From the Otteau Group:
NJ Home Sales Rise for 14th Consecutive Month
Home purchase demand in New Jersey increased for the 14th consecutive month in October with more than 8,200 home-purchase contracts. This was the highest number of purchase contracts recorded in the month of October since 2005, reflecting a 9% increase compared to the same month one year ago.
While home purchase demand continues to rise, the inventory of available homes remains constrained in New Jersey. The number of homes being offered for sale in the month of October declined by more than 1,300 homes (-3%) compared to one year ago. This is about 21,000 (-29%) fewer homes on the market compared to the cyclical high in 2011. Today’s unsold inventory equates to 6.3 months of sales (non-seasonally adjusted), which is less than one year ago when it was 7.0 months.
Currently, 67% of New Jersey’s 21 counties have less than 8.0 months of supply, which is a balance point for home prices. Hudson, Union, Essex, Passaic and Somerset Counties are presently experiencing the strongest market conditions in the state with fewer than 5 months of supply, followed by Morris, Middlesex, Monmouth and Bergen Counties which all have fewer than 6 months of supply. All of the counties with an unsold inventory level equivalent to a supply of 12 months or greater are concentrated in the southern portion of the state including Cape May (13.1), Atlantic (14.5), Cumberland (15.0) and Salem (16.8).