Fewer homes changed hands in September in Southwest Michigan, as buyers were likely taking a pause, awaiting lower interest rates expected for the remainder of 2024. Our exclusive MoodyOnTheMarket.com local real estate market preview is summarized here, courtesy of the Southwestern Michigan Association of Realtors.
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At the end of the peak selling season of 2024, house sales dropped 23 percent in September from August (255 vs. 330). August was the record month for the year in sales. Selling prices in September over the last nine years continued to rise and set records in the year-over-year comparison that reaches back to 2006.
The number of houses sold in September decreased 2 percent (four houses) from September 2023 (255 vs. 259). Year-to-date, 2108 houses were sold thru September 2024, less than 1 percent (eleven houses) below the 2119 houses sold year to date in September 2023.
The inventory of houses for sale continued to grow. In September, it increased 20 percent compared to September 2023 (998 vs. 830). This growth raised the supply level to 6.2-months, up from 6.0-months in August 2024. For comparison, in September 2010, during a recession, there were 3574 houses for sale for a 17.3-months supply of houses for homebuyers.
The average selling price in September 2024 rose 10 percent to $400,339 compared to $365,279 in September 2023. The September average selling price was the second highest in 2024, with May reaching $416,819. Year-to-date, in 2024, the average selling price grew 4 percent to $372,233 from $357,233.
The median selling price in September 2024, $285,000, increased less than 1 percent from $282,950 in September 2023. Year-to-date, the median selling price increased by 6 percent ($275,000 vs. $259,450).
The median price is the price at which 50% of the homes sold were above that price and 50% were below.
The total dollar volume in September 2024 increased 8 percent compared to September 2023. ($101,732,164 vs. $94,454,730). The year-to-date total dollar volume grew 3 percent ($784,388,228 vs. $756,720,984).
The number of bank-owned or foreclosed homes as a percentage of all transactions dropped back to 1 percent from the one-month increase of 2 percent in August. There were four houses included. The previous lowest percentage was 0 percent in September 2022, and the highest percentage in September was 37 percent in 2009.
The Freddie Mac mortgage rate in September was 6.08, down from 6.35 in August for a 30-year conventional mortgage. A year ago, the rate was 7.31.
This data reflects home sales across Allegan, Berrien, Cass, and the westerly 2/3 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®.
