By Karla Amaya-Leone

What does $250,000 get you in Michigan right now? Even with interest rates rising, many Michigan markets are still selling for above-asking prices. Check out these three from West Michigan:

400 Marietta St NE, Grand Rapids, MI 49505
4 bedrooms 1 ½ bath 
Listed for $200,000; sold for $250,000

400 Marietta in Grand Rapids’ growing Creston Neighborhood did something that many people think is odd: When it hit the market, the listing required that “any and all offers must be submitted by [date/time].” 

This is becoming more common, and something buyers should prepare for. Why do sellers do this? The main reason is to give many interested buyers a chance to see it before it sells. In this market, every buyer is pulling out all the stops – like waiving inspections, for example. Collecting all offers by a deadline ensures sellers don’t get stuck with buyers who pull out of the deal during an inspection period, or who have buyers’ remorse after seeing another house.

400 Marietta listed on May 18 for $200,000. All offers were due on May 23, and in the end, it sold over asking, at $250,000.

Quick Facts About Michigan’s Real Estate Market:

  • Michigan mortgage rates are 1 basis point higher than the national average today, July 7.
  • The current statewide average 30-year fixed mortgage rate decreased 9 basis points since last week – from 5.41% to 5.32%.
  • For 15-year fixed mortgages, rates have dropped from 4.48% to 4.41%.
  • The average 5-year ARM rate is down 42 basis points – from 5.08% to 4.66%.

Source: Zillow.com

59 E 35th St, Holland, MI 49423
4 bedrooms, 1 bath
Listed for $229,900; sold for $250,000

59 E. 35th in the Maplewood Neighborhood of Holland hit the market with major charm pushing it onto buyers’ lists. Much of its original character remained, it’d been well cared-for, and it’s on a large corner lot with a huge backyard. Anything that wasn’t up-to-date was easy to imagine renovating, so buyers didn’t feel overwhelmed by potential projects. After multiple offers, the home – which listed for $229,900 – sold for $250,000.

2367 Harding Ave, Muskegon, MI 49441 
3 bedrooms, 2 bath
Listed for $199,900; sold for $250,000

Here’s one that went fast and high – and it makes sense. In the Lakeside neighborhood of Muskegon, which is near Lake Michigan and fun restaurants, this house could be a year-round home, a cottage, or a weekend rental. It listed for $199,900 and sold quickly for $250,000.

It’s a great time for sellers. But what should buyers know?

  1. If the home you want just hit the market, be prepared to offer more than list price.
  2. Try not to get attached to one house. On average, it can take five or more lost offers to eventually win one.
  3. Find yourself a knowledgeable agent and lender. This is a major purchase, and it’s important to find a guide you have confidence in.
  4. In my experience, no matter the demand, Michigan goes through seasonal shifts – especially near the end of summer and during the holidays. That’s not to say you won’t be facing competing offers, but as the summer wanes and kids start school, home buyers have less time to shop around. That means instead of being one of 15 offers, you could be one of five – not perfect, but better. 
  5. Pay attention to homes that have been on the market for a couple weeks or that have passed the offer deadline. Buyers often think there’s something wrong with the house, but that’s not always the case. The house may have been overpriced to begin with, or the seller’s moving plans may have shifted, changing their timelines. As I always say, it’s worth asking your agent to get the scoop. 

Karla Amaya-Leone is a freelance writer and a Realtor with Edison Brokers + Co. in Grand Rapids.