Available: 2535 Main Street, Lawrenceville, NJ 08648 (Lawrence Township) $885,000
As 2025 comes to a close, the Greater Princeton Area residential real estate market is settling into a more balanced rhythm. After years of significant appreciation, home prices across the region have begun to level out, while inventory has begun to rise gradually. Buyer demand remains steady in Mercer County communities such as Princeton, Pennington, Hopewell, Lawrence Township, and West Windsor, as well as in southern Hunterdon County towns including Lambertville and Stockton, where lifestyle appeal continues to attract interest.
Interest rates have stabilized in the 6% range, providing greater predictability for both buyers and sellers. While overall sales activity remained measured, this was driven more by lingering inventory constraints than by weakened demand. In several neighborhoods, days on market have begun to extend modestly— another early indicator of a more normalized market.
Looking ahead to 2026, inventory will remain the key variable. Many homeowners are still holding historically low mortgage rates, but rising equity, lifestyle-driven moves, and the potential for renewed migration from New York City—particularly in the spring—could help unlock additional supply. Sellers will also need to account for New Jersey’s expanded realty transfer fee on homes priced above $1 million, which calls for another layer of understanding.
Our local real estate market enters 2026 from a position of stability and strength, where thoughtful strategy and local expertise matter more than ever.
As always, we are grateful for your continued trust. Please reach out to your preferred Callaway Henderson Sotheby’s International Realty agent to begin your next real estate journey.
