Metro Detroit home sales were up about 11 percent in July over the same month last year, and median prices were up overall, according to a report issued today by Farmington Hills-based Realcomp II Ltd.
But prices are being driven by a lack of inventory, a problem that continues to plague the housing market as appraisals remain low.
On-market inventory declined 15.1 percent from 32,007 in July 2011 to 27,180 in July 2012.
About 12.5 percent of houses on the market are foreclosures; 21.3 percent are short sales.
In metro Detroit, Livingston County saw the most significant increases in home sales. Sales increased 24.5 percent, but median sales price remained relatively flat, increasing from $153,750 in 2011 to $157,250 in July 2012, a 2.3 percent increase.
The greatest increase in median sales occurred in Oakland County, where the median price went from $120,000 in July 2011 to $145,000 in July of this year, a 20.8 percent increase, but activity increased by just 7 percent, from 1,626 houses sold in July of 2011 to 1,740 in July 2012.
The number of days properties spent on the market also decreased, from 88 to 76.
- Detroit area — the cities of Detroit, Highland Park, Harper Woods and Hamtramck — home sales went from 5,701 in July 2011 to 6,468 in July 2012. Median price dropped 5 percent, from $10,741 this time last year to $10,200 in July.
- The number of home sales in Wayne County increased 12.4 percent, from 1,761 to 1,979; median sales price increased 9.1 percent, from $43,600 to $47,550.
- Macomb County home sales also improved. In July 2011, 956 homes were sold, and 1,082 were sold in July of this year, a 13.2 percent increase. Median sales price in Macomb didn’t increase significantly — $75,000 in July 2011 to $76,000 in July 2012, a 1.3 percent increase.
By: Nancy Kaffer, Crain’s Detroit