New Jersey's home prices rose nearly 6% year-over-year in February, the highest increase nationwide, far surpassing the national average of 0.5%. Newark led with a 6.7% gain, driven by demand from workers priced out of Manhattan and a strong local job market. Over 92% of NJ ZIP codes saw price increases, with nearly 40% of homes selling above asking price. However, rising mortgage rates and low inventory may slow future sales.