While U.S. existing home sales saw a slight decline in August 2025, the New Jersey real estate market continues to demonstrate stability and resilience. Nationally, sales of previously owned homes dipped 0.2% month-over-month to a seasonally adjusted annual rate of 4.0 million units, reflecting ongoing affordability challenges as home prices remain elevated and mortgage rates, though declining, continue to weigh on buyers.
In contrast, New Jersey’s housing sector paints a more balanced picture. The Garden State saw a modest month-over-month sales decline of 1.5% in July 2025, smaller than the national dip of 2.7% in August. Median home prices in New Jersey rose 4.7% year-over-year, outpacing the national median increase of 2.0%. The state also experienced a rise in inventory, with available listings increasing by 12.7%, in line with broader trends across the country.
Single-family homes in New Jersey continue to attract buyers despite slightly slower sales. Year-over-year, transactions fell 3.4%, yet median prices jumped 5.8% to $625,000. Homes remained on the market for an average of 30 days, indicating that well-priced properties continue to move relatively quickly. Townhouse and condominium sales showed more robust activity, rising 3.0% year-over-year, with median prices increasing 3.5% to $430,000. However, these properties spent longer on the market, averaging 44 days, and received slightly lower percentages of their list price at 100.7%. Communities geared toward adult buyers saw steady performance, with sales increasing 0.9% and median prices climbing 4.2% to $375,000, while days on market held at 38.
Data from August 2025 further highlights the state’s dynamic real estate environment. Active listings totaled 17,626 homes, marking an 18.2% increase compared to last year, and 8,680 new listings entered the market. The median list price stood at $559,900, reflecting a 4.3% year-over-year decline, while 20.3% of properties saw price reductions, particularly in South and West Jersey. Homes spent an average of 40 days on the market, suggesting a trend toward a more balanced market where buyers and sellers can negotiate more effectively.
Mortgage rates remain a central factor influencing market activity. The average rate for a 30-year fixed mortgage recently dropped to 6.26%, the lowest since last fall, yet they remain higher than rates immediately following the COVID-19 pandemic. This mix of fluctuating borrowing costs and gradually increasing inventory has created opportunities for buyers who can navigate the state’s competitive housing landscape.
Looking ahead, experts anticipate that New Jersey home prices will remain relatively stable, with modest increases expected in the near term. While mortgage rates may oscillate between highs near 7% and lows below 6%, the state’s diverse housing market—ranging from urban condos and townhouses to suburban single-family homes—provides options for a wide array of buyers.
Whether you’re actively searching for a new home or monitoring market trends, New Jersey’s real estate scene continues to offer a stable yet dynamic environment that stands out from broader national trends.
