Cheryl Grant

In 2009, Grand Rapids ranked 5th in this study produced annually by the National Association of Home Builders. For the 4th quarter of 2011, Grand Rapids ranked 32nd, with 89% of the homes on the market affordable to the median income of $59,500. That demonstrates a more balanced, stabilizing market in Grand Rapids, where a buyer can enjoy great amenities and good value, but a seller can also position themselves to earn or recapture a return on investment. So we’re pleased we’re not at the top — or the bottom — of the affordability list!

- From The Daily Real Estate News, Reatlor.com

Housing affordability rose to a record high during the fourth quarter of 2011, which means a home buyer’s purchasing power is greater than it ever has been before, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index.

The index showed that 75.9 percent of all new and existing homes sold in the fourth quarter were affordable to families earning the national median income of $64,200, according to the index. That marks the highest percentage recorded in the index’s 20-year history. (more…)

Our local real estate board, GRAR, recently released statistics for Grand Rapids in January. The new year signaled a very strong start in the residential real estate market. Not only did we have a significant increase in the number of homes sold in January from a year ago, the time on market dropped from an average 90 days to 76 days. This means homes are selling faster. Furthermore, there was a slight increase in the average home sales. Prices were up about 2% from a year ago.

Historically January is a slow month in residential real estate. That was not the case this year. There is and continues to be a very high buyer demand with lower than normal inventory. If this continues the trend of higher prices and fewer days on market will likely continue. In fact, the early numbers for February indicate the market will continue to improve.

If you’re thinking about listing your home, going to market when inventory low is a good business decision. Contact me if you’d like assistance. When inventory is tight, it is equally important to have a skilled and deeply experienced buyer’s agent in your court if you’re looking for a new home.  With my ABR designation, I’d be happy to help you navigate the burgeoning market rebound!

If you’d like to view the GRAR report, plead download this PDF: GRAR_January_2012