Jersey City Real Estate Market: House Prices, Trends & Stats

Jersey City Real Estate Market: House Prices, Trends & Stats

Hudson County, where Jersey City is situated, is ranked as among the top hottest real estate markets in the state of New Jersey. And this surely affects the Jersey City real estate market as well. Demands in Jersey City continue to increase as not every resident of New York City can move to Florida. So, living in Jersey City seems to be the best alternative for them.

Rents and properties are more affordable in Jersey City than they are in New York City. There are a bunch of offers and appointments for homes with off street parking, extra rooms for working from home, and open space. Though rents and property prices continue to increase, Jersey City is still way more affordable than living in the Big Apple.

This urban area across the Hudson River from New York City is a hot market for rental property owners as the renting percentage of Jersey City residents keeps growing rather than owning. The housing market in Jersey City has developed so much since the recession. Demands keep going up and housing prices in the downtown area have seen impressive appreciation rates. In this article, let’s see all about Jersey City real estate market report.

A Glimpse of Jersey City

Jersey City is part of the New York City metropolitan area. This city borders the Hudson River, Newark Bay, and Upper New York Bay. The city’s economy is fuelled by a variety of business sectors, including financial services, retail, manufacturing, distribution, and transportation. Jersey City is nicknamed as Wall Street West as it is home to one of the biggest banking centres in the United States.

Just across the Hudson River from the City That Never Sleeps, Jersey City owes plenty of its success to its close distance to New York City. It is home to a lot of commuters who work in New York. It also serves as a nice getaway for people who are looking for a smaller city vibe. As part of the New York City metropolitan area, Jersey City serves as an important transportation terminus for the port of New Jersey and New York.

Since it is close to Manhattan, service and financial industries have played a vital role in shaping the entire New Jersey real estate market. Overflow from the pricey New York market should keep Jersey City with a lot of demands.

Jersey City Real Estate Market Overview

WalletHub ranks Jersey City as one of the top markets for purchasing real estate based on 24 primary criteria. For example, sales turnover, median home price appreciation, job growth, and economic strength.

People from New York City move to Jersey City for relatively lower rents and more value while still having access to NYC at the same time. According to the Jersey Journal, Hudson County and Jersey City are proving to be a paradise for renters seeking for more space and working from home.

Last year, Jersey City real estate was characterized by a scarcity of inventory as well as bidding wars. Homebuyers have been glad to take advantage of historically low mortgage rates. All these factors have contributed to many houses in the state selling for more than the asking price. But according to the most recent market trends in New Jersey, high mortgage rates and increasing home prices continued to reduce home sales in the state in May 2022.

The closed sales in New Jersey declined by 8.7 percent compared to May 2021. The real estate market in Jersey City has seen the median home price reach $441,139. However, with a median sold price of $340,834, the actual home value is 29.4 percent higher than local sales prices. As property is in extremely high demands, the housing market in Jersey City highly supports sellers at this time.

Sellers receive several offers, and the price is typically bid up above the sellers’ initial asking price. With the rate homes are selling for, the typical mortgage rate in the Jersey City real estate market is $2,792 per month. Here is the Jersey City heights housing market analysis.

  • Zillow Home Value Index for Jersey City is $606,537 as of May 2022.
  • The home value in Jersey City has gone up by 8.3 percent over the previous year and by 35.0 percent over the last 5 years.
  • According to the latest research from Realtor.com, the median listing price of a single-family house is $645,000.
  • Homes for sale in Jersey City averagely spend 68 days in the market.
  • Of the 9 neighbourhoods in Jersey City, the most affordable one is Journal Square where the median listing price is $360,000. While the most expensive neighbourhood to buy a home is The Waterfront with a median listing price of $947,000.

Jersey City Real Estate Market Trends

Jersey City real estate is just a part of the 66,935 homes for sale and 2,568,23 properties in the entire New Jersey. As a result, the median home price and median home value in this city also impacts the median home price of $147,289 and median sale price of $329,071 in the state. That said, real estate in Jersey City actually rises the statewide average.

Home values in Jersey City have increased 8.3 percent over the last year. Today’s influx of financial sector jobs has hugely impacted the city’s housing market. The real estate market trends in Hudson County, where Jersey City is located, show a gain of $45,000 or around 9.1 percent in the median sales price and a 31.8 percent growth in home sales over the previous year.

The median sales price for homes in Hudson County was $540,000 as of May 2022 based on 87 single-family home sales. Anyone interested in investing in the Jersey City housing market will like the sheer volume of foreclosures in the local market. There are around 1,621 foreclosures in the city’s real estate market, according to RealtyTrac.

Overall, the number of local foreclosures decreased by as much as 41 percent over the last month but rose 73 percent over a year. Known as distressed properties, these homes are either bank-owned, in default, or listed to be put in an auction.

Jersey City Real Estate Market Forecast

Should you invest in Jersey City real estate? Jersey City is improving its image as a great alternative to New York City, given its close distance to the Big Apple and more affordable housing prices. Situated just across the Hudson River from Manhattan’s West Side, some people consider Jersey City as the latest alternative to the strict real estate market in New York City.

The housing market in Jersey City is forecasted to receive a bunch of support from the local job sectors. Home prices are expected to increase by as much as 4.4 percent over the upcoming year, according to Zillow. If the demand continues to follow the trend, Jersey City real estate should be better than it already is.

From 2019 to 2020, home prices in Jersey City have increased by around 7.2 percent. From 2020 to 2021, they were up by around 5.2 percent. Home values in this city have risen 8.3 percent over the last 12 months and are predicted to keep rising in 2022. The supply is not so tight. But considering other factors, it seems that the housing market in Jersey City will unlikely see a price decline this year.

Population Growth in Jersey City

Jersey City is the second most populated city in the state of New Jersey, right behind Newark. This city is home to around 257,342 residents. It is the county seat of Hudson County and also the county’s biggest city. The population of this Wall Street West soared up by more than 18 percent over the past 10 years. Therefore, it is not surprising that Jersey City is the second largest city in the state. Here are some states about the city’s population growth.

  • Jersey City is the seat of Hudson County as well as the second most populous city in the state.
  • Jersey City is home to more than 292,000 people while more than 724,000 people live in Hudson County.
  • The population of Jersey City jumped 18.1 percent over the past decade based on the latest census. This number is more than 3 times as quick as the whole state.
  • Though the city’s population dropped by 2.9 percent last year, Jersey City has grown by more than 18 percent since 2010. While the population of Hudson County has grown by more than 14 percent.
  • The median household income in Jersey City is $76,444 while the per capita income is $44,761.
  • As more and more people are immigrating to the region, Business Insider forecasts that it will become a booming market over the upcoming decade.

Job Market in Jersey City

As it is said before, WalletHub ranks Jersey City as one of the best cities in the United States for jobs based on various key indicators like job security, industry variety, starting salaries, employment growth, and job opportunities. Though unemployment is above the national average, it continues to improve.

Referring to Realtor.com, unemployment in Jersey City has reached 6.1 percent. While the national unemployment level is at 5.4 percent. Fortunately, there is good news. J.P Morgan Chase & Co is planning to move 2,150 jobs from New York City to Jersey City. Other big corporations probably follow as New Jersey has awarded more than $5 billion in corporate tax subsidies since Chris Christie took office for the first time in 2010.

As the economy begins to recover, the employment sectors in Jersey City that show the rapidest signs of growth include government jobs, leisure and hospitality, health services, education, business and professional services.

  • According to the Federal Reserve Bank of St. Louis, the GDP of Jersey City, including Newark and New York City, is more than $1.8 trillion.
  • According to the latest report from the BLS, the unemployment rate in Jersey City is 4.4 percent as of May 2022. While the city’s employment growth was 2.34 percent the previous year.
  • The household income in Jersey City rose by 12.6 percent year-over-year.
  • Target industry sectors in the Jersey City metropolitan area include finance and insurance, construction, education, business and professional services, social services, and healthcare.
  • Major private sector employers include JP Morgan Chase Bank, Bayonne Hospital, UBS Financial Services, and the United States Postal Service.
  • Companies headquartered and operated in Jersey City include Fidelity Investments, NEX Group, Computershare, and Verisk Analytics.
  • Major colleges and universities in Jersey City include Hudson County Community College, Stevens Institute of Technology, Saint Peter’s University, and New Jersey City University.

Life Quality in Jersey City

It is reasonable to mistake Jersey City for the 6th borough of the City That Never Sleeps. Located just 20 minutes away from the Big Apple, this city is frequently described as an intimate, advanced urban community.

  • The US News & World Report ranks Jersey City Medical Centre as among the best hospitals in the region.
  • Climate in Jersey City is moderate with mild to cool winters and hot humid summers.
  • The city has numerous landmarks, such as Loew’s Jersey Theatre, Colgate Clock, Ellis Island, and Liberty National Monument.
  • It is easy to commute across the Hudson River to New York City as there is plenty of public transportation. In fact, 41 percent of Jersey City metro area residents use public transit.
  • LaGuardia International Airport, John F. Kennedy International Airport, and Newark International Airport are all less than 25 miles away from the Jersey City metropolitan area.
  • The 1,212-acre Liberty State Park is situated in the middle of Jersey City with nearby ferries to Ellis Island and the Statue of Liberty.
  • Enjoy a new level of urban sophistication in the Powerhouse Arts District located in downtown Jersey City.

Jersey City Real Estate Market FAQs

  • Is Jersey City Landlord Friendly?

Jersey City and the entire state of New Jersey is relatively landlord friendly. They allow landlords to file for evictions when a tenant fails to pay rents on time.

  • Is Jersey City Cheap?

Compared to New York City, Jersey City is much more affordable. This is why it is a good alternative for people fleeing from NYC.

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