Home sale prices rose in metro Detroit rose by 9 percent in October from the year before because of a lack of houses and condos going up for sale.
The lack of inventory of housing for sale could spur demand for new construction and drive up prices further.
According to new data from Farmington Hills-based Realcomp Ltd. II, the four-county metro region had 5,236 home and condo sales, a 2.7 percent dip from October 2015, when there were 5,383. Yet the median sale prices rose from $150,000 to $163,500 in that same period.
The only county where total sales increased was Wayne, where there was a 2.5 percent bump from 1,753 in October 2015 to 1,797 last month, according to Realcomp. The county also experienced a 9.5 percent increase in median sale prices compared with last October, rising from $105,000 to $115,000 last month.
Oakland County outpaced the four-county region in median sale prices, rising 10.5 percent from $195,000 to $215,500 last month, yet also had a 1.7-percent slowdown in total sales, falling from 1,893 in October 2015 to 1,860.
Macomb County’s sales slipped the most, falling 10.7 percent from 1,422 to 1,270 last month. Sale prices also rose there, however, climbing from $139,725 in October 2015 to $145,100 last month.
Median sale prices in Livingston County rose 10.2 percent, from $216,800 to $239,000 last month. Yet sales also slowed slightly, from 315 in October 2015 to 309 last month, a 1.9 percent slide, according to Realcomp.
The number of homes on the market continues to be an issue, driving up prices and providing limited inventory from which buyers can choose.
On-market listings fell by 39.6 percent in the four-county region year-over-year, from 23,141 in October 2015 to 13,987 last month. That’s been causing a quick turnaround time for sellers as the average number of days on the market fell by 4.8 percent from 42 to 40 year-over-year.
By KIRK PINHO, Crains Detroit Business
