Traverse City Weekly Market Statistsics for Home Sales - October 31, 2011

This week saw activity slow to 50 sales. Historically the market slows beginning in November through mid February and this would be considered a typical seasonal decline in activity. There seems to be allot of uneasy feelings in the market. While interest rates should be heading higher in a free market they are declining with the Fed manipulating the market by purchasing 70% of the treasury bonds being issued in the market and selling put options to reduce the risk of the bonds. We are very busy with refi appraisal work at the moment, however the slightest change in rates will cause the appraisal business to fall between 50-70% which is a very uneasy feeling. While inflation is being reported at 3.9% the statistic does not include food or energy, including those items puts inflation over 10% while incomes are flat to declining. I do not bring these up to create a negative report, quite the contrary. I bring them up to alert you that things may not be what they seem to be as finding the truth is becoming more difficult, especially in government statistics. There is always opportunity in adversity and I believe the next decade will bring the most significant opportunity in our lifetime if you are aware of what is happening and the forces that are driving it. Educating yourself now is more important than ever, by seeking the truth you will have the opportunity to prosper. The real estate market is being heavily manipulated through interest rates, inventory of REOs, financing options, closing fees, and numerous other regulations. Things are not what they seem to be, however once the dust clears and we can actually have a free market, opportunity will abound. Have a Happy Halloween!!!

Weekly Market Statistics

114 New Listings

50 Sold Listings

Sales By Classification

43 Residential $15,000 to $1,250,000 Median $112,000 Mean $179,195

3 Vacant Land $30,000 to $68,000 Median $32,000 Mean $43,333

4 Commercial $740 Lease to $90,000

Sales by Location

11 Antrim County

7 Benzie County

21 Grand Traverse County

3 Kalkaska County

6 Leelanau County

1 Wexford County

1 Outside Areas

Expired Listings 119

Year over Year Comparison for Grand Traverse County on & off water homes

Off Water Homes All Values

Current Listings 800

Sales 10/09-10/10 893 10/10-10/11 788

Average DOM 154 or 5.1 Months

Value Direction Up 1.6%

Market Activity Down 11.8%

Inventory Supply 12.2 Months

Direct Water Homes All Values

Current Listings 286

Sales 10/09-10/10 113 10/10-10/11 131

Average DOM 212 or 7.1 Months

Value Direction Up 5.7%

Market Activity Up 15.9%

Inventory Supply 26.2 Months