Each month MoodyOnTheMarket.com brings you an exclusive ‘first look’ at SW Michigan real estate market trends, as tracked by the Southwest Michigan Association of Realtors, covering Berrien, Cass, Allegan and the Western two thirds of Van Buren County.
Southwest Michigan’s housing market in February 2023 closed with lower sales and selling prices compared to February 2022, when sales were slightly higher, but selling prices set the record in the year-over-year market comparison that dates back to 2006.
The number of houses sold in February dropped 6 percent from February 2022 (158 vs. 168). The level of sales in February 2023 was the lowest since February 2014.
For the first two months of this year, the market was down 18 percent, with sales at 309 compared to 378 in February 2022. The highest number of sales in February was 471 in 2021.
The inventory of houses for sale increased 27 percent, providing a 3.2-months supply at the end of February (613 vs. 480).
In February 2023, the average selling price was $267,416 compared to $324,027 in February 2022, a 17 percent drop. Year-to-date, the average selling price fell 9 percent ($283,109 vs. $311,243).
The median selling price in February 2023 increased by$550 to $225,000 from $224,450 in February 2022. Year-to-date, the median selling price stayed the same at $215,000.
The median price is the price at which 50% of the homes sold were above that price and 50% were below.
With lower sales, the total dollar volume decreased 22 percent in February 2023 ($42,251,729 vs. $54.436,579). The year-to-date total dollar volume dropped 26 percent ($87,480,386 vs. $117,650,192).
The number of bank-owned or foreclosed homes as a percentage of all transactions was 2 percent (4 houses), the same as in January. The previous low percentage was 3 percent in February 2021 and the highest percentage in February was 75 percent in 2009.
The Freddie Mac mortgage rate in February was 6.50, up from 6.13 in January for a 30-year conventional mortgage. A year ago, the rate was 3.89.
This data reflects home sales across Allegan, Berrien, Cass, and the westerly two-thirds of Van Buren counties and should not be used to determine the market value of any individual property. If you want to know the market value of your property, please contact your local REALTOR®.
