March Sees New Pricing Record While Inventory Jumps

Positive News for Both Sellers and Buyers

Montclair real estate buyers got some relief in March as the number of new listings jumped to 46 from 22 in February, and 38 in March 2024.

That being said, it wasn’t all great news for buyers as a new median list price record was set at $1.3 million.

The average price premium among the 16 closings in March was 22%, unchanged from the trailing 12 months, and highlighted by a $2.4M sale on a $1.7M ask.

Let me reiterate that the average premium is affected by some “excitement pricing” which artificially increases the premium numbers. Why is it so prevalent here? It does tend to work in the seller’s favor and you can go down a micro economics rabbit hole by searching “consumer surplus”, if you are so inclined.

Area First Quarter Results

First quarter results were fairly consistent across neighboring towns and there was good news for both buyers and sellers.

For Sellers, average prices were at record levels across the board, with the exception of South Orange, which was down slightly.

Buyers are turning out in good numbers as we get into Spring and today’s mortgage rate drop should spur further action.

For Buyers, new listings were up in all towns from ‘23/’24 lows.

Despite more listings, price premiums for Q1 were at or above record levels with the exception of Montclair. 

Sellers seem to be coming to market, no doubt spurred by prices that would give them some options for new purchases, retiring debt or some discretionary spending.

Best, Rich