Guide Me Home to North Jersey

Over the past year there has been no shortage of commentary on the state of America’s faltering housing market. Thankfully, in recent months the good news seems to be outweighing the bad. In Bernards Township, however, which includes the villages of Liberty Corner and Basking Ridge, real estate sales have actually been on the rise.

In the above chart the pink line represents contract sales by quarter for 2009, and so far sales in Basking Ridge are running about 8.5% above 2008, year to date. What is it about this town that allows its real estate market to flourish while other’s founder? There are likely several answers to that question, including its perennially outstanding schools, excellent proximity to both routes 287 and 78, train access to Manhattan, a diverse selection of housing options from revolutionary-era Colonials to condominiums in The Hills, and a vibrant and charming downtown area in Basking Ridge.

Perhaps the most critical factor to the town’s continued stability is the relative affordability of the homes. The average sale price in the 3rd quarter, 2009, was $600,000. Down 11% from the 3rd quarter 2008, it looks like a deal compared with neighboring towns (next door, Bernardsville’s average YTD sale price is $940,000).

Sale Prices (in thousands) by Quarter

While Bernards Township has bucked the trend as far as sales activity, it has not escaped the depreciation that is prevalent throughout the nation’s real estate market. Year to date sale prices are down approximately 13% over the same period last year. While this is certainly a significant decrease, all of the wonderful attributes of this town have saved it from the far greater depreciation seen in so many towns.

Posted by: John Turpin