Bergen County’s Market Outpaces National Housing Trends

Written by:

Steve Marcinuk

Date:

20 Feb 2026

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While much of the country faces housing market uncertainty, northern Bergen County remains one of the most resilient markets in the region. Local data and agent reports show a sharp contrast between the county’s continued strength and the broader national slowdown, with several structural factors keeping demand high and inventory tight.

Inventory Shortage Remains the Defining Challenge

The primary obstacle in Bergen County is not a lack of buyers, but a severe shortage of homes for sale. Cathy Banu, senior real estate specialist with The Cathy Banu Team at Keller Williams Village Square Realty, describes the situation as unprecedented. “We have some towns that have three or four houses to sell. That’s it,” she says. In communities that once had more than 100 active listings, inventory now rarely exceeds 20 homes.

A major shift in homeowner behavior drives this shortage. Many longtime residents are choosing to stay put, especially those who secured low mortgage rates over the past decade. Banu notes that most of her clients who might have sold in the past are now aging in place. “They have the low interest rates, they’re financially set, and they enjoy being in their home,” she says.

The pattern marks a break from historical trends, when retirees often sold their homes and moved to states like Florida or the Carolinas. Today, the desire to remain close to family and established social networks keeps many would-be sellers off the market, further restricting available inventory.

Urban Migration Keeps Demand High

Despite national headlines about waning migration from cities, Bergen County continues to attract high-income buyers from Manhattan, Jersey City, and Hoboken. The area’s strong public schools and access to New York City remain major draws, and the widespread adoption of hybrid work has made longer commutes more manageable.

Banu notes that the shift to remote and hybrid work has reshaped buyer priorities. “People are just in the office three days a week, so they’re not commuting into the city every day,” she explains. This flexibility has increased demand for larger homes with more space for home offices and family activities.

Communities with direct train access to Manhattan—often referred to as “train towns”—are seeing especially strong interest. Both buyers and renters are prioritizing these locations, and competition for available properties remains intense across price ranges.

Interest Rate Concerns

While rising mortgage rates have slowed housing markets in many parts of the country, Bergen County has been largely insulated from this effect. Banu says that the current slowdown is not rate-driven. “I don’t believe it has anything to do with it right now. The slowdown is because we have no inventory,” she says.

Buyers who remain in the market have already adjusted to higher rates. “In the last couple of years, buyers have had to adjust to this new interest rate. Now they’ve taken time, and they’ve adjusted to the new rates,” Banu observes. Many families are moving forward with purchases based on long-term needs, such as access to top school districts, rather than waiting for rates to improve.

Seller’s Market Dominates

Market conditions continue to favor sellers, with multiple offers and waived contingencies still common. “We still have people saying they will forego the inspections on homes, no appraisals. Oftentimes, they’re going above asking price, depending on which town you’re looking at,” Banu reports.

The competitive environment varies by price point. Luxury buyers — those shopping at the top end — remain selective and expect properties to meet high standards. “The higher you go with luxury, the more difficult it is to sell a house because luxury buyers want everything perfect,” Banu explains. Still, well-priced and well-presented homes in all segments are selling quickly.

Failed transactions are rare, and when deals do collapse, inspection issues are typically to blame. However, the frequency of such events has declined as buyers have become more aggressive and flexible in securing homes.

Investment Opportunities

For investors, Bergen County’s tight housing and rental markets present solid opportunities in small multifamily properties. Banu recommends two-family homes as particularly attractive investments, citing strong rental demand across the county.

The strength of the rental market is evident even before properties close. “I’m looking at Garfield right now, and we haven’t even closed on the place. We have multiple people looking to rent it,” Banu says. This persistent demand, coupled with limited rental inventory, supports stable returns for property owners.

However, Banu cautions against short-term rental strategies such as Airbnb. Local regulations and market dynamics make traditional long-term rentals a safer bet. “I do see a risk if you’re looking at Airbnbs… I would not recommend doing that. Not in Bergen County,” she says.

Long-Term Real Estate

Bergen County’s market conditions reinforce the value of long-term real estate investment. Banu points to decades of client experience showing that real estate, held over time, steadily builds wealth. “You will have ups and downs in the real estate market, but if you’re in for the long term, it’s amazing the amount of wealth that I’ve seen people accumulate in real estate,” she says.

She advises young families to think strategically, even if they can only break even at first. Many clients purchase investment properties with the intention of holding them through their child’s education years. By the time the child is ready for college, the property is paid off and generating income, providing financial flexibility.

Market Outlook

Looking ahead, the conditions that have supported Bergen County’s market strength show no sign of abating. Limited inventory, steady migration from urban centers, and buyer adaptation to higher rates point to continued seller advantage through at least 2026.

A common misconception among buyers is waiting for a better time to purchase. Banu says this strategy has backfired for many. Those who have waited have deeply regretted it, as the homes are going up. I think the last four or five years, you can figure they’ve been going up 9% a year, and they are continuing to go up,” she explains.

For buyers who cannot afford move-in-ready homes, Banu suggests targeting properties that need work. “I would rather see, especially a young couple, come in and buy a home that needs a lot of work, but let them save up some money in a year or two, redo that kitchen, redo those bathrooms,” she says. This approach allows buyers to build equity and enter the market despite rising prices.