2016 Sue Adler Team Livingston Market Review

REAL ESTATE MARKET REVIEW Presented by

sueadler

team

Dear Neighbor, It is a pleasure to share with you our annual review of the Mid-Town Direct Train Line residential real estate market. Now that 2016 has come to a close, we’ve compiled and analyzed extensive research on the state of the market over the past year, as well as insight into the projected trends for 2017. We’ve broken down each town by price bracket to give you, the local homeowner, a true sense of the real estate market for your community. We hope you find this information useful, and that you’ll feel free to share with your friends and family.

We’re excited to report that the trend for New Jersey economic growth continues to be strong, in part due to the New York City job and wealth creation. This is especially evident along the Mid-Town Direct Train Line, which includes the towns of Chatham, Madison, Maplewood, Millburn, New Providence, Short Hills, South Orange and Summit. While the New Jersey post-recession job recovery rate is an extremely healthy 97%, the NYC rate has skyrocketed at 326%.

This boom in job and wealth directly fuels the housing market in our communities, in large part due to the ease of commute.

The average price point in these towns continues to increase as well, rising 1.3% or roughly $11,000 over 2015. One important trend is the average days on market, which remains strong, and combined with the drop in new listings, 2016 was a sellers market overall. We have an inventory shortage which means that homes sell quickly, often with multiple offers. There are buyers waiting in all price points, so if you, or someone you know, has been considering selling your home, now is a great time 2016 was an exciting year for the Sue Adler Team. For the fourth year in a row, we were ranked #1 in the Garden State MLS for the most dollar production. Thanks to the referrals from our clients and the community, we were able to bring nearly 200 families to the closing table, as well give back $20,000 to local charities through our 100th Home Sale Charity Program.

Our entire team is proud to live, work and serve in our beautiful communities, and we are extremely grateful for the opportunity to make a difference in your life.

Yours to count on, The Sue Adler Team

Sue Adler Team’s Market Commentary of GSMLS Data AvErAGE DAYS ON MArkET

OriGiNAL LiST pricE TO SALE pricE

80

100% 98%

70

63

65

96%

56

40

46

44

45

20

97

96

94% 92%

93

93

93

2010

2011

2012

99

98

90%

0 2012

2013

2014

2015

2016

The average days on market for the Mid-Town Direct Train Line Towns increased by 1 day from 2015. The slight increase is essentially on par with 2014. We plan to see days on market decrease in 2017 as inventory levels are at almost historic lows and yet buyer interest remains extremely high.

2013

2014

HOME SALES BY pricE rANGE Price Range

Average Days on Market

Number of Sales

Average List to Sale

$1M or less

42

1,201

100.4%

$1M-$2M

43

397

98.4%

iNvENTOrY & SALES

$2M or more

80

94

95.1%

3,000

2,313 1,652

2,440 1,590

500

846,200

800K

1,204

1,321

1,000 860,507

2,210

1,500

898,437 887,263

1,288

2,000

2,287

2,492

SELLiNG pricES 850K

2016

Inventory

2,500

$900K

2015

This year we looked at original list to sale price, rather than list to sale price like prior years. This allows us to factor in price reductions and show a true picture of the market. As you can see, 2016 was a very strong year in real estate with a near perfect original list to sale price ratio. We expect to continue to see this again in 2017, especially in the entry to mid-level market place.

The luxury market continues to have more inventory than buyers, causing the original list to sale price ratio to be much lower for many of the properties as we employ necessary price reductions.

Please consult page 6 for your town’s market breakdown.

2013

2014

Sales

2,447 1,692

2011

1,688

2010

2,527

60

0

813,233

2010

785,274 768,112

750K 700K 2010

2011

2012

2013

2014

2015

2011

2012

2015

2016

Inventory levels dropped for the first time in 4 years not just locally, but nationally as well. The market was very healthy for the first three quarters. We believe that the election had a strong effect on our local markets as we saw a pause in the fourth quarter.

Even though inventory went down, sales numbers went up again, indicating a strengthening sellers’ market. In early 2017, we are continuing to see historic lows in inventory with a high demand from buyers in the entry and mid-level price range.

2016

Average Sale Price continued to climb from 2015 to 2016.

Compared to the low in 2011, prices are up 16.9%. While the general market continues to see record growth, the luxury markets have not bounced back to the same degree. Dwindling Wall Street bonuses combined with fewer buyers qualified or willing to purchase in the highest price points have slowed this market. That being said, the entry-level single-family market has surpassed the peak of 2007.

SALES BY TOWN 350

2012

2013

2014

2015

2016

300 250 200 150

Maplewood

Millburn

4 | THE SuE ADLEr TEAM

Chatham Boro

Chatham Township

South Orange

Madison

Summit

160

177

127

165

117

314

284

260

283

261

194

177

164

178

128

241

268

255

221

178

159

188

209

179

138

135

117

98

81

81

300

311

329

322

251

349

322

296

0

251

50

324

100

New Providence

DATA SouRcE: GSMLS

HiGHEST SALE pricE

$4,625,000 Average Sale price

2 bedrooms

Average Sale price

3 bedrooms

in early 2017, we are continuing to see historic lows in inventory with a high demand from buyers in the entry and mid-level price range.

$399,479 $680,956

Average Sale price

2 bedrooms Average Sale price

$881,429

399,479

$ 4 bedrooms Average Sale price

5+ bedrooms

1.3%

average increase in sales price

2015-2016

$1,374,683

APRIL

saw the most listings go under contract

sold at or above list price

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889 OF % 39.25 2,265 973.936.9129 www.sueadler.com | 5

2016 Home Sale Statistics LIVINGSTON 2016 HOUSING OVERVIEW TOTAL LISTED: 524

TOTAL TRANSACTIONS: 412

Arrows indicate difference from 2015.

AVERAGE DAYS ON MARKET: 42

AVERAGE LIST TO SALE PRICE: 95.31%

Total Listed: 159 Transactions: 134

UNDER $500,000

Average Days on Market: 54 Original List to Sale Price: 96.06% Sold At or Above List Price: 46

Total Listed: 175 Transactions: 157

$500,001 TO $750,000

Average Days on Market: 37 Original List to Sale Price: 97.14% Sold At or Above List Price: 54

Total Listed: 126 Transactions: 91

$750,001 TO $1,250,000

Average Days on Market: 48 Original List to Sale Price: 96.17% Sold At or Above List Price: 34

Total Listed: 63 Transactions: 30

$1,250,001 AND UP

Average Days on Market: 61 Original List to Sale Price: 91.87% Sold At or Above List Price: 8

6 | THE SUE ADLER TEAM

973.936.9129

www.sueadler.com

About the Sue Adler Team • #1 producing team in New Jersey the past four years for dollar volume production according to real Trends/ Wall Street Journal List of Top Agents in the uSA • Sue Adler Team's overall average list to sale price ratio: 100.7%

Thinking about selling in 2017?

Call 973.936.9129 and visit PriceMyNJHome.com for your complimentary consultation.

Thinking of moving? Your team matters!

Our in-house team of specialists help our sellers get top dollar by showcasing your home in the best light possible!

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Staging

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Twilight photography and Enhanced curb Appeal

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Keller Williams Realty Premier Properties

518 Milburn Avenue, Short Hills, NJ 07078 info@sueadler.com

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If your property is currently listed this is not intended as a solicitation.

Call 973.936.9129 for your comprehensive listing success strategy!

Seller Success Stories from 2016 Giorgio De Santis The Sue Adler Team helped Giorgio navigate a tricky luxury market. We received an offer from a local couple, which led to long, drawn-out negotiations. We truly believed we could get more than what these buyers were willing to pay. Then relocation buyers, who had been focusing on a different town, noticed our listing online and fell in love with it.

Before hopping on the plane back to Europe, they came with their Realtor to see the house and offered to pay full price with the condition that we do not go back to the buyers who had already put in an offer. The sellers happily accepted their terms. Sure enough, the local buyers then submitted a comparable offer in attorney review, and the seller kept his word and stuck with the relocation buyer’s offer. Closing went off without a hitch and both buyer and seller were happy! Read what Giorgio has to say at sueadler.com/giorgio David and Miwa richards: The Richards were relocating to Tokyo and The Sue Adler Team helped them navigate two offers, both with home sale contingencies. Both potential buyers listed their homes only to purchase the Richards’ house, which remained on the market until we had a solid buyer. Coincidently, both buyers went into attorney review on their homes at the exact same time. We had both parties conduct inspections so everything was laid out on the table, and they both also waived their home sale contingencies at that point. Making the decision on which offer would be the most solid deal was a well thought-out process, and took a great deal of experience and strategy. “Sue was a steady, smart and reliable partner in this challenging process and we feel she and her team delivered the best possible outcome for us.”

Read what David and Miwa have to say at sueadler.com/richards Josh and Jen Sanders: Josh and Jen had bought their house just 2 years before and were concerned that they wouldn’t be able to get their money out. Their kitchen and baths were original. We advised them to paint their cabinets white, change the ’countertop, add a white subway tile backsplash and new knobs. We also advised them to paint the dark paneling in the basement white and have the house staged. We were able to generate multiple offers and the Sanders received $80,000 more than what they had paid just two years prior.

Read what Josh and Jen have to say at sueadler.com/sanders

The Sue Adler Team is excited to announce the start of our second annual 100th home sale. We will be giving away $20,000 to six local charities chosen by the community after the close of our 100th home sale of 2017!

Visit SueAdler.com/100home and vote daily to support your charity in the race to receive the most votes and a donation of $10,000. Interested in how you can be the 100th home sale of 2017? Call 973-936-9129 to find out how.

Visit www.SueAdler.com for more information about how to vote for your favorite charity!