Ocean County Housing Inventory Still Low

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Market Trends

The houses available for purchase in Ocean County is still low, which affects prices.

Supply and demand are basic economic forces that interact to determine the prices of goods and services in a market. When the supply of a product is high, but the demand is low, the price is likely to drop as suppliers compete with each other to sell their goods. Conversely, when the demand for a product is high, but the supply is low, the price tends to increase as suppliers can charge a premium due to the scarcity of the product. The interaction between supply and demand creates a market equilibrium where the quantity of a product supplied is equal to the quantity demanded, resulting in a stable price. Understanding the relationship between supply and demand is crucial in understanding current housing prices.

Market trends for Ocean County:

Note on the following statistics - When there is a possibility of extreme values (i.e., a waterfront home vs. a small house in Barnegat), the median price is generally the better measure to use as opposed to the ‘average.’ – median is a more accurate representation.

1st Quarter 2023 Ocean County Market Statistics for Selected Townships in Comparison to 2022

Stafford Twp. (Manahawkin)

Barnegat Twp

Waretown

Lacey Twp (Lanoka Harbor and Forked River)

Berkeley Twp (Bayville)

Toms River Township

Brick Township

The housing market is a prime example of how supply and demand affect prices. When the demand for housing is high and the supply of available housing is low, prices tend to increase. This is because buyers are willing to pay more in order to secure a property in a desirable location, and sellers may be able to charge a premium for their property due to the limited supply. In this situation, competition among buyers can drive prices even higher, as they may be willing to make higher offers to outbid each other for the same property.

Bottom Line: We are STILL in a Seller’s Market

Note: A seller's market in housing is a situation in which the demand for homes exceeds the supply, giving home sellers an advantage in negotiations. This can result in bidding wars and higher prices for homes, as buyers compete for limited inventory. In a seller's market, homes may sell quickly and for more than their asking price, leading to a rise in home values. This type of market can be beneficial for sellers who are looking to make a profit on their home sale, but can make it difficult for buyers to find affordable homes.

Karl Hess provides expert real estate services to residential buyers and sellers in Ocean County. Contact us today for more information on Ocean County Real Estate and for professional assistance navigating this complex home market.

Sources:

https://www.narrpr.com/reports

https://mo.flexmls.com/