Here’s a look at the Detroit Real Estate Market for August 2017. According to a report released on August 9, 2017, by Realcomp II, LTD., Michigan’s largest Multiple Listing Service, it’s a Seller’s Market! Home Sales are Down Slightly as Prices Continue Climb. Again! Residential, single family home median price range is up 7.3% year-over-year from 2016, but this month sales decrease 1.2% from last year!
How long can the residential real estate market go on like this? We are about two (2) years into a national trend of dropping housing supply and increasing median sales prices. There are some regional variations to the story, but the shift to a predominantly seller’s market is mostly complete. Multiple-offer situations over asking price are commonplace in many communities, and good homes are routinely off the market after a single day. It is evident that a favorable economy keeps hungry buyers in the chase.
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- A Look at the Housing Stats
- A Look at the Condo / Townhome Market
- What Does this Data Mean?
- An indepth look into our local area
- Fastest Selling Communities July 2017
A Look at the Housing Stats
July saw a total of 7,903 condominiums, townhomes, and single family homes sell. Comparing the number of sales last year for June 2016, this is down .03% for single family homes and down 6.9% for condos.
Although the unemployment rate remains unchanged at its favorable national 4.4 percent rate, wage growth has not been rising at the steady clip that would be expected in an improving economy. Sales activity manages to keep churning along despite looming shortages in new construction. Lower price ranges are starting to feel the effects of the supply and demand gap, as first-time buyers scramble to get offers in at an increasing pace.
— Realcomp II, LTD.
The median price range of houses that sold in the Greater Detroit Area during the month of June was $180,000. This amount shows an increase of 7.1 percent from July of 2016. The Single Family Homes average sales price was $215,947. That’s a 6.9% gain from one year ago!
At the end of the month, there were 18,566 homes on the market without an offer. This is down nearly 29.7% from last year at 26,396 active homes on the market. Now is the perfect time to sell as home prices continue to rise, buyers are juggling to bid in order to get into the schools during fall, and the average days on the market is 20.9% less from last year’s 43 days on market to 34 days for July 2017. Take this as an excellent time to sell your Metro Detroit Home! Call Joshua Norber NOW 248.785.3737 to price your home.
These stats are all inclusive of the Realcomp MLS report areas. Take a more detailed look at how this month’s average sales compare in Metro Detroit, Oakland County, West Bloomfield, Farmington Hills, Commerce Township, and Novi below.
A Look at the Condo / Townhome Market
The median price range for a condo in Greater Detroit for July 2017 was $155,000. This amount shows an increase of 8.4 percent from this time last year. Average sale price of condos was $176,922. At the end of July, there were 1,911 condominium properties on the market without an offer. The low number of condos listed shows a decrease of 35.5 percent from last year. Detroit is a HOT Seller’s market right now with 2.0 months supply of condos on the market. Consider this when pricing your home to sell.
What Does this Data Mean?
Market trends overall indicate a hot seller’s market going into August 2017. Keep in mind that pricing and sales are local to each neighborhood. Buyers are still bidding quality homes because inventory is scarce. Keep in mind that it takes more than putting your home on the market. This spring and summer we have seen many homeowners try to sell their homes on their own but end up hiring a seasoned Realtor to complete the task.
Read our tips on how to avoid seller frustrations as we begin the summer season. Marketable homes still command 4 or 5 offers and don’t stay on the market long. There were 7,256 pending single family homes under contract at the end of July 2017, and 1,127 pending condo sales. The market is considered a balanced market when there are 6 months of inventory for sale. Less is considered a Seller’s market, as we see today with single family homes for sale at a 3.0 month inventory, and 2.0 month inventory on condos.
What does this mean if you’re buying a house in Metro Detroit?
If you haven’t bought a house before, check out these 5 tips for first time home buyers. Because we are still seeing a shortage of homes on the market, some areas are selling super fast, and at increasing prices. If you are obtaining a mortgage, get pre-approved as soon as possible and read up on the 6 steps to buying a house.
What does this mean if you’re selling a house in Metro Detroit?
Many homeowners — even buyers do this — make the mistake of thinking the selling season is over, or is ending when we enter August. I consult with my clients and explain that it’s just poor public conception, and Realtors do a poor job of working hard through December. Like last year, buyers have had to extend their plans into fall because of the inventory shortage. If you’re considering selling a home in Metro Detroit, contact Joshua Norber right away to get the most value out of your home today.
Sellers are receiving 98.4% of their list price. Combine that with a supply shortage, high demand, multiple offers and you can sell fast if you price it properly at the outset. Setting your asking price right the first time is important and can reduce the risk of delays and lengthy negotiations.
Using a skilled Realtor can help you reduce the risk of delays and lengthy negotiations. In fact, we can help you time the sale of your house and make your new purchase without being left homeless, or stuck with 2 payments. Ask us how we can help you avoid the pitfalls newer agents overlook.
An indepth look into our local area
In Oakland County, Michigan, home sales followed similar patterns with 1,697 single family homes sold for July 2017, and 315 condominiums sold. This is a 2.0% decrease in homes sold and 11% decrease in condos. Oakland County median price range increased 10.6% from June 2016 to $261,570 with single family homes sales averaging $301,748 during June 2017.
Here’s the most recent home listings just added to the database in Oakland County, Michigan. All homes here are priced at the average Oakland County sale price of $215,947 or less.
West Bloomfield Township
There were 68 total home sales in West Bloomfield, Michigan. 306 single family homes have not received an offer at the end of July 2017, and there remain 66 condos and town homes available. Prices increased 13.9% for West Bloomfield year-over-year to an average $346,793. Even laste summer remains the best time to sell your West Bloomfield waterfront or lake home. Don’t let public opinion tell you the season is over. Too many buyers miss opportunities to buy your home.
Here’s the most recent home listings just added to the database in West Bloomfield Township, Michigan. All homes here are priced at the average West Bloomfield sale price of $346,793 or less.
Prices this month increased again year-over-year in Farmington Hills, Michigan. The average single family home sales price did drop from last month by about $10,000 to $271,627, down from $281,805 in June 2017. Inventory at the end of July 2017 was 223 single family homes and only 28 condominiums.
Here’s the most recent home listings just added to the database in Farmington Hills, Michigan. All homes here are priced at the average Farmington Hills sale price of $271,627 or less.
Novi Township average sales price for single family homes is $437,906. This is $43,000 more than last month. Sellers are seeing a high net gain by receiving 98.7% of their asking price in an average 22 days on market, up from 17 days on market last month, and 26 days on market average during July 2016. I’d wait 5 more days for $43k, too!
Here’s the most recent home listings just added to the database in Novi, Michigan. All homes here are priced at the average Novi sale price of $437,906 or less.
Commerce Township average sales price for single family homes is $318,348, which is down $20,000 more on average than June 2017. Commerce Twp sellers are receiving 99.0% of their asking price with only an average of 37 days on market. Commerce Township is hot all summer!
Here’s the most recent home listings just added to the database in Commerce Township, Michigan. All homes here are priced at the average Commerce sale price of $318,348 or less.
Walled Lake, Michigan average sales price for single family homes is $233,875, a, $11,000 gain from last months average $222,550. Sellers are receiving 92.7% of their asking price in an average 8 days on market!
Here’s the most recent home listings just added to the database in Walled Lake, Michigan. All homes here are priced at the average Walled Lake sale price of $233,875 or less.
Fastest Selling Communities July 2017Avg. Days on Market [DOM] of 35 or less, with 10 or More Sales YTD
|5||New Haven Village||19|
|21||Wolverine Lake Village||26|
|52||Saint Clair Shores||30|
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