In New Jersey’s dynamic housing market, July brought a noticeable shift that offered a welcome change for prospective homebuyers. While the market remains competitive, the data reveals a cooling trend characterized by growing inventory, a rise in price reductions, and a slight deceleration in the pace of sales. This mid-summer recalibration marks a pivotal moment for both buyers and sellers across the Garden State.
A Statewide Shift: More Homes, Slower Pace
The most significant takeaway from July’s market performance is the continued increase in available homes. New Jersey saw 17,584 active listings, a nearly 20% jump from the same time last year. This steady growth, paired with a rise in new listings—with 9,890 properties hitting the market—is a positive sign for buyers who have faced limited options for months.
This expansion of choice has had a predictable effect on pricing. The state’s median listing price in July settled at $577,500, showing a modest dip from both the previous year and the month prior. Furthermore, the number of properties undergoing a price reduction soared, increasing by over 35% compared to last July. For buyers, these trends signal a potential easing of the intense bidding wars and a return to more traditional negotiation opportunities.
Homes also spent more time on the market, with the average active listing staying put for about 39 days. This trend was widespread, with a majority of the state’s 21 counties seeing properties linger for a longer duration compared to both June 2025 and July 2024. For sellers, this means setting a competitive price from the start and being prepared for a slightly longer sales process.
Diving Deeper: A Look at North Jersey
While the statewide numbers tell one story, the reality on the ground varies by location. In North Jersey, the market presented a mix of trends, highlighting the diverse conditions within the region.
Some counties, including Passaic, Sussex, and Hudson, saw an increase in new listings compared to last year, suggesting a boost in inventory for their local markets. Interestingly, these same counties also saw homes stay on the market for a shorter period compared to a year ago, indicating that new inventory was being absorbed quickly.
In contrast, Bergen, Morris, and Essex counties experienced a decrease in new listings year-over-year. In these areas, homes spent more time on the market, suggesting a potential slowing of buyer demand or a disconnect between list prices and buyer expectations.
The median listing price also showed unique patterns in North Jersey. While most counties saw prices rise, Hudson County was an exception, with its median price dropping by over 9% to $599,500. This stark contrast highlights the importance of understanding hyper-local market conditions.
What These Trends Mean
July’s data points to a market that is finding a new equilibrium. The days of a frenzied, sellers-only market may be giving way to a more balanced environment. The statewide rise in price reductions and inventory suggests that sellers are adjusting their expectations, while buyers are gaining more leverage. As we move further into the second half of the year, these trends will be key to watch, signaling whether this period of market cooling will continue.
For more insights into the New Jersey housing landscape, including market trends and property listings, you can explore the real estate section of our website.
