The headlines keep saying the market is hot. Prices are up. Demand is strong. Homes still sell fast. But in North Jersey, the story underneath the surface is starting to look different.
The latest New Jersey MLS Market Indicators Report shows that buyers are slowing down, sellers are facing more competition, and the easy bidding wars of 2021 and 2022 are fading away. If you are planning to sell in 2026, the conditions are changing right in front of us.
Here are the clear signs.
1. Prices went up, but buyers are getting picky
Yes, values are still rising:
• Single-family median price increased from $712,500 to $725,000
• Townhouse and condo median price increased from $466,000 to $480,000
So why is the mood changing?
Because buyers are no longer rushing. High interest rates, inflation, and tighter affordability are forcing people to think twice. Updated homes in great locations still get competitive offers. Homes that need work or are overpriced sit there.
In this market, good homes sell strong, average homes take longer, and tired homes get punished.
2. Days on market are climbing quietly
This is one of the most important warning signs.
• Single-family days on market increased from 31 to 33
• Townhouse and condo days on market increased from 40 to 46
Two days may not sound like much, but in real estate, slowing momentum starts small. First it takes a week, then two, then the price reduction happens. The days when every listing sold in three hours are gone.
3. Buyers are not paying huge premiums anymore
During the pandemic boom, North Jersey buyers threw money at anything.
Now reality is back:
• Single-family homes dropped from 104.7 percent of asking to 103.8 percent
• Condos dropped from 101.5 percent to 101.1 percent
Homes are still selling above list, but not like they were. Buyers are negotiating again. Inspection credit requests are back. Sellers who overprice are losing their buyer traffic in the first week.
4. The condo cool-down has already started
This might be the most interesting part of the report.
• Condo inventory is up 13.8 percent
• Closed sales dropped 2.3 percent
• Pending sales are down 6.8 percent
• Days on market jumped 15 percent
This is exactly what it looks like when a segment starts to turn. Hackensack, Fort Lee, Englewood, Teaneck, and Jersey City all added hundreds of new rental units in the last few years. For some buyers, a new luxury rental with amenities is easier than buying an older condo that needs updates and comes with HOA fees.
Condo sellers in 2026 will need to price smart and present well to compete.
5. Affordability is shrinking fast
• Single-family affordability dropped from 62 to 60
• Condo affordability dropped from 95 to 90
The market is still strong, but fewer people qualify for what they want. The buyers who remain are selective, patient, and not willing to overpay for outdated homes or obvious repairs.
When affordability falls, a slowdown almost always follows.
What this means if you plan to sell in 2026
Price matters again.
Preparation matters again.
Condition matters again.
Homes will continue to sell, but the easy money era is over. The strongest sellers next year will be the ones who understand where the market is heading, not where it used to be.
Here is how to stay ahead of the curve:
• Price your home accurately from day one
• Make simple, high-impact updates like paint and lighting
• Consider an as-is cash offer if repairs are overwhelming
• Pay attention to new listings in your neighborhood
If inventory keeps rising through winter, the balance of power could shift toward buyers.
Bottom line
North Jersey is not crashing. It is normalizing. Prices are high, but the momentum is slowing. Waiting too long could mean more competition, longer days on market, and fewer bidding wars.
If you want a market report for your neighborhood or a free valuation that shows both retail and as-is selling options, reach out any time.
