Taking a Look at Sale Prices and Sales Transactions

Real estate sales have improved in 2010 in Middlesex County, as compared to 2009. Closed residential sales transactions are up 14.6%through May, as reported by the Middlesex County MLS. Likewise, closed sales of condos/townhouses are up 23.6 %. In addition, average sales prices have increased .5 % and 2.2 % respectfully. However, what is true of the whole is not true of the parts.

Real estate is local. Real estate sales activity and sale prices vary from County to County, Town to Town and, just as important, from section to section or area within a Town, whether you are reviewing real estate statistics for Iselin, New Jersey, Colonia, Edison or any other Town.

For example, here is a quick view of a year to date comparison of closed sales through May, 2010 for one family homes in a few Towns:
Town                             # of Transactions       Average Sale Price
Iselin                                 38  (+58.3%)                $295,766  (-3.2%)
Colonia                             45  (+18.4%)                 $331,966  (-1.8%)
Edison                             144 (+23.1%)                 $419,762 (+12.9%)
East Brunswick                 84 (+15.1%)                  $357,179 (-9.5%)
Old Bridge                         91 (-5.2%)                    $331,633 (-5.9%)

Middlesex County           1191 (+14.6%)                 $336,911 (+.5%)

To view more Towns and  more detailed reports, visit www.RealEstateSalesData.DavidFialk.com

Sales activity is not necessarily a mirrror of sale prices. Closed transactions increased in 4 of the 5 examples above, but sale prices increased in only one 1 of the 5 Towns.

The $8,000 First Time Buyer Tax Credit has had a tremendous impact on real estate activity in 2010! The $6,500 Move Up Buyer Tax Credit also benefited many homebuyers. Was the tax credit more of a benefit to first time buyers than move up buyers? Was there more sales activity in the lower first time buyer price ranges than the higher price ranges?

Sales by Price Range: All Middlesex MLS One Family
Reported in MLS through 5/31/10

Sales by Price Range: All Middlesex MLS One Family 
Reported in MLS YTD for 2009

Sales activity under the $400,000 price range accounted for slightly over 70% of all closed transactions, a strong indication that the current real estate market is more appealing to first time buyers than move up buyers!

Will sales activity continue to increase in the months ahead now that the tax credit has expired? Will the benefit of historic low mortgage rates enable more buyers to enter the market and purchase real estate?

Take advantage of the value a knowlegeable REALTOR can provide in answering questions and providing information about the real estate market and whether or not there are opporunities you can benefit from!