Home sales in the region declined 3.3 percent year-over-year in January to 2,530 homes sold, while the median sales price increased 6.8 percent to $215,000, according to RE/MAX of Southeastern Michigan in Troy.
In January 2019, 2,680 homes sold, while 3,296 sold in December. The median sales price in January 2019 was $200,988 and was $214,250 in December 2019. Nationally, home sales increased 10.5 percent year-over-year while the median sales price was $256,000, an 8.9 percent increase year-over-year.
Homes spent an average of 51 days on the market, up from 46 in January 2019. In December 2019, homes spent an average of 43 days on the market. Nationally, homes spent 59 days on the market, the same as the previous year.
A 2.2 months supply was available in January 2020, down from 2.5 months year-over-year and 2.4 months from December 2019. This is the lowest supply since February 2019. The national supply was 3.1 months. A supply of six months is considered balanced.
“Inventory constraints impacted January home sales and is evident by our hitting a meager 2.2 month supply of inventory,” says Jeanette Schneider, vice president of RE/MAX of Southeastern Michigan. “Low interest rates and mild winter weather kept buyers active and out looking, but a shortage of inventory kept sales down locally. Overall economic conditions remain favorable to the real estate market, and we look forward to more inventory coming to the market in the next couple of months.”
Detroit saw the biggest decrease in home sales at 26.5 percent to 233 homes sold from 317 the year before. Wayne County saw the second biggest decrease at 12.8 percent, dropping to 976 from 1,119. Homes sold in Macomb and Oakland counties dropped as well; 1.7 percent to 596 and 0.2 percent to 805, respectively. Livingston County was the only county that saw an increase – 153 homes sold, up 3.4 percent from 148 the previous year.
The median price was the highest in Livingston County at $295,000. This is up 0.9 percent from January 2019’s $292,450. The average home price in Oakland County was $255,000, an 8.5 percent increase from $235,000. Macomb and Wayne counties both saw increases of 12.1 percent to $180,000 from $160,500 and $130,000 from $116,000. Detroit’s home price increased to $38,250, a 9.3 percent jump from $35,000.
Homes spent 56 days on the market in Livingston County and Detroit, which is an increase of one day and decrease of five days, respectively. Homes in Oakland County spent 54 days on the market, a 25.6 percent jump from January 2019’s 43 days. In Macomb County, homes spent 49 days on the market, a 19.5 percent jump from 41 days. Homes in Wayne County spent 45 days on the market, the same as the previous year.