The 2025 local housing market had a very strong finish. In the fourth quarter, 385 homes sold in our area, after an average of just 34 days on the market. The average sale price was $891,000, actually 101% of the listing price.
While the Federal Reserve made modest rate cuts, it did not translate into lower mortgage rates, which have held steady around 6.1%. For 2026, mortgage rates are forecasted to remain slightly above 6%. Since 29% of the sales in our area were cash transactions, the consistent strength of our housing market can be attributed to exceptional schools and healthcare, as well as proximity to employment, transportation, and cultural venues.
For 2026, the national housing forecast indicates a continued shortage of homes for sale. As more Federal Reserve rate cuts are forecasted for this year, buyer demand is likely to increase. For home sellers in our market, this is continued good news: home prices will stay strong, and homes should continue to sell quickly.
In such a robust market, preparing your home for sale may require only minor improvements. Color preferences have shifted dramatically over the past few years away from grays and beiges. A quick refresh of interior paint colors is advisable—warmer yellows and earthtones are trending now. If your home has hardwood flooring, you’re in luck, as it has become increasingly popular since it's sustainable and complementary to a warmer interior. If your hardwood floors are covered with carpeting, remove it. Depending on the condition of the floors, you may not need to do anything else to highlight this feature. If the floors are scratched or stained, have them refinished and re-stained. Darker wood shades are still popular. If your kitchen cabinets and bathroom vanities are stained wood, just polish them and keep the natural finish. As buyers increasingly favor sustainable, natural materials, the preference for painted cabinetry is declining.
For many years, home sellers have been advised to stage their homes for sale. Staging includes decluttering, depersonalizing, and rearranging furniture. In some cases, sellers have even rented trendy furniture and artwork. This can be very expensive. However, recently, a new staging method has emerged called micro-staging. This cost-effective approach focuses on changing small, permanent features that make a big impression, such as replacing all hardware on doors and cabinetry, and faucets with the same trendy finish to make the interior more cohesive. Another recommendation is to replace interior lighting fixtures and add lamps with the same finish and style to enhance the bright interior.
For additional information please contact:
Diane Belcuore
Realtor ®
908-872-5473
dianebelcuore@optonline.net
NJ 5 STAR AWARD Winner 2014, 2015, 2016, 2017, 2018,2019,2020,2021
Accredited Staging Professional
