Oakland County Market Update, February 2020
(+4.4% to Feb. 2019)
(+18.6% to Feb, 2019)
(-12.2% to Feb. 2019)
(-0.4% to Feb. 2019)
What Do The Numbers Mean?
With the median sales price up by 6% to last February, your home equity has likely grown since last year. Good news if you're thinking about selling!
Inventory this year is even lower than it was last year at this time, with only 2 months of inventory on the market. Inventory is also slightly lower than it was last month, in January. "Months of inventory" means how many months it would take to sell every house on the market (assuming there are no new listings). Six months of inventory is considered a neutral market. Any more, and it's a buyer's market. Any less, and it's seller's market, where less inventory means fewer options for buyers and more competition.
So, we continue to find ourselves in a strong seller's market, with the unmet demand for homes pushing up sales prices. More good news if you're thinking about selling! However, with homes staying on the market about 11% longer this February, you will have to be patient for the right offer to come along. You should also expect more showings during this time.
For any buyers reading this blog, there is good news for you as well. With homes staying on the market for longer, you have more opportunity to schedule tours of the homes that interest you and to make careful decisions in submitting offers. This doesn't mean that great homes don't sell quickly, and sometimes with multiple offers, but submitting an offer for a home isn't the fire drill it was in years past. Plus, mortgage rates are the lowest they've been in 50 years, and may drop even further, helping to improve affordability and offset rising home prices!
(All data referenced in this post is from Realcomp II LTD InfoSparks reports and includes single family and condominium homes.)