National Real Estate Commentary
U.S. existing-home sales fell for the second month in a row, sliding 1.9% month-over-month and 1.9% year-over-year, according to the National Association of REALTORS® (NAR), with sales down in all four regions of the country. Higher borrowing costs and accelerating home prices continue to weigh on demand, pushing some prospective buyers to the sidelines and causing market activity to slump ahead of summer.
Home prices have continued to climb nationwide, despite an uptick in inventory this year. Nationally, the median existing-home price reached $407,600 as of last measure, a 5.7% increase from the same period last year and a record high for the month, according to NAR. Meanwhile, total inventory heading into May stood at 1.21 million units, a 9% increase month-over-month and a 16.3% increase year-over-year, for a 3.5 month’s supply at the current sales pace.
May-Local Activity
Locally, Closed Sales decreased 3.7 percent for Residential homes but increased 1.7 percent for Condo homes. Pending Sales decreased 11.5 percent for Residential homes and 11.1 percent for Condo homes. Inventory increased 14.8 percent for Residential homes and 21.5 percent for Condo homes.
The Median Sales Price increased 6.7 percent to $277,500 for Residential homes and 10.6 percent to $276,500 for Condo homes. Days on Market decreased 3.2 percent for Residential homes and 3.3 percent for Condo homes. Months-Supply of Inventory increased 16.7 percent for Residential homes and 21.1 percent for Condo homes.
“Increasing inventory levels of homes on the market is always a positive and this past month saw the most homes available in May since 2020,” said Karen S. Kage, CEO of Realcomp. “Add in the fact that median sales prices remain healthy and you have the makings of a vibrant residential real estate environment to continue to build upon.”
May Y-O-Y Comparison -- Residential & Condos Combined -- All MLS
- New Listings increased by 3.8% from 14,186 to 14,719.
- Pending Sales decreased by 11.5% from 10,940 to 9,685.
- Closed Sales decreased by 2.9% from 9,934 to 9,641.
- Average days on Market (DOM) decreased by 1 day to 30 days.
- Median Sale Price increased by 6.8% from $259,500 to $277,250.
- Percentage of last list price received decreased slightly by 0.3% from 100.7% to 100.4%.
- Inventory of Homes for Sale increased by 15.7% from 16,091 to 18,613.
- Months-Supply of Inventory increased by 16.7% from 1.8 to 2.1.
- Average Showings per Home decreased from 11.5 to 10.3.
- Listings that were both listed and pended in the same month were at 5,403. This represents 36.7% of the new listings for the month and 55.8% of the pended listings.
May 5-Year Perspectives -- Residential & Condos Combined -- All MLS
May 5-Year Perspectives -- Residential & Condos Combined – City of Detroit Numbers
May 5-Year Perspectives -- Residential & Condos Combined -- Livingston County
May 5-Year Perspectives -- Residential & Condos Combined -- Macomb County Numbers
May 5-Year Perspectives -- Residential & Condos Combined -- Oakland County Numbers
May 5-Year Perspectives -- Residential & Condos Combined -- Wayne County Numbers
*high points noted with an asterisk.
Note: These numbers represent real estate market activity in the lower part of Michigan. Be sure to contact a REALTOR® for their expertise about local markets. Find a REALTOR® in your market at www.MoveInMichigan.com.
Realcomp Shareholder Boards & Associations of REALTORS®:
- DABOR, Andrea Kuentz, CEO, 313-278-2220
- DAR, Sharon Armour, EVP, 313-962-1313
- ETAR, Laura VanHouteghen, 810-982-6889
- GPBR, Bob Taylor, CEO, 313-882-8000
- LUTAR, 810-664-0271
- LCAR, Terri Fratarcangeli, EVP, 810-225-1100
- NOCBOR, Patricia Jacobs, EVP, 248-674-4080
