January 2011 Ann Arbor Condo Market Update

Based on the month's supply of units, the Ann Arbor Condo market, in general, is holding steady and is considered a balanced market. This is mainly because condos under $200k are in a sellers market, especially condos under $100k which have only a 2 months supply. The $200k-$300k market is considered to be in a buyers market, with an 8.6 months supply. Once you get into the over $500k market, things drastically change to a complete buyers market and only 4 units have sold in this price range in the last year. The rental market is very strong, as sellers are choosing to rent their units and are very successful with this. The months supply is at a very low 1.3.

Ann Arbor Condominium Statistics for January 2011

Although inventory is considered to be low, in order to sell Ann Arbor area condos still have to be in excellent condition and priced competitively Even with limited choices, buyers are not willing to make compromises. With so many condo owners being upside down on their mortgage, I see the market inventory remaining tight for the foreseeable future with many choosing to rent out their units instead of sell.

In the real estate market, if there is less than a 5 months supply of condos on the market, you are in a seller's market. A 5-7 month supply of condos is a balanced market. Anything over 7 months is a buyer's market.

Check back here each month for a new market update, and as always, if you'd like to find out more details about your Ann Arbor Condo community, give us a call at 734-761-3060 today!

Posted Friday, February 25, 2011 by Martin Bouma
Tags: market update, Ann Arbor Condos, Ann Arbor Condominiums, Market Statistics