2025 SWMI & National June Housing Market Slips From Robust Sales in May

“Southwest Michigan’s housing market sales in June 2025 slipped from the gain in May but were 5 percent higher than a year ago. Homebuyers found selling prices to be significantly higher than in June 2024.” stated Luke Jeffries, Association Executive, Southwestern Michigan Association of REALTORS ® , Inc.

Jeffries continued, “The number of houses sold in June increased 5 percent to 252 from 239 in June 2024. Year-to-date, the number of houses sold increased 4 percent (1,267 vs. 1,217).”

The inventory of houses for sale fell 8 percent from June 2024 (817 vs. 889). At the end of June, there was a 4.9-month supply of houses. This level dropped from the 5.7-month supply available in May. 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 June 2010, there were 3679 houses for sale.

In June 2025, the average selling price skyrocketed 23 percent to $430,096 from $348,530 in June 2024 and surpassed the average selling price of $385,028 in May. Year-to-date, the average selling price increased 7 percent ($382,018 vs. $357,757).

The median selling price in June 2025 grew 18 percent to $324,471 from $275,000 in June 2024. Year-to-date, the median selling price rose 15 percent to $304,925 from $265,000 in June 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 June was 5.89, down from 6.89 in May, for a 30-year conventional mortgage. A year ago, the rate was 6.86.

The increase in selling prices in June elevated the total dollar volume 38 percent compared to the same period last year ($115,273,609 vs. $83,298,761). The year-to-date total dollar volume leaped 22 percent ($532,382,589 vs. $435,431,022).

The number of bank-owned or foreclosed homes as a percentage of all transactions increased to 3 percent (8 houses) from 2 percent (6 houses) in May. The previous low percentage was 1 percent (2 houses) in June 2024, and the highest percentage was 36 percent in June 2009.

Nationally:
Existing-home sales decreased by 2.7% in June, 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, price, and inventory. Month-over-month sales declined in the Northeast, Midwest. and South and rose modestly in the West. Year-over-year, sales fell in the Northeast and West, while rising in the Midwest and South.

Total existing-home sales, which were completed transactions that include single-family homes, townhomes, condominiums, and co-ops, decreased 2.7% in total sales month-over-month to a seasonally adjusted annual rate of 3.93 million in June. There was no change in sales year-over-year.

“The record high median home price highlights how American homeowners' wealth continues to grow - a benefit of homeownership. The average homeowner's wealth has expanded by $140,900 over the past five years,” said NAR Chief Economist Lawrence Yun.

The median existing-home price for all housing types in June was $435,300, up 2% from one year ago ($426,900) – a record high for the month of June, and the 24th consecutive month of year-over-year price increases.

In the Midwest, existing-home sales decreased 4% in sales month-over month to an annual rate of 950,000, up 2.2%. year-over-year. The median price in the Midwest was $337,600, up 3.4% from June 2024.

First-time buyers were responsible for 30% of sales in June, unchanged from May and up from 29% in June 2024.

Individual investors or second-home buyers, who make up many cash sales, purchased 14% of homes in June, down from 17% in May and 16% in June 2024.

Cash sales accounted for 29% of transactions in June, up from 27% in May and down from 28% in June 2024.

The total housing inventory registered at the end of June was 1.53 million units, down 0.6% from May and increased 15.9% from June 2024 (1.32 million). Unsold inventory sits at a 4.7-month supply, up from 4.6 months in May and 4 months in June 2024.