Demarest NJ Housing Market & Home Prices, Sep 2026

Demarest is a small Bergen County borough where almost every home is a single-family house and only 57 to 71 homes a year have sold over the past three years. That makes its headline numbers jumpy. Redfin's latest reading for ZIP 07627 (the three months ending May 2026) shows a median sale price of $2,270,000, up 33% from $1,710,000 a year earlier. That figure rests on 12 sales, and two of them were townhouses at a median of $3,325,000.

Strip out the townhouses and the picture changes. The single-family median for the same window was $1,495,000, down 4% from $1,560,000. Over a full year, single-family prices rose about 5%. Most of Demarest's large gain came earlier, in 2024 and early 2025.

What did change clearly is supply. Listings fell from 41 in May 2025 to 27 in May 2026, while annual sales rose from 60 to 71. That is about 4.6 months of supply, down from about 8. Buyers have fewer choices, but bidding wars have faded: 25% of recent sales closed above list price, down from 53% a year before.

How to read Demarest's numbers

The site's chart uses Redfin's ZIP 07627 series from the Redfin Data Center. Each point is a rolling three-month window ending in the month shown, so May 2026 covers March through May. Redfin's latest published month is May 2026.

With 12 sales, the median is the average of the sixth and seventh prices. One or two unusual sales can move it by hundreds of thousands of dollars. Three things make Demarest especially noisy:

Small counts. Three-month windows over the past year held 10 to 30 sales. Redfin's single-month city series recorded 2 sales in March 2026 and 2 in May 2026.
Mix shifts. New townhouses selling near $3 million now appear in the All Residential series. When two close in a quiet window, the median jumps even if house prices do not.
A wide price range. Older homes trade near $1 million; new or rebuilt homes sell above $3 million. Which of these closes in a given window moves the median more than any trend.

This analysis therefore leans on 12-month totals, single-family figures, and measures less sensitive to one sale, such as inventory, days on market and sale-to-list ratio.

Price per square foot is also unreliable right now. Redfin's ZIP median jumped from $576 in January 2026 to $781 in March, then eased to $660 in May, and the city series shows single-month readings of $1,247 and $2,397 on one or two sales each. Readings like these can come from a sale whose recorded square footage does not match the property, such as a land or teardown sale.

Two years of prices against mortgage rates

The Freddie Mac PMMS 30-year fixed rate hit a two-year low of 6.08% on September 26, 2024, peaked at 7.04% on January 16, 2025, dipped to 5.98% on February 26, 2026, and reached 7.03% on September 24, 2026. Demarest's single-family prices did not track those swings.

Window ending	Rate backdrop	SF median	SF sales	Sale-to-list
Sep 2024	Two-year low, 6.08%	$1,525,000	14	99.7%
Jan 2025	Peak, 7.04%	$1,598,000	11	96.3%
Jun 2025	2025 average ~6.6%	$1,710,000	19	102.0%
Feb 2026	First sub-6%, 5.98%	$1,425,000	12	101.7%
May 2026	6.46% on Apr 2	$1,495,000	10	101.5%

The pattern that does show up is seasonal. The single-family sale-to-list ratio was below 100% in 8 of the 10 windows ending November through March across the last two winters, with the low of 96.3% in January 2025. Spring brought the strongest competition: 62.5% of single-family homes sold above list in the window ending April 2025 and 73.7% in the window ending June 2025. The sub-6% rate in February 2026 did not lift prices; that window's single-family median of $1,425,000 was about 11% below the $1,598,000 of a year earlier.

A possible explanation is that many Demarest buyers are less rate-sensitive than buyers in lower price tiers, because more of them use large down payments or proceeds from a prior sale. The data cannot prove this, but it fits prices holding through the January 2025 rate peak.

Full-year totals

Adding four non-overlapping three-month windows (ending August, November, February and May) gives a cleaner annual view. The sales totals match Redfin's single-month city series.

12 months ending	All sales	SF sales	New listings	SF median proxy
May 2024	57	56	63	$1,304,500
May 2025	60	54	90	$1,525,241
May 2026	71	61	86	$1,602,623

The proxy is a sales-weighted average of the four window medians, not a true annual median, but it smooths out single-window swings. It rose about 17% in the year to May 2025 and about 5% in the year to May 2026.

That fits the town's best-known recent headline. A Patch analysis of Zillow ZIP-code data found Demarest led New Jersey with a 15.6% rise in home values from February 2025 to February 2026, ahead of Alpine at 12.4%, while the statewide average rose 3.5% (from $621,369 to $647,919). Zillow's index is a modeled value for all homes, not a median of sales. Zillow's Demarest page showed a typical value of $1,566,155, up 17.2% over the year, at the time of research. Both sources show Demarest outpacing the state. Redfin's sales data points to slower gains for the typical house in the most recent year than Zillow's model does.

Supply and competition

ZIP 07627, 3-month window	May 2024	May 2025	May 2026
Homes sold	13	19	12
Pending sales	18	28	21
New listings	20	39	25
Inventory	25	41	27
Median days on market	89	79	66.5
Avg sale-to-list	101.6%	100.1%	101.2%
Sold above list	46%	53%	25%
Off market in two weeks	28%	46%	52%

Inventory tightened. Listings hit a low of 13 in January 2026 and rebuilt only to 27. Against 71 sales a year (about 5.9 a month), that is roughly 4.6 months of supply. In May 2025, 41 listings against 60 annual sales equaled about 8.2 months.
Many listings move fast. Redfin counts 52% of homes going off market within two weeks, near the series high of 54% in the window ending February 2026.
Overbidding cooled. Only 25% of sales closed above list, versus 53% a year earlier, though the average sale-to-list ratio stayed just above 100%.
Days on market shortened to 66.5 from 79 a year earlier, after a winter peak of 137 in the window ending January 2026.

Together these describe a market where well-priced homes sell quickly near asking while others sit. The two speed measures cover different groups (days on market is measured on homes that sold; the two-week share on homes that went off market), but a 66.5-day median for sold homes means a sizable group still takes months.

Bergen County is more competitive on list-price terms. In May 2026, county single-family homes sold at 105.5% of list on average, 65.7% closed above list, and the median home spent 61 days on market. Demarest single-family homes sold at 101.5% of list with 30% above list, at a median about 1.6 times the county's $946,000. Less overbidding is often seen in higher price tiers, where fewer buyers qualify and custom homes are harder to price.

Housing stock and price tiers

Demarest is almost entirely owner-occupied single-family housing. According to Data USA, which uses Census American Community Survey (ACS) estimates, 94.3% of housing units were owner-occupied in 2024, the borough had about 1,670 households, and the median owner-estimated home value was $1.11 million. Redfin agrees: 61 of 71 sales in the last 12 months were single-family, and it shows no condo sale in the ZIP since a single one in mid-2024.

Zoning and lot sizes

The borough's zoning limiting schedule and zoning map divide residential land into districts labeled R-A through R-D; the R-D zone requires a minimum lot of 10,000 square feet. Much of the high end of this market is new or rebuilt houses, so when a buyer pays mainly for a lot, its value depends on what the zone allows. Confirm the zone, setbacks, coverage and height limits with the borough before planning an addition or rebuild.

New townhouses: a new price tier

The one clear change to the housing stock is new townhouse construction. Jersey Digs reported on The Woodlands, a gated community of 24 new townhouses at 20 Stone Bridge Court with a clubhouse, fitness center and pool. It reported more than 60% sold in 2025, with available homes priced from $2.25 million to $3.05 million. A second project, CedarLux, advertises six townhouses starting at $1,799,000.

Redfin's ZIP townhouse series matches this. It first shows townhouse sales in early 2025, with window medians between $2,697,500 and $3,325,000, never more than 5 sales in a window, and inventory falling from 13 in February 2025 to 4 in May 2026. These sales explain the gap between the All Residential and single-family medians, and they will keep the site chart jumpy until the remaining units sell. HOA dues were not available from the sources reviewed.

What a budget buys

Redfin does not break sales down by size or condition, so this is a rough guide:

$1.0 million to $1.3 million: single-family window medians have dipped into this range (for example, $1,300,000 in the window ending April 2026). Expect older houses, often needing updates.
$1.4 million to $1.8 million: the recent single-family median range, where most sales cluster.
$2 million and up: new townhouses and larger new or renovated houses. Redfin's median list price for May 2026 was $2,195,000, well above the single-family sale median.

Cost of ownership

Demarest's 2025 general tax rate is 1.805 per $100 of assessed value and its effective rate is 1.924%, according to the NJ Division of Taxation's 2025 general tax rates. The 2025 Bergen County Abstract of Ratables puts Demarest's assessment ratio at 106.66%, so assessments averaged slightly above market value (1.805 × 1.0666 ≈ 1.925%). The effective rate is the one to apply to a market price.

At 1.924%, a $1,600,000 home carries about $30,784 a year in property tax ($2,565 a month), and a $2,500,000 home about $48,100. Actual bills depend on each property's assessment, so check the assessed value and latest bill.

The same state table puts Closter's 2025 effective rate at 2.017% and Cresskill's at 2.014%. Demarest's rate is lower, but higher prices mean dollar bills are often similar or higher. Tenafly's general rate is 2.973; its effective rate was not confirmed in this research.

Nearly every Demarest sale is above $1 million, where New Jersey applies additional transfer charges that were revised in 2025. Have an attorney calculate the current amounts for your price. Insurance costs were not available and are excluded below.

Monthly payment and income needed

The examples use 20% down, a 30-year fixed loan and the 1.924% effective tax rate, excluding insurance and HOA dues. P&I = L·i / (1 − (1+i)^−360), with i the annual rate divided by 12. "Income at 28%" is the gross income at which principal, interest and taxes equal 28% of income.

Price	Loan	Rate	P&I	Tax/mo	Total	Income at 28%
$1,300,000	$1,040,000	6.08%	$6,289	$2,084	$8,373	~$359,000
$1,300,000	$1,040,000	7.03%	$6,940	$2,084	$9,024	~$387,000
$1,600,000	$1,280,000	5.98%	$7,658	$2,565	$10,223	~$438,000
$1,600,000	$1,280,000	7.03%	$8,542	$2,565	$11,107	~$476,000
$2,500,000	$2,000,000	7.03%	$13,346	$4,008	$17,355	~$744,000

The move from 5.98% to 7.03% adds $884 a month on a $1.28 million loan, about $10,600 a year. That is about a third of the $30,784 annual tax on the same house, so in Demarest taxes weigh on monthly cost more than the recent rate swing.

The income needed for a median-priced home is more than double the borough's median household income of $208,036 (ACS 2024, via Data USA). That gap is common where most owners bought years ago. It means recent buyers typically bring high incomes, large down payments or equity from a previous home.

Schools

Demarest runs its own schools for the elementary and middle grades and is a constituent of the Northern Valley Regional High School District. According to the district's annual comprehensive financial report filed with the NJ Department of Education, Closter, Demarest and Haworth send students to Northern Valley Regional High School at Demarest, while Harrington Park, Northvale, Norwood and Old Tappan attend the high school in Old Tappan. The report lists 978 students at the Demarest high school in October 2023.

Niche's 2026 rankings give the Demarest high school an overall A+ and rank it 19th among New Jersey public high schools, with about 1,038 students and a 10-to-1 student-teacher ratio. Niche also ranked the regional district first in New Jersey for 2026, as reported by Magic 98.3 FM.

Two cautions. Niche blends test scores with surveys and changes year to year. And Closter and Haworth share the same high school, so it alone does not explain Demarest's higher prices. For elementary and middle school results, use the official NJ School Performance Reports.

Commute

Demarest has no passenger rail station and is car-oriented. Manhattan commuters drive to the George Washington Bridge, commonly via the Palisades Interstate Parkway or local roads, or use NJ Transit buses. Travel time depends mostly on bridge traffic, so test the trip at your actual hours. Check current bus routes and schedules with NJ Transit; this research could not confirm them. Closter, Cresskill and Tenafly also lack rail.

Development and affordable housing

Demarest's Fourth Round (2025 to 2035) affordable housing obligation was set at 100 units after mediation with the New Jersey Builders Association, according to the borough's 2025 Housing Element and Fair Share Plan. The plan includes a settlement for 95 County Road, a lot of about 2.12 acres, allowing up to eight units including two affordable units, and references overlay zoning for unmet need.

For a borough of about 1,670 households, 100 units points to some multifamily or townhouse development on specific sites over the decade, not a change to most single-family streets. Buyers near named sites should read the plan and follow planning board agendas.

Demarest versus Closter, Cresskill and Tenafly

Single-family figures from Redfin's ZIP series, with 12-month proxies built as above:

Single-family	Demarest	Closter	Cresskill	Tenafly
Median, window ending May 2026	$1,495,000	$1,304,500	$1,400,000	$1,650,000
12-mo proxy, to May 2025	~$1.53M	~$1.46M	~$1.26M	~$1.52M
12-mo proxy, to May 2026	~$1.60M	~$1.29M	~$1.28M	~$1.66M
Change	+5%	−11%	+1%	+9%
12-mo sales	61	78	70	118
Sale-to-list, May 2026	101.5%	100.2%	102.7%	107.8%
Sold above list	30%	45%	33%	65%
Months of supply	~4.5	~4.6	~7.7	~4.3
2025 effective tax rate	1.924%	2.017%	2.014%	not confirmed

Tenafly is the most competitive, with 107.8% of list and 65% above list on nearly twice Demarest's volume.
Closter is softer, with its proxy down about 11%, though its sample is small too.
Cresskill has the most supply at about 7.7 months.
Demarest sits in between on competition, with the second-highest prices and a lower effective tax rate than Closter or Cresskill.

Buyers focused on the high school who find Demarest's inventory too thin can look at Closter and Haworth.

Strategy for buyers

Price the house, not the headline. The 33% jump is mostly a townhouse mix effect. Build offers from recent single-family sales of similar size, lot and condition.
Use days on market. About half of listings go off market within two weeks, so a home past 60 days with no price change is more likely to be negotiable.
Expect little room on fresh, well-priced listings, which have been selling near asking or slightly above.
Budget for taxes first, about $30,800 a year on a $1.6 million home, and check the actual assessment.
For a rebuild, confirm the lot's zone and limits before committing.

Strategy for sellers

Spring has been the strongest season. The share of single-family homes sold above list peaked in windows ending April through June (57% in April 2024, 74% in June 2025).
Price to single-family comparables, not the All Residential median. With 4.6 months of supply and fewer bidding wars, a high price is likely to add weeks on market.
New townhouses compete at $2 million and up, with amenities and no deferred maintenance.
Rates are back above 7%. If they stay there into spring 2027, buyers who financed their budgets at 6% may lower their offers.

Outlook for the next 6 to 12 months

With 12 sales in the latest window, no forecast of Demarest's median is reliable. The data supports a view on conditions instead.

Supply is the key variable. If spring 2027 brings a listing surge like spring 2025 (39 new listings in the window ending May 2025), supply could return toward 8 months and give buyers leverage. If it matches 2026 (25 new listings), sellers keep the edge.

Rates have had limited visible effect, but the rise to 7.03% may matter more at the lower end of the market, where buyers are more likely to finance. A sale-to-list ratio below 100% for several windows in a row outside winter would signal real softening.

The All Residential median will stay noisy as remaining townhouses sell; watch single-family data.

What would change this view: a sharp rise in new listings, falling pending sales, or a tax change large enough to shift carrying costs. On the other side, rates returning toward 6% in spring could revive the bidding seen in 2025.

FAQ

Did Demarest home prices really rise 33% in a year?

Not for the typical house. The +33% is the All Residential median for March to May 2026, on 12 sales including two townhouses. The single-family median fell 4% to $1,495,000, and over 12 months single-family prices rose about 5%.

Why did Zillow data show Demarest leading New Jersey?

A Patch analysis of Zillow data found a 15.6% rise from February 2025 to February 2026, the highest in the state. Zillow models all homes; Redfin's sales data shows most of the gain came in 2024 and early 2025.

What are property taxes in Demarest?

The 2025 effective rate is 1.924%, about $30,800 a year on a $1.6 million home. Individual bills depend on assessed value.

Which towns attend Northern Valley Regional High School at Demarest?

Closter, Demarest and Haworth. Niche ranks it 19th among New Jersey public high schools for 2026.

Is there a train in Demarest?

No. Commuters drive or use NJ Transit buses, mainly via the George Washington Bridge.

Demarest NJ Housing Market 2026: Prices, Taxes, Schools, Supply