MoodyOnTheMarket.com is pleased to present our exclusive ‘first look’ at the residential real estate market in Michigan’s Great Southwest. Each month the Southwestern Michigan Association of Realtors tracks the key numbers surrounding home sales in the region. Our MOTM readers get a look at those numbers at least two weeks prior to their release to other media and the general public. So… if you’re interested in the local real estate market, you want to subscribe to our daily MOTM email, so you’ll know when this exclusive report is available to our readers!
Here’s the home real estate update for May, 2024:
For the unofficial opening of the 2024 peak selling season in Southwest Michigan’s housing market sales fell 12 percent from May 2023 and were 8 percent fewer than in April 2024. Selling prices continue to peak year-over-year, with May 2024 setting records and selling prices rising 3 to 4 percent higher than in May 2023. The inventory of houses rose 14 percent above that a year ago.
The number of houses sold in May declined 12 percent to 226 from 256 in May 2023. The level of sales in May 2024 fell to that in May 2009 (222). The highest number of sales in May was 352 in 2021. Year-to-date, 2024 sales are down 1 percent (983 vs. 995).
A good sign for the market is that the inventory of houses for sale increased 14 percent, generating a 5.0-months supply at the end of May (804 vs. 703). The inventory in April was 4.2-months supply for buyers searching listings for sale across Allegan, Berrien, Cass, and the westerly two-thirds of Van Buren counties. For comparison, in May 2010 during the recession, there were 3602 houses for sale.
In May 2024, the average selling price increased 4 percent to $416,819, compared to $401,016 in May 2023. Year-to-date, the average selling price rose 9 percent ($360,631vs. $330,498). The average price can be deceiving, as it can be significantly affected by a few high-end home sales.
The median selling price in May 2024 increased 3 percent to $290,000 from $280,500 in May 2023. Year-to-date, the median selling price grew 10 percent to $265,000 from $240,000 in May 2023.
The median price is the price at which 50% of the homes sold were above that price and 50% were below, making it the best ‘snapshot’ of residential home prices.
With fewer houses selling, the total dollar volume fell 8 percent in May 2024 ($94,617,931 vs. $102,660,128). The year-to-date total dollar volume climbed 8 percent ($354,500,753 vs. $328,871,978).
The number of bank-owned or foreclosed homes as a percentage of all transactions was 1 percent (2 houses). The previous low percentage was also 1 percent in May 2023, and the highest percentage in May was 34 percent in 2009.
The Freddie Mac mortgage rate in May was 7.03, down from 7.17 in April for a 30-year conventional mortgage. A year ago, the rate was 5.1.
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®.
To view properties that are for sale in your local area, go to www.swmar.com and click on “Search”. The Southwestern Michigan Association of REALTORS®, Inc. is a professional trade association for real estate professionals who are members of the National Association of REALTORS® and ancillary service providers for the real estate industry in Allegan, Berrien, Cass, and Van Buren Counties. The Association can be contacted at 269-983-6375 or through their website at www.swmar.com.
