April 2019 Real Estate Market Update – Macomb County, Michigan
We have your April 2019 Macomb County Real Estate Market Update. Let's jump right into this thing.
We preface every single one of these market update videos with a couple of things. We always get asked what's the reason for doing the month previously and why do we have three years of data that we're showing? Very simply. We have all the data, the month is wrapped up and we have all that data now. Just like the jobs report from the government coming out the first week of the new month and we have the stats from the previous month. So we have these here for you and in leading into that, we have three years of data for you, which is always gonna be three years. That way you can see the trend. The trend is the most important part of all this.
As I say in investing, "the trend is your friend." So we had to know which way things are moving. If we just gave you one year of data, it wouldn't make any sense. So that's why you can see three years of data. You can see exactly what's going on. So let's jump right into this.
Days on market
We had 45 days on market, average days on market in 2017, 36 in 2018 and then jump back up again to 44 this year. So we're seeing that theme throughout Metro Detroit that April has been a little bit more of a balanced market month than the previous months here.
Active homes in the market
The previous years, I should say, the previous month and the previous years. So active homes in the market, this is a one day snapshot. So take that into consideration. It's one day. So when we take the stats, how many homes are on the market that day? So again, this is why the trend is important because you can see what's going on throughout the years. Active on the market, 2017 was 1,234 homes. There were 1,060 last year and then it jumped up to 1340 this past April. So again, more homes in the market, which we have not seen in a while.
Month of inventory
Months of inventory, you see, it's one across the board. We do round it. Basically, it's a quick snapshot. You can see exactly what way the market's trending and you can see what kind of market we're in basically. So to give you an idea here, we have one to three months is a seller's market and four to six is a balanced market. Seven plus is a buyer's market. And basically what it means is at the rate homes are selling, how long would it take to sell every last home with no new homes coming on the market. So again, really quick snapshot, a really quick way to see exactly what's going on very quickly in the market.
New homes on the market
This is the number of active listings number or excuse me, there's a number of new listings that came on the market this month. So it gives you a month wide snapshot. One thousand eight hundred three two years ago. Last year was 1,858. This year at 2009 homes in the market. So again, more numbers showing us that the market is trending up a little bit here towards a balanced market. We're still in a seller's market overall because we can see here the one was just at one, just above a one actually the month of inventory. However, compared to the last couple of years, it's a tiny bit better and at least in McComb, right? But all the counties are kind of trending in that way.
Price per square foot
Sometimes we have an anomaly here and there in these numbers, this is one of those numbers. So don't really pay attention to that one. Again, you could have weird data just for whatever reason that skews it. An abnormally high amount, a million plus dollar homes, $5 million, $10 million homes selling, things like that. So that was in 2017. It was an abstract, kind of an anomaly number. But last year was $99 a square foot and then $108 a square foot for this past April. If you guys need an actual evaluation in your home, you got to have someone from our team, an appraiser, some type of professional in your home to make sure you get the correct value. However, this gives you a snapshot, a general overview of the market. If you took this in your county, I should say, so in your market, in your county, because this is the average here. So if you took $108 per square foot and multiply that by square footage you'd get about what your home will be worth. It gives you an idea of where your home's at, more or less, you want to see the trend in which way it's trending. And again, the price is trending upward.
Our last one here is the number of homes that were closed on in the month. So 1,284 two years ago of 1,254 last year and then 1,249 this past April. Again, trending downward a little bit basically in all the counties in Metro Detroit. It's really because of the month previous leading up to this, we're not too hot and had fewer homes in the market. So this kind of shows you that it's a lagging number, a lagging indicator. We'll see how that plays out in the next few months since we have more homeless market, we'll see how many closings we have compared to months or years previous.
So I appreciate you guys more. Anything that is the Macomb update for April 2019. Appreciate your time, your energy, everything you give us, the feedback you give us. If you're listening on the podcast, go checkout @legacygroupmi, on YouTube channel and Facebook. Comment there if you have questions, anything, concerns, and we'll answer them there. I appreciate your time. It's the most valuable asset we have. So I appreciate you spending with us and we'll see you guys at the next one.