How have Detroit housing prices fared since the economic downturn? Two new reports show that while sale prices are still low compared to other cities, downtown prices are a world of their own.
Realcomp recently released its December 2018 numbers, with year-to-year comparisons. These numbers compare sale prices on the MLS, and find that Detroit median home sale prices have increased 150 percent since 2014.
In 2014, the median sale price for a Detroit home came in at only $14,000, while in 2018, that median moved up to $35,000. While prices are still very low on average compared to other cities, the increase in value is a welcome sign to homeowners.
The report also states that housing inventory is likely to improve into 2019.
Property Shark released its own report on housing prices this month, comparing how much downtowns cost compared to other areas in the city. While it’s widely known that downtown living in Detroit comes at a steeper cost than living in the neighborhoods, this report shows just how big of a difference it is.
While prices dropped significantly after the economic downturn, prices started rising sharply in 2013. Property Shark has the median home price in the city at $37,000, while the price to live downtown is a staggering $192,500 more at $229,250. The report states, “As such, this is one of the most noticeable differences between a city and its downtown area.”
The report showed a variety of cities across the country, with some downtown areas especially in California far less appealing than city neighborhoods.
Chicago came in with a huge price gap, with downtown prices $675,000 more than neighborhoods.
For this report, Property Shark looked at single-family residences up to fourplexes, plus condos, co-ops, and lofts.