As the flowers bloom across the Garden State, so too does the intensity of New Jersey’s real estate market—especially along the beloved Jersey Shore. Despite ongoing economic volatility, high mortgage rates, and a turbulent stock market, buyers are still flocking to coastal communities in search of their dream homes. The result? Skyrocketing home prices and continued competition across Monmouth and Ocean counties.
Demand Stays Strong as Prices Hit New Highs
In March 2025, the median price of a single-family home in Monmouth County reached a staggering $750,000, a 10.3% increase from a year ago. Ocean County followed suit, with a median home price of $606,000, marking a 6.3% rise. These record-breaking figures underscore a trend that’s defined the market for months: strong buyer demand and limited housing supply.
What’s driving this demand? Buyers are proving remarkably resilient. While some are taking a “wait and see” approach in light of economic headlines, most are undeterred. Open houses remain busy, real estate agents continue to field inquiries, and buyers are staying active, even in the face of higher borrowing costs.
Low Inventory, High Competition
One of the biggest hurdles for would-be homebuyers this spring is the ongoing inventory crunch. Simply put, there aren’t enough homes for sale to meet the demand. This shortage is partly due to homeowners who refinanced or purchased properties during the pandemic’s low-rate era. With today’s interest rates significantly higher, many are choosing to stay put and hold onto their historically low mortgage rates.
This has created a bottleneck: fewer homes on the market mean fierce competition for available listings—and higher prices.
Why Relief May Still Be a Ways Off
Economists suggest that it will take time for inventory levels to rise. While new listings have started to tick upward, they’re still not enough to shift the market toward balance. Many sellers remain on the sidelines, reluctant to give up low-interest mortgages unless life circumstances—such as job changes, growing families, or downsizing—require it.
As time progresses and more homeowners face those life events, we may see more movement. Additionally, any meaningful drop in interest rates could further unlock inventory, making it easier for people to sell and buy simultaneously.
What It Means for Buyers and Sellers in Spring 2025
If you’re a buyer, expect competition to remain stiff, especially in popular coastal areas like the Jersey Shore. Flexibility, speed, and strong financing will continue to be essential. For sellers, this market presents a golden opportunity—limited inventory puts you in a powerful negotiating position.
Whether you’re looking to invest, relocate, or cash in on your property’s appreciated value, understanding these market dynamics is key. The current landscape may be challenging, but for many, the rewards of buying or selling in New Jersey remain as attractive as ever.
Explore New Jersey’s Real Estate Landscape With Confidence
Despite economic headwinds, the New Jersey housing market—especially along the coast—remains robust. Stay informed, stay ready, and you’ll be prepared to make smart moves in today’s complex environment.