Chatham Housing Update: Prices Jump, Affordable Housing Moves Advance
Chatham, NJ – March 10, 2026 – Home prices surged year over year as officials advance new affordable housing zoning changes and rents ease slightly.
Chatham’s housing market remains competitive early in 2026, with sharp year-over-year price gains and new affordable housing measures moving through the approval process.
Top takeaways
- Median sale price reached about $1.4M in January, up 58% year over year.
- Median listing price is roughly $1.37M, reflecting continued high-end activity.
- Average apartment rent is $3,454, down about 2% from a year ago.
- Township officials are advancing new affordable housing zoning ordinances.
Market snapshot
According to Redfin, the median sale price in January 2026 was approximately $1,430,000, a 58% increase compared with January 2025. Realtor.com shows a median listing price near $1,374,499, underscoring strong asking prices across property types.
Inventory remains tight, with many homes clustered in higher price tiers. Nearby ZIP codes tied to Chatham continue to show seven-figure typical prices, reinforcing the borough and township’s position among Morris County’s most expensive markets.
Rental trends
RentCafe reports the average rent at $3,454 as of February 2026, down about 2.07% year over year. One-bedroom units average just over $3,000, while two-bedrooms approach $3,862. The modest decline suggests some cooling in leasing costs even as for-sale prices rise.
Zoning and affordable housing
Chatham Township introduced Ordinance 2026-07 in late February, with a public hearing and potential final action scheduled for March 10, 2026. The measure would add an Affordable Housing Overlay option in certain business and industrial districts, requiring affordable units to be distributed alongside market-rate homes.
A related ordinance, 2026-06, proposes adding an AH-1 Affordable Housing zone and amending land development regulations. Together, the measures signal continued efforts to meet state-mandated housing obligations while shaping where new multifamily projects may be built.
What to watch
With spring approaching, buyers will be watching for fresh inventory in more attainable price ranges, while sellers are testing ambitious asking prices. How do current conditions compare with what you’re seeing at open houses or in your neighborhood?
Sources
https://www.redfin.com/city/3129/NJ/Chatham/housing-market
https://www.realtor.com/realestateandhomes-search/Chatham_NJ
https://www.rentcafe.com/average-rent-market-trends/us/nj/morris-county/chatham/
https://chathamtownship.org/legal-notices/introduction-of-ordinance-2026-07/
https://chathamtownship.org/document/24196/