Monday, July 9, 2012

Q2 2012 Hoboken Real Estate Review - Where is the Market Going?

The price per square foot for a 3 bedroom condo went from $444 to $457 to $622, Apr, May and June, respectively.  The average 2 bedroom over the period was 1170 square feet.  April the average 2 bedroom went for $477.54.  In May the average 2 bedroom went for $501.88 and $485.25 in June. 

Overall, prices have ticked up and this is not surprising given low inventory levels.  We started the year at 199 listings in Hoboken to a peak of around 280 now back down to 255.  Low inventory is one of the reasons we are seeing slightly increasing prices.  

There seems to be an optimism in the market that I have not seen since prior to the crash.  I don't know if the US is coming out of this difficult economy but is NY leading the way?  

I have also gotten a sharp increase in the number of people looking for investment properties.  There seems to be more of an alignment between rents and purchase prices coupled with an optimism that we have reached the bottom.  All shapes and sizes are looking for investments - large property owners, individuals who want just one or two units for supplemental income. 

The Highest sales volume was recorded in the month of June and the least sales in the month of April. There was normal increasing pattern found in the sales of 1 and 2 bedroom condos in this quarter.

224 total condo units sold in 2nd quarter, 116 were 2 bedrooms comprising 51% of the total volume.  The 2 bedroom continues to be the most sought after unit size..

Notice how the duration for 1 and 2 bedrooms dropped from April, May to June.  3 and 4 bedrooms are too low in terms of units to determine any meaningful trend here but there is enough volume in the one and 2 bedrooms in terms of number of closings.  The duration measures the time the listing went up to the time the unit went under contract.   Duration for 2 bedrooms went from 65 days, to 46 days to 41 days, May to June.  The duration for 1 bedrooms went from 41, 55 to 37.  This is significant and is a correlate with increasing prices.  Low inventory means relatively more buyers than sellers.  What was available is placed quickly.  Prices pushed upward. 

Here is the price per square foot chart that shows how prices have ticked up ever so slightly.

All and all the market needs listings.  If you are ready to move and you have waiting for a good time to list, this is it.  Call me if you want to list.... 201-240-6832. 

All and all the market needs listings.  If you are ready to move and you have waiting for a good time to list, this is it. 
More to come on this so stay tuned for the Hoboken Real Estate Quarterly Review.

103  properties were sold in June which constituted the most for the Quarter in a given month.

Stay tuned for JC results tomorrow......

Information Provided by Donna Antonucc
Prudential Castle Point Realty