“Southwest Michigan’s housing market sales in July 2025 were slightly higher than in June but were 12 percent lower than last year in July. Homebuyers benefited from lower selling prices in July compared to those in June. Selling prices reached their highest level compared to a year ago and for the last twenty years in the year-over-year comparison,” stated Luke Jeffries, Association Executive, Southwestern Michigan Association of REALTORS ® , Inc.
Jeffries continued, “The number of houses sold in July fell 12 percent to 264 from 299 in July 2024. Year-to-date, the number of houses sold increased 2 percent (1,549 vs. 1,516).”
The inventory of houses for sale grew 9 percent from July 2024 (1014 vs. 932). At the end of June, there was a 6.0-months supply of houses. This level increased from the 4.9-months supply available in June. This inventory level is what is available for homebuyers searching listings for sale across Allegan, Berrien, Cass, and the western two-thirds of Van Buren counties. For comparison, in July 2010, there were 3821 houses for sale.
In July 2025, the average selling price rose 10 percent to $424,997 from $387,290 in July 2024 and surpassed the average selling price of $385,028 in May. In 2025, June holds the record for the highest average selling price at $430,096. Year-to-date, the average selling price increased 15 percent ($418,170 vs. $364,240).
The median selling price in July 2025 increased 8 percent to $318,500 from $295,000 in July 2024. Year-to-date, the median selling price rose 7 percent to $290,000 from $270,000 in July 2024.
The median price is the price at which 50% of the homes sold were above that price and 50% were below.
The Freddie Mac mortgage rate in July was 6.72, down from 6.77 in June, for a 30-year conventional mortgage. A year ago, the rate was 6.73.
The decrease in selling prices in July resulted in a 3 percent decrease in the total dollar volume for the month compared to the same period last year ($112,199,356 vs. $115,799,923). The year-to-date total dollar volume jumped 18 percent ($647,746,006 vs. $551,231,145).
The number of bank-owned or foreclosed homes as a percentage of all transactions remained the same as June at 3 percent, with eight houses. The previous low percentage was 0 percent in July 2021, and the highest percentage was 35 percent in July 2009.
Nationally:
Existing-home sales increased by 2.0% in July, according to the National Association of REALTORS® Existing-Home Sales Report. The Report provides the real estate ecosystem, including agents, homebuyers, and sellers, with data on the level of home sales, prices, and inventory.
Month-over-month sales increased in the Northeast, South, and West, and fell in the Midwest. Year-over-year, sales rose in the South, Northeast, and Midwest, and fell in the West.
Total existing-home sales, which were completed transactions that include single-family homes, townhomes, condominiums, and co-ops, increased 2.0% in total sales month-over-month to a seasonally adjusted annual rate of 4.01 million in July.
“The ever-so-slight improvement in housing affordability is inching up home sales,” said NAR Chief Economist Lawrence Yun. “Wage growth is now comfortably outpacing home price growth, and buyers have more choices. Condominium sales increased in the South region, where prices had been falling for the past year,” said NAR Chief Economist Lawrence Yun.
“Near-zero growth in home prices suggests that roughly half the country is experiencing price reductions. Overall, homeowners are doing well financially. Only 2% of sales were foreclosures or short sales – essentially a historic low. The market's health is supported by a cumulative 49% home price appreciation for a typical American homeowner from pre-COVID July 2019 to July this year,” Dr. Yun continued.
“Homebuyers are in the best position in more than five years to find the right home and negotiate for a better price. Current inventory is at its highest since May 2020, during the COVID lockdown.”
The median existing-home price for all housing types in July was $422,400, up 0. 2% from one year ago ($421,400) – the 25th consecutive month of year-over-year price increases.
In the Midwest, existing-home sales decreased 1.1% month-over month to an annual rate of 940,000, up 1.1%. year-over-year. The median price in the Midwest was $333,800, up 3.9% from July 2024.
First-time buyers were responsible for 28% of sales in July, down from 30% in June and 29% in July 2024.
Individual investors or second-home buyers, who make up many cash sales, purchased 20% of homes in July, up from 14% in June and 13% in July 2024.
Cash sales accounted for 31% of transactions in July, up from 29% in June and 27% in July 2024.
The total housing inventory registered at the end of July was 1.55 million units, up 0.6% from June and increased 15.7% from July 2024 (1.34 million). Unsold inventory sits at a 4.6-month supply, down from 4.7 months in June and up from 4 months in July 2024.
About
The Southwestern Michigan Association of REALTORS ® , Inc. is a professional trade association
for real estate licensees who are members of the National Association of REALTORS ® and
ancillary service providers for the real estate industry in Allegan, Berrien, Cass, and Van Buren
Counties. The Association can be contacted at 269-983-6375 or through their website at
www.swmar.com.
The National Association of REALTORS ® is involved in all aspects of residential and commercial
real estate. The term Realtor ® is a registered collective membership mark that identifies a real
estate professional who is a member of the National Association of REALTORS ® and subscribes
to its strict Code of Ethics. For free consumer guides about navigating the home buying and
selling transaction processes – from written buyer agreements to negotiating compensation – visit
facts.realtor.
Southwestern Michigan Association of REALTORS
-
Luke Jeffries Chief Executive Officer
- August 26, 2025
- (269) 983-6375
- Send Email
