Robin Cutler and Kay Pearson, Clarkston, Michigan Real Estate

Here are the overall market stats for December along with our company numbers for the month and the entire year. Following the market, our units were up nearly 10% (to 14,934) with volume down 18% (to $1,970,938,890) for the year. For Southeast Michigan, December ended like the rest of the year, a continued settling of home values with a significant increase in the number of homes pending. It is rather remarkable that the number of homes sold and leased have continued to grow (2008 over 2007) considering the economic uncertainty that hangs over the State. Granted that increase has come from the under $100,000 home value segment (the segments above $100,000 declined in terms of units in 2008); however those sales do create additional activity. Most are first time and investor sales that have a higher turnover rate as do leases, driving the move-up price range sales as home inventories shrink. Median home values took a significant drop in 2008, falling 38%, most of that is from the shift of buyers to those lower priced homes, as opposed to value declines. The Case/Shiller numbers are a better indicator of true home value changes at around -12%.

Northwest Michigan moved in a different direction with the number of homes sales off by 20% while the average home price declined only 6%. As a positive sign For Sale inventories have begun to decline however it is logical that further price declines can be expected in northern markets as well.

Our numbers for the month and for the year are once again the best in the State.

Total Company Summary	Dec-08	Full Year 08
# of Buyers to Open Houses	573	35,614
# of Showing Appointments	8,222	211,860
# of Homes Sold/Leased	1,028	14,934
# of Web Inquires (Unique Visitors)	96,175	1,385,400
# of Mortgage/Title/Insurance Closings	375	5,634
	Number of Homes Pending		Available Homes for Sale
Area	Dec 07	Dec 08	% Change	Dec 07	Dec 08	% Change
Oakland County	690	994	44.1%		17,820	16,485	-7.5%
Macomb County	473	775	63.8%		7,346	8,999	22.5%
Livingston County	90	111	23.3%		2,806	2,464	-12.2%
Washtenaw County	175	177	1.1%		3,220	2,624	-18.5%
Wayne ( - Detroit & G.P.)	387	647	67.2%		8,570	8,138	-5.0%
Detroit	652	1,028	57.7%		12,407	8,543	-31.1%
Grosse Pointe(s)	50	34	-32.0%		530	683	28.9%
Northwest Michigan*	98	111	13.3%		3,876	3,884	0.2%
Total	2,615	3,877	48.3%		56,575	51,820	-8.4%
	Median Sale Price			Ave Chance of Selling (in 30 days)
Area	Dec 07	Dec 08	% Change	Dec 07	Dec 08	% Change
Oakland County	$154,200	$105,500	-31.6%		4%	6%	55.7%
Macomb County	$110,000	$66,750	-39.3%		6%	9%	33.8%
Livingston County	$175,000	$145,000	-17.1%		3%	5%	40.5%
Washtenaw County	$205,300	$140,000	-31.8%		5%	7%	24.1%
Wayne ( - Detroit)	$126,500	$72,500	-42.7%		5%	8%	76.1%
Detroit	$14,000	$7,000	-50.0%		5%	12%	129.0%
Grosse Pointe(s)	$239,500	$137,500	-42.6%		9%	5%	-47.2%
Northwest Michigan*	$141,500	$123,500	-12.7%		3%	3%	13.0%
Total	$112,440	$69,631	-38.1%		5%	7%	61.9%
Data Source: MiRealsource, Realcomp, Ann Arbor Board & BrokerMetrics
Ave Chance reflects the % chance the average home will sell in the next 30 days under the current rate of sales
* Includes Grand Traverse, Kalkaska, Antrim, Leelanau and Benzie counties, waterfront properties and vacant land

Just listed by "The Pearson Group" This home is a must see beyond the pictures we have teased you with here. The owner's custom built this home without cutting any corners on completing it with quality throughout. All 3 Full Baths feature full ceramic baths. There is granite counters in the kitchen, complete with both maple and cherry cabinets, and the upgraded stainless steel appliances are all included. The views from the wrap around covered porch and the elevation from the screened porch offer peaceful scerenity for your enjoyment of the beautiful seasons offered only in Michigan. Located in the preserved northwest corner of Oakland County. This is truly a "one of a kind" opportunity to live in a country atmosphere with all the amenities and conveniences just a short commute away.

 

 

Southeastern Michigan Market Update

August followed the same trend as July and for the most part the past six months. We have seen a rising rate of sales in terms of the number of homes sold, a declining inventory of available homes, and a continued decline in home values. No new news there, except the news that the trend continues, which is a very good sign (except for the home value part, but that will begin to correct itself when inventories fall to 6-8 months). Add to that a more stable mortgage market with the bail out of Freddie and Fannie (and even a rate decline!) and you have all the ingredients for an acceleration in our recovery. Not anything earth shattering for us in Michigan, since job growth overshadows any other housing influencers, but still good news for all.

What does this good news mean for Buyers and Sellers?

For Sellers Price is still king and will be until our inventories fall from 12-18 months to 6-8 months. As we begin to move off bottom and see more good news trends one of our bigger challenges will be keeping Sellers expectations reasonable. It will be very easy for a Seller prematurely feel the good signs mean their home will sell for more. There is still a lot of market absorption left before that can happen. Although the number of homes sold should continue to rise for the balance of this year and next as well, home values will continue to fall so don't wait to sell, be aggressive, and price ahead of the market. The final option for Sellers would be to take your home off the market and wait until 2010 or beyond, when prices begin to rebound to better fit your target value needs.

For Buyers, The next three to four months will be a perfect storm of even lower interest rates and low prices. Rates should go up next year, negating any gain by waiting for lower values. If a buyer hesitates, waiting for a better price next year, they should consider moving forward with what they think will be next year's offer today. You would be amazed at what can be created in this market. Finally, it can never be said enough, when you are selling and buying in the same market, you can't loose. Your gain on the buy should always beat or at least equal the gain (or loss) on the Sale.

The Pearson Group, of Clarkston Michigan
The above summary is presented by Michigan's Largest Real Estate Broker

 This lakefront is beautiful on the inside. Take our tours and view the interior shots. Our seller has priced this very well considering there has been more than $100,000 in upgrades and improvements made since purchasing this home just a few years ago. Note the marble and hardwood flooring, soaring ceilings, extraordinary views and decking leading to the waters edge.

The home is located in Waterford, yet features Clarkston Schools. Great location for commuting and this home certainly meets the standard expected by lakefront enthusiasts.  Take time to view on-line tours and we'll look forward to meeting you at your private showing soon. 

The Pearson Group is long overdue to update those interested in what is happening to the Real Estate Market in North Oakland County, particularly in the Clarkston and Waterford Township area. Although we are posting the Market Absorption Study for both Clarkston and Waterford, we urge those interested in the the real estate market in North Oakland County, Michigan we invite to visit "The Pearson Group Website" and view the Monthly Absorption Rates for various townships.

View Clarkston Absortion Rate Graph View Waterford Absorption Rate Graph