August 2018 Real Estate Market Update – Wayne County, Michigan
We have your Wayne County August 2018 Real Estate Market Updates. Let’s jump right into it. We have, as I say, every single time we’ve had three years of data because the numbers tell a story. We want to see patterns. We want to be able to show you patterns. If I just told you this data right here, it wouldn’t make any sense to you at all? Also, we do August. We do the month previous because all the data is now in, everything is closed and we can now give you the most accurate up to date information. So let’s jump right into this.
Days on Market
DOM, you might see ADOM or CDOM, Days on Market. Just take the biggest number, whatever you see it. Basically, it’s just time on the market. How long has the property sat on the market? 41 to 36 to 33, a significant drop over the last two years. Again, because we’re going to see here, less and fewer homes on the market.
Active Days on Market
Active, all the way down. We see a 1200 home drop over the last two years, a couple hundred home drop since last year. So again, inventory is down and this next stat is actually a ratio to give you a quick, you know, a quick glance at what is going on in the market.
Months of Inventory
Three, two, two. A balanced market is anywhere from four to six months of inventory. Buyer’s market is 8, 10, 15 plus. The month of inventory means “at the rate homes are selling, how long would it take if no new homes came into the market? How long would it take to sell every last existing home?” So that is where you can see and here we are a steep seller’s market. Obviously, it’s a steep seller’s market because it’s dang near a one and a balanced market, you know, five, six months and you know, buyers market 8, 10, 12, 15. So not a lot of homes compared to what we usually are seeing.
New Homes in the Market
This is the number of new homes that came on the market. Again, we saw an uptick in Livingston County as well. Actually, very similar actually in August, the number of new homes coming in the market. August is usually a little bit slower month. People are getting back to school, they’re doing last minute vacations, things like that. We’ve actually seen an uptick this year in Wayne County with a number of homes that came on the market and August, so a sign of things to come maybe, I don’t know. Maybe the buyers are slowing down a little bit because of interest rates going up. We will see something to kind of measure and monitor over the coming months.
Price per Square Foot
But again, price per square foot going up considerably. You know, $19 there over the last two years and that is really the months previous and that’s really kind of data for the month previous. So again, we’ll see what happens and what’s going on there, but that generally because of inventory now and the buyer pool is either increased or stayed the same. Just simple supply and demand obviously, right?
So I hope you guys are getting this stuff, you know, we do this every month that I want to make sure you guys are understanding this and getting this. Please let me know what questions you have.
Sold Homes
So again, hasn’t fluctuated too, too much. A little bit of fluctuation from last year. It was down a little bit. The percentage change is somewhat noteworthy. I usually don’t see that change all that much because the buyer pool doesn’t change that much unless there’s a big catastrophic event like a recession or depression or something like that.
So, I hope this makes sense for you guys. Let me know what questions you have about it and what you are getting out of these every single month, what patterns you’re seeing, how it’s affecting you and your life. So I love to know how it’s affecting you or maybe your loved ones and we know how it’s affecting our client. The sellers are making out well, buyers are still struggling a bit. But again, the market is changing a tiny bit. We’re seeing these numbers now. If your county’s changing a little bit. So, let me know, appreciate your time and energy for watching and I’ll see you on the next updates.