Is The American Dream Dead In NJ? New Study Says It’s Slipping Away

It’s getting harder and harder to pretend that the American Dream is alive and well in New Jersey. According to a new analysis from InvestorsObserver, only 71 of the 100 largest U.S. metro areas are still affordable to married-couple households. The rest, including large parts of the Garden State, have affordability gaps that are shutting families out of homeownership.

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The region around New York City, including North and Central Jersey, just ranked #8 most expensive in the country. So yeah, it tracks.

Without Wealth, There’s No Way In

“The American dream of a white picket fence house is failing,” said lead researcher Sam Bourgi. “Without generational wealth, many families are excluded from owning property.”

That hits hard. Especially for millennials and younger families who didn’t start with much. The housing market in NJ is out of control.

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Wages only grew 1.4% last year, while home prices surged and mortgage standards got stricter. People aren’t just renting because they want to, they’re renting because they have no other choice.

Renters Pay More, Get Less

While homeowners build equity, renters watch their wealth-building potential evaporate.

Landlords increase rent every year, yet buying is out of reach. It’s a lose-lose that widens the wealth gap and pushes the middle class further out. Cost of living here is absolutely outrageous.

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Unless wage growth catches up or housing costs stabilize (not likely in Jersey anytime soon), the dream of homeownership might remain just that… a dream.