Michigan real estate update

October 27, 2009 by · Leave a Comment
Filed under: Michigan 

foreclosures___local_property_search_toolMichigan real estate is far from success.  While many other housing markets across the United States and the world and preparing for the long road to recovery, most Michigan homes for sale will have to wait many, many years for any such luck.  Michigan Radio, a division of the National Public Radio, reported on October 15, 2009, that “One in every 122 Michigan homes was in foreclosure last month. That number may grow worse before the end of the year.”  Steve Carmody, who created and announced his report on a live broadcast, also claimed that “Michigan has the nation’s 8th highest home foreclosure rate.”

A writer for CBS-5, WNEM in Michigan reported that the mortgage meltdown in Michigan was being felt the strongest in Genesee County.  The news feature claimed that “the news on the housing front just seems to be getting worse and now new numbers show nearly 1 million homes have been foreclosed on across the country.  The news is not coming as a shock to many in the Great Lakes Bay Region who’ve experienced the collapse first-hand.”  According to the article, Genessee County continues to see several foreclosures on a daily basis and has the highest incident rate of any county in the state.

One of the biggest trouble-spots of real estate in Michigan is in Detroit.  Senior writer Lisa Gibbs wrote in CNN Money Magazine that “giveaway-priced homes are in danger of becoming as much a part of Detroit’s identity as Motown, the Red Wings, and the Arsenal of Democracy. Real estate agents in America’s 11th-largest city (it used to be No. 5) say they get calls from all over the world asking to see rock-bottom listings.”  The CNNMoney.com Real Estate Forecast for 2009 claims that the median home price will drop to $100,000, a 4.1 percent decrease.  However, the other statistics explain the price drops in better perspective.  Detroit has suffered a 33.2% drop in price from the market’s peak through 2008 and when all is said and done, will see median home prices drop to 1997 levels around the second quarter of 2010 when analysts predict the worst will be hitting Detroit and the rest of Michigan.