NJ real estate market predicted to heat up. Here’s why

If you live here in NJ, this probably won’t surprise you at all.

A new real estate forecast says the housing markets most likely to heat up in 2026 include the outskirts of New York City.

That list specifically calls out Northern New Jersey right alongside Long Island, the Hudson Valley, and Fairfield County, Connecticut.

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Canva / Townsquare Media illustration

In other words, once again, Jersey is the overflow valve for a lot of people.

The prediction is pretty simple. More companies are pulling people back into the office, at least part-time. So the “work from anywhere” dream is fading for a lot of folks. That means people still want space and sanity, but they also need to be close enough to commute. Enter New Jersey.

And it’s not just about work.

A lot of New Yorkers are leaving the city because they’re exhausted by the politics, the quality-of-life issues, and yes, what some are calling the Mamdani factor. Whether it’s crime, schools, taxes, or just feeling like the city isn’t what it used to be, people are voting with their feet. And many of them are landing right here.

Canva / Townsquare Media illustration

Much like during covid, North Jersey keeps checking all the boxes for a lot of people Good schools. Actual yards. Trains into Manhattan. And towns that still feel like neighborhoods instead of the chaos of the cities.

The report also predicts growth in places like Syracuse, Cleveland, St. Louis, Minneapolis, and Madison. Mostly because they’re affordable, have solid job opportunities, and don’t suffer from wildfire smoke or coastal flooding.

Meanwhile, markets in coastal Florida and parts of Texas are expected to cool off, thanks to rising insurance costs and natural disasters, and the remote workers moving back closer to their offices.

But for us, the takeaway is that Jersey is back in demand. Again.

If you already own here, that probably means higher values. If you’re trying to buy, buckle up. More competition is coming, especially in commuter-friendly towns.

New Jersey keeps ending up in these “hot market” lists, not because we’re trendy, but because we’re practical. We sit right next to one of the biggest cities in the world, and we offer things that the city can’t like space and stability, and (even though we’re the most densely populated state), the breathing room.