November Northern Michigan Real Estate Sales Horrible

Horrible Northern Michigan real estate sales numbers for the month of November, 2008 seem to mirror the macroeconomic climate. Today the Labor Department reported that U.S. nonfarm payrolls fell by over half a million last month, the worst such tally in 34 years. Who can buy a home if they don't have a job?

Sales of single family homes and condominiums in the Petoskey, Harbor Springs, Charlevoix and Boyne City real estate markets were down year over year, with 43 sales in November of 2008 compared to 50 sales in November of 2007. Total sales by dollar volume decreased by a whopping 50%, from just under $20 million ($19,990,790) in November of 2007 to just over $10 million ($10,048,450) in November of 2008. The dollar volume of Petoskey sales was only a third of what it was last year, from just under $10,350,000 in November, 2007 to $3.6 million this year.

The median home price declined from $227,100 in November of 2007 to $158,500 in November of 2008, a decline of over 30% year over year. The average days on market for homes which sold during the month of November of 2008 decreased to 210 days, from 269 days in November of 2007.

Sales of bank owned properties almost doubled, from seven to thirteen. Bank owned properties accounted for over 30% of sales during the month of November, 2008, continuing to put pressure on prices in our marketplace.

This report is based upon sales information obtained from the Northern Michigan Multiple Listing Service for the months of November, 2007 and November, 2008.

Northern Michigan Real Estate Market Conditions - October 2008

Sales of single family homes and condominiums in the Petoskey, Harbor Springs, Charlevoix and Boyne City real estate markets were down year over year, with 58 sales in October of 2008 compared to 64 sales in October of 2007. Total sales by dollar volume decreased from $23,832,500 in October of 2007 to $17,551,855 in October of 2008, a decline of over 26%. The dollar volume of Petoskey home sales alone declined almost three million dollars, or over 36%, from just under $8 million last year to just over $5 million this year.

The median home price declined from $224,500 in October of 2007 to $212,500 in October of 2008, a decline of just over 5% year over year. The average days on market for homes which sold during the month of October of 2008 increased to 222 days, from 185 days in October of 2007.

Sales of bank owned properties more than tripled, from five to eighteen. Bank owned properties accounted for almost one in three sales during the month of October, 2008 continuing to put pressure on prices.

This report is based upon sales information obtained from the Northern Michigan Multiple Listing Service for the months of October 2007 and October 2008.

Boyne City Real Estate - 2006 Market Statistics

Boyne City residential real estate sales volume plummeted in 2006 from the prior year, as did both the median and average home price. Unit sales of homes and condominiums in the Boyne City School District declined almost 20%, from 137 units in 2005 to 110 units in 2006. Sales by dollar volume decreased to $26,201,917 in 2006, from $36,906,222 in 2005, a whopping decline of almost 30%.

The median Boyne City home price dropped significantly in 2006 to $127,750, from $163,900 in the prior year. The average home price declined by 12%, from $269,388 in 2005 to $238,199 in 2006. Of those homes which did sell, the average days on market (DOM) increased significantly, from 149 DOM in 2005 to 200 DOM in 2006.

Note: Based on information obtained from the Northern Michigan Multiple Listing Service for the period from January 1, 2005 - December 31, 2006.