The six-county Northwest market has been busier this year, with total closed sales up 4% year-to-date compared to 2024. Prices overall are essentially flat, rising just 2%, but the three property types show very different patterns.
Non-waterfront homes have led the way, with sales up 7% and values up 4%, reflecting steady demand for year-round housing. Waterfront properties, the most seasonal segment, saw sales rise 5% but average prices drop 5% as activity shifted toward more moderately priced inventory. Condos have been the weakest spot, with sales down 6% and values barely positive at +1%.
Monthly results underscore the unevenness. Non-waterfront closings surged in May and June with double-digit gains in both activity and values, and July remained strong (+18% YOY sales, +16% values). Waterfront and condos were more volatile, spiking in June but sliding in July, with condo sales down 25% and values off 20% year-over-year.
Although trailing last year’s pace, the frequency of price reductions is on the rise. As second half inventory becomes “picked over” an increasing number of sellers will need to adjust through the second half of the year. Despite strong demand, buyers are becoming more selective, forcing sellers to adjust pricing when properties don’t stand out.
Looking ahead, Northwest Michigan is likely to follow its familiar seasonal slowdown as summer peaks pass.
Overall, 2025 closings should finish above last year, with non-waterfront homes continuing to provide stability. Prices will remain flat to slightly softer overall, especially in the waterfront and condo markets, as inventory builds and more listings require adjustments to meet buyer expectations.
