Morristown Market Update: Why Every House is Different in 2025

For the past five years, giving market updates was straightforward. The market was consistent across all property types – we knew what to expect when listing a home and what buyers should prepare for. But 2025 has brought something we haven't seen in a while: a truly case-by-case market.

The Tale of Two Markets

Just last week, I had an offer accepted on a home that received 29 competing offers – very consistent with what we've seen over recent years. But I'm also working with properties that are receiving just one or two offers, yet still selling quickly and often above list price.

This isn't the "one size fits all" market we've grown accustomed to, and it's requiring more strategy and less assumption for both buyers and sellers.

The Northeast Advantage

What's important to understand is that our northeast market, particularly here in Morristown, is performing very differently from the national real estate market. While national news talks about declining prices and homes sitting on the market, we're not seeing that locally.

We are seeing inventory grow slightly, and some homes aren't selling in the first week with multiple offers. However, we're still seeing strong activity overall. This creates a challenge because buyers and sellers are getting mixed messages – some expecting the bidding wars of recent years, others expecting the declining market they're reading about nationally.

Pricing Strategy is Critical

In this environment, pricing strategy has become more important than ever. For the past few years, pricing mistakes were easily forgiven by a hot market. Now, there's less margin for error.

Sellers need to price strategically for the outcome buyers are expecting. Today's buyers come with different expectations than those from seven years ago. When a home has been on the market for nine days without multiple offers, some buyers immediately wonder "what's wrong with this house?" rather than seeing it as an opportunity.

This means we need to price to induce the bidding activity that makes buyers feel confident about their purchase.

Walkability Commands Premium Pricing

One clear trend I'm seeing is elevated demand and pricing for homes with walkability to downtown Morristown. The prices I'm seeing for homes within walking distance of downtown are "wild" – sometimes significantly out of line with other properties in the market.

Neighborhoods like Burnham Park, Cutler Park, and Washington's Headquarters are seeing increases at higher rates than other parts of town. Buyers are prioritizing walkability not just as a nice-to-have, but as a make-or-break factor in their decision-making.

What This Means for You

For Sellers: Don't assume your house will sell itself. Strategic pricing, timing, and preparation are crucial. Get professional guidance on positioning your home for the current market reality, not last year's market.

For Buyers: Be prepared for various scenarios. Some homes will still generate intense bidding wars, while others may give you more negotiating room. Work with your agent to read each situation individually rather than applying blanket strategies.

The market is still strong, and we're still very much in seller's market territory. But success now requires more nuanced strategy and less assumption than we've needed in recent years.

Understanding your specific situation and the unique characteristics of your property or target home is more important than ever.