Icy Hot - Plymouth, Michigan

Plymouth, Michigan is one of the oldest communities in Michigan. The population of 10,000 lives in an affluent and active community. Downtown is built around Kellogg Park. The clock tower next to the park is a highly recognized town symbol. In nice weather, the park abounds with people walking their dogs or dining at one of the many locally owned restaurants built around the park.
But in January, bundle up and adopt a faster pace as you walk among the exquisite ice sculptures. Some are sponsored by companies or schools. Many of the sculptures take your breath away (if the cold hasn’t already done so.) Some, like the sculpture incorporating all the Scooby Doo characters along with the big dog himself make you point and say, “Look at that!” Many of the dining spots and shops have sculptures outside their business; for example, a mortar and pestle outside the drug store. And Michigan always seems provide plenty of cold weather for this event.

And if it’s too darn cold, duck into one of Plymouth's many charming shops that offer special and unique gifts. Or step into the Book Cellar and Cafe for an array of books, magazines, or a relaxing lunch. Or if it’s just coffee you crave, choose the Plymouth Coffee Bean Company, Starbucks, or Panera. The choices are endless. Locally owned restaurants such as Compari’s, the Box Bar, Fiamma Grill, and more are situated right around the park; as is the 336 Main Martini Bar.There is also a special shop for items made in Michigan.
Many other restaurants, ethnic and American, and pubs are close to downtown Plymouth; too many to mention. For a very special treat, have tea at Sweet Afton’s Tea Shop and enjoy scones with cream and other delicacies.
Go to www.doplymouth.com for a complete listing of eateries, stores, and more!
The Plymouth-Canton school district is also a big draw. A progressive and highly ranked district, its campus is well-equipped and beautiful!
Many of Plymouth, Michigan's inhabitants live in charming homes within walking distance of Kellogg Park. But even those not lucky enough to live a walk or bike ride away can choose from many tree lined subdivisions. Real estate in Plymouth has always been strong, as this is a very popular place to live. Homes range from old to new, every style and type.
Plymouth, Michigan is located in Wayne County and is an active and liveable community with much to offer all ages.
And frankly, if the cold is not your thing, stick around for Plymouth’s summer Art Fair. It’s worth the wait!

(Photos of Clock and downtown Plymouth used courtesy of Greg Smith and may not be reproduced.)

Wisteria Lane Has Nothing on Detroit

You heard us! Say it loud, we’re from Detroit, and we’re proud!
It’s true, the metro area boasts many beautiful communities with lovely homes and graceful lawns; where neighbors really do stroll down the street to visit. (Thankfully, you will not find as much of the drama as you do on Wisteria Lane. But for a look at Real Estate One’s own version of the “Desperate Housewives”, check it out below!



What a lovely group! There is Sara “I was sitting at my desk, minding my own business” Leach, Christy “what was I thinking?” Smith; Clint “Ms Hospitality” Wheeler, Kathy “Go Buckeyes!” Spieker, and Danielle “Wolverine Woman” Dorsch. Who wouldn’t want to come here to live?

But that’s not all! The rest of Michigan is no slouch either. Come take a drive heading north. You’ll be amazed at the many beautiful lakes in Michigan, even in the metro Detroit area there are more than we can mention here. The drive north is truly a feast for the eyes in any season. From the thumb to the Upper Peninsula, Michigan boasts recreation of every kind and more beautiful views than you can imagine.

Summer brings out flowers galore throughout Michigan; in every community throughout the state. It also brings out the boaters who drink in the sunlight and take every free hour they can muster to live the lake lifestyle. The fishing (which they also do in winter, we might add) may fill the body; but Michigan’s beauty will feed the soul.

Fall speaks for itself with hardwood trees everywhere displaying beautiful fall hues. This is a great time to get good golf deals at the many golf resorts throughout Michigan. And if a member of your party is not a golfer; they can enjoy the spas or great restaurants.

Winter brings out skiers, snowboarders, and snowmobilers from all over. And why not- Michigan dressed in white is stunning. The white birch forests are starkly beautiful in the winter. And following a day of fun in the snow comes evenings with hot chocolate and roaring fireplaces- indoor pools, too, if the snow didn’t provide enough exercise.
One Web site you might want to visit is www.upnorthmichigan.com where you can find resorts and getaways throughout our beautiful state.

At www.realestateone.com, you can look at properties for sale throughout Michigan. Lakefront homes or hunting cabins, and everything in between are available with a click!

Real Estate One in Michigan Takes the Polar Plunge In a Big Way

Come on in, the water's- WOW- 35 degrees!Even so, 23 intrepid Real Estate One employees and agents made the plunge into the Detroit River on a cold February Saturday. A large crowd of supporters was there to cheer them on. Who says Michiganders don't know how to have a good time during the frozen winter!
Last year, Stuart Elsea, our intrepid President of Financial Services, lost a bet and took the plunge- the only plunger from Real Estate One. But this year, after months of urging, cajoling, badgering, and (we hear) even DOUBLE DOG DARING, 23 plungers jumped into the frigid waters.



Below is just our list of jumpers and their outrageous costumes. Our team raised over $13,000!! Woo hoo! That's half of the total for the day.
Plungers and cheerleaders met at the Detroit Boat Club (a gorgeous old building that needs restoring - just a hint!)Then the plungers (85 in all) paraded past the cheering crowds in a wild array of costumes! Real Estate One was definitely no slouch in this department. Josh Lowry of the accounting department won first place, with his costume called "Wash Tub Bather". He used striped suspenders to hold up a wash tub with white balloons that looked like bubbles. Long johns and a fancy shower cap finished off his costume. After the plunge, he pretended to scrub his back with a big brush! President Dan Elsea and managers Dave Reese and Tony Camilleri dressed up as the "Three Amigos", sequined jackets, sombreros and all. Patrick Novak won fourth place as John McEnroe.

Conne Terova wore her business suit to please her supporters who put her in first place with $2200. Candice Elliot was a sassy "Cat in the Hat" attended by Bianka Bailey and Sara Leach as Thing 1 and Thing 2. Other costumes included Ken Zak dressed as Robin Hood, Larry Bsharah braving it in a toga, and Marc Reneau, hilarious as a schoolgirl. Three Happy Feet Penquins made the plunge, scoring a third place prize for their costumes. They were managers Mary Nicole, Kathy Solan (who won third for fund raising with $1200), and Robin Finegan. Managers Suzanne O'Brien and Al Melfi made a charming pair as Sandy and Danny from "Grease".
Clint Wheeler was a show stopper in his purple plush suit. Randy Repicky was a scruba diver who jumped twice, taking a hot toddy with him the second time, a gift from a crowd member. Jill Polenz wore a "fake bikini t-shirt" and jumped with Rebecca Fallin, dressed as a Real Estate One sign.
AND there was one SURPRISE JUMPER- Stuart came back for a repeat jump. He wore a Pistons uniform, shedding his pink wig and tights, for a sportier look!













People are already being recruited to jump next year! Start warming up now; although the jumpers say that water was fiiiine!

Detroit - Getting Great Attention from National Press

Some good things are happening in Detroit. The New York Times and The Washington Post separately listed Detroit as a “must see” destination for travelers in 2008. The casino, Book Cadillac and Detroit Institute of Art restorations (see our separate blog on the DIA). Of course, The Henry Ford, Greenfield Village, and the Rouge River Plant Tours should rank right up there, tooIn Bloomfield Hills, the Cranbrook Institute offers top flight educational programs as well as exhibits and so much more. Check out their site: http://www.cranbrook.edu/

The price of airfare is more reasonable out of Detroit compared to other large airports. Always a bonus in the winter when we Detroiters go in search of sun!

Detroit has so many suburbs that are like small towns within themselves. We will continue to feature some of these towns on future blogs.

Now for the “not so sunny” news. The housing market is down 6.4% nationwide! But housing (being a non-moveable commodity) is still up in some areas and down far more than the national average in others. Michigan is in the “down more” category, although the figures vary widely from suburb to suburb. One interesting statistic is that 25.5% more homes were sold in the city of Detroit last year. Prices, however, had dropped significantly and foreclosure sales were way up.

Many predicted the “housing bubble burst” years ago. When the average price home is out of reach financially for families making the average salary, the market is out of balance and will correct itself eventually. The good news for Michiganders is that if you take a loss on a home here, you’ll make it up on the home you buy elsewhere.

The sub-prime collapse and slowing real estate sales are pulling the entire country into a slump. Other segments of the economy are holding steady and haven’t shown much change, so Wall Street should rebound. Confidence is the key, and people do not expect to “ever” lose money on a house. So confidence is in short supply, because man’s castle may no longer be his home.

BUT there is some good news…Our Relocation America almost set a record last year with 937 sales. Many of those families were relocating out of Michigan but certainly not all of them!

Our Websites continue to grow! We attracted a million unique visitors last year. Surf the net for properties in other cities. Dealing with other Web sites makes ours look that much greater! On ours, you don’t have to register to look. Our Customer Care department runs a Live Chat and also spends the day on the phone calling back people with questions or interests in some of the properties. Most other cities, you have to register before you can view properties; and you have to sift through a ton of Web sites before you find one that is fairly comprehensive.

Just How Bad Is The Detroit Real Estate Market?

Everyone is asking this question along with the follow-up- “What will happen in 2008?” The first question has two levels; the raw numbers and the underlying activity and energy behind those numbers. The raw numbers do not look that bad, showing our markets down overall by 5-11% in terms of unit sales. And in fact the market shows somewhat better in terms of units if you add leases into the count. In many markets, with leases added in, there were actually more unit sales in 2007 vs. 2006.

It is the energy it took to put those sales together and the home value shift which generates the second part to the “just how bad is the market” question. This downturn is the most significant in the past 30 years, not because the market is off so much (the unit drops were as big or bigger in 1991 and 1981) but that homeowners are in a different position. With higher leverage and less equity, negotiations become tighter and foreclosures more frequent, which cause home values to fall more, resulting in a downward value cycle we have not seen before. In spite of this downward value pressure, there are more buyers than in prior downturns (but more listings as well) and the buying opportunities are also at a level most of us have never seen before.

Another core reason for the feeling that the market is way off is the draw of bank owned homes. We are still running over 30% of pending sales from bank owned listings (but only 15% or so of total listings). The result is the non-bank owned home market is actually off 30% or more. Combine that with the number of unmarketable homes for sale (sllers are unable or unwilling to move to the price point required to sell their home),and you can get a lonely feeling some days.

The market has also supercharged the significance of the internet in home marketing. It has become the ultimate sorting process to help buyers through the inventory choices. Curb Appeal has to a major degree been replaced by Web Appeal.

What about 2008? The positive trends are, 1) after nearly three years, sellers do understand the market and either are pricing for the market or in many cases taking their home off the market,)2)we are all much better at working with the market, handling short sales, using the web to display our properties and setting an effective pricing strategy, 3) the word is getting out that, if you can find a way, buy a home now.

There are two main negative trends; our economic climate and home values. Our economy will not change dramatically in 2008, but beyond it will move from being a drag to a positive influence (abeit a slow growing one). Prices will continue to fall this year and most likely into 2009. Does this mean as a buyer you should wait until 2010 to buy? Attempting to time the market has never worked well in stocks or real estate. In spite of the choices, houses are not like stocks and bonds. Each is unique so there is no guarantee that perfect home will be there when the market is “perfect”.

What is the best advice for a Seller for 2008? Foreclosures are your competition. Be aware of those that compete with yours and remember you have an advantage. In general, foreclosures do not compare on condition and “user friendliness” in terms of offers and negotiations. However you will still need to price within the same range as the competing foreclosure homes. Overall, regardless of condition, you should be pricing your home as one of the five lowest in your competing market.

What is the best advice for a Buyer in 2008? Don’t forget about the other 80% of the market. Foreclosures may offer the best price, but a non-foreclosure may offer the best value in terms of condition and price. Look for those homes with recent price reductions, they indicate a flexible seller. Also, with mortgage credit issues still lingering, make sure you have a solid pre-approval before you start shopping.

Keep in mind that there has never been time when our clients needed our services more. Transactions today can be more emotionally draining, but they are also more rewarding, either helping buyers achieve a once in a life time opportunity or helping a seller out of a significant crisis or in many cases both in the same sale.

Here are our numbers for the year, again for over 40 years more than any other broker in the state of Michigan.
Full Year 2007
Sales Volume for 2007 (Closed Transactions): $2.45 Billion
Number of Homes Sold/Leased: 14,025
Number of Unique Visitors to our Web Sites: 1.15 Million
Number of Buyers visiting our Open Houses: 48,498
Number of Showing Appointments for our Listings: 169,710
Number of Mortgage, Title and Insurance Policies closed: 6,725

Our agents did a remarkable job adjusting to our market. We gained market share at a time when most of our competition did not. Our company successfully shifted the approach to selling real estate and is poised to have some great success in the upcoming year.

Birmingham - A Walkable Community

Birmingham, Michigan (MI) has been selected as one of the most "Walkable Commnities" in the U.S.A.

If you get a chance to visit and see the quaint, upscale stores that line downtown Birminghamm, take a day and stroll. You will certainly have a memorable experience.

Homes match the rythmn and style of the community. Real Estate One and its "boutique brother" Max Broock Realtors currently have 272 homes listed in just the city of Birmingham.

Upscale homes like this line city streets, many built as far back as the early to mid 1800's. Many of the homes are within walking distance of the charming downtown Birmingham area. Luxe shops along with trendy restaurants, coffees bars, and theaters define downtown Birmingham. Residents love the mix of entertainment and home life the community offers.

But even now, with Michigan's challenging economy, Birmingham is not an inexpensive place to live.

The average home was listed at $690,000 and average sales were running at $325,000.

The median income for the city of Birmingham is $100,000 and their schools score high on national tests.

The population is just below 20,000 which gives this Detroit suburb a small town feel.

Oddly enough, the town was founded in 1818 by four men with a joint vision. Elijah Willets, Benjamin Pierce, John Hamilton, and John West Hunter named Birmingham after England's great industrial district. Instead of seeking rich farm land, they wanted to build a manufacturing based economy. By 1860 the industrial base was gone, and Birmingham was morphing into the residential/professional/retail community it is today.

The population tends to the young side; 35% are between the ages of 25-44; 26% between 45-65. They are also well educated. Over 38% hold bachelor's degrees and 25% have earned masters' degrees. Not surprisingly, Birmingham's public and private schools score high on standardized tests at all levels. Over 98% of high school graduate in this upscale town.

An active downtown draws residents and non-residents. With theaters, museums, and shopping, Birmingham, Michigan is a great place to spend a little time!

Currently Birmingham has a 23 month supply of homes for sale. Real estate there is similar to other communities in Michigan. Areas are carrying a higher listing inventory than usual, and prices are sliding. But if you are in the market for a home, never has choosing Birmingham cost you less.

For more information, visit their Web site at http://www.birmingham.mi.us/. For a list of downtown activities, check out http://www.enjoybirmingham.com/.

Why Detroit Is A Great Place to Live - DIA

Detroit offers a wealth of culture and entertainment. The newly renovated Detroit Institute of Arts (DIA) is a steal at $8 per person. You are greeted by radiant disks suspended from the ceiling; they look like thousands of twinkling lights. The museum itself is an architectural treasure. Its extensive collection offers a variety of art styles and artists and boasts many originals including Van Gogh's self portrait. Of course there is a "no touch" rule in place, but you can get up close and personal with the artwork; so you can admire each brush stroke or pen strike. (Did you know that some historians think Van Gogh had Meniere's Disease and cut off his ear in a vain attempt to stop the constant roaring in his ear?)

The DIA hosts many special events, some free with admission and some with extra fees.Friday Night Live, the museum stays open to 10 p.m. So grab a bite, enjoy live entertainment, drop in workshops, or a tour of the fantastic museum. Recently, The Dance Project of Holland, Michigan performed a dance choreographed to represent the painting "The Garden of Earthly Delights."

Entertainment varies greatly as artists from all media perform.Target sponsors Family Sundays with art classes for all family members included in the price of admission. Brunch with Bach is another popular wintertime tradition.

You can also buy year long memberships. There are a number of sponsor levels available, but an individual membership can be purchased for $65 or a companion membership for $80. There are discounts for students and senior citizens. What's not to like?

So if you are moving to Detroit, put a big smile on your face. The Detroit Institute of Arts is only one of many attractions that make the metro area a GREAT place to live!

Keep checking back in! There is more to come on sports, real estate, autos (of course), education, and music in the Motor City!

(Photos used courtesy of Greg Smith and may not be reproduced.)

A Company Perspective - September

Market activity for the first three quarters of this year has been a bit of a rollercoaster. September sales and closings were down in most every metro area market mostly as a result of two factors, the mortgage crisis that cause many sales to be stopped or postponed and, locally, the UAW negotiations. Having reacted to both in August and September the market seems to be picking back up to the pace of spring and early summer, which is about an 8-9% drop in unit sales compared to 2006, net of leases. Including leases, the actual number of real estate transactions in 2007 will only be off 2-3% from 2006.

In the national news home sale rates are getting a lot of press as the numbers are beginning to show double digit drops and rising inventories (i.e. they are all beginning to look a lot like us). The national numbers do not affect us dramatically except if your clients are moving out of state, they can get some great deals. Those sellers on the fence to buy their retirement home will see no better time than now. The national market may also create an additional motivating factor for our sellers. There does loom the potential for a national recession (a mild one, but none the less a slowdown) as a result of the real estate fall out. Which means if your seller needs to sell, get it priced right now, since a national recession will have an effect on our housing market as well (although less than other markets).

Good news for our web marketing. The National Association of Realtors hired a firm, Comscore, to do national “Neilson” type ratings of web sites across the country. You will be pleased to know that RealEstateOne.com (to which all our sites are tied) was the 22nd most viewed broker site in the country. Considering Michigan has not been the economic center of the country in the past year, those numbers are pleasantly surprising.

A Company Perspective - August

Real Estate One and its Family of Companies, is the largest independent broker in Michigan. Following is their company results for August which will reflect what is happening in SouthEast Michigan real estate:

August sales showed some effects of the mortgage market upheaval, dropping about 10% off the pace we have seen for the past six months. The effects of the mortgage market will continue for the balance of the year as the markets stabilize. Our metro area will not be as affected by the reduction in mortgage money as other markets, but we will see some changes. With the average home value in excess of $400,000, California has been hit the hardest (much of that market was down 40% in August) with the drying up of Jumbo Loan money. For our market, Buyers for the lower priced markets will shrink, particularly in the city of Detroit. The city had shown some sales strength the last few years, fueled by the availability of easy mortgage money. The inevitable results of that excess has been the spike in foreclosures. As I indicated last month, the middle upper-end ($500,000 to $800,000) will remain softer as those jumbo loan buyers sit on the fence until interest rates stabilize. The upper end in excess of 1 million has been on the rise since spring of this year after falling in the fall of 06’. The comeback of the upper end has always been a good economic sign. Also, the Grosse Pointe market is showing signs of life, again they tend to be a leading indicator. Overall, we will appear to “bounce” off the market bottom over the next six to eight months as we work through the mortgage market stabilization and our local economy settles down. Predicting the true market bottom is difficult; we won’t really know it until after a recovery is well on its way.

Also, year to date, the number of leases has risen from nearly 6% of total units to 12%, reaching close to 20% for the month of August. The percentage of leases, like the percentage of vacant homes, are indicators of the direction of the market. For vacant homes, the percentage is running in excess of 40%, with a stable market in the 20-25% range. When both percentages begin to fall, our market will be on the rise. It is interesting to note that our company average sale price is only off 3.5% so far this year (taking out leases). Home values are certainly off more than that (over 10% this year) but our small drop shows the relative strength of the over 1 million market and weakening of the under $200,000 market as the exotic mortgage products dried up. Again, keep in mind we have the mortgage products to keep your transactions together. We can’t fix bad credit, but we can make sure those with mortgagable credit are not squeezed out of the market.

What are you seeing in your area? When do you predict a turn-around in real estate?