Suburbs of Detroit suffering??? (Westland, Farmington: mortgage, real estate, appraise)

[movingfromwestcoast]

I've heard the real estate in the suburbs of Detroit is slow....what's the ballpark figure below asking price that someone can offer? Are the houses listed in the $500 k really going for $100's k? I read an article about the market in this area and want truthful information. Thanks.

[khfar]

Well, we just bought a house in West Bloomfield, and we certainly didn't get it for $100K! I think that's all a little BS, actually. We did get the house for about $80K under the asking price, though.

From what the realtors have told us, people are pricing their homes at exactly what they think they can get for them. So, if they are asking $500K then they probably don't want much less than that. I do think that a year or so ago, they were pricing them much higher, which is why a lot of people think you can go in and offer $300K lower.

Did that make sense? I haven't had my morning caffeine yet!

[jeffncandace]

Originally Posted by movingfromwestcoast

I've heard the real estate in the suburbs of Detroit is slow....what's the ballpark figure below asking price that someone can offer? Are the houses listed in the $500 k really going for $100's k? I read an article about the market in this area and want truthful information. Thanks.

I don't think there really is a "ballpark". Real estate in Michigan is slow in general. Although it can happen, $500k homes don't usually go for $100k. That being said, you probably CAN easily get away with offering 10-20% less than what is being offered, depending on the price of the home. I have heard that homes under $200k are going alot quicker than homes over that amount. Also, people with high-end homes are trying to sit on them and outride the market.
Good luck!

[Angel Bear]

I have heard that homes under $200k are going alot quicker than homes over that amount. Also, people with high-end homes are trying to sit on them and outride the market.

I have heard those same things. We're getting ready to have a market analysis ourselves here

[jeffncandace]

Originally Posted by Angel Bear

I have heard those same things. We're getting ready to have a market analysis ourselves here

Keep us all posted!

[Meg Lesher]

I'm not in the market, but have read a lot about the real estate problem in Detroit and environs. People are stuck with mortgages they can't afford and are trying to bail out. But, like someone else noted, 10 to 20 percent under value is probably a good ballpark figure. I haven't read of any place selling for the low percentage this query referred to. I would caution people who are looking at moving to Michigan to make darned sure that they have a job first before they get here. It is absolutely true that there is little work to be had, even in degreed positions. (I'm a native, a professional, who sold my place in Arkansas and returned home, assuming I'd find something. It's been over a year and I haven't. Now I'm looking elsewhere.)

[saraht]

You can offer whatever you want!! I think you can get great deals right now! I'm not sure how much under asking price, but definitely offer lower than list price. We moved here when you had to pay full asking price and now it is not that way, but it will not stay that way for long. Buy now and you'll save a lot of money! Houses where we live in Grosse Pointe are extremely affordable now.

[michiganirish]

My businesses land lord is a real estate broker in Farmington, he told me the his business is down 25%. He has a block of condos at the $99 to $139K that has been on the market now for over a year. While you will be able to make an offer at lower than asking price (which is pretty common out here even in good times) there's no area that I know of that you'll find a $500K house for $100k.

My sister in law has a beautiful home in Westland, 3 bdrms, fireplc, new top of the line kitchen, finished basement, built-in pool (the kind you don't have to resurface), vinyl privacy fence etc... It was appraised at $179k a year ago, after a year on the market it is now going for $140k and she stil can not sell it.

The housing prices reflect the state of Michigan's economy.

[randomguymike]

Originally Posted by Meg Lesher

. It is absolutely true that there is little work to be had, even in degreed positions.

This is absolutely not true. As I mentioned in another post, my company has many degreed positions we can't find people to fill. My department (of 12 people) has 3 opennings of positions paying 70K+. Unless you're looking engineering or are looking for non-professional positions, the job market really isn't that bad. There's a ton out there for project management, accounting, and IT.

[michiganirish]

A degreed posistion for $70k? No wonder your employer can't fill the jobs. That's just a bit of sarcastic humour as most people with degrees feel they should receive a 6 figure income, especially if they have some experience in the field they are applying in.

Michigan isn't exactly teeming with people with project management, accounting, and IT experience or education, therefore if you are like my husband for example, 32 years of experience in the steel (auto related parts plants) industry. Quality management as well as production management, not in the big 3. He has the knowledge that a newly "degreed" applicant won't obtain for years. Because of the auto industries woes his company downsized and his job was eliminated. (The plant manager is now doing the quality manager's job) He has been out of a job for a year now, and not for lack of interviews, all out of state btw. Most of the companies want a degree, either in business or an engineering degree.

My neighbor's company closed over a year ago, he works with CAD (?)designing paint shops for auto companies. No permanent job yet, just contract jobs (also out of state) that last only 6 weeks, to 12 months.

Out of our group of friends and neighbors almost 1/4 of them have lost jobs and still haven't been able to find new ones.

SO, when you look at the big picture the job market here is bad for the majority of Michigan workers.