The New Jersey housing market has been showing strong signs, with the price of single-family homes having risen by more than 11% last year. With positive trends happening across the sector, it’s time to delve into what’s causing prices to slowly increase.
Why Are House Prices Increasing in New Jersey?
One reason why house prices are increasing in New Jersey largely comes down to a matter of low inventory, high demand. Affordability with mortgage rates is playing a part in the market too. The demand overall is also fuelled by the fact that New Jersey is in a strategic location, in the fact that it is nestled between major urban centers. This makes it attractive for residents, as well as businesses.
With the state also being relatively small and bordered to the East by ocean, a lack of physical area to develop is further increasing the demand for existing properties, along with higher accommodation costs. The number of homes in New Jersey being listed on the market is accelerating, showing that people are looking to capitalize on this current demand and move up the property ladder.
Tourism Increases and Traditional Sightseeing
House prices are increasing in New Jersey cities across the board, with the biggest hotspots right now being Loch Arbour, followed by Deal, Barnegat Light and Alpine. Clearly, then, this isn’t an isolated trend, and it correlates with the general increase in tourism to the state. In 2024, New Jersey experienced a notable increase in tourism, which has helped to support the local economy.
The state is also embracing digital tourism, which is helping to promote local businesses to those who might not be able to physically travel, while maintaining global relevance. Take Wooorld for example. This software allows you to explore the US, including New Jersey on foot, using Google Maps. Not only does this draw more attention to the area, but it also sparks interest in the state as a whole. Traditional sightseeing has also evolved into interactive experiences that people can take part in from just about anywhere. Virtual tours are also promoting tourism, with The New Jersey State Museum offering them as a way to reach out to a bigger audience.
Atlantic City casinos have also embraced digital transformation, with gaming now representing 30% of revenue. By logging onto a NJ online casino, it’s possible to take advantage of welcome bonuses as well as live casino titles that make you feel like you’re playing at a real casino. With professional dealers, it’s easy to get the full experience without leaving the house. Historical sights and attractions are also incorporating digital elements, with the Newark Museum of Art conducting virtual tours over Zoom for people who may not be able to attend the tours in person.
So as you can see, tourism is a big driver of interest, and traffic in New Jersey. Not only does this lead to more property sales in the area, but it also helps to keep interest in the area moving in a positive trend. Nationally, there were 30.6% more homes for sale in April this year when compared to last year, marking the highest level since 2020.
With so much positive market movement happening and a lot of potential for even more positive progress in the future, it seems that the New Jersey property market is still hot, and a potential hotspot for investors as well as homeowners looking to move to the state.
