December 9, 2025 | Real Estate Market Update for Northville, Novi, South Lyon, Plymouth and Metro Detroit | Insights by Jeff Duneske, Northville Real Estate Agent by Jeff Duneske

by Jeff Duneske

What the Latest National Data Means for Our Local Market
Today’s national housing data highlights three major themes that carry real weight for homeowners and buyers here in Northville, Novi, South Lyon, Plymouth and across the Metro Detroit region. Monthly mortgage payments for movers have surged, demand for 2026 buying remains strong, and national home price growth has cooled to the lowest level in more than a decade.

Taken together, these trends create a market that is firming up, becoming more balanced, and rewarding buyers and sellers who plan thoughtfully and move with intention.

Why Monthly Payments Are Holding Many Owners in Place
Realtor data shows that the gap between what current homeowners pay and what they would pay if they moved has grown dramatically. For the typical homeowner, the monthly payment would jump from about $1,291 to more than $2,236. That is a 73% increase and nearly $1,000 more each month.

This is the lock in effect at work. Many owners are sitting on ultra low pandemic era mortgage rates of around four percent. The idea of trading that payment for something almost double creates understandable hesitation.

What this means for Metro Detroit homeowners:

• Decisions today are driven by life changes, not just market timing
• Right sizing, renting out an existing home, or relocating to more affordable areas may offer clarity
• Sellers who list now face less competition than in pre pandemic years, but buyers are more payment conscious than ever

For anyone planning a move in twenty twenty six, understanding your true payment difference is essential.

Strong Buyer Intentions Heading Into 2026
A new national survey shows that 88% of prospective buyers still plan to purchase a home in 2026, even amid affordability challenges. Seventy-one percent say the current market has delayed their plans, but they have not given up. Many are simply waiting for slightly better affordability or more options.

Community, safety, and lifestyle remain top priorities. More than half of buyers prefer suburban living, while a significant majority say they are willing to pay more for neighborhoods with strong community engagement.

For Northville, Novi, South Lyon and Plymouth, this aligns perfectly with what we are seeing:
buyers want walkability, parks, schools, and convenience. Those qualities continue to fuel demand in our local communities.

Home Price Growth Has Slowed, Signaling a Much Needed Rebalancing
National home price appreciation slowed to about 1.1% year over year in October, the lowest rate since 2012. Thirty-two of the one hundred largest metros experienced annual declines as affordability pressures persisted.

The national median home price is $395,000, and an income of nearly $88,000 is required to comfortably afford it. Inventory is higher than it was last year, and some of the once hottest markets are now cooling, especially in Florida, Texas, and parts of the West.

What this means locally:

• Metro Detroit remains more stable than many coastal markets
• Price growth has cooled but remains steady due to solid demand
• Buyers benefit from slightly more choice, while sellers still see strong activity on well prepared homes

If you are planning a move next year, this softer price growth can create opportunity on both sides of the transaction.

How Today’s Conditions Shape Your Next Move
Across Metro Detroit, we are now in a market that rewards clarity, preparation, and good strategy. Buyers are active again. Sellers still hold meaningful advantages when their homes are priced and presented with intention. The extreme imbalance of earlier years is behind us, and a healthier rhythm is returning.

Here is how that shows up for you:

For buyers
• More inventory than last year
• More room for negotiation in some situations
• Less intense competition compared to the peak years
• The ability to be thoughtful about neighborhoods, schools, and lifestyle fit

For sellers
• Demand remains steady
• Move in ready homes still outperform and attract strong offers
• Pricing ahead of the market is risky in a climate where buyers are payment sensitive
• High quality marketing, staging, and positioning remain essential

Whether you are navigating retirement, right sizing, divorce planning, or helping aging loved ones, this balanced market allows you to make decisions with more confidence and less pressure.

How to Move Forward in Today’s Market
The big message from this week’s data is straightforward.

• Demand is strong
• Inventory is higher than last year
• Price growth is cooling
• Monthly payments remain the biggest challenge for movers
• Buyers and sellers who plan ahead are the ones succeeding

If you want to understand how these trends impact your specific home, neighborhood, or price point, I am here to walk you through the numbers with clarity and care. Together, we can design a strategy that matches your timing, your goals and your next chapter.

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Jeff Duneske, Northville Realtor® Keller Williams Advantage
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