New Jersey market rental trends report

Morristown

Over the past 3–6 months, Morristown has seen a transition toward price stabilization, with the rapid rent growth of previous years giving way to modest fluctuations and a slight month-over-month plateau. While high-end luxury units continue to command premium pricing, the broader market has seen a minor correction as inventory levels have finally begun to align with local demand. These changes are largely driven by a regional shift toward the redevelopment of underutilized commercial properties into mixed-use residential spaces and a "normalization" of the Northern New Jersey market as transaction activity returns to pre-volatility levels. Additionally, Morristown's consistent appeal as a transit-oriented hub with a walkable downtown continues to anchor demand even as regional supply increases in neighboring townships. As of Q1 2026, the current median rent across all unit types in Morristown is approximately $2,985.

Princeton

Over the past 3–6 months, the Princeton rental market has experienced consistent upward pressure, with rent prices seeing modest increases of approximately 2% to 5% across most unit types. While luxury studio and one-bedroom apartments have seen the most aggressive gains, larger multi-bedroom units have remained relatively stable due to a slight seasonal cooling in late Q4. This trend is largely driven by a significant contraction in available inventory, which has dropped by nearly 30% year-over-year, coupled with sustained demand from corporate relocations and the local academic community. Additionally, a slowdown in new large-scale residential construction starts has tightened the market further, leaving existing high-end developments with high occupancy rates and limited vacancy. As of Q1 2026, the current median rent across all unit types in Princeton is approximately $3,320.

Jersey City

Over the past 3–6 months, Jersey City has experienced a notable cooling trend in rent prices, with several unit types seeing annual decreases ranging from 9% to nearly 20% compared to the record highs of 2025. While the waterfront remains a high-demand premium area, neighborhood submarkets like Journal Square and West Bergen have transitioned into a more tenant-friendly environment with stabilizing or dipping rates. This shift is largely attributed to a massive influx of new inventory, with over 4,000 additional units slated for delivery in 2026 alone, putting significant upward pressure on vacancy rates. Softening hiring in the commercial office sector and increased sensitivity to household budget constraints have also forced landlords to prioritize occupancy over aggressive rent hikes. As of Q1 2026, the current median rent across all unit types in Jersey City is approximately $3,785.

Recent listings

Below are some recent listing examples.

Heritage House

• $2,195 - Studio / 1 BA - 400 sq. ft.

Modera 44

• $2,727 - 1 BR / 1 BA - 649 sq. ft.

Cannon House

• $4,325 - 2 BR / 2 BA - 1,167 sq. ft.

140 Washington St

• $4,500 - 3 BR / 2 BA - ~1,900 sq. ft.

(Data sourced from Apartments.com)