September is behind us, U of M football is in full swing, and the Tigers are still playing baseball. Here comes the seasonal slowdown in the real estate market.
Big House Data provided a new chart for perusal. It shows the number of listings to the number of closings in the last 12 months. Click the image for a larger, clearer chart.
Quarterly stats are also available on my Market Stats page.
After the jump, a brief summary of the local housing market, thanks to Big House Data, LLC.
If you are in the market to purchase real estate, you have a lot to choose from. Make sure to keep in mind the value of the property, not just the price. Properties priced correctly in this market do not last too long.
Sellers in this market need to put themselves in the shoes of the buyers and figure out how to make your property more attractive than your neighbors. A combination of pricing, buyer assistance and value will do the trick. There is a glimmer of hope: winter is approaching. If you need to sell your home, any showings you get over the winter months will be by some pretty motivated buyers. No one likes to move in the winter if they can avoid it.
Average Sales Price: Average sales price maintains its stability. It is down only .46% from the same nine months the year prior.
Average Days on Market (DOM): This past month’s average DOM was 85 days! For the year, that makes the average days on market 86 days. Since the DOM is calculated using the last listing ticket for a property, and there may have been multiple tickets that expired for one listing, we advise that half again as many days be added to the average. That would make the “paper-napkin” average DOM 128 days.
# of Closings: Compared to the same nine months in 2005, the number of closings, year to date, are down by over 12% There were 325 closings in September 2006, down from August’s 481 closings. Part of this decrease in closings is attributable to the cyclical nature of the real estate cycle in Michigan.
# of New Listings: The trend line is flattening! It appears that the number of new listings coming onto the market is beginning to slow. Again, this is partially due to the seasonality of the real estate market in Michigan. Anecdotally, sellers are showing resistance to re-listing their home after being on the market through the “busy” months.
About the data: Big House Data, LLC reports monthly and quarterly analysis of the residential and condominium market across the state of Michigan. Information contained herein is based on properties currently listed as for sale in the multiple listing service. This report is accurate to the best of our knowledge, but cannot be guaranteed as such. Use of this report is meant to assist in the real estate transaction. It should be one of many inputs to making a real estate decision. Neither this report nor any other Big House Data publications constitute a recommendation to purchase or sell real estate. Big House Data, LLC recommends you consult with a professional Realtor®.