We have been saying for months, that the mortgage market meltdown happening across the country right now is not Michigan’s biggest problem. Our biggest problem is the loss of about 5,000 Michigan residents last year and thousands of jobs.
Now for the rest of the story….
1. The Accident Fund Company announced yesterday that they are planning on converting the old Board of Water & Light Ottawa Station into their national corporate headquarters. The plan is part of a redevelopment agreement reached with the city and state.
This move will create over 500 jobs and revitalize a much needed downtown business district. With the help of the Michigan Economic Development Corp. and the 21st Century Jobs fund this will be one of many more moves to continue to grow the Lansing area.
2. Michigan State University received a $50 million grant for alternative fuel research which is estimated to create 100 or more jobs between Wisconsin and Mid-Michigan.
3. General Motors is at full speed at their new Delta Township Plant with three shifts running full time and the demand for the crossover vehicles is rising.
4. GM suppliers like Android Industries, Bridgewater Interiors and Magna Powertrain combined want to hire more than 300 people, according to Capital Area Michigan Works, which is helping some suppliers find workers. (Source: Lansing State Journal)
5. Despite all of the doom & gloom in the media, did you know that the unemployment rate in the Lansing area is only 5.7% as of August. Compare that to Grand Rapid’s rate of 5.9% and the rest of the state at 7.4% (source: BLS).
6. Home values in mid-Michigan are faring better than the rest of the state. From Aug. ’06 to Aug. ’07 the home values in Detroit declined 31.8%, Flint declined 10.1%, Lansing declined 3.6% and Grand Rapids declined 4.2% (source: Michigan Assoc. of Realtors) compared to a statewide average of -6.4% and a nationwide average of -4.2%.
What does all of this have to do with Real Estate? We believe that this is the best time to consider moving up. Yes, you may need to lower the price of your current home or look at selling later but let’s quantify the loss AND the gain and see if it makes sense. A lot of our recent clients have gained a lot more than they’ve lost.
I have been helping my clients evaluate land contracts and lease to purchase options along with traditional methods to sell their home in order to take advantage of a discounted purchase. I can help you take all of the complexity of this type of situation and simplify it. Contact me to discuss your situation, it could be better than you think.