the times. So people moved out to the tune of 72,000, many of them young due to housing costs and looking for greener pastures.

  70. SG says:

    How about Feb 19th or 23rd, Friday for Network event?

    I was thinking weekdays evening may be better, as it keeps everyone’s weekend schedule in tact. I have lot of kids, family things on weekends.

  71. whogives says:

    give it up already. can’t you see nobody cares about your event except for you?

  72. jerseygirl says:

    I am so “BUMBED OUT”, I just cant help but think maybe prices of homes will not drop and just stabilize!!!

    I put my first official low ball offer on a house i really liked. I was a cash deal, no home to sell and also said I will not request an inspection. I offered 15% below asking. Come to find out there were 3 other offers the same day!!!!! UGHHHH what happen to “there are not buyers out there, everything is “DEAD”! Im trying so hard to believe that the market will slow down but prices, buyers and Multiple offers are STILL out there!!

    Someone please, please convince me that its “COMING” and prices will drop….not stabilize!! I just dont see it.

    After a while this gets depressing.


  73. lisoosh says:

    # 62
    NORTH Brunswick, not New Brunswick.

    KL/BC – where in Sea Bright or Belmar is the new Thompsons and what do they carry?

  74. few325% says:

    why don’t you network with illegal immigrants since you love them so much

    BTW: I am an immigrant, and can choose to live anywhere in the world. My income is in top 5% of this country.

    I’m sure they’ll love you

  75. Richard says:

    um metro, it’s staunch. in regards to people pricing based upon their neighbors prices, that’s the new way to price in this volatile climate. if everyone is in the clouds with their prices then nothing will move until someone adjusts and things start selling.

  76. NJGal says:

    “not seeing any enlightened sellers among the trickling of new listings. seems like people price more based on what their neighbors are asking than based on what might actually sell.

    I still tend to think the standoff will continue until there’s a recession ”

    Skep-tic, I think it’s town dependent. In Pelham, NY for example, the on-coming listings are noticeably priced lower, by at least 10%, and those that have been hanging around have seen pretty decent price cuts (one was 995 to 595 – ouch. Others include 565 to 519, 799 to 699, etc.). Houses that I know would have been asking 630 are listing below 600 (now of course, there are some still out there that are just wild, but it just says to me that attitudes are all over the place).

    I think the spring season will be more telling – I don’t think we’ll need a full-on recession to see price cuts. Psychology will do more to sellers than the economy on the whole will.

  77. bergenbubbleburst says:

    James/or thatbigwindow Now that you guys are both licensed realtors, could you tell me what has been happening in River Edge over the last few days.

    There has been 10 or 11 listings that have dropped off the njmls over the last few days;don’t know if they are expired listings ( iam assuming some are), or some homes selling (surprising, but certainly possible, early Spring buying season), or some combination of both. Thanks for your help.

  78. lowball says:

    # 70 metroplexual,
    Horrendous typo, I think he intended to say:
    “to stench the outflow of residents”
    (like throwing rotten eggs over the NJ defectors etc.)

  79. xl5 says:

    BTW: I am an immigrant, and can choose to live anywhere in the world. My income is in top 5% of this country.

    …and you chose to live here? lemme guess, you play for the Devils?

  80. bergenbubbleburst says:

    Jersey Girl #73. You gave a cash offer, and they turned it down? Idiocy on theri part. As far as the 3 other buyers, would not be so sure about that.

    There are still soem reltors out there playing that game.

    I think you might have a pre-season rush of people trying to sell now before the Spring, I think the Spring of 07 will be telling, but depressing as it may sound, we will not see any real deals until late summer/fall of 07, into 08.

    Patience is frustrating, but it is typically rewarded.

  81. RentinginNJ says:

    bold off Bold off

  82. James Bednar says:


    Since 2/1, 4 have gone Under Contract, 3 have Expired.

  83. Pat says:

    Oooh. I see the defensive editor/writer coming out in Richard, on behalf of Steven..admirable.

    Note to self: Good way to learn a little more about Richard(s) and his confusing agenda is to set up an editorial challenge he can’t resist.

    ;) Richard, you know this is just tough love, right?

  84. James Bednar says:

    FYI, I’m not a Realtor. That designation is reserved for members of the NAR.


  85. AntiTrump says:

    #73: jerseygirl Says:
    February 5th, 2007 at 4:14 pm

    “I am so “BUMBED OUT”, I just cant help but think maybe prices of homes will not drop and just stabilize!!!”

    You have to get realistic about low balling. Lowballing is for people who are in no hurry to buy. Those who are willing to let a deal go and wait for another opportunity with minimal or no disappointment. If loosing a bid on a house is depressing and frustrating for you, then you have to be willing to pay the asking price or more. It’s a choice you have to make.

  86. AntiTrump says:

    #85 JB:

    Dream on man !! You will never pass the ethics test to become a Realtor.

  87. RentinginNJ says:


    How do you know the place got 3 other offers? It’s a common agent tactic to tell prospective buyers that the offers are rolling in to create a sense of urgency and encourage you to up your offer.

  88. skep-tic says:


    reassuring to hear that sellers in some towns are starting to get it. I’ve seen price cuts too, but frequently they are from sellers who initially priced way above peak 2005 prices.

    Actually, I just read on some realtor’s site yesterday that the average listing price in a certain CT town last year was 22% above the average selling price– so it seems that in some places sellers are still wildly off the mark

  89. skep-tic says:


    does the listing realtor owe any kind of duty of confidentiality to bidders? if you were bidding on a place and the listing agent claimed to have multiple offers, could you demand to see them with price redacted before submitting another bid?


  90. Seneca says:

    jerseygirl – hang tight. If I had a quarter for every time a Realtor told me there was already a firm offer on a house I looked at, well, I would have a dollar.

    Point being, each house that was under attorney review and sometimes delisted from MLS has since come back on MLS with the same asking price. Buyers all had contingencies.

    Homes that didn’t sell last Spring/Summer are coming back online at the same prices.

    Many sellers just aren’t motivated, yet. Spring season has to play out. Who knows what it will bring.

  91. Richard says:

    jersey girl, the lowball approach is a crap shoot. if the property is priced competitively with other listings then your chance at success is quite low. if you want to increase your chances you need to get outside the box and be willing to expand your playing field. look for properties that most others would not be interested in for whatever reason. find a death, divorce or job transfer situation. don’t expect to walk into a decent town and lowball and be successful.

  92. bergenbubbleburst says:

    James #83 Thanks for the update. 4 in 3 days interesting, seems like a lot of activity in such a short period.

    Any information on the ones that went under contract would be appreciated, if you get a chance at some point.

    Looks like I may need to hook up with a realtor to keep posted. Was hoping to avoid that at this point, but any how, thanks again.

  93. NJGal says:

    “Actually, I just read on some realtor’s site yesterday that the average listing price in a certain CT town last year was 22% above the average selling price– so it seems that in some places sellers are still wildly off the mark”

    Wow, a realtor posted that? I’m surprised they would admit it. Granted it’s just an average.

    I’m not sure what the deal with Pelham is. I can only guess that compared with other towns in Westchester, it’s only so so. The only special thing it has is the short commute – the houses are nice enough, but nothing great, and the lots are tiny. And the taxes are atrocious.

  94. skep-tic says:

    “I’m not sure what the deal with Pelham is . . . the taxes are atrocious.”

    my guess is that this is why Pelham sellers are motivated. taxes are ridiculous there even compared to the rest of Westchester. $20,000 annually on a $700,000 is not unheard of there

  95. Zac says:

    Jerseygirl, you can’t lowball a house you love. You lowball many houses and love the one you get.
    If there’s a house out there that you just love then just buy it. And about the realtor getting 3 more offers that same day -baloney. But rest in the fact that God HATES liars.

  96. chicagofinance says:

    jerseygirl Says:
    February 5th, 2007 at 4:14 pm
    I put my first official low ball offer on a house i really liked. I was a cash deal, no home to sell and also said I will not request an inspection. I offered 15% below asking. Come to find out there were 3 other offers the same day!!!!! UGHHHH what happen to “there are not buyers out there, everything is “DEAD”!

    J-Girl: just to echo…..if you want to play lowball then grow a spine and show patience grasshopper……..if you want a home pronto, then step up and pay for it

    As has been pointed out, there is a good shot that you were given outright false information anyway.

    The whole point is that you should be enjoying this process and not be stressed out. The right home will come to you! :)

  97. SG says:

    14 folks have signed up so far. I would say that’s great response.

    Thanks John for Restaurant suggestion. What do you all think of, South City Grill or Azucar in Jersey City.

    They’re both right next to the PATH station @ Pavonia Newport and have a large bar area for people to hang out and chat in.

    I think we can do it anyday that is convenient. So, if you like a day and time, please post it in comments. That way it will become easy to decide. The date I picked was arbitrary.


  98. skep-tic says:

    RentinginNJ posted this down the page re: vacancy rate:

    “I looked at raw Census data for the Northeast. The 2% vacancy rate for the Northeast for the 4th qtr 2006 is the largest in their database, which runs back to 1956. The average for the Northeast from 1956 – 1006 was 1.1%.”

    this is some great info– thanks!

  99. R Patrick says:

    Fri sat Sun

    Sunday night pref

  100. metroplexual says:

    Hey Richard,

    Buy a dictionary.

  101. gary says:


    Friday or Saturday night. Jersey City is fine. I know where both of those restaurants are.

  102. Clotpoll says:

    This whole “lowball” thing is like karaoke night at the RE Bar & Grill. Big yuks. Talent and aptitude are one thing; delivering the goods is another. Only people like Prince can rip a face-melting solo on a dripping-wet electrical stick while the whole world watches.

    Lots of posters here really do have the right idea and are reading the market correctly; however, as a few others have already mentioned, you don’t go for the Armani and throw Wal-Mart offers on the table. You’ve got to find a motivated (read: troubled) seller or a problem property that’s languishing to play the lowball game.

    No retail market is going to reward players with tomorrow’s price today. And, lowballers need to understand that concept is not irreconcilable with the given that prices are, indeed, declining.

    Lowballers, match your offers to your market.

  103. pesche22 says:


    I suggest the meeting be held in
    an upscale town like Montclair.

    Keep it civil.’

  104. Richard says:

    metro, buy a clue.

  105. njrebear says:

    Home Depot reaches agreement with Relational Investors


  106. njrebear says:

    Leading Toll Brother Takes Pay Cut


    Toll salary
    2004 – $50.2 mil
    2005 – $41.3 mil
    2006 – $29.3 mil

    OK third pay cut = housing bottom. hehehe

  107. jerseygirl says:

    Thank you, thank you, to bergenbubbleburst, antitrump, rentinginNJ, Seneca, Richard, Zac, and chicagofinance……Thanks for showing the “love” and making me “snap out of it”. Im just going to have to be patient with this “lowball” game and hope something comes along. One good thing, I am truly not in a rush….

    Thanks for all of your responses every once in a while I need a “slap in the face” and realize if you want something it takes patience!!!

    Love this BLOG!!!!


  108. sas says:

    anyone get a load of this: yikes!
    Thank god for China. They don’t need to shoot satellites out of the sky. They just have to stop giving us money.

    This is getting ugly.

    “Bush sends US$2.9 tln budget to Congress”


  109. sas says:

    About the RE blog party…

    Am I allowed to smoke my coals at this place in JC?


  110. sas says:


    Is that your mug on that paper? wow, you look so young. I thought you were older.

    wow, I feel really old all of a sudden.

    In any case Grim, your a good looken fella…


  111. Pat says:

    I just got the chief blogger thing.

    There is no page on Wikipedia with that title.

    “Chief Blogger” would be a great Wikipedia page. A link to a newspaper using the term would be great to substantiate the text definition submission. Now where would we find a newspaper using that term?

    Who wants to log-in over there and get the job done?

  112. Frank says:

    Since you’re for immigration, try sitting in traffic on 287 for few hours and tell me how you feel afterward.

  113. lisoosh says:

    BC Bob #95 –
    Thanks! I couldn’t find it via google.
    The menu is making me hungry.

  114. still_looking says:

    # 106– hear hear! Montclair, for sure.

    Grim- you look like a youngster (I, too, suddenly feel….well. OLD.

    Yep… we are still looking.


  115. metroplexual says:

    Hey Richard, why the negative waves man! Just look it up.



    I just believe if you write for a living and for that matter if you edit, you should use correct English.

  116. Richard says:

    metro you can use stanch or staunch. stanch is the old school version not used much anymore.

  117. metroplexual says:

    Okay Richard,

    I guess it is one of those words that has slowly morphed due to bad writing. Like “chomping at the bit” vs the original “champing at the bit”. BTW stanch is not old school imo.

  118. Greg says:

    New Jersey’s problem summed up in one word: Liberalism

Comments are closed.