We have your market update. We are back live, getting our market updates going and we are excited to be back. This is an interesting time we’re in very interesting time we’re in with the real estate markets and what’s going on all around the country, but especially here in Metro Detroit. So we’re going to jump right in. We’re going to start right here in Genesee County on the board. And I preface every market update video with a couple of things: three columns because we want the three years of data so that way we can see the pattern, we can see the numbers, we can see what’s going on. The numbers tell a story and this is where that story comes from. If I just showed you that year, it wouldn’t make any sense to you. So that’s why we show the three years of data. And the reason we go backward in time is that way we can show you exactly what the numbers look like for that month because if we did it in the middle of the month, we won’t have all the numbers. So the month is over, hot off the press, the freshest numbers so that way you can have an idea of what’s going on. So let’s jump right into this.
Days On Market
Days on market is DOM: 50 – 38 – 35, a significant decrease over the last couple of years and days on market. Everyone knows that the market’s been going fast. We’ve talked about this now for two years in these videos really ever since here, the market really started tightening up, less inventory and the time of the market has gone down. Just simple supply and demand.
This has actually gone up as you can see, a lot of homes are on the market now and it’s pretty incredible what’s going on. For some reason it could be because of interest rates, it could be because of the time of year, this September. The election has had that kind of uncertainty as well. We didn’t have it so much here in 2016 actually, but this year, elections, interest rate hikes, stuff like that are causing a little spike in inventory. That is a one-day thing though. That active number is a one day or one-off number though. So you got to take a little grain of salt.
Month of Inventory
But the month of inventory though is at 2. So it’s gone up now. A balanced inventory is really about four to six months of inventory and anything above that is a buyer’s market and anything below that is a seller’s market. You get down to one, it’s an extreme seller’s market. And that’s exactly what we’ve had. It’s actually ticked up to two. So, you can see here with some of these numbers.
Now, New homes – that stayed about the same actually. So the number of new homes that came on the market in September was the same over the last couple of years. So it hasn’t changed much. So going forward we’ll see what happens.
Price per Square Foot
Price per square foot has gone up again because there’s been less inventory in the past year in the past couple of months. And that’s where you’re gonna see sold here. That’s really the buyer statistic, but we’ve seen less sold because there’s been less inventory the previous months. So we’ll see here when there are a lot more homes sitting in the market now. And this number is up to the price for square foot. If more homes sitting in the market, we’ll see if that sold number increases. We’ll see if there are more homes being sold. What’s happening? Does this number go down? My estimate is that is going to go down a little bit because there is more supply, there’s not as much demand. So the price has come down generally.
So we’ll see. That’s what’s going on in Genesee County as of right now. We bring these to you guys every month, that way you guys have the best, most up to date knowledge as to what’s going on in the market, in your area. And again, the last thing I’ll preface with this countywide video is if you were looking to get an actual evaluation on your home, you need to have a real estate professional, you need to have a real estate tea, an appraiser do it for you. That way you can get a true analysis because this is just the county. This is a countywide number. That way if you took this, you multiply this number by the square footage of your home. It gives you a rough estimate of what your home’s worth. It’s either $400 or $200, but you don’t have the exact number. You have to get more detail, check the neighborhoods, check what’s going on in the city you live in, the amenities you have compared to other homes. So you have to do a detailed analysis. This just gives you that high overhead view of your county, what’s going on, we appreciate your guys’ time and energy because it’s the most important thing that we all have. So I appreciate you spending with us watching the updates we have and getting the information here because again, the Internet is full of information and you never know what’s right and when it comes to real estate there’s a lot of misinformation. So I appreciate you guys coming here and checking us out and we look forward to seeing you on the other market update videos. We’ll see you guys soon.