hOMES: Weekly Insight Into Hoboken & Jersey City Real Estate Trends | December 8, 2017

Hoboken & Jersey City Real Estate Trends | December 8, 2017

by Ann Wycherley
Broker Associate, Century 21 Innovative Realty
As discussed last week, I have taken a look at how the tax reform bill will impact homeowners in Hudson County. Obviously the tax reform bill is complicated and will affect everyone differently—so if you have specific questions and concerns you should contact your accountant—but there are three major changes that are likely to impact homeowners in New Jersey:

1. Under the current law, homeowners can claim as an itemized deduction the interest paid on mortgages valued up to $1.1 million. This deduction can be used to buy or improve a first or second home. The new plan will lower the cap to $500,000. The bill would also limit the mortgage interest deduction to one principal home, so there will be no deductions for vacation homes.
   It is important to note that the plan maintains the current cap for existing homeowners, but changes it for homes purchased in the future.
2. The new bill proposes to cap the deduction for property taxes on a home at $10,000. Whereas this does not affect the majority of homeowners elsewhere, it will certainly be felt here.
3. When you sell your home, you can exclude up to $500,000 of the gain (if married, $250,000 if single) provided you have owned and used the home as your primary residence for two of the prior five years. Under the new bill that would change to five of the prior eight years.

Assuming the legislation does make it to the desk of the president, most of the provisions would kick in on Jan. 1, 2018, which means the changes wouldn’t have any impact on 2017 tax filings.

Here are this week’s numbers:

HOBOKEN:
Studio/ 1-Bedrooms
New Listings:
3 new listings. The average price is $647,933 and the average price per sq/ft is $934.
Sold Properties:
2 properties closed. The average price was $624,497 and the average price per sq/ft was $835.

2-Bedrooms
New Listings:
5 new listings. The average price is $1,084,800 and the average price per sq/ft is $870.
Sold Properties:
7 properties closed. The average price was $1,001,256 and the average price per sq/ft was $791.

3-Bedrooms
New Listings:
1 new listing. The price is $1,050,000 and the price per sq/ft is $677.
Sold Properties:
No sold properties.

4-Bedrooms
New Listings:
No new listings.
Sold Properties:
No sold properties.

Single-Family Homes
New Listings:
1 new listings, a four bedroom for $1,195,000.
Sold properties:
1 sold property. A five-bedroom home closed for $2,550,000.

DOWNTOWN JERSEY CITY:
Studio/ 1-Bedrooms
New Listings:
6 new listings. The average price is $628,148 and the average price per sq/ft is $803.
Sold Properties:
5 properties closed. The average price was $491,600 and the average price per sq/ft was $773.

2-Bedrooms
New Listings:
4 new listings. The average price is $833,000 and the average price per sq/ft is $718.
Sold Properties:
6 properties closed. The average price was $904,333 and the average price per sq/ft was $746.

3-Bedrooms
New Listings:
1 new listings. The price is $1,396,500 and the price per sq/ft is $904.
Sold Properties:
1 property closed. The price was $730,000 and the price per sq/ft was $518.

4-Bedrooms
New Listings:
1 new listing. The price is $1,424,500 and the price per sq/ft is $482.
Sold Properties:
No sold properties.

Single-Family Homes
New Listings:
No new listings.
Sold Properties:
No sold properties.

JERSEY CITY HEIGHTS:
Studio/ 1-Bedrooms
New listings:
No new listings.
Sold Properties:
1 sold property. The price was $191,000 and the price per sq/ft was $355.

2-Bedrooms
New Listings:
2 new listings. The average price is $393,750 and the average price per sq/ft is $540.
Sold Properties:
1 sold property. The price was $257,000 and the price per sq/ft was $352.

3-Bedrooms
New Listings:
4 new listings. The average price is $519,500 and the average price per sq/ft is $336.
Sold Properties:
1 sold listings. The price was $440,000 and the price per sq/ft was $373.

4-Bedrooms
New Listings:
No new listings.
Sold Properties:
No sold properties.

Single-Family Homes:
New Listings:
2 new listings. 2 three-bedroom homes for $425,000 and $429,000.
Sold Properties:
No sold listings.

JOURNAL SQUARE:
Studio/ 1-Bedrooms
New Listings:
3 new listings. The average price is $191,333 and the price per sq/ft is $312.
Sold Properties:
No sold properties.

2-Bedrooms
New Listings:
3 new listings. The average price is $354,500 and the average price per sq/ft is $337.
Sold properties:
No sold properties.

3-Bedrooms
New Listings:
1 new listing. The price is $285,000 and the price per sq/ft is $287.
Sold Properties:
1 sold property. The price is $190,000 and the price per sq/ft is $226.

Single-Family Homes:
New Listings:
2 new listings. A three-bedroom homes listed for $345,000 and a four-bedroom home listed for $955,000.
Sold Properties:
No sold properties.

BERGEN-LAFAYETTE:
New Listings:
No new listings.
Sold Properties:
1 two-bedroom home sold for $133,000.

(Information provided by Hudson County MLS)

CLICK HERE to learn more about these and other properties…
CLICK HERE to find out how much your property is worth in today’s market…

Mortgage Market in Review:

The Federal Housing Finance Agency (FHFA) has announced that the base conforming loan limit will increase from $424,100 to $453,100 in January 2018. Due to the loan limit increase, the new high balance limit will also increase to $679,650 (150 percent of $453,100) for one-unit properties in the contiguous U.S. As a result, all but 71 counties (or county equivalent) will see a loan limit increase.

Please refer to the links below for the full articles and list of counties:

• FHFA
• Freddie Loan Limit
• Fannie Mae LL-2017-10

HUD, VA, and USDA have not announced the 2018 loan limit change yet. I will send out an additional announcement as I receive updated information.

This will increase the conforming loan limits in all of Hudson County, and really all of the northern and central New Jersey …so, good news.

CLICK HERE for a more detailed analysis from local mortgage broker Michael Mundy.

ALSO OF INTEREST:
What Does the GOP Tax Plan Mean for the Value of Your Home? (Forbes.com)

Housing Markets Worst Hit By Tax Plan (Slate.com)

Hoboken Offers Free Parking for Holiday Shoppers

*****************
Ann Wycherley is an award-winning realtor with over 15 years of solid real estate experience in the Hoboken and Jersey City market.

She has been recognized by the New Jersey Realtors Circle of Excellence for many years, having earned the Gold Level of Excellence for 2015 and 2016, meanwhile awarded Lifetime Membership in the New Jersey Association of Realtors Distinguished Sales Club.

Other accolades include the coveted Centurion Award for the past five years running (2012-2016), which represents the premium level of achievement within the Century 21 organization.