Detroit Real Estate Market Holds Steady: 2023 in Review

2023 was a year in the limelight for Detroit’s real estate market. The market held up consistently throughout the year, with stable growth in both house prices and property sales.

Stability was the name of the game: home prices ranging from as low as $75,000 in January to $80,000 by year-end. Sold prices turned out to be the jester in the court, as figures danced erratically- hitting a peak in October at $82,751, and then plunging to a July low of $60,701.

Furthermore, the average sold price per square foot had very few fluctuations, anchoring itself comfortably at a static $65 for much of the year, save for a striking soar to $69 in October.

The real estate trends in cities neighboring Detroit bore a marked contrast. On average, values and per-square-foot values of properties appeared loftier. For example, Ypsilanti produced an impressive yield in December 2023, with the average value pegged at $219,900 and price per square foot at a respectable $165.5. Similarly, Wixom upheld its high-status symbol, as it flaunted an average value of $445,000 and a per square foot value of $211 in December 2023.

Interestingly, unlike Detroit where the average sold prices fluctuated, nearby cities experienced divergent trends. Take Ypsilanti, for instance, whose average sold price saw an uptick from $231,112 in January 2023 to $235,156 in December of that year. Meanwhile, Wixom portrayed a different narrative with its average sold price, where figures cautiously dipped from $337,268 in December 2022 to $323,750 at 2023’s year-end.

One must also mention the number of properties within these neighboring cities. Here again, numerals zigzagged across the board, creating a tapestry of patterns- Ypsilanti boasting 80 properties listed in December 2023, while Wixom posted a sober 15.

With all the fluctuating tides in Detroit and its surrounding cities, the median list price in Detroit displayed an admirable resilience, holding firm at around $80,000 for a large part of the year. The median value per square foot followed suit, sketching a similar story of consistency, with figures floating between $70-$65.

The robust real estate market in 2023 in Detroit, flanked by its neighbor cities, paints a tapestry of unyielding solidity mixed with the kind of unpredictability only this industry can produce. While Detroit showed strength in maintaining average values and increasing property transactions, the high-value and divergent price trends in nearby cities revealed a very different dynamic. Both scenarios, however, culminated in a show of strength embedded in a historic year.