As the leaves are falling from the trees, and we are rapidly approaching Thanksgiving it has been suggested that the real estate market around Grosse Pointe is slowing down a bit. While it is true houses aren’t moving quite as quickly as they were in the early to mid-summer, the market is far from slow. The economic downturn over the past half a decade has created almost a hyper-sensitivity among the public and even some agents to the changing market conditions. It is important to step back and look at some of the data before getting too excited about the seasonal ebb and flows.

First and foremost this is the time of year where traditionally we do see the pace of sales slow down a bit. This is a normal part of the housing cycle. With that, there is a common misconception we often hear this time of year and that is that homeowners should wait until spring to list their home. There are several reasons this is not true and in fact there are many real estate agents that would argue this is the best time of year to sell a home. Houses often look their best during the upcoming holiday season, there is less competition, and the buyers who are out looking this time of year are serious, not just summer window shoppers.

In looking at the numbers for the five Grosse Pointe’s for September through the end of October, volume wise we are ahead of where we were last year. In 2014 for those two months there were 129 homes sold. In 2015 there were 151 homes sold or a 17% unit volume increase. Average sale price for those two months among the five Grosse Pointes were almost identical both years at approximately $318,000.

In breaking it down even a step further in the five Grosse Pointes, homes selling between 0-$249,900 saw an increase of 35% in the number of units sold. That’s a 19 unit increase (54 in 2014, and 73 in 2015). Homes from $250,000-$499,900 are in the only price range that saw a decrease in unit sales during this time period. They were down 8% or 5 units (63 in 2014, and 57 in 2015). For homes from $500,000-$999,900 there was an increase of 70% or 7 units (10 in 2014 and 17 in 2015). In the million dollar and up price range there was an increase of 33% or 1 unit (3 in 2014 and 4 in 2015). Obviously with the last two price ranges, you have to be careful in analyzing the percentages with such a small data pool, but clearly the numbers are up overall and that is what is worth noting here.

These numbers can be sliced and diced in many different ways, but the bottom line is that things are stable. The market will have its cyclical ups and downs, and we have to understand that a seasonal downturn is as normal as a seasonal upturn. The hangover from the recession of a few years back still has people nervous when things shift a bit, but you have to realize that the real estate market is always shifting. We just don’t want to see the extremely rare wild swings we had back then. Whether you choose to sell now or in the spring, as long as you are doing the fundamental things your agent advises you to do prior to listing your home, your house will sell at a fair market value. If you have any questions, speak to a local Grosse Pointe Board of Realtors Member early in the process of listing your home. We are the experts at getting your house ready to market for top dollar all year long.