2020 Market Overview

“Landlords grow rich in their sleep without working, risking or economising”
– John Stuart Mill

The median home value in Detroit-Warren-Dearborn Metro is $180,039. Detroit-Warren-Dearborn Metro home values have gone up 3.8% over the past year and Zillow predicts they will rise 4.1% within the next year.

The median list price per square foot in Detroit-Warren-Dearborn Metro is $125, which is higher than the Michigan average of $124.

The median price of homes currently listed in Detroit-Warren-Dearborn Metro is $179,900. The median rent price in Detroit-Warren-Dearborn Metro is $1,125

Source: Zillow

The median home value in Flint is $25,135. The median home value in Flint Metro is $131,856.

Flint Metro home values have gone up 7.0% over the past year and Zillow predicts they will rise 4.0% within the next year. The median list price per square foot in Flint Metro is $103.

The median price of homes currently listed in Flint Metro is $149,950. The median rent price in Flint Metro is $775

 

Detroit Metro and Flint Metro are VERY affordable!

In Detroit Metro and Flint Metro neighborhoods where Turnkey REI invest the average price of 3 bedroom properties is only around $28,000. This being much lower than the national average.

In the Detroit Metro and Flint Metro areas where Turnkey REI invests the average monthly rent for 3 bedroom single family houses is $600-$700. Turnkey REI offers about 20% CAP on their properties which is higher rent-to-purchase ratio than most other avenues of investing.

In January 2012 the median price of 3 bedroom homes in Detroit Metro was $104,000. From 2012 to 2019 (in a 7 year period), homes in Detroit had at least 3 bedrooms appreciated in value by over 97%. This is over 75% faster than the national average. 

Educated Millennials are far more attracted to Detroit than similar cities across the nation. This is due to Detroit’s amazing history in the arts (Primarily Jazz). Millennials are able to afford living in Detroit all the while engaging in revitalizing Detroit and its amazing history and arts.

We see Tesla continuing to make their mark in the Detroit Metro area. Alongside Amazon and Ford in the past few years. 

Then we have many investors like yourselves and Dan Gilbert who is investing billions in redevelopment and expansion. Detroit looks to be headed into a big and bright future!

  • Employment growth in the Information Technology (IT) industry cluster has been significant and is projected to continue. Technology’s ability to fulfill society’s increasing dependence on information and interconnection hascontributed to the cluster’s emergence. Most jobs in the cluster require an advanced level of education and have relatively high wages.
  • The IT industry cluster has seen a 25.0 percent increase in employment since 2009. Like much of the economy, this cluster lost a significant number of jobs during the Great Recession, but has since shown employment growth above the state average.
  • The median hourly wage of IT workers ($41.54) is close to two and a half times the statewide median hourly wage. Wage growth in IT since 2009 has been similar to Michigan’s statewide growth rate.
  • Jobs in IT have experienced significant growth since the recession, many occupations and industries in the cluster are projected to see double-digit growth through 2026.
  • Manufacturing is a vital part of the Michigan economy. Over 600,000 workers are employed in the Manufacturing cluster, ranking second only to Healthcare among major industry clusters.
  • The Manufacturing cluster has experienced significant expansion in employment since 2009, nearly doubling Michigan’s private sector rate of employment growth.
  • Nearly three in 10 of all workers in the cluster are in the subcluster of Auto Manufacturing. Close to 60,000 have been added to the subcluster since the Great Recession.
  • Michigan’s population is expected to rise to around 10.6 million by about 2040.

Sources:

Michigan.gov
Milmi.org

FLINT

A Company You Can Trust

With over 14 years of combined experience, we aim to provide the best investing experience possible!

If you’re interested in learning more about investing in Michigan, I would love to chat with you and answer any questions.

Simply click on the button “SCHEDULE A CALL” to chat with me!

 

Renata Velic

Co-Founder, TurnkeyREI.net