While overall home sales in metro Detroit for the year are down 16.6 percent, the news for August was good, with home sales up 16.5 percent compared to July, according to the latest report from RE/MAX of Southeastern Michigan in Troy.
“August saw a 16 percent increase in homes sales over July, which was welcome news as we head into early fall,” says Jeanette Schneider, president of RE/MAX of Southeastern Michigan. “The market continues to keep buyers and sellers adapting. Inventory levels are still impacting the market and helping to keep homes appreciating, albeit at a slower pace.
“Buyers may find the need to adjust their search criteria and or area of interest to increase their ability to find potential homes. Sellers still benefit from making any needed repairs before listing and pricing their home for current market conditions.”
Among the factors affecting home sales are interest rates. The RE/MAX report stated that sellers remain reluctant to list when they have a current mortgage rate likely at or below 4 percent. About 61 percent of all outstanding mortgages have an interest rate below 4 percent, including 23 percent that are below 3 percent.
The city of Detroit, however, remains a bright spot, with home sales up 27.7 percent over last year. Other notable metrics from the latest report include:
- Livingston County saw the largest drop in home sales year-over-year at 31.6 percent.
- Macomb County saw the largest increase in home sale prices, with the median sales price up 7.1 percent over last year.
- Oakland County saw the largest decrease in days on the market, with the average home now on the market for 20 days.
The number of home sales in August in 2023 compared to the same time in 2022, except for Detroit, were down across the board. Livingston County home sales dropped 31.6 percent, going from 234 in 2022 to 160 in 2023.
Macomb County home sales dropped 14.9 percent, going from 598 in August or 2022 to 509 in August of 2023. Oakland County sales dropped 24.7 percent, with sales of 1,164 in 2023 compared to 1,546 in 2022. Wayne County saw the lowest decline – 6.9 percent – with sales reaching 1,427 in 2023 compared to 1,533 in 2022.
The price of median prices of homes was mixed in metro Detroit in August of 2023 compared to August of 2022. Livingston County median prices dropped 1.2 percent, going from $392,500 to $387,618. Macomb County prices increased 7.1 percent, going from $239,000 in 2022 to $256,000 in 2023.
Oakland County also saw an increase, with median prices going from $365,000 to $381,750, a 4.6 percent rise. Wayne County median prices rose 2.8 percent, going from $180,000 to $185,000. City of Detroit prices dropped 7 percent, going from $80,650 to $75,000.
