ST. JOSEPH, MI – “Southwest Michigan’s housing market sales bloomed, and selling prices climbed higher. Selling prices continued to rise to record levels for prices in April. The inventory of houses rose 11 percent above that a year ago,” stated Alan Jeffries, Association Executive, Southwestern Michigan Association of REALTORS®, Inc.
Jeffries continued, “The number of houses sold in April skyrocketed 27 percent to 246 from 194 in April 2023. The level of sales in April 2024 was the highest since April 2019. The highest number of sales in April was 296 in 2019. Year-to-date, sales were up 2 percent (755 vs. 739).”
The inventory of houses for sale increased 5 percent, providing a 4.1-months supply at the end of March (641 vs. 612). This level still needs to be higher for buyers searching listings for sale across Allegan, Berrien, Cass, and the westerly two-thirds of Van Buren counties. For comparison, in March 2014, there were 2219 houses for sale.
In April 2024, the average selling price rose 18 percent to $381,875 compared to $324,093 in April 2023. Year-to-date, the average selling price increased 13 percent ($343,974 vs. $306,103).
The median selling price in April 2024 increased 12 percent to $268,500 from $240,000 in April 2023. Year-to-date, the median selling price grew 13 percent to $255,000 from $225,000 in April 2023.
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 soared 49 percent in April 2024 with the increase in sales compared to April 2023 ($93,892,180 vs. $62,893,256). The year-to-date total dollar volume climbed 15 percent ($259,700,822 vs. $226,211,850).
The number of bank-owned or foreclosed homes as a percentage of all transactions was 0 percent (1 house). The previous low percentage was also 1 percent in April 2023, and the highest percentage in April was 54 percent in 2009.
The Freddie Mac mortgage rate in April was 7.17, up from 6.79 in March for a 30-year conventional mortgage. A year ago, the rate was 5.1.
Nationally:
According to the National Association of Realtors®, existing-home sales receded in April. All four major U.S. regions posted month-over-month declines. Year-over-year, sales decreased in the Northeast, Midwest, and South but increased in the West.
Total existing-home sales, which were completed transactions that include single-family homes, townhomes, condominiums, and co-ops – slid 1.9% from March to a seasonally adjusted annual rate of 4.14 million in April. Year-over-year, sales fell 1.9% (down from 4.22 million in April 2023).
“Home sales changed little overall, but the upper-end market is experiencing a sizable gain due to more supply coming onto the market,” said NAR Chief Economist Lawrence Yun.
The median existing-home price for all housing types in April was $407,600, an increase of 5.7% from the previous year ($385,800). All four U.S. regions registered price gains.
In the Midwest, existing-home sales slipped 1% from one month ago to an annual rate of 1 million in April, down 1% from one year ago. The median price in the Midwest was $303,600, up 6% from April 2023.
“Home prices reaching a record high for the month of April is very good news for homeowners,” Yun added. “However, the pace of price increases should taper off since more housing inventory is becoming available.”
First-time buyers were responsible for 33% of sales in April, up from 32% in March and 29% in April 2023. NAR’s 2023 Profile of Home Buyers and Sellers – released in November 2023 – found that the annual share of first-time buyers was 32%.
Individual investors or second-home buyers, who make up many cash sales, purchased 16% of homes in April, up from 15% in March but down from 17% in April 2023.
All-cash sales accounted for 28% of transactions in April, which is identical to March and one year ago.
Total housing inventory at the end of April was 1.21 million units, up 9% from March and 16.3% from one year ago (1.04 million). Unsold inventory sits at a 3.5-month supply at the current sales pace, up from 3.2 months in March and 3.0 months in April 2023. For homes priced $1 million or more, inventory and sales increased by 34% and 40%, respectively, from a year ago.
The numbers reported for local sales include residential property in Allegan, Berrien, Cass, and the westerly 2/3 of Van Buren Counties. They 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®.
About
The Southwestern Michigan Association of REALTORS®, Inc. is a professional trade association for real estate licensees who are members of the National Association of REALTORS® and ancillary service providers for the real estate industry in Allegan, Berrien, Cass, and Van Buren Counties. The Association can be contacted at 269-983-6375 or through their website at www.swmar.com.
The National Association of Realtors®, “The National Association of REALTORS® is America’s largest trade association, representing 1.5 million members involved in all aspects of the residential and commercial real estate industries. The term REALTOR® is a registered collective membership mark that identifies a real estate professional who is a member of the National Association of REALTORS® and subscribes to its strict Code of Ethics.
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