January 2022 Real Estate Market – Wayne County, Michigan

We have your Wayne county real estate market update for January, 2022. We always, for five, six years, we’ve been doing this. We always preface with a couple things in our market update videos. We have three years, three years obviously is important because the trend is your friend. We couldn’t be able to see the trend if we didn’t have anything, but one year it wouldn’t make any sense. If you just said, one year, you have nothing to base it off, no context. And then we have the month in arrears, we were talking about January here because the data is done. It’s signed, sealed, delivered. We’re good to go and real estate doesn’t move quickly real estate’s, you know, one of the slowest moving asset classes. So that’s, that’s important to just kinda differentiate that and make sure that we are, you know, differentiating those two things.

Days on market

So, first one is days on market DOM. Anytime you see days on market, you’ll see DOM or A D O M or CDOM or something like that. I just know it’s basically days on market. We had 53, two years ago, 40 last year, and then 34 this year. Again, you’re seeing the trend. The trend is continuing to move that direction. I don’t see anything changing that there’s no one building homes, there’s no, you know, student debts being canceled right now, getting more home ownership, availability, which I don’t know what those houses they are there, that they would buy , new homeowner, potential homeowners because potential buyers, because there’s no inventory. So the price will go even more. So, we are really in this, you know, circular, going, circulating down the drain. I guess if you will away, it’s a, we have a real problem with a shortage of homes coming to the market, whether it’s lumber prices going up, inflation people, not building it, not making sense to build because it costs too much people can’t mind workers to build.

We are really in an interesting situation here. So, it just, it’s something to continue to keep your eye on. You have to keep your eye on cause there’s really not much else that we can do other than kind of see what happens here as the macro, picture plays out.

Active number of homes in the market

Active listings. This is the number of listings, on the one day. So the one day that the data was taken, how long or how many listings were available on that day? So 5,042, two years ago, 2,700, so you know, you in half a year later because of COVID what was going on and then 3,001 this year. So it’s bounced up a little bit. We’re still a long way, a long, long way to go to get back then.

Month of inventory

Months of inventory. Again, this will, we’ll bear this out too. 3.75, two years ago, 2.0 Last year, and then 2.26 this year. This is again at the rate homes are selling. How long would it take to sell every last home, if no new homes came onto the market? So in just for context, one to three months is a seller’s market. Two months is a balance market. And then, seven plus is a buyer’s market. Meaning there’s a lot of inventory and prices have come down.

New homes in the market

New listings, this is a month wide number. How many listings came on the market this entire month, 2,577, two years ago, 1,958, last year, and then 2,031 this year. So again, a little bit of uptake, but still a long way to go new homes come the market, We’re really struggling to find sellers that wanna sell, jump into this craziness.

Price per square foot

Price per square foot, $84, two years ago, $106 this year or last year, and then $120 this year. So again, you’re seeing as a countywide number, remember, but this is an average, but it’s again, trending up, you know, $20 per square foot each year, jumping. So it’s really is remarkable the growth in, in equity and people having their homes. But again, it’s because there’s a low inventory. People are fighting over the same amount of inventory and you can see down here, the demand is, you know, fairly similar to what, what it always is and always has been, but you’re fighting for, for a fewer and fewer homes up here, as you can see. So then what a price to do, they naturally go up. So, again, if you take this $120 multiply buyer square footage, it’s gonna give you approximate what your home is worth. More important thing. Always just get, see the trend. That is the most important thing.

If you need actual valuation in your home, you have to have an appraiser or someone on our team. Someone has experienced eight, 10 plus years, you know, thousands of transactions actually come see your home and give you your unique valuation on your home. That’s the most important thing here. This is just more of a data guide to let you know which way the markets are trending.

Sold

And then, sold listings like I already mentioned, this is the number of people actually closing at a closing table, kind of a buyer stat, if you will demand stat, not a supply stat, showing you what the demand is. And again, pretty similar, you know, crazy blacks, front events usually affect us a little bit, but even, even the of sickness, didn’t, didn’t change this that much. So, just goes to show you that again, the demand, you know, is there, it’s kind, it stays constant. It’s just the supply really in these cases have moved up and down a lot.

So, that’s your Wayne county market at the over January, January, 2022 guys., appreciate your time, your energy, your attention. It’s the most important thing we have. And, if you know anyone in the area in Wayne who, might wanna see this, please tag, share them, share this with them and, let them know if you have any questions, please let us know as well. And, we look forward to seeing you on the next one.