The Average Home Price in Detroit Falls to $12,669

According to the Michigan Association of Realtors (data here), the average sales price of a Detroit home fell to $12,669 in February (Year-to-Date), a -42.5% decline from the $22,016 average home price during the same period last year. 2009 year-to-date unit sales increased by 22.3% to 1,884 homes, compared to 1,540 Detroit homes sold last year over the same period.

For the entire state of Michigan, the average YTD home sales price has fallen by -31% to $85,892 through February 2009, compared to last year's average price of $124,618 for the same period.

See related Marginal Revolution post here.

Comments

[manya05:]

Location, location, location...people have finally woken up to what "rust belt" meant...it was about time.

2009 Apr 10 11:48 AM

[TBill:]

And, of course, the state government's solution is to raise taxes... MI has been poorly managed for so long.... chickens.... roost.

2009 Apr 10 03:03 PM

[HardwoodFlo...:]

Let's do ourselves a favor and trade Detroit for something in Canada. There is no reason for Detorit to exist. It's a vortex.

Besides trading or giving it to Canada, the best thing would be to give all the land to Steve Wynn and see what he can come up with.

2009 Apr 10 03:52 PM

[Allan Frain:]

The rest of the country should take note. Cling relentlessly to the status quo at one's peril.

2009 Apr 10 10:44 PM

[lefty37:]

Lets contnue buying non U.S. products until we are ALL just like Detroit! Example--- The new heavy oil pipeline piping made in India,
while our steel mills are shutting down. Good move, Lets keep it up.

2009 Apr 11 07:58 AM

[Paul Killinger:]

Must be the steepest fall on record.

I got to watch the '80's oil bust up close in the energy patch. But the outfall was nothing as compared to this.

It goes to show that despite massive government intervention in the marketplace, creative destruction will still have its way with us.

Over time, that's the healthiest thing that could happen for our future economic prospects.

But I can understand how the panic and carnage now taking place in peoples' lives has led them to wishing otherwise.

2009 Apr 11 09:37 AM

[Paul Killinger:]

Here's how you can fix MI starting today:

1. Get the feds to abandon their experiment with EV's and spend the money on subsidizing NGV's and CNG refueling instead.

2. Begin to inexpensively convert some 200+ million eligible ICE's to burn domestically produced NG in lieu of imported foreign oil. MI's manufacturing capability is a natural for that.

3. March on Washington to get this done. After all, what have you got left to lose except your $13,000 houses?

4. Millions of U.S. vehicle owners would back you up. It's in their economic interest, as well.

You could save yourselves and our country at the same time. And what could be better than that?

2009 Apr 11 09:56 AM

[Paul Killinger:]

Would the rest of the nation support paying you guys $28 an hour + benefits to save us from gas lines or having to go to war in the Middle East once more, which is where all this is inevitably headed?

You bet we would!!!

2009 Apr 11 10:03 AM