For the third consecutive month, the sales in the Cass housing market have fallen by double digits. All selling prices showed major changes, especially for non-waterfront houses.
Last month 45 houses were sold, compared to 54 in October 2021. Waterfront house sales were down 37 percent compared to October 2021 (7 vs. 11), and non-waterfront house sales fell 12 percent (38 vs. 43).
Year-to-date, the overall housing market sales were down 13 percent (500 vs. 577). Waterfront house sales decreased 9 percent (129 vs. 142), and non-waterfront houses declined 15 percent (371 vs. 435).
The overall average selling price in October increased 37 percent based on the selling prices of non-waterfront houses compared to October 2021 ($317,982 vs. $232,104). The overall median selling price in October at $224,000 increased 30 percent from $172,000 in October 2021.
The average selling price for waterfront homes fell 21 percent to $377,642 from $479,145 in October 2021. The median selling price for waterfront homes increased 2 percent to $390,000 from $381,250 in October 2021.
The average selling price for non-waterfront houses sky-rocketed 82 percent to $306,992 from $168,907 in October 2021. The median selling price rose 32 percent to $194,500 from $147,000 a year ago.
The median price is the price at which 50% of the homes sold were above that price, and 50% were below.
In Cass County, there was one bank-owned or foreclosed homes as a part of all closed transactions in October, bringing the monthly percentage up to 2 percent. The highest percentage in October previously was 22 percent in 2014.
For comparison, nine houses across SWMI were bank-owned or foreclosed as a percentage of all transactions taking the percentage back to 3 percent after six months at 1 percent. In January, the rate was 0 percent. The previous lowest percentage in October was 1 percent in 2021. The highest percentage in October was 34 percent in 2009.
In all of SWMI housing market, the frenzied pace has slowed for ten consecutive months in 2022. Potential homebuyers have faced significant increases in selling prices for the limited availability of homes for sale. If successful in contracting a home, they found mortgage rates nearly double what they were at the first of 2022.
The housing inventory available for sale across Allegan, Berrien, Cass, and the westerly 2/3 of Van Buren Counties reached 873 at the end of October. Last year the inventory was at 818 houses, so the gain was 7 percent. This small gain raised the availability level to 4.1-months supply from 3.2-months supply in October 2021. For comparison, in October 2010, there were 3385 houses for sale and a 16.6-months supply of inventory.
The Freddie Mac mortgage rate climbed to 7.08 from 6.70 in September for a 30-year conventional mortgage. A year ago, the rate was 3.14.
In October, the number of houses sold fell to 294 from 367 in October 2021, for a 20 percent drop in sales. Year-to-date sales were down 14 percent from 2021 (2818 vs. 3259).
The average and median selling prices in October and the year-to-date selling prices set records in the year-over-year comparison, which dates back to 2006.
The average selling price rose 15 percent from that in October 2021 ($386,894 vs. $337,096). The year-to-date average selling price of $341,454 was 6 percent higher than the $321,711 price in October 2021.
The median selling price increased 11 percent to $260,000 from $235,000 in October 2021. Year-to-date, the median selling price rose 11 percent ($249,250 vs. $225,000).
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 fell 8 percent in October 2022 ($113,747,087 vs. $123,714,421) compared to October 2021. Year-to-date total dollar volume at the end of October 2022 dropped 8 percent ($962,220,066 vs. $1,048,456,410).
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®.
When Selling a Home…
If you are thinking of taking your REALTOR®’s suggested selling price and inflating it because you might get more -think again. Buyers have more resources to be better educated about selling prices and will quickly see through a higher price. The potential buyers will walk away, and your house will spend more time on the market. Then you will not be able to move on to your new home, or you will need to take on two mortgages.
Your REALTOR® has researched comparable properties to your house that have sold and current listed prices of houses for sale in your market. The suggested price is based on facts, not sentimental value, or the cost of renovations. And the suggested price is not based on estimated prices generated by some website calculators that cannot give true comparable analysis. The listing price might be lower than you thought it would be, but listing your home at the right price will save you time and money. Your REALTOR® is a trained professional with the right resources to market your home and has first-hand experience with buyers to know how they will perceive your house. Contact a REALTOR®, and selling your house will be a lot less stressful.
When Buying a Home…
Hey Renters! Think you’re not ready to unlock home ownership yet because interest rates have jumped? Discuss with your REALTOR® about some of the many options available to you.
A low-interest rate is important, but there are other factors to consider. When shopping for a loan, check the annual percentage rate. It includes all loan costs, such as origination and processing fees, which can vary widely from lender to lender, and the interest rate.
One loan may have a lower interest rate, but the up-front fees cost more than you’d save in interest. The APR lets you compare apples to apples. Your lender should give you a loan estimate, a line-by-line estimate of fees. You’ll find the APR there and use that rate to compare the loans you’re considering.
Don’t have a 20 percent down payment? There are programs and options out there that may require as little as zero down.
Your credit score is less than stellar? FHA loans are available to help you. First, check your credit report.
Whatever your roadblock is to home ownership, your REALTOR® has faced it before with other buyers. So let them be your coach and get in the game of finding your affordable dream home.
To view properties for sale in your local area, go to www.swmar.com, and click on “Search”. The Southwestern Michigan Association of REALTORS®, Inc. is a professional trade association for real estate professionals 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 Housing Market in South Haven 49090 and SWMI
