Inflation Impacts Property Taxes With Highest Increase Since 2007
/in Detroit, Grand Rapids, Northern Michigan, SE Michigan, Western Michigan /by Tracy WillisMichigan homeowners can expect to see bigger than normal increases in their summer property tax bills. Thanks to this year’s inflation, many need to prepare for even bigger hikes next year. The inflation rate adjustment for this year’s property taxes is 3.3%, the highest it has been in 15 years. The rate is the maximum increase in taxable value that can apply this year to Michigan homes that haven’t changed ownership or seen additions to the property. The multiplier hasn’t been over 3% since 2007. Inflation’s impact on food and gas prices are obvious to consumers, but its impact on property taxes can be unexpected and somewhat hidden.
Rising Mortgage Rates Cool Detroit’s Housing Market
/in Detroit, SE Michigan /by Tracy WillisRising mortgage rats have calmed metro Detroit’s housing market this summer. Inventory continues to be tight and is inhibiting a more “normal” market. According to agents, many sellers are still getting multiple offers and selling above asking price, buyers have a bit more leverage can sometimes knock a listing’s price down a bit. There has been a slight increase in the number of listings, but the number is still lower than what is needed. Bidding wars still occur, but are happening at somewhat lower prices than before. Increasing mortgage rates are impacting buyer’s budgets. Last year, a 30-year, fixed mortgage was 2.9%. Last week the average was 5.7%. That adds more than $300 to monthly mortgage payments.
Michigan-Based Development Firm Acquires Affordable Housing Portfolio
/in Grand Rapids /by Tracy WillisThe Michigan minority- and woman-owned development firm, Ginosko Development Company, along with New York-based L+M Development Partners, has secured a nine-property portfolio in Michigan that includes 1,640 units. One of the portfolio’s properties includes Coventry Woods, a West Michigan senior apartment complex. The rest of the portfolio properties are in Detroit, Saginaw, Pontiac, Canton, Center Line and Monroe. Over half the units are for seniors. Seven of the nine properties have Department of Housing and Urban Development Section 8 contracts, and two are restricted to households at or below 60% area median income.
Long Awaited Demolition on Detroit Building Begins
/in Detroit, SE Michigan /by Tracy WillisThe Gateway Center building, across from the Westin Book Cadillac hotel, is being demolished. Plans for the demolition have been known as far back as 2016. The upper exterior on its western side was removed by Thursday afternoon. The demolition is expected to be finished by August. Owner Richard Karp indicated that he wanted to do a mixed-use development back in 2016. He declined to comment on the recent activity. Entities linked to Karp’s Lansing-based Karp and Associates development firm paid $700,000 for the building in 2013.
Historic Downtown Building Changes Hands in $5.9 Million Deal
/in Detroit, SE Michigan /by Tracy WillisThe historic Merchants Building in downtown Detroit has sold in an off-market deal for $5.9 million. A party linked to Detroit-based Method Development LLC bought the building last month. Method will share full development plans for the project in the near future. Broadway Merchants LLC bought the building in 1996. The building was listed in 2014 for $4 million, but never traded hands. Method has been active in other parts of the city, as well.
Ann Arbor Rezones For High-Density Downtown Area
/in SE Michigan /by Tracy WillisThe city of Ann Arbor has rezoned over 200 acres by Briarwood Mall with the intent of developing a high-density downtown area. The West Stadium and North Maple area may be next. The rezoning is meant to increase housing density along transit corridors and commercial development, creating a more pedestrian-friendly area. Feedback on the idea has been mixed. City officials are looking for more input and will hold a virtual webinar over Zoom at 7 p.m. on Tuesday, June. 14.