Good news! Rock bottom prices on real estate and an auto-industry come back means Detroit is bouncing back. Well, in some places. The signs of recovery depend on what area you are looking at. Here is the good news/bad news via Crain's:
· GOOD! Neighborhoods in the region where prices are gaining include Indian Village, the Boston-Edison area and Palmer Woods.
· BAD! Areas like Brightmoor, in northwest Detroit, and Delray, in the city's southwest corner, feature acres of dilapidated houses.
· Home prices in Detroit gained 7.2 percent in July from a year earlier, the city's biggest jump in more than a dozen years, according to the mortgage-data firm FNC Inc. · In the auto plants, new 24-hour operations translate into housing demand for a city that was as low as you can go.
· Home sales in metropolitan Detroit jumped 11 percent in August compared with a year earlier; the inventory of properties on the market in August fell 16.1. Foreclosures comprised 11.8 percent of the market and short sales 21.3 percent.
· The average home price in the city was $20,322 in July, according to the Michigan Association of Realtors, making it the cheapest urban market in the country.
So there you have it! We're back. Sort of. In places. Get your Palmer Woods palatial mansion before you have to pay regular mansion prices.
· Motor City revival means 14-fold return for home bet: mortgages [Crain's]