Metro Detroit Home Sales More than Double in June, Prices Rise 4.6%

While home sales were down 26.9 percent year-over-year in June due to COVID-19, the 3,370 homes sold last month reflect a 133 percent increase from May 2020 when 1,444 dwellings sold, according to RE/MAX of Southeastern Michigan’s latest report.
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Home sales increased more than 100 percent from May 2020 as the housing market continues to improve amidst the COVID-19 pandemic. // Stock photo

While home sales were down 26.9 percent year-over-year in June due to COVID-19, the 3,370 homes sold last month reflect a 133 percent increase from May 2020 when 1,444 dwellings sold, according to RE/MAX of Southeastern Michigan’s latest report.

Nationally, home sales decreased 6.9 percent year-over-year.

“June home sales, while fewer than last year, took a big step forward from May activity,” says Jeanette Schneider, executive vice president of RE/MAX of Southeastern Michigan in Troy. “We continue to see buyers out in the market and ready to take action.

“The biggest challenge buyers face is inventory, as there continues to be a lack of homes for sale at most price points. Pending sales, which is a key leading indicator, was up across the metro Detroit area, signaling that we should see high home sales numbers again next month.”

The median sales price increased 4.6 percent year-over-year to $234,063 from $223,663. In May, the median sales price was $228,625. The national median sales price increased 1.9 percent from the previous year to $275,000.

Homes spent 39 average days on the market, which was unchanged from May but a 10-day increase from June 2019. Across the country, homes spent 45 days on the market, which is unchanged from last year.

There was a 2.3 months supply of houses in June, down from 2.4 months in May and 3.2 months in June 2019. Nationally, there was a 1.9 months supply. A supply of six months is considered balanced.

Detroit saw the biggest decrease in home sales year-over-year with a 36.2 percent drop from 354 to 226. Next came Wayne County, with a 29 percent decrease from 1,679 to 1,192.  Macomb County saw the next biggest decrease with a 26.9 percent decrease from 1,028 to 751. Livingston and Oakland counties’ percent decreases were 25.4 percent and 24.9 percent, respectively, selling 212 homes compared to 284 and 1,215 homes compared to 1,617.

Median price increased across the board, with homes selling at an average $160,000 in Wayne County, a jump of 11.1 percent from $144,000 year-over-year. In Detroit, homes sold for an average $44,900, a 9.5 percent increase from $41,000. In Livingston County, homes sold for $293,950, a 6.1 percent increase from $277,000. Macomb and Oakland counties saw more modest jumps of 2.8 percent to $203,850 and 1.1 percent to $278,450, respectively.

Homes spent the most days on the market in Detroit – 60 – up 7.1 percent from 56 the previous year. In Livingston County, they spent 43 days on the market, a 43.3 percent jump from June 2019’s 30 days. Homes in Macomb County spent 39 days on the market, a 44.4 percent jump from 27 days the year before. In Wayne County, this number was 38 days, an 18.8 percent increase from 32, and in Oakland County it was 35, a 29.6 percent increase from 32.

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