Higher prices and continually declining home sales were the benchmarks once again in November in the Southwest Michigan residential housing market. That’s according to our exclusive early analysis of the housing market from the SW Michigan Association of Realtors. MoodyOnTheMarket.com brings you this preview report each month a couple of weeks in advance of the general release of local and national real estate numbers.
In SWMI in November, sales of houses continued to decline for the eleventh consecutive month and stayed below the sales level in November for the last twelve years.
On the other hand, selling prices persistently set records, reaching the highest prices in November 2023, comparing back through the peak years to 2006.
The inventory of houses available for sale did not decrease as much as in other months in 2023, staying within 1 percent from a year ago (760 vs769). The months-supply level decreased slightly to 4.8 down from 4.9 months’ supply in October. For comparison, in November 2010, there were 3160 houses for sale for a 15.8-months supply of houses.
In a positive move for buyers, the market witnessed a drop in the Freddie Mac mortgage rate for a 30-year conventional mortgage, decreasing to 7.22 from 7.79 in October. In November 2022, the rate was 6.49, and in 2021, the rate was 3.10.
November house sales plummeted 26 percent from November 2022 (206 vs. 277). Year-to-date in November, there were 2600 houses sold, compared to 3095 houses in November 2022, for a 16 percent decline in sales.
The average selling price in November 2023 increased 3 percent to $341,990 compared to $331,848 in November 2022. Year-to-date, at the end of November 2023, the average selling price rose 6 percent to $359,615 from $340,595 in November 2022.
The median selling price in November 2023 at $265,000 jumped 18 percent from $224,900 in November 2022. Year-to-date, the median selling price increased 6 percent ($260,625 vs. $245,001). The median price is the price at which 50% of the homes sold were above that price and 50% were below.
The total dollar volume in November 2023 plunged 23 percent compared to November 2022 ($71,159,000 vs. $91,922,130). The year-to-date total dollar volume fell 11 percent ($935,594,599 vs. $1,054,144,196).
The number of bank-owned or foreclosed homes as a percentage of all transactions increased to 2 percent from 1 percent in October. It was at 0 percent in November 2022. The highest percentage in November previously was 36 percent in 2010.
This data reflects home sales across Allegan, Berrien, Cass, and the westerly 2/3 of Van Buren Counties and should not be used to determine the market value of any individual property. If you want to know the market value of your property, please contact your local REALTOR®.
MoodyOnTheMarket.com appreciates this monthly residential real estate analysis, exclusively made available by the Southwest Michigan Association of REALTORS.
