July 2022 Real Estate Market Update – Oakland County, Michigan
Hey, what’s going on guys. Brandon Gentile here, Mitten Made Properties. We have your July, 2022. Say that 10 times fast Oakland County, real estate market update. Let’s jump right into this. I always preface with three things or excuse me, two things. We have three years of data. Cause the trend is your friend. We wanna be able to see the, all of it in comparison to each other because it wouldn’t make sense. We just said, one year we need something to compare against. And then we have the month in arrears because the data is done. The month is over. It’s hot off the press. Ready to go. So let’s jump right into this.
Days on market
Days on market is DOM 42 days on market two years ago, 20 last year, and then 17 this year. So again, in Oakland County, we’re seeing a decrease again in days on market, this past July.
Active number of homes in the market
Active number of homes. This is a one day data sample. So at the day the data was taken. How many homes were on the market? 4,370 two years ago, 3,086 last year. And again, last year, last year was very tight. And again, last couple of months, we haven’t done the market updates because the data the MLS technology boards have been converging and transitioning and the data’s been really off. So, it’s getting better. We still have two really wonky data points. These two here, 52,000 homes on the market. So that’s probably the number for all of Michigan. Maybe. Probably not even actually probably all of Michigan combined. So again, not right. Bear with us there.
Month of inventory
Months of inventory, MOI, and at the rate, the data is at the rate homes are selling. How long would it take to sell every last home, if no new homes at the market? That’s what MOI stands for months of inventory, just like a ratio to see where we’re at in the market. Just to give you context. One to three months is a seller’s market mean there’s not a lot of inventory. Like right now, four to six is a balanced market. And seven plus is a buyer’s market mean there’s a ton of inventory and not a lot of buyers. So 1.68, two years ago, 1.45 last year and again, 30 this year. So again, bear with us, sir.
New homes in the market
New, this is the number of new listings, actual new listings that came on the market. 3,732, two years ago, 3,381 last year and then 3,074. So again, across the board in Southeast Michigan, we’re seeing a contraction again, I feel like a broken record for years now saying there’s a contraction in the housing supply. Again there, this is what leads to prices continually going up when there’s contraction the supply. Yes, they have demand distraction going on. They’re trying to curb the amount of buyers out there which is happening. But again, there’s less and less homes in the market. Every single month. We still have a lot to go. I guess you get zero home in the market. So we still have ways to go. But I mean, just a reminder a couple years ago, this was 5,000, 6000, 7000, 8,000 homes in the market. And, and now go back and watch all of our other videos. This is insanity what’s happening right now. So just goes to show you why these prices have been really steadily increasing over the years and going to that.
Price per square foot
Price per square foot. This is you taking your square footage, multiplying it by this number. It’s gonna give you approximately what your home is worth. But again, if you want an actual evaluation, you have to have someone on our team, an appraiser, someone actually come value your specific property, $144 a square foot two years ago, $171 last year and then a $181 a square foot this year. So again, the trend is the important thing here to see again, equities increasing lower inventory equities going up, the prices are going up.
Sold
Sold number of homes. This is two parties, buyer and seller are sitting at a closing table, consummating, a transaction 2,608 two years ago, 2,129 last year and then 1,749 this year. So again, we are seeing contraction, contraction, contraction, just insane, insane times right now. So that’s really squeezing the market. That means there’s real estate, professionals, there’s realtors, there’s investors, really hurting, going out of business. That means there’s buyers and sellers not doing things.
You know, we’re, we’re almost half of what we were just two years ago. So again, this is this, you know, I just saw an article 51% of all small businesses say they’re afraid they won’t be able to make their payment next month you rent just their expense payments. We’re we’re in some really tricky times, we’re gonna continue providing you the data you need to make the best decisions for you and your family.
If you have any questions, comments, concerns, please put them in here. We are all in this together. This is a very trying time. And it’s gonna be, I think, in the next 16, 18 months gonna be incredible crisis, whether it’s food shortages and all kinds of things going on, but it can be the best opportunity for all of us that are prepared for anyone that’s prepared. So we appreciate you, your time. Your energy is the most important asset we have and we look forward to seeing you on the next video.