Downriver home buyers tapped the brakes in June, with closed sales trailing the year-earlier month by more than 21%.
But even as sales slowed, the median selling price for a Downriver home increased nearly 16% – to $197,000 – compared with June 2021.
Sales data reported by Realcomp, Michigan’s largest multiple listing service, showed the Downriver area in line with trends in Wayne County and metropolitan Detroit.
“We’re still in a seller’s market, even as we see somewhat of a slowdown in sales,” said Ronald Fox, broker and designated Realtor with Downriver Homes in Wyandotte.
Fox, a Downriver native, said home buying this summer remains fast-paced and competitive, but does not match the pandemic-driven frenzy of the past year or so.
“Where a seller might have seen 14 offers last year, there are seven or so this year,” he said.
Jeanette Schneider, president of Re-Max of Southeastern Michigan, said “there remains a significant supply of buyers and that helped to push home prices up as we entered the summer selling season.”
The inventory of homes for sale is growing slightly in Metro Detroit, she said, “and sellers are becoming more thoughtful about pricing their homes.”
Realcomp said Downriver on-market listings in June increased 4.7% – to 511 – from a year earlier.
“Buyers are more measured in how they are searching for homes and are finding it easier to book showings, and may even be able to negotiate a bit,” Schneider said. Sellers are still in the driver’s seat, but the market is starting to shift.”
Realcomp said closed sales among Downriver communities declined 21.4% in June (430-375), compared with the year-earlier month.
Among 18 Downriver communities tracked by Realcomp, five reported year-over-year increases in sales for June:
• Huron Township, up 44.4% (13 in June 2022, compared with nine in 2021)
• Woodhaven, up 36.4% (15-11)
• Melvindale, up 25% (10-8)
• Riverview, up 11.1% (10-9)
• Trenton, up 8.3% (26 to 24)
For the first six months of the year, Realcomp said, Downriver home sales declined 7.2% from the first half of last year (2,014 to 1,868).
Six Downriver communities reported sales increases for the six-month period:
• Woodhaven, up 34.8% (62-46)
• River Rouge, up 32.1% (37-28)
• Melvindale, up 17.8% (53-45)
• Riverview, up 14.6% (47-41)
• Taylor, up 1.8% (335-329)
• Allen Park, up 0.5% (203-202)
“The marketplace continues to hum with all-time, record-setting median sales prices across virtually the entire (area),” said Karen Kage, chief executive officer of Realcomp II Ltd. “At the same time, inventory levels are rising. This will continue to make for a very interesting summer.”
Realcomp said seven Downriver communities showed double-digit percentage gains in median price in June, compared with June 2021. Among communities with at least 10 sales each June, leaders were:
• Trenton, up 24%, to $240,500
• Romulus, up 23%, to $184,550
• Grosse Ile, up 19%, to $470,000
• Woodhaven, up 16.9%, to $270,000
• Taylor, up 16.4%, to $174,670
• Southgate, up 15.9%, to $193,500
• Lincoln Park, up 15.4%, to $150,000
Closing prices exceeded the asking price in a dozen Downriver communities for the six months ending in June. The percentage of list price received was:
• Riverview, 104.2%
• Woodhaven, 104.1%
• Southgate, 103.9%
• Brownstown Township, 103.1%
• Wyandotte, 103.1%
• Flat Rock, 103%
• Trenton, 102.8%
• Allen Park, 102.7%
• Taylor, 101.6%
• Lincoln Park, 101.4%
• Melvindale, 100.5%
• Romulus, 100.5%
Fox said Downriver communities continue to fetch higher prices because the area has smooth access to major highways, a comparatively easy commute to Detroit and Ann Arbor, a growing restaurant scene, and – compared with many other Metro Detroit communities – lower tax rates.