March Sees Largest Month-over-Month Sales Increase in More than 2.5 years Sales up nearly 30% over February*
Real Estate Commentary
*Metro Detroit experienced an increase in sales from February (2023) to March (2023) of nearly 30% with 3,800 homes sold. This marks the first such 1Q month-over-month increase in the past five years (excluding 2020,due to the pandemic and the government shutdown of real estate during that time).
Nationally, existing home sales jumped 14.5% month-over-month as of last measure, the first monthly gain in 12 months, and representing the largest monthly increase since July 2020, according to the National Association of REALTORS® (NAR). The sudden uptick in sales activity stems from contracts signed toward the beginning of the year, when mortgage rates dipped to the low 6% range, causing a surge in homebuyer activity. Pending sales have continued to improve heading into spring, increasing for the third consecutive month, according to NAR.
March-Local Activity
Closed Sales decreased 8.5 percent for Residential homes and 11.9 percent for Condo homes. Pending Sales decreased 20.6 percent for Residential homes and 12.2 percent for Condo homes. Inventory increased 9.4 percent for Residential homes and 14.0 percent for Condo homes.
The Median Sales Price increased 1.8 percent to $230,000 for Residential homes and 4.3 percent to $240,000 for Condo homes. Days on Market increased 37.5 percent for Residential homes and 48.3 percent for Condo homes. Months Supply of Inventory increased 25.0 percent for Residential homes and 30.8 percent for Condo homes.
March Y-O-Y Comparison — Residential & Condos Combined — All MLS
- New Listings decreased by 19.4% from 12,777 to 10,301.
- Pending Sales decreased by 19.6% from 10,433 to 8,392.
- Closed Sales decreased by 9.0% from 9,146 to 8,324.
- Average days on market (DOM) increased by 13 days from 31 to 44.
- Median Sale Price increased by 3.0% from $227,500 to $234,250.
- Percent of last list price received decreased by 2.5% from 101.3% to 98.8%.
- Inventory of Homes for Sale increased by 10% from 12,688 to 13,985.
- Months-Supply of Inventory increased by 25% from 1.2 to 1.5.
- Average Showings per Home decreased by 5.3 from 17.4 to 12.1.
- Listings that were both listed and pended in the same month were at 4,173. This represents 40.5% of the new listings for the month and 49.7% of the pended listings.
March 5-Year Perspectives — Residential & Condos Combined — All MLS
March 5-Year Perspectives — Residential & Condos Combined – City of Detroit Numbers
March 5-Year Perspectives — Residential & Condos Combined — Livingston County
March 5-Year Perspectives — Residential & Condos Combined — Macomb County Numbers
March 5-Year Perspectives — Residential & Condos Combined — Oakland County Numbers
March 5-Year Perspectives — Residential & Condos Combined — Wayne County Numbers
*high points noted with an asterisk.
It’s important to note that these numbers present a high-level view of what is happening in the real estate market in the lower part of Michigan and in specific regions. Be sure to contact a REALTOR® for their expertise about local markets.
Realcomp Shareholder Boards & Associations of REALTORS®:
- DABOR, Erin Richard, CEO, 313-278-2220
- DAR, Sharon Armour, EVP, 313-962-1313
- ETAR, Laura VanHouteghen, 810-982-6889
- GMAR, Vickey Livernois, EVP, 248-478-1700
- GPBR, Bob Taylor, CEO, 313-882-8000
- LUTAR, 810-664-0271
- LCAR, Pam Leach, EVP, 810-225-1100
- NOCBOR, Patricia Jacobs, EVP, 248-674-4080
This post was originally posted on RealComp Blog. You can visit the post click on this link.