Ann Arbor Home Value Fact Sheet
What are average prices for homes in Ann Arbor right now?
March 2024 Home Price Data for the Ann Arbor School District
Single-Family Homes
Ann Arbor Average Sales Price: $610,797 (up 9.9% compared to March 2023)
Median Sales Price: $509,950 (up 6.2% compared to March 2023)
Percent of List Price Received: 101.3%
Townhome/Condos
Average Sales Price: $409,238 (down 0.2% compared to March 2023)
Median Sales Price: $305,000 (up 0.8% compared to March 2023)
Percent of List Price Received: 100.5%
Data Source:
The Ann Arbor Area Board of Realtors
Compare the Ann Arbor Board of Realtor’s data to the data provided by Zillow, Redfin, and Realtor.com.
What current (March 2024) market conditions are affecting home value in Ann Arbor?
Currently, the housing market in Ann Arbor is affected by three things:
1. Interest rates are still elevated.
2. Many homeowners with low interest rate mortgages with no incentive to sell.
3. Fewer homes for sale as a result, leading to upward price pressures on the houses that are on the market but as interest rates fall more sellers may put their homes on the market.
The net result is a smaller number of sellers leading to a mostly seller’s market overall with fewer transactions.
How about the trend for the wider area?
What are the average sales prices in Washtenaw County?
March 2024 Single-Family Homes: $461,967 (Up 9.5%)
March 2024 Townhouse/Condo: $367,990 (Up 0.8%)
Percent of List Price Received for Single-Family Homes: 100.2%
Percent of List Price Received for Townhouse/Condo: 100.0%
INSIGHT: January tends to be the best time of year to buy a home in Ann Arbor and Washtenaw County and May tends to be the worst.
How does real estate value in surrounding communities compare to “A2”?
Ann Arbor, being the most populated area with about 120,000 residents, has the most new listings which tend to sell quickly (at or above asking price). Saline, Dexter, and Chelsea are the only communities that have a higher median sales price than Ann Arbor at times with the Ypsilanti community being the most affordable. Days on market are mostly lower for all communities on average.
How has the historical Average Sales Price changed over time?
Average sales prices have continues to trend up.
How has the historical Percent-of-List-Price-Received changed over time?
Percent-of-List-Price-Received still elevated.
Why does Ann Arbor command such a high average sales price compared to other areas of Michigan?
The lifestyle, diverse economy, relative affordability compared to similar locations nationally, natural resources, and world-class educational institutions make Ann Arbor a desirable place to live.
The lifestyle of Ann Arbor includes walking through many parks and green spaces, kayaking or tubing on the Huron River, enjoying many community events, art fairs and public art, and live entertainment, excellent dining, museums, and cultural and sporting events locally and at the University of Michigan.
Some of the many employers in Ann Arbor that help make the economy recession resistant include the University of Michigan and Hospital system, Trinity Health Ann Arbor Hospital, the Ann Arbor Public Schools, as well as a diverse array of manufacturing, research and development, technology and service businesses.
When we look at the places that people are moving from to Ann Arbor, most of them are more expensive locations to live like Washington, DC, Denver, and especially the West Coast and East Coast.
Ann Arbor has abundant natural resources from the Huron River that runs through it to the many protected parks and open green spaces in the community. So much so that there is genuine concern for the many obese squirrels that live in town.
The eduction institutions in town are all world class from the University of Michigan, to Washtenaw Community College, to the Ann Arbor Public Schools, to the many private primary and secondary schools in the area.
Adding to all of this, multiple national recognitions have been given to Ann Arbor as one of the best places to live in the country as collected by Ann Arbor Spark.
1. Best Places to Live in America in 2023, #1 Ann Arbor, MI.
StudyFinds.com2. Best Places to Live in the Midwest 2023, #2 Ann Arbor, MI.
livability.com3. 25 Best Places to Live for Families, #1 Ann Arbor, MI.
Fortune.com4. Best Places to Live in Michigan, #1 Ann Arbor, MI.
U.S. News & World Report5. Best Places to Retire in America, #8 Ann Arbor, MI
U.S. News & World Report
All of these factors combine to make Ann Arbor real estate a solid, reliable investment in addition to being an amazing place to lay your roots.
Whether you're looking to buy a home for yourself or as an investment property, Ann Arbor's strong demand, robust economy, and high quality of life make it a great place to put your money.
Bottom Line for Ann Arbor Area Home Value Trends For March 2024
Both average sales price and median sales price have trended higher as well as the percent of list price received.
This despite interest rates being more than double what they were just a year ago; although starting to ease.
As a result, the inventory of properties for sale is low because many property owners have mortgages with interest rates in the 2-4% range with little incentive to sell only to buy the next property with a much higher rate and payment.
We will see if lowering interest rates cool off.
A lack of inventory will continue to put upward pressure on prices until interest rates lower enough or new homes are built.
About Us
Arbor Advising has a passion for helping people buy, sell and invest in real estate. We believe real estate is the best way to create passive income, grow your wealth and provide inflation adjusted returns in retirement with fantastic tax benefits.
Want to learn more or set up showings in the Ann Arbor Area? Contact us.
Disclaimer:
Always speak to your CPA, investment advisor and attorney before making any investment decisions. Past performance does not guarantee future returns. Arbor Advising seeks to educate and does not endorse any specific product, service or investment.
