January 2019 Real Estate Market Update – Macomb County, Michigan
We give you your Macomb County January 2019 Real Estate Market Update. We are back on the board, so let's hop right into this. I always preface this a couple of different ways. One, we do the month previously because it's just like the job report. All the numbers are in. All the data are in. It's the first Thursday at the end of the month, just like jobs reports, first Friday after the end of the month, so that's how we do that because we have all the data. We give you three years of data because we want to see the trend. Numbers tell the story as Robert Kiyosaki's rich dad always says. The trend is your friend. You want to see a trend. If I just gave you this year's data 2019, it wouldn't make any sense. You want to be able to see the trend. You want to be able to see the patterns. That way you can decipher it and we can do it together and you can make decisions based off of this that are going to benefit you and your family. So that's why we do that. Let's jump right into this. Macomb County market update - January 2019
Days on market
Fifty-four, 42, 47. This is a theme throughout all the counties here in Metro Detroit. Going up, the days on market going up. So everything has been going down. Now we're going up a little bit. Market volatility, asset bubbles blowing up. There's a lot of things going on. Interest rates rising. That's why I believe we are seeing this in all the things that the people I'm reading a zero hedge and all the different publications that I read to inform myself. These are the things that are really kind of stemming this tide of homes entering the market. So this is something to keep an eye on going forward. It definitely has to be an interesting year, that's for sure, going forward and see what will happen.
Active homes in the market
This is one day at a glance, so this is a day at the end of every month that we picked this data. At that time you're seeing how many homes are active at that given day. So it gives you again, not the entire month, but it gives you at least at the end of every month what is going on. The number of active homes actually on the market did a big dip last year. And then we had to go up again. That's why we're seeing more days in the market on average, but we had a backup 2017 levels which these levels were down. Remember? So go back and you'll see our 2016 and 2015 videos when you're seeing this data and you're seeing these months. It's way up here, so it's still down overall, but it's back to at least two years ago, which is good. A little more balanced and we're gonna see that in this next number
Months of inventory
So this is at the rate homes are selling, how long would it take to sell every last home if no new homes came on the market? So we had 1, 1, back up to 2, so we're getting somewhere, right? So just to give you perspective, zero to three is a seller's market, four to six or seven is balanced and then seven-plus is a buyer's market. So it gives you perspective as to where we are and how much of a seller's market it still is. It really truly is. It's climbing through a little bit, which we haven't seen that. We have not seen that in a couple of years with a lot of these counties. So it's very interesting times we're going through right now. And again, it's a time for everyone to pay attention, truly pay attention and make sure you know what's going on and stick around, stick with people who know what the heck is going on. That is the key. It's your real estate agent. It's your title people. your insurance provider, your lender. Making sure they all know the game and know what's going on is if they don't know what's going on, you're going to have a hard ride. It's just that's all there is to it and you're not gonna get the information that you need to make informed decisions.
New homes in the market
This is the number of new homes that are listed in January and again, we're back up to 2017 levels have dropped down in 2018 a ton and we're back up to 2017 levels. Remember, this is still not great because we're still only two months of inventory, but it's progress backup towards a balanced market.
Price per square foot
$87, $93, $98. Again, increasing a little bit. We still have homes from the last couple months that are closing, going into contract and still the prices have been bid up. So even though there might be a little bit more homes, people are still in that mode a little bit. So it'll be interesting to see how that plays out going forward. And again, remember, this is a rule of thumb, $98 per square foot for the entire county, that gives you an idea of where you're at. You still need an appraiser or a real estate agent to come out and assess your property. If you want to value for your home. Zillow's not going to cut it, homes.com is not going to cut it. Those are just algorithms. They're centralized algorithms. This is the average for the entire county. So again, just like Zillow or something like that, they're gonna give you a ballpark of what you're at. Multiply this by your square footage and get where you're at approximately. You need someone to come out and do the actual analysis though if you want something accurate.
This is really the only buyer stat and this has gone down a little bit and it's continued to go down which again is interesting and this is not like the other counties and Metro Detroit. Actually, most of them have ticked up again a little bit, but this is a stat for how many homes have closed. So these are homes that have gone under contract and the reason this might be it was there are fewer homes in November and December that we're going under contract or that were available. So you're not gonna have as many closings in January. So again, maybe the buyer pool dipped a little bit in Macomb County, maybe there's just not enough homes on the market, which is probably a little bit of both going on there. Percentage change wise, a little bit noteworthy. It's somewhat significant but not too, too drastic. You really see only drastic, drastic changes in the sold, the buyer's market and the sold is there and that stat when you have something catastrophic like a depression or something like that.
So I hope you guys got something out of that. Again, we try to keep it under five minutes. That way you guys can get in, get out, get information that you need. If you know someone in Macomb County, please share it, tag it with them. We'd love to help as many people as we can. If you have questions, comments, concerns, please put them in the feed that way we can help as many people as possible. We appreciate all the feedback we get. We just don't always get it on the feed, which is fine. We just want to help as many people as possible in the feed here. So we appreciate your time and energy. It really is the most important thing in the world. So we appreciate it more than anything and you spending that time with us and we'll see you guys very soon.