Detroit-Livonia-Dearborn, MI
Local Market Report
Market Summary

June 2014. Economic growth has been negative for many years. Growth was negative in the past year, with big job losses in government and weakness in most other sectors. Unemployment is high. Expect more job losses the next few years.

With low home prices, Michigan markets were a center of sub-prime lending and massive foreclosures. Home prices fell for many years and are well below the income price, showing weak demand. Prices were up sharply in the past year on speculative buying of foreclosed property. The population has shrunk massively. Speculation in foreclosed homes will drive prices the next few years.

I expect home prices to increase 16% over the next three years. The market is currently under-priced -35% relative to income.

Home Price Change Download Historical Data to Excel Download Historical Data to Excel
Long-term Forecast Chart
Local Market Risk Premium Download to Excel Download to Excel
Risk Premium Chart
 

Detroit-Livonia-Dearborn
Job Growth Rate Download chart data to Excel Download to Excel
Job Growth Chart
Actual and Equilibrium Home Prices Download chart data to Excel Download to Excel
Download quarterly data to Excel Download to Excel
Actual and Equilibrium Home Prices and Forecasts
Local Capitalization Rate Download chart data to Excel Download to Excel
Investment Cap Rates Chart

Detroit-Livonia-Dearborn
Population Growth Download chart data to Excel Download to Excel
Population Growth Chart
Population Migration Download chart data to Excel Download to Excel
Migration Chart
Home Price and Rent Change Download chart data to Excel Download to Excel
Home Price and Rent Change Chart

Detroit-Livonia-Dearborn
Rent per Month Download chart data to Excel Download to Excel
Gross Rent Chart
Housing Permits Download chart data to Excel Download to Excel
Housing Permits Chart
Vacancy Rates Download chart data to Excel Download to Excel
Detroit-Warren-Livonia, MI (19820)
Vacancy Rate Chart

Detroit-Livonia-Dearborn
Employment by Industry Download chart data to Excel Download to Excel
Industry % of Total US % of Total Jul 2014 12-Month Job Growth US 12-Month Job Growth
Construction/Mining 3% 5% 20,200 +3.1% +3.6%
Manufacturing 11% 9% 78,300 -0.1% +1.5%
Finance 5% 6% 32,800 -4.4% +0.7%
Retail Trade 10% 11% 69,300 +1.2% +2.0%
Business & Prof. Services 16% 14% 116,100 +2.4% +3.5%
Health Care & Education 18% 15% 127,700 +0.5% +1.8%
Tourism/Hotels 11% 11% 75,700 +1.5% +2.6%
Government 11% 15% 80,100 -3.3% +0.5%
Total 100% 100% 706,200 +0.3% +1.9%

Unemployment Rate Download chart data to Excel Download to Excel
Unemployment Rate Chart
Financial Capitalization Rate Download chart data to Excel Download to Excel
Local Cap Rates Chart

Detroit-Livonia-Dearborn
Historical Local Investment Rating Download to Excel Download to Excel
Historical Rating Model
Home Price Forecast Accuracy Download to Excel Download to Excel
12-Month Forecast Chart