While June is usually the busiest month for home sales, July sales were up nearly 9 percent month-over-month in the region, according to the July 2019 RE/MAX of Southeastern Michigan Housing Report. Year-over-year, July was up 0.9 percent, selling 4,992 homes, up from 4,948. In June 2019, 4,588 homes were sold.
Nationally, home sales are up 2.4 percent year-over-year.
“A shortage of inventory, especially in the lower and mid-priced markets, continues to hamper buyers in the market and has led to a sluggish-feeling market this summer,” says Jeanette Schneider, vice president of RE/MAX of Southeastern Michigan in Troy. “On the positive side, job creation and historically low interest rates are working to the benefit of buyers.”
The median sales price increased 2.8 percent year-over-year to $225,406. This is also up from $222,750 in June. The national median sales price increased 9.2 percent year-over-year to $273,000.
Homes spent an average of 27 days on the market, up two days year-over-year and down three days from June 2019. Nationally, homes spent 43 days on the market, an increase of two from July 2018.
There was a 3.1 months supply of houses in July, down from 3.6 months the year before and up from 2.9 months in June. Nationally, there was a 2.7 month supply of homes. A supply of six months is considered balanced.
Home sales increased the most – by 11.8 percent to 1,148 homes – in Macomb County. Detroit came in second with a 5 percent increase to 398 homes, and home sales increased 3.8 percent to 301 homes in Livingston County. Home sales dropped by 2.5 percent in Wayne County to 1,827 homes and 2.4 percent to 1,716 homes in Oakland County.
The median home price increased the most in Detroit – by 38.7 percent to $43,000 – but home prices in Detroit are still far below prices in the surrounding counties. More modest increases of 5.7 percent to $195,000, 3.5 percent to $276,625, and 1.8 percent to $290,000 were reflected in Macomb, Oakland, and Livingston counties, respectively. The average home price in Wayne County stayed flat at $140,000.
Homes spent an average 47 days on the market in Detroit, a 7.8 percent decrease. In Oakland County, homes spent 27 days on the market, a 12.5 percent increase; 28 days in Livingston County, a 12 percent increase; 29 days in Wayne County, a 7.4 percent increase; and 25 days on the market in Macomb County, a 4.2 percent increase.