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In New Jersey, I believe 2024 is the peak of home sale prices for a long time. My prediction is there will be a rise in homes for sale by year-end and a decrease in home prices by early Q1 2025.
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What might trigger this? The Federal Reserve told us earlier this month that they will cut rates once this year (down from three), and my guess is it will happen in September. By then, inflation *should* be going down and it will be just before the presidential election. When the rate cut occurs, those that have been waiting patiently to sell will most likely jump to list their property. As inventory grows, home prices will drop, which will prompt more sellers to list as they react to the first price decline in years! These trends are already happening in other parts of the US where inventory is up.
Let me be clear, avoid selling solely for financial reasons, especially if you're happy where you are. Rates will not go down below 5% anytime soon. This advice is for those who must sell or have property they can do without.
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