Gateway Village Novi MI 2014 year in review sales report!
2014 was an amazing year in Gateway Village real estate! There were 10 Gateway Village condo's sold and 13 Leased in 2014. First we'll present an accounting of the Sales for the year then work our way through the Leased Condo's for the year.
The Perna Team is again proud to announce both the highest and lowest price per square foot sales for Gateway Village 3 years in a row!!
Sellers: For our seller on 25562 Portico Lane we were able to secure a final price per square foot of $150.17. That's $6.5 higher then ANY other agent, or in real dollars $7358 HIGHER then the NEXT agent that sold a condo in the complex!
Buyers: For our Gateway Village condo buyers we were able to get a seller down to $108.81 per square foot. The average price per square foot in the complex for 2014 was 125.82. This is $30,600 below the average sales price in Gateway Village.
As the Team Leader I'm happy to celebrate with both our great agents that made these sales possible!
Here is the year in review update on all 10 condo's:
Days on Market
Price Per Square Foot
41639 Tera Lane
41602 Hamlet Lane
25566 Portico Lane
41606 Hamlet Lane
25510 Portico Lane
25562 Portico Lane
25618 Portico Lane
41616 Hamlet Lane
25596 Portico Lane
41660 Tera Lane
Looking at the data deeper the larger condo's are still lagging in price per square foot vs the smaller condo's in 2014. I think we'll see this come together in 2015 as there have been a diminshing number of properties over the last 90 days, and as well, falling interest rates through the holidays putting pressure on buyers to make their move.
Going into 2015 Appraisals will continue to be a problem for Gateway Village, as the slow winter sales coupled with rising prices will cause there to be a jump in sales price vs. a slow incline. Fannie Mae and Freddie Mac, as well as U of M has predicted 2015 to see the largest number of sales year since 2003. That said there are several marketing tactics as well as appraisal tactics we've used over the past 2 years to both cause appraisals to come out higher then they should, and as well committing buyers to paying more then the current appraised value. To go over these in detail please don't hesitate to call a Michael Perna Team Realtor anytime at 248-886-4450.
What does it all mean to me here in Gateway Village in 2015?
There will be 3 very real impacts on owners or potential owners for Gateway Village
1) With lower interest rates in the short term, cost of living will go down, buyer buying power will go up. Over all effect for the Novi condo community. More buyers causing condo prices to rise
2) Rising condo prices will allow some owners who haven't had the ability to refinance without PMI to do so now. with rates back below 4% AND the rise in prices, there will be the ability for some to potentially shave hundreds off their monthly bill.
3) Values will move up, however it won't outpace the Novi MI Real estate market, but meet it. If you're a family looking to make a lateral move, this will not effect you. If you've considered moving up into a neighborhood such as Island Lake, Bradford of Novi, Barclay Estate, or into any of the Northville Neighborhoods (Northville Hills, Woodside Village, etc) NOW IS THE TIME. Here's why using rough numbers: If the condo goes up in value 10% from a round number of 200k to 220k that 20k more when time to sell. However that next home that is now 400k will go up 10% as well to 440k. This is a net loss as a buyer of 20k. The mortgage needed will be 20k higher and it will cost the person selling their Gateway Village Condo and buying their next home an extra $90 per month, $1080 per year and $10,800 over 10 years not including the 20k difference in price. Waiting to move up will cost current owners tens of thousands of dollars.
Please read further for additional Gateway Village sales data below as we dive a little further in-depth into the 2014 Year.
The listings in this analysis can be summarized as follows: Listing Price between $160,000 and $200,000 Selling Price between $155,000 and $205,000 2 to 3 Bedrooms 2.00 Full Bathrooms 1,132 to 1,860 Square Feet $106.99 to $154.59 per Square Foot $109 to $150 per Sold Square Foot Year Built between 2000 and 2007 years 6 to 123 Cumulative Days on Market
Gateway Village Novi Condo's Leased in 2014
2014 was a strong year for leasing in Gateway Village outpacing sales by 3 and with lease rates ranging from $1,250 to $1,900 per month investors jumped on the band wagon. Out of 10 sales, 4 of them were cash investors that turned around and leased their purchased condo's same month. Lease rates started the year in the 1400 range, and with the exception of one condo at 1250 per month rose in aver to over 1500 per month by the end of the year. Also Gateway Village boasted an exceptionally low day on market as well.