What a difference a year makes. Home sales in metro Detroit jumped 54.9 percent in April to 3,234 transactions, up from 2,088 units in April 2020 when the ramifications of the COVID-19 pandemic were still unknown, according to a new report from RE/MAX of Southeastern Michigan in Troy.
At the same time, the median sales price in metro Detroit — Wayne, Oakland, Macomb, and Livingston counties — rose 16.7 percent to $267,824 in April, an increase from $229,475 in the same month of 2020. Another measurement, days on market, or the number of days from listing to signed contract, was 20 average days in April, down from 46 average days in April of 2020.
Looking at more recent data, April results were not enough to outpace March, typically one of the most active months in the residential real estate sector. While April showed 3,234 home sales, March had 3,584 such transactions. The most two recent full months, though, showed an overall drop in days on the market, which helped to drive up values.
“Home prices were up again in April, but that didn’t stop buyers from putting in offers allowing many sellers to go from ‘for sale’ to ‘pending,’ within days, if not hours,” says Jeanette Schneider, vice president of RE/MAX of Southeastern Michigan. “Year-over-year numbers for April are distorted due to the stay-at-home order we were operating under a year ago.
“Looking at the March to April data, we see a decrease in home sales and average days on market leading to an increase in home prices.”
On a county basis, homes sales last month were 1,341 in Wayne (up 58.5 percent from April 2020), 1,226 in Oakland (up 53.1 percent), 482 in Macomb (up 66.8 percent), and 185 in Livingston (up 21.7 percent).
The median sales price was $174,000 in Wayne (up 15.7 percent from April 2020), $328,500 in Oakland (up 18.4 percent), $225,000 in Macomb (up 18.5 percent), and $343,795 in Livingston (up 14.6 percent).
On the national front, based on MLS data from 53 metro areas, homes sales in April were up 45.2 percent from the same month of 2020, the media sales price was $320,000 (up 16.4 percent), and days on the market was 32, down 14 days from April of 2020.
The data for the local market trends and county-specific data trends included in the RE/MAX report is based in whole or in part on data supplied by boards of Realtors and their MLSs. For maximum representation in the national housing data, many of the largest metro areas in the country are represented, and an attempt is made to include at least one metro from each state. Metro area definitions include the specific counties established by the U.S. Government’s Office of Management and Budget, with some exceptions.
Home sales are the total number of closed residential transactions during the given month. Months supply of inventory is the total number of residential properties listed for sale at the end of the month (current inventory) divided by the number of sales contracts signed (pending) during the month.
Days on market is calculated based on the average number of days listings are on-the-market actively being promoted by the current listing office. Median sales price is the midpoint value of all sales processed for the month. This indicates 50 percent of the sales were higher than this amount and the other 50 percent were lower.