Detroit outperforms the neighborhoods....by a mile

[SammyS]

I would also venture to say that downtown and neighboring inner city areas are amongst the most expensive in all of Michigan with prices hovering around the $300-$400/sqft.

https://detroit.curbed.com/2019/1/22...-neighborhoods

[DetroitSoldier]

I bought a home in the city in 2018. The individual appraisal process was a bit concerning because the values can vary so much from block to block and even home to home. The city just has no continuity for home values compared to other cities.

But these reports are encouraging. Even though I have major concerns about the lack of affordable housing downtown, the fact that values are rising at a very good rate through most of the rest of the city is very encouraging for homeowners.

[Worldsgreatest]

Well, basically the whole city is rising in value. downtown was the first to get the ball rolling so not surprised it is where it's at now.

[Dexlin]

Yes, let's keeping up this framing. It's super helpful.

[ABetterDetroit]

This is excellent news.

That said, what new owner occupied housing has been built new in the downtown lately? There isn’t exactly a lack of empty lots that could handle some new construction mid rise condominiums with ground floor goodies.

One tower at the Riverfront and a few dozen on top of the Book Caddy and the Park Shelton are not enough. Downtown would benefit from more high rise residents with deep pockets 365. Especially if one would like to see more retail options blossom.

[poobert]

How is this excellent news? You have a 10 square miles of [[relative) glitz and then 130 of largely ghettofied, stagnant, hopeless bantustan. I mean, better than 2010 when both areas were depressed but what these numbers are telling me is how badly the rest of Detroit is faring. And the title says it all - "Detroit" faring better than the "neighborhoods." What a crock of shit. There is more to "Detroit" than downtown - just don't ask this board!

Oh and price per square foot is $441 in downtown Ann Arbor before anybody gets too excited.

[DetroitSoldier]

How is this excellent news? You have a 10 square miles of [[relative) glitz and then 130 of largely ghettofied, stagnant, hopeless bantustan. I mean, better than 2010 when both areas were depressed but what these numbers are telling me is how badly the rest of Detroit is faring. And the title says it all - "Detroit" faring better than the "neighborhoods." What a crock of shit. There is more to "Detroit" than downtown - just don't ask this board!

Oh and price per square foot is $441 in downtown Ann Arbor before anybody gets too excited.

I think everyone acknowledges that downtown's outpacing of the neighborhoods is concerning but it is not unexpected. Homeowners like myself are thrilled to see values rising. One of the biggest question marks when you buy in this city is "will my home retain its value" and this proves that the return is a positive one, and much greater than I think most people would have expected. The big surprise is not downtown, but the percentage of the city that saw gains, and how strong they are.

[EGrant]

Daily Detroit did a good podcast on this, and covered some of the nuances of this data. https://www.crainsdetroit.com/constr...l-construction

Essentially, Detroit had 15x less mortgages than the national average per 100 people.

[iheartthed]

I would also venture to say that downtown and neighboring inner city areas are amongst the most expensive in all of Michigan with prices hovering around the $300-$400/sqft.

https://detroit.curbed.com/2019/1/22...-neighborhoods

2009-2012 would have been such an amazing time to buy downtown. Talk about missed opportunities...

[masterblaster]

This is excellent news.

That said, what new owner occupied housing has been built new in the downtown lately? There isn’t exactly a lack of empty lots that could handle some new construction mid rise condominiums with ground floor goodies.

One tower at the Riverfront and a few dozen on top of the Book Caddy and the Park Shelton are not enough. Downtown would benefit from more high rise residents with deep pockets 365. Especially if one would like to see more retail options blossom.

The micro-apartments at 28 Grand is a new 10-story construction mixed-use building. Also, new construction is at a fever pitch in Brush Park, and buildings like The Scott were just built within the last 1-2 years as well.

There is a new building in Lafayette Park as well - DuCharme Place, and demolition is taking place to make way for more Lafayette Park residential construction. The new Hudson's building will have plenty of residences.

But you are right, there are still plenty of empty lots to build new residential.

[dtowncitylover]

But you are right, there are still plenty of empty lots to build new residential.

Except the Illitches aren't going to give them up for chump change.

[SammyS]

2009-2012 would have been such an amazing time to buy downtown. Talk about missed opportunities...

Started looking early 2013 but got yanked around on a few deals. Finally picked something up in 2015 and again in 2017.

Many were saying prices were a rip back in 2010. Same are saying they still are. When the same guys start saying it’s time to pour in, I’ll consider pulling out

[SammyS]

More news on home appreciation
https://www.detroitnews.com/story/ne...18/2644219002/

2013-2014

2018-2019

[ABetterDetroit]

The micro-apartments at 28 Grand is a new 10-story construction mixed-use building. Also, new construction is at a fever pitch in Brush Park, and buildings like The Scott were just built within the last 1-2 years as well.

There is a new building in Lafayette Park as well - DuCharme Place, and demolition is taking place to make way for more Lafayette Park residential construction. The new Hudson's building will have plenty of residences.

But you are right, there are still plenty of empty lots to build new residential.

I was being specific about new owner occupied residences in the downtown.

Apartments, yes. There are several new ones like the examples you mentioned and even more planned.

Owners of condominiums show a longer term commitment then apartment renters. Property owners bring more stabilization long term to a real estate market. I’m not implying that renters are bad just that a balance of owners and renters is important.

[Seven&wyo]

I don't know about the new developments, but Lafayette Park and a lot of older condos have insane HOA fees. Upwards of $1000.00 if not not. I'd be all in on buying a condo at a reasonable price, but fuck that.

[ndavies]

I don't know about the new developments, but Lafayette Park and a lot of older condos have insane HOA fees. Upwards of $1000.00 if not not. I'd be all in on buying a condo at a reasonable price, but fuck that.

Are you talking about condos with $1000 HOA fees or Co-ops? There is a difference between Condo and Co-op HOA fees. Condos don't include property taxes in the HOA fees, Co-ops include property taxes in their HOA fees. So a Co-op with a higher HOA fee may be a better buy than a condo with a much lower fees. 1300 E Lafayette is a coop building hence it's very high HOA fees.

[Bham1982]

I don't know about the new developments, but Lafayette Park and a lot of older condos have insane HOA fees. Upwards of $1000.00 if not not. I'd be all in on buying a condo at a reasonable price, but fuck that.

Older highrise buildings will have high HOA fees. It's generally unavoidable. Stuff is always breaking, you have unionized staff, and vintage buildings need to keep up with newer product.

[Bham1982]

Oh and price per square foot is $441 in downtown Ann Arbor before anybody gets too excited.

It's an improvement. And no one expects anywhere in Detroit to have the property values of Ann Arbor [[or Birmingham or Northville) type places.