Here is your exclusive MoodyOnTheMarket.com ‘First Look’ at Southwest Michigan’s residential real estate picture for the month of June, as compiled by the Southwestern Michigan Association of Realtors, and published here first every month.
Facing no growth in inventory, the number of houses sold in Southwest Michigan dropped 7 percent from a year ago during the month of June. The current level of sales fell to that in 2014 before the market reached the peak years starting in 2016 and ending in 2019.
In June, the SWMI housing market saw the number of houses sold fall to 325 from 349 in June 2021. Sales in June were slightly higher than in May at 313.
Looking at the six month track, at the end of the first half of 2022, the number of houses sold fell 13 percent from 2021, the record high in the market’s year-over-year comparison to 1523 from 1744 in June 2021.
The selling prices out-paced June 2021’s record selling prices in the year-over-year comparison. In June, the average selling price increased 5 percent from that in June 2021 ($346,051 vs. 330,887). The year-to-date average selling price of $333,223 was 6 percent higher than the $314,387 price in June 2021.
The median selling price rose 9 percent to $261,000 from 240,000 in June 2021.
Year-to-date, the median selling price climbed 10 percent ($242,000 vs. $219,900).
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 fell 3 percent in June 2022 ($112,466,861 vs. $115,479,891). The year-to-date total dollar volume at the end of June 2022 slipped 7 percent ($507,499,952 vs. $548,290,941).
The inventory of houses for sale showed very little growth from a year ago. There was a 1 percent growth from June 2021 (820 vs. 812). The inventory of houses for sale increases to 3.6-months supply of inventory available for buyers, which was up from the 2.8-months supply in June 2021. For comparison, in June 2010, there were 3679 houses for sale and 16.9-months supply of inventory.
The number of bank-owned or foreclosed homes as a percentage of all transactions stayed at 1 percent in June, the same as in May and April. In January, the rate was 0 percent, the lowest in 2022. The previous lowest percentage in June was also 1 percent in 2021 and 2020. The highest percentage in June was 36 percent in 2009 and 2011.
Nationally, the Freddie Mac mortgage rate was 5.70 in June,, up from 5.1 in May for a 30-year conventional mortgage.
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®.
When Selling a Home…
Even in this hot housing market where houses seem to sell in hours, your house still has to compete for buyers’ attention and make a good first impression. The first chance to impress potential buyers is at the curb. The buyers already know the asking price, and the moment they get out of their car, they begin evaluating whether the price is worth what they see. Ask yourself, will buyers be amazed at the beautiful lawn and trimmed landscaping or turned off by the overgrown trees and ankle-high grass. Will they see cracked paint on exterior walls and/or see daylight through the edges of the front door? Curb appeal can meaningfully affect the speed and price at which your home will sell. Simple projects like repainting the front door, pulling weeds, and improving outdoor lighting should be done before placing the home on the market. Ask your REALTOR® what projects he or she would recommend to help sell your house quickly and for the highest dollar for your investment in time and expense.
When Buying a Home…
You want to buy your dream home. But to be a dream home, it has to first be financially right for you starting with your down payment, monthly payment, and having cash flow to cover property taxes, insurance, and maintenance items each month. To keep your dream home from becoming a nightmare, ask your REALTOR® to help you estimate these costs for homes you are considering. Even if your dream home is within your price range, other factors may not fit your budget. Working with a REALTOR® and accepting his or her advice will help you to keep focused and take a practical approach to buying a home. Buying a home is a big financial investment, and you want to get it right with no regrets.
To view properties for sale in your local area, go to www.swmar.com, and click on “Search”.
