It’s a fact that the housing market in Tenafly is doing great. Homes are selling at a brisk rate, though most are under-priced so they should sell fast. However…
- Is the market doing great in all price ranges?
- Are all homes selling fast?
- Are all homes selling for their optimum price?
This is something you can’t possibly figure out without understanding the facts.
Here’s some quick facts about the homes that are presently for sale in Tenafly, and have been sold over the past few years.
- The market for homes for sale in Tenafly has been incredibly active for homes priced below $1 million
However as you can see by the last 2 items in each price range (2014 sold to date & 2014 homes for sale), the numbers don’t look so great, because the inventory for the number of homes for sale has greatly diminished.
- Below $500k there are only 3 homes for sale
- From $500-799k there is only 18 homes for sale…and most of those homes are outdated and are in dire need of major home renovations
- $800-999k there ore only 16 homes for sale
In the near future there will be no homes in Tenafly that are worth less than $500k
- in 2013 there was a approx a 50% decrease in the number of home sold in Tenafly below $500k, because of a lack of inventory…and this slow pace will continue well into the future until there are no homes in this price range
- The same holds true for homes priced between $500-799k. A dwindling supply will cause prices to rise
- Homes priced between $800-999k will move up into the next price bracket
This may seem like a lot of homes are for sale, but compared to the number of homes that have sold in Tenafly in the past several years, there aren’t nearly enough homes for sale to fill the demand.
How does this affect home sales in Tenafly and in the surrounding towns?
- Will potential home buyers who are mostly interested in Tenafly move up to the next price range…which puts an even greater premium on homes in the lower price range
- Or will they seriously consider buying a home in one of the surrounding towns…which also creates higher prices for those towns because of their demand
- will the next price level increase in value because of this new demand?
The answer is yes to everything.
The demand is so great for homes priced below $1 million, and these homes are worth more because of it…even for the wort homes in that price range.
All of these homes will need to be renovated or retrofitted to meet today’s lifestyle needs.
Over the next few weeks, Steven will begin a video series containing: market updates, how to market your home to attract buyers and how to sell your home faster and for a higher price, how to buy the right home and how to go about the renovation process with the least amount of headaches…and whatever else comes to mind. Oh, I’m also going to do a video series where I rate the homes for sale. This will all be done from the consumers POV. It’s going to be fun!
As you can see from the chart 2011-2013 were great years for home sales below $1 million…it would have even been better if there was enough inventory for all of the people who wanted homes in this price range. Cresskill and Closter should be happy for getting the spillover sales from Tenafly.
Advice: Run from every realtor who preaches “price it right”, because your home is worth more than they think it’s worth. They don’t understand these facts (unless they’re reading this blog) and so many homes were listed and sold for far less than they should have been
- Your home is worth more than it was last year, the year before, the year before…and all the way back to 2007…and by a large percentage. Don’t let anyone tell you differently.
In the next few posts I will address the following:
- Tenafly home sales priced $1-2 Million
- Tenafly’s ultra luxury home market
There’s a lot going on in these price ranges, and it’s not all good news.
As always. let us know what you think.
Disclaimer: Steven Konefsky is a builder…inc renovations, real estate developer, design consultant, real estate marketing genius, and he sells real estate through Promiment Properties Sotheby’s International in Tenafly NJ. If you have any real estate related questions you can make comments on this blog or Steven can be reached at 201.522.5256 and at Snkonefsky@gmail.com