In November, Cass County house sales dropped behind sales in 2022 by as much as 40 percent. Selling prices overall fell 16 percent.
When we refer to all or overall housing types, we combine results for waterfront and non-waterfront houses. In total, 37 houses were sold in November 2023 compared to 49 in November 2022, for a 24 percent decrease. Separately, waterfront house sales were down by four houses (6 vs.10), and non-waterfront house sales dropped 21 percent (31 vs. 39).
Year-to-date, sales of all housing types declined 11 percent (491 vs. 549). Waterfront house sales tumbled 22 percent (108 vs. 139), and non-waterfront house sales slipped 7 percent (383 vs. 410).
The overall average selling price in November plunged 16 percent based on the lower selling prices of both waterfront and non-waterfront houses compared to November 2022 ($276,997 vs. $330,782). The overall median selling price in November at $225,000 decreased 10 percent from $250,000 in November 2022.
The average selling price for waterfront homes dropped 5 percent to $603,500 from $637,475 in November 2022. The median selling price for waterfront homes climbed 13 percent ($580,500 vs. $511,675).
In November, the average selling price for non-waterfront fell 8 percent to $231,803 from $252,143 in November 2022. The median selling price rose 5 percent to $210,000 from $200,000 in November 2022.
The median price is the price at which 50% of the homes sold were above that price and 50% were below.
In Cass County, three bank-owned or foreclosed homes were a part of all closed transactions in November. This raised the percentage of foreclosed homes to 8 percent from 2 percent in October. The highest percentage in November previously was 19 percent in 2014 and 2015.
For comparison, the number of bank-owned or foreclosed homes as a percentage of all transactions decreased to 1 percent from 3 percent in September. It was at 3 percent in October 2022. The highest percentage in October previously was 34 percent in 2009.
Across SWMI, sales of houses continued to decline for the eleventh month and stayed below the sales level in November for the last twelve years. Selling prices persistently set records, reaching the highest prices in November 2023, comparing back through the peak years to 2006.
The inventory of houses available for sale did not decrease as much as in other months in 2023, staying within 1 percent from a year ago (760 vs 769). The months-supply level increased slightly to 4.8 down from 4.9-months supply in October for homebuyers. For comparison, in November 2010, there were 3160 houses for sale for a 15.8-months supply of houses.
The market witnessed a drop in the Freddie Mac mortgage rate for a 30-year conventional mortgage, decreasing to 7.22 from 7.79 in October. In November 2022, the rate was 6.49, and in 2021, the rate was 3.10.
November house sales plummeted 26 percent from November 2022 (206 vs. 277). Year-to-date in November, there were 2600 houses sold, compared to 3095 houses in November 2022, for a 16 percent decline in sales.
The average selling price in November 2023 increased 3 percent to $341,990 compared to $331,848 in November 2022. Year-to-date, at the end of November 2023, the average selling price rose 6 percent to $359,615 from $340,595 in November 2022.
The median selling price in November 2023 at $265,000 jumped 18 percent from $224,900 in November 2022. Year-to-date, the median selling price increased 6 percent ($260,625 vs. $245,001).
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 in November 2023 plunged 23 percent compared to November 2022 ($71,159,000 vs. $91,922,130). The year-to-date total dollar volume fell 11 percent ($935,594,599 vs. $1,054,144,196).
When Selling a Home…
From November to January, the holiday season, maybe you are thinking you should wait to put your house on the market or think you should ask your REALTOR® to take it off the market. STOP! The opposite is true.
The holiday season still has buyers, and they tend to be more serious. Who doesn’t want a home for the holidays! There also tends to be less competition with fewer homes on the market.
Go ahead and decorate your home. Just don’t go overboard and make your home look crowded. Keep outside decorations to a minimum so buyers are not distracted and can see your home’s true curb appeal. Setting out a plate of holiday cookies for buyers to enjoy will give them a welcome feeling and add incentive to spend more time walking through your house.
If in doubt, ask your REALTOR® to stop by for advice.
When buying a home…
Before looking at houses to buy, determine if you are financially ready to buy a house. You need to know – how much cash do you have, what is your credit score and what is your debt ratio. Your REALTOR® is a good guide to help you pull this information together.
Lenders usually like to see a 20 percent down payment, but there are many low-payment loan programs available such as FHA loans that may only require as little as 3.5 percent down payment.
The higher your credit score, the better your chances to get a loan to get the loan at a lower interest rate. If your credit score is low, request a full report and look for errors that might be affecting your score.
Lenders will also want to compare your debt-to-income ratio. So when you add up all your bills and divide by your monthly income that will give you your debt ratio percentage number. Lenders typically want this number to be less than 43 percent according to the Consumer Financial Protection Bureau.
Contacting a REALTOR® who knows the local lending market, in addition to the housing market, will help you in the long run to easily navigate all the steps to buying a home.
To view properties that are 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.
SWMI & National Housing Market 
