February 2009 Southeast Michigan Market Report

Hard to believe, but we're nearly done with the first quarter of 2009 and the Spring selling season is upon us.

The good news is home sales in 2009 continue to outpace 2008 levels. February sales in Wayne County were up 18.4%, Oakland 12.3%, Livingston 27.9% with an overall increase across the MLS of 16.5%.

Another good piece of news is that the inventory of homes and condos is way down. Last Summer I had "Search over 70,000 homes..." on my website. Today when I checked the MLS, there were less than 50,000!

Average days on the market has also fallen. However, the market remains a challenging one for sellers, which helps explain why there are fewer homes on the market. A fascinating chart by Standard & Poor's graphically shows home prices nationally have dropped 26.7%. Many values in the Metro area are at pre-2000 levels.

Hopefully with increased demand and decreased inventory, our market will start stabilizing and begin recovery. Much of that depends on our local jobs picture, and hopefully Michigan's portion of the federal stimulus will provide a boost.

The upside is that with the recent cut, interest rates are at their lowest point in more than 35 years! However the mortgage process is a bit challenging right now with all the political scrutiny of banks. I recently had a situation where the lender went out of business 3 days before our closing date!

The $8,000 credit for first time buyers has helped stimulate a strong buyer's market. Bottomline, with historically low interest rates, there may never be a better time to buy or invest.

Listen Up 1st Time Buyers...Free $$ and Details on the $8,000 Tax Credit

If you've been renting an apartment or leasing a home for awhile in Northville, Plymouth or the surrounding area, this might be the perfect year to buy your first home.



In addition to the low interest rates and great deals out there right now, the big advantage to buying before the end of 2009 is the $8,000 tax credit enacted by Congress this year to stimulate the housing market. Unlike the 2008 credit, the 2009 tax credit does not have to be paid back.

Here's a great video about the First-Time Home Buyer Tax Credit with answers to a lot of questions you might have:



Plus here's a matrix outlining the tax credit. And if you'd like to explore your housing options further, give me a call!

Foreclosure Sales Hit the Skids in Wayne County

Wayne County Sheriff Warren Evans has stopped all foreclosure sales because there is no way to know which homes are covered under TARP, the Troubled Asset Relief Program passed by Congress which supercedes Michigan foreclosure law.

Last week Evans sent a letter to Michigan's Gov. Jennifer Granholm requesting she declare a state of emergency in Wayne County to address the growing home foreclosure crisis.

Today Evans announced that to proceed with sales not knowing whether the homeowner has had an opportunity to modify their loan would put him in a position of violating federal law.

Evans says his office will work with both homeowners facing foreclosure and their lenders to ensure they are able to exercise their rights according to the law. Additionally, he's urging sheriffs throughout Michigan to join the foreclosure moratorium.

If you or someone you know is having difficulty making their mortgage payment, visit the Wayne County Mortgage Prevention Program's website for guidance and assistance.

photo credit: respres

Answers to "How Long Does That Last?"

Did you know that dryers have a life expectancy of 10-25 years? Or that it costs $7,500-10,000 to convert a hot water boiler heater to a forced air furnace?

The Pillar To Post website offers a great tool showing the estimated life of appliances and major systems and components in a home. They also estimate the cost of replacing them, as well as the cost of home repairs.

Once you have the page open, click on the left-hand side to "Expand All" so you can view the details...Did you know metal roofs last 60 years?

Southeast Michigan December 2009 Market Report

Residential sales ended 2008 up 19% higher than 2007 with December's strong finish. In fact, according to Realcomp, every county in the entire MLS showed increased sales and pending sales, which bodes well for 2009.

Sales for the entire MLS during December 2008 were up 31.6% over December 2007, reflecting the 12th straight month of growth.

Strong 2008 starter home sales (those priced under $125K) were up 61% over 2007 due in large part to affordable home prices and low interest rates.

Even though December's inventory was down over 18% over December 2007, the supply of homes remains greater than the demand. Therefore homes selling in this buyer's market are priced to sell.

Market activity has started strong this year. It's still a wonderful time for first time homeowners to take advantage of low interest rates and values.

To Sell or To Lease...That is the Question

The good thing about making a move in this real estate market is that there are lots of good deals out there. The question is, what do you do with your home?

When faced with that situation, many Northville MI owners are opting to lease. Before you consider leasing, you should first check with your lender to get preapproved to make sure you can afford your next home. Also, check your existing mortgage because leasing may invalidate the terms.

I've heard homeowners with good and bad leasing experiences. Many would simply prefer not to become landlords. If you do opt to lease your home, be sure you request a credit report as well as personal and landlord references.

Then, read through the State of Michigan Tenant/Landlord Handbook to research and become familar with your responsibilities as a landlord should you go that route.

Whatever you decide to do, Good luck!

Taking The Leap & Leaving The Nest

There has never been a better time to buy your first home than right now. Given the current economy, you probably think I'm crazy, but hear me out.

First of all, interest rates are still really great and there are rumbles about them getting better. Second is the first time homebuyer tax credit passed this year. And third, the mortgage is likely to be cheaper than paying rent.

Case in point, my daughter.

After she graduated from college in May, we started running some numbers in preparation for her leaving the nest. She was looking at between $600-750 per month for a small apartment. Based on what I was seeing on the market, I suggested we investigate foreclosed & HUD homes.

Long story short...we found a really great 3 bedroom, 2 bath brick ranch with finished basement, fenced yard and 2 car garage for $50K. Her payment? Under $600 a month!

Are there still great deals out there? Absolutely...and some of them are not even HUD or bank-owned. Some sellers just need to move now.

If you're been thinking about taking the leap, be sure to work with a buyer's agent who can look out for your best interests and research potential problems. And if you check out HUD homes, make sure make sure you're working with an agent whose brokerage is approved by HUD to submit electronic bids.

3979 Berkley Ave | Canton MI Condo Just Listed For Sale or Lease

Popular Chatterton Village!

Light, Bright & Neutral Two Bedroom Newer Built Condo With High Ceilings and Great Room With Dining Area * Breakfast Bar Plus All Upgraded Appliances Stay * Tons Of Storage With Balcony Overlooking Lush Landscaping * Pool, Club House, Gorgeously Maintained Grounds And Landscaping * Also Available For Lease at $1,100/mo

Property information ~ $124,900
1,300sqft, 2 bedroom, 1 bath condo

29445 Orangelawn St | Livonia, MI 48150 Just Listed For Sale

The Seller's Job Has Moved Out Of State and She Hates To Leave This Great 2 Bedroom Condo With Basement!

Cute Updated Oak Kitchen With Hardwood Flooring, Newer Appliances, Newer Carpeting, Windows, Air Conditioning & Furnace * Two Spacious Bedrooms With Updated Bathroom * Basement With Newer Washer & Dryer * Like Living In A House With The Convenience Of A Condo Plus Short Walk To Shopping, Restaurants & Parks * Offers Are Subject To Short Sale/Bank Approval

Property information ~ $59,900
2 bedroom, 1 bath condo with basement

September Market Report

As if the Michigan economy didn't have enough challenges, the past month of national and world financial chaos certainly hasn't helped.

Even with all those challenges, the Southeast Michigan counties of Wayne, Oakland, Livingston, and Macomb all experienced higher sales volumes than last year for the month of September. Depending on the zip code, the number of September sales in Plymouth increased 48.5%, Livonia between 30-54%, Northville 15-175%, Westland 22-100%, and Canton 27-29%. However, sale prices are continuing to decline.

The good news is that between the higher number of sales and Sellers choosing to wait out the market and not putting their homes up for sale, the inventory of homes on the market was down 16.43%.

It remains a great market for buyers, especially those with good credit, first time homebuyers, or those who don't need to sell anything to buy. There are some smokin' deals out there, particularly if you want to put in a little sweat equity. Additionally, lots of investors are jumping into the market hoping to take advantage of the low prices to position themselves well for the market's turn.

With the financial bailout, auto merge rumors, job insecurity, and presidential politics, we're still in for some rough months ahead. Best to batten down the hatches, cut where you can, and hang on for the ride.

Summary of Economic Stabilization Act by the National Association of Realtors
Tax Credit to Aid First Time Homebuyers by the Internal Revenue Service

August Market Report

Even with the news of the Fannie Mae and Freddie Mac bailout, there is still strong activity and confidence in our local market as sales remain 11.7% higher than last year for the eighth straight month in 2008, according to RealComp, our local MLS. When comparing this year's results to the record-breaking sales of August 2005, sales are only down 1.1%.

Additionally, Pending sales this year are up in all counties, with a 45.1% increase in Wayne County and 25.9% in Oakland County over the same period in 2007. Compared to 2005, pending sales are actually up 19.8%!

It continues to be a great buyer's market and buyers are snapping up lower priced homes, often in multiple offer situations. To date in 2008, 17% of all sales ranged from $100,000 to $174,999. Additionally, owners who don't need to sell are keeping their homes off the market until values start to rise again, as the number of listings on the market is down 14%.

Buyers are the lifeblood of the market. First time homebuyers buy homes from move-up buyers and that momentum continues upward. That's why the tax credit was recently passed to give incentives to those first time buyers. With all the recent market upheaval, it will be interesting to see how things shake out. Let's hope it doesn't disrupt the market momentum we've experienced so far this year!

Bottom line...it remains a great market for buyers. If you know anyone who is still renting, you might want to encourage them to check into buying during this once-in-a-lifetime market.

MichiganMoves Me

I love taking pictures and after I got a new Blackberry Curve, I decided to give photo blogging a shot.

I've followed St. Paul, Minnesota real estate agent Theresa Boardman and her All T All Day blog, especially enjoying her "on the street" perspective.

I'm not a native Michigander. Although I cherish my Dakota roots and love my California past, today I enjoy a nice life in Michigan. Even with our battered economy, it's a great place to live (ok, I could do with a few less months of Winter).

Some of the things I hope to do is document my real estate travels throughout Southeast Michigan highlighting property, communities, events, and the unusual, unique and sometimes downright bizarre things I come across.

Blogging and digital photography is familiar to me. Learning a new smartphone, taking photos on it, uploading to Flickr, and posting to Twitter and my new blog has been a lesson in patience and persistence (and if that wasn't enough, I just added a new Tablet PC).

It's definitely a work in progress. The pictures and resolution aren't the best, but hey, it's a camera phone!

Image courtesy of Marvin Kuo

3974 Norwich Drive | Canton MI 48188 Just Listed For Lease

Woodlands of Chatterton Village ~ BEST LOCATION IN COMPLEX OVERLOOKING WOODS & WALKING TRAIL!!

Lovely Open Floorplan With Kitchen Open To Dining & Living Rooms With 9ft Ceilings Throughout * Great Room With Cozy Bay Window Overlooking Woods With Walk Trail * Kitchen With Hardwood Flooring, Under Cabinet Lighting, and All Appliances Are Included * Spacious Master Bedroom With Cathedral Ceiling & Huge Walk-in Closet With Organizer * Custom Ceramic Tile Master Bath and Ceramic Surround in Main Bath * 1 Car Attached Garage With Lots of Storage * Complex Boasts Pool, Clubhouse, and Walking Trails * Immediate Occupancy...No Smoking, Pets Negotiable, 1.5 mo SecDep & 1 Year Lease Minimum * With Wooded Views From Every Window, This Will go Fast!

Property information ~ $1,250/Month
1,660 sq. ft., 2 bedroom, 2.1 bath 2 story

First Time Homebuyer Alert, Part 1

If you've been on the fence about whether or not to buy your first home, NOW is definitely the time--before October 1st!

The Mortgage Relief program recently passed by Congress goes into effect on that date and eliminates downpayment assistance programs. In fact, many mortgage lenders have already eliminated the option in anticipation for the October 1 deadline. After that date, the only assistance buyers will be able to get is through their family or friends in the form of gift funds.

Another perfect first time buyer option ends September 30th. Any HUD home purchased by an owner occupant buyer is eligible for $2,500 towards expenses and $100 downpayment options on most homes. Plus, the advantage of a HUD home over a bank-owned home is that your offer will be competing against other owner-occupants during the first week the property is on the market, rather than with investors who pay cash (which banks tend to prefer).

Whether for yourself or someone else you know thinking of taking the leap, the door is closing fast on these great opportunities.

44453 Savery Drive Canton MI Open Sunday

Hidden Glen Condos ~ We invite everyone to visit our open house in Canton at 44453 Savery Drive this Sunday, August 17th from 1:00 PM to 4:00 PM.

Come check out this mint 2 bedroom condo backing to a park-like setting. With an updated Kitchen and newer mechanicals, all you have to do is move in, relax & enjoy!

Property information ~ $94,900
South of Ford, West off Sheldon onto Savery

39544 Village Run Northville MI Open Sunday

Country Club Village ~ We invite everyone to visit our open house in Northville at 39544 Village Run this Sunday, August 10th from 1:00 PM to 4:00 PM.

With a top of the line stainless & granite Kitchen plus state-of-the-art upgrades throughout, this Country Club condo presents the "WOW" factor.

Property information ~ $329,900
West off Haggerty on Village Run, South of 6 Mile

2 Bedroom, 1.1 Bath Northville Condo Just Listed For Lease

Highland LakesNOW AVAILABLE FOR LEASE, So Bring Your Stuff And Move Right In! Lovely Bay Window in Living Room And Gas Fireplace in Family Room * Updates Galore Including Kitchen Counter Tops, Remodeled Jack-n-Jill Main Bathroom With Cool Vessel Sink and Ceramic Tile * Newer Carpeting, Windows, Hot Water Heater & Washer * All Appliances Stay * Large Patio With Storage Unit and Gas BBQ * 2 Assigned Parking Spaces Plus Tons of Guest Parking * Association Fee Includes Structure Insurance, Grounds Maintenance, Snow Removal, Water & Gas * Enjoy The Many Wonderful Amenities This Community Has To Offer As Well As It's Proximity To Downtown Northville, Shopping & Expressways!

Property information ~ $1,150/month
1,300 sq. ft., 2 bedroom, 1.1 bath

Mid-Year Market Review

While we've continued to see values decline, activity is up year to date with Wayne County posting the largest increase in June according to the Detroit News.

In fact, for the sixth straight month this year, the number of homes sold increased 13.1% over 2007 in June according to an article in Crains Detroit Business.

However, there has been a lot conflicting press, particularly when it comes to recent sales. Karen Kage, President of Realcomp, our local and Michigan's largest Multiple Listing Service, clarified the reason for this in a recent Detroit Free Press article saying the MLS data is more readily available as it can take between 30-90 days for county governments to count a sale.

Those of us out on the housing front have noticed many of the properties we call on to make appointments are already under contract. That's a promising sign. Now let's hope values start edging up!

39544 Village Run, Northville MI 48168 Just Listed For Sale

Country Club Village - State Of The Art Kitchen With Granite & Stainless Steel Package With Planning Station - Thermador, Viking And Top Of The Line Appliances, Bamboo Planked Hardwood Throughout The Condo, 2 Fireplaces With Furnace Grade Remote, Home Automation System; All Rooms Wired With Cat 5e Cable; Positively A Must See For All The Upgrades!

Property information ~ $344,900
2,379 sqft, 3 Bedroom, 2.1 Bath Ranch

Leasing Market Heats Up

As lenders have tightened up credit in the wake of the foreclosure fallout, many people are finding they can no longer afford to buy a home resulting in rents rising around the area.

For example, a condo I listed last year leased for $1,400/month while this year they are getting $1,550/month. Many of the first time buyers I'm working with are telling me they are buying because it's cheaper than what they'll pay when their lease is up. If you'd like to check out whether you can buy, give me a call.

If you plan on moving out of the area in the next 2-3 years, it's likely leasing may make the most sense. Here are a couple of properties listed for lease to check out:


11667 Morgan, Plymouth
3 bedroom, 1 bath Plymouth Ranch with 2 car garage and fenced yard
$1,200/month






42661 Faulker, Novi
3 bedroom, 2.2 bath Novi Cape Cod with gourmet Kitchen, finished basement and 2 car garage
$2,300/month