The market in Basking Ridge is currently at an inventory level of 7 months (246 available properties, 35 sales in the last 30 days). This is a very healthy market – especially given the negative press that the real estate market is getting!
There have been 10 sales in Basking Ridge so far in July – at various price points as follows:
- under $300,000: 4 sales
- $300,000 and $500,000: 1 sale
- $500,000 and $800,000: 2 sales
- $800,000 and $1,000,000: 1 sale
- over $1,000,000: 2 sales
Breakdown of absorption rate by price range:
- under $300,000 there are 33 available properties, 8 sales in the last 30 days, absorption rate: 4.1
- $300,000-$500,000 there are 49 available properties, 5 sales in the last 30 days, absorption rate: 9.8
- $500,000 and $800,000 there are 81 available properties, 8 sales in the last 30 days, absorption rate: 10.1
- $800,000 and $1,000,000 there are 24 available properties, 3 sales in the last 30 days, absorption rate: 8
- over $1,000,000 there are 61 available properties, 11 sales in the last 30 days, absorption rate: 10.1
Weichert has been studying market conditions for more than three decades and has found a direct correlation btween market absorption and property values. As absorption rates increase over the normal rate of 5-6 months, property values decline annually. I emphasize annually because as I have mentioned before, looking at absorption rates too frequently is like getting on the scale every day when you are trying to lose weight! They tend to fluctuate regularly, so it is important to look at them as they trend in one direction or the other. Compare today’s absorption rate to the last time I reported it in June. The theme I continue to notice is that the rates are decreasing in the lower price ranges first! I believe that the real estate market recovery will be a bottom up trend driven by the first time home buyer. Once again, fueled by the first time home buyer tax credit!
Are you interested in what is available in Basking Ridge – or any of the surrounding areas? You can search for listings on my website. As always: no obligation, just information!
