Spring Market Update!

Hi everyone,

Lots of folks are asking what's going on with the market..long story short: more of the same..but here's your mid/late spring snapshot in time of what the market looks like today from numbers pulled this morning:

Snapshot:

Total Homes Currently For Sale: 929, New Construction: 293 (31.5%), Resale: 636 (68.5%)

Total Homes Under Contract: 1,157, New Construction: 169 (14%), Resale 988 (86%)

Total Homes Closed in Last 30 Days: 831, New Construction: 76 (9%), Resale: 755 (91%)

Total Homes Closed in Last 12 Months: 9,826, New Construction: 972 (10%), Resale: 8,854 (90%)

Average Home Sale Price Last 30 Days: $397K, New Construction: $470K, Resale: $390K

Average Home Sale Price Last 12 Months: $376K, New Construction: $462K, Resale: $367K 

Average Home Sale Price Prior (May ‘22- May ’23) 12 Months: $348K 

For Resale Only: 

Months of Inventory On The Market: .86 (Hyper-Strong Seller’s Market) 

Average Days on Market for Currently Under Contract Homes: 12

Analysis. 

Inventory is still super tight. Over the last 12 months only 9,826 homes have sold. This is way down, a 14% decrease, from the 12 months prior to that when 11,405 homes sold! Year Over Year the market has gone up 8% from ‘22-’23 to ‘23-’24! There is less inventory because interest rates are high and folks dont want to move if they don't have to, even if they will do well on their home sale. Homes are still selling quickly (average of 12 Days on Market). Builders are still doing well, and they account for roughly 10% of the home buying market; while their inventory seems high this is due to the way they list homes before they are complete. As you can see buying new is more expensive on average but is also an option worth considering since builders have some pretty good lending incentives and you are usually not in a multiple offer situation...and you get a new house, which is a huge plus...There has been a spring uptick of listings hitting the market, as you can see the number of pending sales is far outpacing the average monthly sales over the last 12 months, but roughly triple the listings would be needed to see the market start to turn in buyers' favor. 

Please reach out if you have any questions about your local market. I put together these updates for The GR area, but I can just as easily pull numbers for our other areas we service such as Lansing, Battle Creek, Kalamazoo, Muskegon, Grand Haven, Holland, etc...and also these are numbers for GR generally and so your hyper-local market may be acting differently than these averages portray. Please feel free to forward this to anyone you know who may find it useful, and as always, I would love to hear from you, so please don't hesitate to reach out.

Thanks,

Joe