October 2019 Real Estate Market Update – Oakland County, Michigan
We have your Oakland County October 2019 Real Estate Market Update. Let's jump right into the thing. So we have prefaced every single video with a couple of things. We have the month in arrears because we have all the data now. It's in, it's fresh off the press. Now we can give it to you straight from the source. So just like the government does their numbers on the first week or two of the next month, giving you the job numbers, we give you the housing numbers. We have three of the data because we need to see the pattern. If we just give you this year, it wouldn't make any sense. So we want to be able to see the pattern. Remember, the trend is your friend. So let's jump right into this thing.
Days on market
DOM, days on market, anytime you see that. Forty-one days on market two years ago, 44 last year and 49 this year. So we're seeing an increase really in Metro Detroit in every county. We're seeing this, an increase in the days on market this year. A very interesting thing to keep your eye on.
Active number of homes
Five thousand one hundred sixty-five two years ago, 5,727 last year and 5,938 this year. Remember, this is a one-day sample. So on the day that this data was taken, how many were active on that day? So again, we're seeing this countywide, but really Metro Detroit wide. We're seeing this in all the counties. An increase in the number of homes on the market. They're sitting there.
Months of inventory
It's three across the board, 3-3-3. What month of inventory means is at the rate the homes are selling, how long would it take to sell every last home with no new homes coming on the market? It's a ratio, very quick ratio to see what kind of market you're in. Just to give you some context, one to three is a seller's market, one to three months. That means there's not a lot of homes for sale like we're in now. Prices are really rising. Four to six is a balanced market and then seven-plus is a buyer's market. That means there's a lot of inventory, prices are depressed, like what we had 2009-2019 and buyers are really making out. So that is the context for you there.
New homes in the market
This is actually the number of new listings that came onto the market in the month of October. Three thousand eighty-seven two years ago, 3, 461 last year and 3,405 this year. So again, not too much change from last year. A little bit more inventory there that came on the market, which is good. We don't want to see that go down maybe because then the market just kind of grinds to a halt and there's nothing for people to buy.
Price per square foot
One hundred twenty-two dollars two years ago, $120 last year, $133 this year. The most important thing here is the trend going forward. You can see in Oakland County, your home values are rising on average. If you take your square footage and multiply it by $133 here, you can get approximately the value of your home. Again, if you want a true valuation, you have to have a professional, someone from our team, an appraiser, someone to actually come and give you the value of your home. However, this gives you kind of a guide and showing you the trend like we've said multiple times.
Sold
This is the number of actual closings, people at the closing table, closing at homes. One thousand nine hundred fifty-seven two years ago, 1,896 last year and then 1,914 this year, which is good to see. The only county here that had a little of an increase in sold, most of the sold homes had been depressed across Metro Detroit. So that's a good thing to see. It's pretty consistent over the last few years, which is good. So that's really that kind of buyer statistics showing there are still buyers out there. It's just what's going on, what people were doing, where people are moving to.
I appreciate you guys tuning in. This is the Oakland County Update for October 2019. Let me know if you guys got something out of it. Share it with somebody you think might find it interesting or valuable. Go to @legacygroupmi on our Facebook or YouTube channel. If you're on the podcast listening, you can question, comment there and we'll answer you there. Again, I appreciate your time and energy. It's the most important thing we have. We'll see you at the next one.