Monday, June 18, 2018

Bergen County, NJ Housing Market in Downward Spiral

(Click on the image to enlarge)
Median Sale Prices rose from $410K to $500K in mere six months. Obviously, this meteoric rise was not sustainable as it was not backed by the strengthening of fundamentals. The 2-Mo Mov Avg confirms a high of $490K, though it limits the fall at $430K, rather than the $410K as the dataline suggests. The primary trendline, of course, see much weaker fundamentals, thus lowering the overall curve significantly.

The normalized SPSF trend (bottom chart) amply confirms the primary trend, with very similar peak and trough outliers. Again, the 2-Mo MA supports the high, but not the low. The primary trendline is however more conforming.

Neither trend shows any emerging support, bottom formation or sideways consolidations yet, signifying clear and continued downside risks.

- Sid Som, MBA, MIM
President, Homequant, Inc.
homequant@gmail.com

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