Low mortgage rates and the growing demand for houses has create the perfect storm for sellers to take advantage of and seller in Grand Rapids, MI have not shied away from getting the most out of this opportunity.
While the average profit margin nationwide was 47.6% ($100,178) in Q3, Grand Rapids sellers so a median profit margin of 70% ($105,000). The median home price for homes in Grand Rapids in Q3 was $255,000. Compared to the other heavy hitting Metros in the country, this put Grand Rapids in the top 15 for median homesale profit (in Q3); right behind cities like San Jose, CA (71.0%) and Seattle, WA (72.8%). Boise, ID sits at the top of the list with a median homesale profit of 130.3% in Q3.
All data above provided by ATTOM Data Solutions. All U.S. metro areas with populations of at least 200,000 and at least 1,000 single-family home and condo sales in Q3 2021 were considered.
Taking a look at Kent County specifically, in October, the average home sale was $297,581, a 12.3% increase from October 2020. Not surprisingly, the supply of homes has not been able to match demand. Kent County only saw 880 new listings in October 2021, a 18.1% decrease from October 2022. For a majority of 2021, Kent County has seen 0.6 average months of inventory with the average days on market in October being just under two weeks (13 days).
All data above provided by Greater Regional Alliance of Realtors (GRAR).
What have we noticed? Sellers have been able to get the most of these market conditions in order to turn a considerable profit on their home. Investors have been able to capitalize on these conditions through the variety of potential investment properties going up for sale as owners are looking to take advantage of this market. Grand Rapids entertainment hotspots The B.O.B. and Live at 20 Monroe were recently listed for $15.5 million and $16.5 million respectively.
