Housing Report March 2026 vs Feb 2026, 4/28/2026

National Housing Report: Homes (Single Family Homes and Condos)
Median home prices rose to $408,800, up +2.7% from Feb and +1.4% from March 2025. However, unit sales declined -3.6% from February and -1% from March 2025, and 16.2% of listings had a price reduction. Inventory rose to 4.1 months, up +7.9% from February and up +2.5% from March 2025 as Active Listings rose to 964,477, up +5.4% from February and up +8.1% from March 2025.

Bottom Line: The market is becoming more balanced between Sellers and Buyers as prices flatten, and inventory and the number of active listings rise.

Essex County - March 2026. vs Feb 2026 - Big Improvement! Welcome Spring!
March brought a big improvement in real estate sales as the weather improved. Sold prices rose +7.4% for Single Families, +9.7% for Condos and +14% for 2-4 Units . Unit sales rose +0.5% for Singles, +29.6% for Condos and +46.7% for 2-4 Units.  However, 10.2% of single-family listings, 10.7% of condo and 8.9% of 2-4 Units had price reductions in March which averaged -5.6%, -2.9% and - 4.3% respectively.

Bottom line: Low inventory which is likely to persist favors sellers. 78% of outstanding home mortgages have a rate below 6%; 67% have a rate below 5% and 51% have a rate below 4% making sellers reluctant to sell as rates remain above 6.2%.

To view data for every Essex County town,

• To view data for every Essex County town, http://www.sullivanteam.com/Properties/Reports/Public/Charts.php
  
  
• To Download the full housing report go to:  http://sullivanteam.com/pages/EssexCountyHousingReports
  

The #1 Reason Buyers Walk Away (And How To Get Ahead of It)

You may have seen headlines on social saying the number of buyers backing out of their contracts is on the rise – and has recently reached a high not seen since 2017. That can sound intimidating. But it varies a lot by market.

And here’s the key thing to understand if you want to sell. A lot of the time, there’s one common cause. And it’s something you can actually control.

Here’s what you can do to get ahead of the biggest dealbreaker before it ever becomes a problem.

The Top Dealbreaker: Issues That Pop Up During the Inspection

A Redfin survey shows over 70% of recently cancelled contracts happened because of issues during the home inspection (see graph below): 

And that makes sense. Because today’s buyers have something they didn’t have a couple of years ago: options.

Why Fixing Things Before You List Matters More Today

A few years back, when buyers felt rushed or boxed in due to the limited number of homes for sale, they were more willing to overlook issues.

But in today’s market, skipping essential repairs is one of the fastest ways to lose a deal.

Now that there are more homes to choose from, buyers can be more selective. If a house feels risky, outdated, or like it’s hiding expensive surprises, they’re a lot more likely to walk away. So, what do you have to fix? Just ask an agent.

How Your Agent Can Help Give You the Edge

A local agent will be able to walk through your house and offer advice on what to tackle based on your specific home, your market, and what buyers are prioritizing in your area. They'll also have first-hand knowledge about some of the biggest turnoffs for buyers today. And you can use that expertise to prevent future headaches.

For example, according to Zillow, these are some of the issues buyers will care the most about:

• Roof leaks or damage: sagging, leaking, etc.
• Plumbing problems: standing water, leaks, water damage, etc.
• Electrical concerns: outdated or exposed wiring, missing GFCI outlets, etc.
• HVAC issues: non-functioning units
• Pest or insect damage: termite colonies, etc.
• Hazardous materials: lead, mold, asbestos, etc.
• Safety/code violations: missing smoke detectors, windows stuck closed, etc.
• Structural problems: cracks in the foundation, sagging floors, etc.

Odds are not all of this even applies to your house. Maybe only 1-2 things do. Or maybe none of them do. It just depends. But an agent will have the tools and resources to help you figure it out and stay one step ahead.

The Benefits of a Pre-Listing Inspection

To buyers, these aren’t cosmetic issues. They’re trust issues. And that’s what you need to watch out for today. Once buyers start wondering “what else might be wrong,” it’s hard to recover momentum.

That’s why some agents are even recommending a pre-listing inspection as asneak peek into what buyers will see on their own inspection. With that insight, you can:

• Fix concerns before you list, or disclose issues upfront
• Avoid having to respond or negotiate under pressure
• Stop scrambling to find contractors with availability before your closing date

But remember, you don't have to fix everything. You just have to be strategic about what you do tackle, so you and your buyer aren’t caught off guard.

And that’s why you need an agent who can:

• Decide if a pre-listing inspection is worth it where you live
• Recommend a trusted inspector (if you decide to get one)
• Look at the results with you to identify true dealbreakers in your market
• Help you decide what to fix or what to credit
• Make sure you avoid over-spending or under-preparing

To view data for every Essex County town,

• To view data for every Essex County town, http://www.sullivanteam.com/Properties/Reports/Public/Charts.php
  
  
• To Download the full housing report go to:  http://sullivanteam.com/pages/EssexCountyHousingReports
  

Why So Many Homeowners Are Downsizing Right Now

For a growing number of homeowners, retirement isn’t some distant idea anymore. It’s starting to feel very real.

According to Realtor.com and the Census, nearly 12,000 people will turn 65 every day for the next two years. And the latest data shows as many as 15% of those older Americans are planning to retire in 2026. And another 23% will do the same in 2027.

If you’re considering retiring soon too, here’s what you should be thinking about.

Why Downsize?

Now's the perfect time to reflect on what you want your life to look like in retirement. Because even though your finances will be going through a big change, you don’t necessarily want to feel like you’re living with less.

But odds are, what you do want is for life to feel easier.
Easier to enjoy.
Easier to manage.
Easier to maintain day-to-day.

The Top Reasons People Over 60 Move
You can see these benefits show up in the data when you look at why people over 60 are moving. The National Association of Realtors (NAR) finds the top 4 reasons aren’t about timing the market or chasing top dollar. They’re about lifestyle:

1. Being closer to children, grandchildren, or long-time friends so it’s easier to spend more time with the people who matter most
2. Wanting a smaller, more functional home with fewer stairs and easier upkeep
3. Retiring and no longer needing to live near the office, so it’s easier to move wherever you want
4. Opting for something smaller to reduce monthly expenses tied to utilities, insurance, and maintenance

No matter the reason, the theme is the same: downsizing isn’t about giving something up. It’s about gaining control and choosing simplicity. And it brings peace of mind to know your home fits the years ahead, not the years behind.

And the best part? It’s more financially feasible now than many homeowners would expect.

The #1 Thing Helping So Many Homeowners Downsize

Here’s the part that makes it possible. Thanks to how much home values have grown over the years, many longtime homeowners are realizing they’re in a stronger position than they thought to make that move.

According to Cotality, the average homeowner today has about $299,000 in home equity. And for older Americans, that number is often even higher – simply because they’ve lived in their homes longer.

When you stay in one place for years (or even decades), two things happen at the same time:

Your home value has time to grow.

Your mortgage balance shrinks or disappears altogether.

That combination creates more options than you’d expect, even in today’s market.

So, whether you just retired, or you're about to, it's not too soon to start thinking about what comes next. Sure, it can be hard to leave the house you made so many years of memories in, but maybe it’s time to close one chapter to open a new one that’s just as exciting. 

Bottom Line
Downsizing is about setting yourself up for what comes next – on your terms.
If retirement is on the horizon and you’ve started wondering what your current house (and your equity) could make possible, the first step isn’t selling. It’s understanding your options.
Let’s talk. A simple, no-pressure conversation can help you see what downsizing might look like – and whether it makes sense for you. 

To view data for every Essex County town,

• To view data for every Essex County town, http://www.sullivanteam.com/Properties/Reports/Public/Charts.php
  
  
• To Download the full housing report go to:  http://sullivanteam.com/pages/EssexCountyHousingReports

Essex County Housing Report February 2025, 3/18/2025

Bottom Line:
Inflation, came in lower than expected. Feb CPI rose +0.2% which was a substantial drop from +0.5% in January. Core Inflation, CPI less food and energy, rose +0.2% in February down 50% from +0.4% in January. 12 month CPI was +2.8% and Core Inflation was +3.1%, still above the Federal Reserve’s target of 2%. 30 year Mortgage rate improved slightly and fell from the 7.1% level in January to a 6.8% level in February. Today’s mortgage rate is 6.78% (Mortgage News Daily).

Winter Seasonality and a bitter cold February suppressed single family and condo unit sales and sold prices and the number of active listings also fell from Jan 2025. 2-4 Family sales also fell double digit but prices edged up. Months of Inventory remains near record low levels indicating a shortage of housing units for sale: Inventory is: Single Family 2.1 months; Condos 1.9 months and 2-4 Families 2.2 Months. A balanced market is 6 months of inventory. Year over Year, February prices were mixed: Single Families prices fell -1.8% but Condos rose + 6.0% and 2-4 Unit Multi-Families rose +8.9%.

 To view data for every Essex County town,

• To view data for every Essex County town, http://www.sullivanteam.com/Properties/Reports/Public/Charts.php
  
  
• To Download the full housing report go to:  http://sullivanteam.com/pages/EssexCountyHousingReports
  
  
  

Essex County Housing Report 11/15/2024

• To view data for every Essex County town, http://www.sullivanteam.com/Properties/Reports/Public/Charts.php
  
  
• To Download the full housing report go to:  http://sullivanteam.com/pages/EssexCountyHousingReports

What To Expect From the Housing Market in 2023

The 2022 housing market has been defined by two key things: inflation and rapidly rising mortgage rates. And in many ways, it's put the market into a reset position.

Essex County December Housing Report 12/14/2022

Inflation is slowing, but is way above the Federal Reserve’s target of 2%.  
November CPI (Consumer Price Index) fell to 7.1% from 7.7% in October.
November PPI (Producer Price Index) fell to 7.4% from 8.1% in October. PPI measures wholesale Prices
To fight inflation, the Federal Reserve continues to raise interest rates and sell off their Balance Sheet Assets to tighten credit (Quantitive Tightening).  
Federal Funds Rate increased +0.5% to 4.25% - 4.5% 
Mortgage Rates are trending down; Conforming 30 Year Fixed now 6.33%.

Bottom Line:
Housing Listing and Sales activity continues to moderate as the Fed fights inflation.
Year over Year price increases are slowing, +6.3%, Units Sales fell -26%, Active Listings fell -16%.  Months of Inventory rose +21% as Unit Sales fell more the Active Listings.  

Month Over Month, November 2022 vs October 2022

• Median Sold Prices:
  Single Families +4.4%;  Condos -1.1%;  Multi-Families  -1.5%
• Unit Sales:
  Single Families -4.2%, Condos +29.3%, Multi-Families +1.9%
• Active Listings:
  Single Families -14.2%, Condos -6.3%, Multi-Families -10.6% 
• Current Months of Inventory:
  Single Families 1.6, Condos 1.4, Multi-Families 2.4

Year Over Year, November 2022 vs November 2021

• Median Sold Prices: 
  Single Families +6.6%; Condos +6.0%;  Multi-Families +2.2% 
• Unit Sales:
  Single Families -23.1% , Condos -34.0%, Multi-Families -44.8%.
• Active Listings:
  Single Families -4.3%; Condos -23.9%; Multi-Families -16.0% 
• Change in Months of Inventory:
  Single Families +23.1%, Condos  16.7%, Multi-Families +50.0%.
  
  Terry Sullivan

• To view data for every Essex County town, go to:  http://www.sullivanteam.com/Properties/Reports/Public/Charts.php
  
  
• To Download the full housing report go to:  http://sullivanteam.com/pages/EssexCountyHousingReports
  
  
  

Hedge Against Inflation With These 3 Real Estate Investment Types

 The annual inflation rate in the United States is currently around 7.5%—the highest it has been since 1982.¹ It doesn’t matter if you’re a cashier, lawyer, plumber, or retiree; if you spend U.S. dollars, inflation impacts you. 

Economists expect the effects of inflation, like a higher cost of goods, to continue.² Luckily, an investment in real estate can ease some of the financial strain. 

Here’s what you need to know about inflation, how it impacts you, and how an investment in real estate can help.

WHAT IS INFLATION AND HOW DOES IT IMPACT ME?

Inflation is a decline in the value of money. When the rate of inflation rises, prices for goods and services go up. Therefore, a dollar buys you a little bit less with every passing day.

The consumer price index, or CPI, is a standard measure of inflation. Based on the latest CPI data, prices increased 7.5% from January 2021 to January 2022.¹ A little bit of inflation is considered healthy for the economy, but 7.5% in a single year is high. 

How does inflation affect your life? Here are a few of the negative impacts

• Decreased Purchasing Power

We touched on this already, but as prices rise, your dollar won’t stretch as far as it used to. That means you’ll be able to purchase fewer goods and services with a limited budget.

• Increased Borrowing Costs

In an effort to curb inflation, the Federal Reserve is expected to raise the federal funds rate. Therefore, consumers are likely to pay a higher interest rate on new mortgages, car loans, and variable-rate credit cards.³

• Lower Standard of Living 

Wage growth tends to lag behind price increases. According to Moody Analytics, when adjusted for inflation, average weekly earnings in January were down 3.1% from a year earlier.⁴ As such, life is becoming less affordable for everyone. Inflation can force those on a fixed income, like retirees, to make lifestyle changes and prioritize essentials.

• Eroded Savings 

If you store all your savings in a bank account, inflation is even more damaging. As of February 2022, the national average interest rate for a savings account is 0.06%, not nearly enough to keep up with inflation. And economists don’t expect that rate to go much higher.³

One of the best ways to mitigate these effects is to find a place to invest your money other than the bank. Even though interest rates are expected to rise, they’re unlikely to get high enough to beat inflation. If you hoard cash, the value of your money will decrease every year and more rapidly in years with elevated inflation.

REAL ESTATE: A PROVEN HEDGE AGAINST INFLATION

So where is a good place to invest your money to protect (hedge) against the impacts of inflation? There are several investment vehicles that financial advisors traditionally recommend, including:

• Stocks
  Some people invest in stocks as their primary inflation hedge. However, the stock market can become volatile during inflationary times, as we’ve seen in recent months.⁵

• Commodities
  Commodities are tangible assets, like oil, livestock, and minerals. The theory is that the price of commodities should climb alongside inflation. But the classic choice–gold–hasn’t risen consistently during periods of inflation since the 1970s, according to data from Morningstar Direct.⁶

• Inflation-Indexed Bonds
  Treasury inflation-protected securities, or TIPS, are U.S. government-issued bonds that are indexed to the inflation rate. Bonds are considered low risk, but the returns they offer are generally low, as well.⁷

• Real Estate
  Real estate prices across the board tend to rise along with inflation and often rise faster than inflation.⁸ That’s one of the reasons demand for real estate is soaring right now.⁹

 We believe real estate is the best hedge against inflation. Owning real estate does more than protect your wealth—it can actually make you money. For example, home prices rose nearly 17% from 2020 to 2021, 10% ahead of the 7% inflation that occurred in the same timeframe.¹⁰

 Plus, certain types of real estate investments can help you generate a stream of passive income. In the past year, property owners didn’t just avoid the erosion of purchasing power caused by inflation; they got ahead. 

TYPES OF REAL ESTATE INVESTMENTS

Though there are myriad ways to invest in real estate, there are three basic investment types that we recommend for beginner and intermediate investors. Remember that we can help you determine which options are best for your financial goals and budget. 

• Primary Residence

If you own your home, you’re already ahead. The advantages of homeownership become even more apparent in inflationary times. As inflation raises prices throughout the economy, the value of your home is likely to go up concurrently. At the same time, you’ve locked in a set mortgage payment for the next 30 years, so you’ll be immune to rising rental costs.

If you don’t already own your primary residence, homeownership is a worthwhile goal to pursue.

Though the task of saving enough for a down payment may seem daunting, there are several strategies that can make homeownership easier to achieve. If you’re not sure how to get started with the home buying process, contact us. Our team can help you find the strategy and property that fits your needs and budget.

Whether you already own a primary residence or are still renting, now is a good time to also start thinking about an investment property. The types of investment properties you’ll buy as a solo investor generally fall into two categories: long-term rentals and short-term rentals. 

• Long-Term (Traditional) Rentals 

A long-term or traditional rental is a dwelling that’s leased out for an extended period. An example of this is a single-family home where a tenant signs a one-year lease and brings all their own furniture.

Long-term rentals are a form of housing. For most tenants, the rental serves as their primary residence, which means it’s a necessary expense. This unique quality of long-term rentals can help to provide stable returns in uncertain times, especially when we have high inflation. 

To invest in a long-term rental, you’ll need to budget for maintenance, repairs, property taxes, and insurance. You’ll also need to have a plan for managing the property. But a well-chosen investment property should pay for itself through rental income, and you’ll benefit from appreciation as the property rises in value.

We can help you find an ideal long-term rental property to suit your budget and investment goals. Reach out to talk about your needs and our local market opportunities.

• Short-Term (Vacation) Rentals

Short-term or vacation rentals function more like hotels in that they offer temporary accommodations. A short-term rental is defined as a residential dwelling that is rented for 30 days or less. The furniture and other amenities are provided by the property owner, and today many short-term rentals are listed on websites like Airbnb and Vrbo.

A short-term rental can potentially earn you a higher return than a long-term rental, but this comes at the cost of daily, hands-on management. With a short-term rental, you’re not just entering the real estate business; you’re entering the hospitality business, too. 

Done right, short-term rentals can be both a hedge against inflation and a profitable source of income. As a bonus, when the home isn’t being rented you have an affordable vacation spot for yourself and your family!

Contact us today if you’re interested in exploring options in either the long-term or short-term rental market. Mortgage rates are expected to rise, so you’ll want to act fast to maximize your investment return.

WE’RE INVESTED IN HELPING YOU

Inflation is a fact of life in the U.S. economy. Luckily, you can prepare for inflation with a carefully managed investment portfolio that includes real estate. Owning a primary residence or investing in a short-term or long-term rental will help you both mitigate the effects of inflation and grow your net worth, which makes it a strategic move in our current financial environment.

If you’re ready to invest in real estate to build wealth and protect yourself from rising inflation, contact us. Our team can help you find a primary residence or investment property that meets your financial goals. 

The above references an opinion and is for informational purposes only.  It is not intended to be financial advice. Consult the appropriate professionals for advice regarding your individual needs.

Sources: 

1. Bloomberg -
   https://www.bloomberg.com/news/articles/2022-02-10/u-s-inflation-charges-higher-with-larger-than-forecast-gain
2. CNN -
   https://www.cnn.com/2022/01/01/economy/inflation-prices-2022-preview/index.html
3. CNBC -
   https://www.cnbc.com/2022/01/26/the-fed-sets-the-stage-for-a-rate-hike-heres-what-that-means-for-you.html
4. Reuters -
   https://www.reuters.com/business/us-consumer-prices-rise-strongly-january-weekly-jobless-claims-fall-2022-02-10/
5. NBC News -
   https://www.nbcnews.com/business/markets/market-slide-dow-falls-700-points-sp-enters-correction-territory-rcna13304
6. CNBC -
   https://www.cnbc.com/2021/12/20/gold-is-losing-its-status-as-an-inflation-hedge-two-traders-warn.html
7. Morningstar -
   https://www.morningstar.com/articles/1079158/why-are-inflation-protected-bond-funds-losing-money
8. The Washington Post -
   https://www.washingtonpost.com/business/2022/01/04/heres-how-inflation-could-affect-your-next-real-estate-move/
9. Bloomberg - 
   https://www.bloomberg.com/news/articles/2022-01-24/is-real-estate-a-good-investment-hedge-against-inflation-what-the-experts-say
10. CNN -
    https://www.cnn.com/2022/01/20/homes/us-nar-home-sales-december-and-2021/index.html

 Essex County Q1, 2021 Housing Report 4/10/2021 - Covid 19

 Quarter 1, 2021 vs Q4, 2020: Sold Prices were soft and Sold Units and Active Listings plunged. 

Year Over Year, Inventory fell to record low levels but prices up strongly.

Quarter 1, 2021 vs Quarter 4, 2020 

• Median Sales Prices rose only for Multies:
  Single Families -1.8%;  Condos +0.0%;  Multi-Families +3.7%
• Unit Sales Plunged for Singles, Condos and Multis:
  Single Families -62.3%, Condos -54.1%, Multi-Families -44.2%.
• Active Listings Plunged to record lows:
  Single Families -46.9%, Condos -38.4%, Multi-Families  -29.9% 

 Year Over Year, Q1 2021 vs Q4 2020

• Median Sales Prices Up Double Digit: 
  Single Families +10.4%; Condos +10.6%;  Multi-Families +12.5% 
• Unit Sales Mixed:
  Single Families -4.0% , Condos +8.8%, Multi-Families +12.4%.
• Number of Active Listings Plunged to Record Lows:
  Single Families -51.6%; Condos -39.4%; Multi-Families -28.0%