March 2022 Real Estate Market Update – Wayne County, Michigan
Hey guys, Brandon here Mitten Made properties. We have your Wayne county, March, 2022, real estate market update. Let’s jump right into this. I always preface with two things. We have three years of data, cause the trend is your friend. Wouldn’t make any sense If we had one year data and we have the monthly arrears, because the data is all aggregated and we’ve got it for you. So just like the government numbers, right? That’s exactly the same. Well, ours are a little more accurate, but that’s neither here nor there. Let’s jump right into this.
Days on market
Days on market DOM. Anytime you see that 55 days on the market, two years ago, 38 last year, 31 this year. So again, we’re across the board. We’re about a month on the market for every county in Southeast Michigan, which is pretty astonishing.
Active number of homes in the market
Active number of homes. This is one day data sample. So the day that data was taken, how many homes are on the market at that given time? 4,536 two years ago, 2,388 last year and 2905 this year. So again, a little bit this year we had the Cerveza sickness year, which skewed the data a little bit in 2020, as you might expect.
Month of inventory
Months of inventories, MOI, anytime you see that, that means at the rate homes are selling, how long would it take to every last home if no new homes came on the market. And it’s just a quick ratio to see what kind of market we’re in. And just to give you context, one to three months is a seller’s market. Four to six is a balanced market. And then seven plus is a buyer’s market. Meaning prices have come down. There’s a ton of inventory out there. So let’s jump right into this. About 2.97 two years ago, 1.38 last year, over half, about 60% down and 1.78 this year. So not much better. We’re about seven. What is that? Yeah, about seven months of inventory or seven weeks of inventory or so six and a half, seven weeks of inventory. So again, we are mired in a steep, steep seller’s market, as you can see, and we have been for years now, and there’s no signs really letting up unless interest rates double, I mean they’re at eight and a half, about just the fed just came out their number record high inflation. Real inflation is probably about 15 to 20% if you’re going from the 1980 numbers. So we’ll see at some point here, people are going to say uncle, and we’re gonna see prices start coming down. Cause people are gonna just say, you know what, I’m gonna hold off. So that has not happen yet, but we will most surely we will have that for you as we’ll be doing our data here every single month and giving it to you.
New homes in the market
New homes, this is the a month wide number. So how many new active listings came in the market during that entire month? 2,371 two years ago, 2,478 last year and then 2733 this year. So we’re seeing a big bump in Wayne county this year across the board, which is really nice. So we’ll see how this continues to play out, going forward.
Price per square foot
Price per square foot 91, two years ago, 113 last year and the 124 this year, which again, you’re seeing that trend up up into the right, which is nice for appreciation for sellers. If you can get that out, if you can refi, if you can get a good rate, if you can sell to somebody, then go find a home yourself. So you are great. The trend with your friend, you were gonna see which way the appreciation of that market is going. If you use this number and multiply it by your square footage, it’s gonna give you your approximate. Remember approximate the countywide number, approximate evaluation on your house. If you want an actual market analysis, you have to have an appraiser or someone on our team and a true professional comment actually give you data for your specific home. This is a countywide number for informational purposes. Only on this, just so you can see the trend.
Sold is number of homes actually closed down. How many people actually closed on the home here, and sat at a closing table, 1,525 two years ago, 1,735 last year, and then 1,630 this year. So again, across the board, we’re seeing these numbers up a little bit, which is really good. We’ll see all this flushes out though.
Like I was saying in the coming months here, some of these are lagging indicators here in real estate, real estate, slower to change than other asset classes. So let’s stand on guard. Let’s be aware. We will bring these to you monthly as we have been for years now. So that way you can make the decisions that best suit you and your family. So we appreciate your time, your attention, your energy guys. This is the Wayne county, March, 2022 real estate market update. And we’ll see you guys next month.