StockBIZ: Real estate shortage is being felt in Stockbridge and beyond

by Mary Jo David

Drive around Stockbridge and surrounding areas and you see plenty of political signs this month, but what you don’t see are many FOR SALE signs. A recent discussion with a Stockbridge resident prompted this month’s column focusing on the shortage of available real estate in the area.

To gain a professional perspective, the following real estate professionals shared their opinions for this column:

• The G.U. Crew Powered by Howard Hanna (Greg and Geri Uihlein and team). Offices in Chelsea, Ann Arbor, and Jackson (Ph: 734-644-0544) geriuihlein@howardhanna.com
• Susan Pidd, Realtor and Owner, Susan Pidd Realty, 220 W. Main St., Stockbridge (Ph: 517-775-1610) susanpiddrealty@gmail.com
• Jackie Scheller, independent broker at Performance Realty, Stockbridge (Ph: 734-707-8774) performancerealty@gmail.com

All acknowledged a definite shortage of residential real estate here in Stockbridge and beyond.

People in the Stockbridge area—whether buyers or sellers—are feeling the effects of a shortage of residential real estate in this community and beyond. Image credit: Tierra Mallorca, unsplash.com

Scheller elaborated: “The MLS indicates the lowest inventory in years. We generally have about three months of inventory available and today we have less than one.” (The Multiple Listing Service is a real-estate listing service used by many real estate firms.)

So what’s driving this shortage of real estate? Once again, all three professional sources are in agreement that people are hesitant to list their homes because they want to make sure they have somewhere to move to—and with the shortage, that’s becoming tougher.

“The aging population is staying in place more and people are savoring the low mortgage rates they already have,” explained agents from the G.U. Crew. This same team also pointed out that “landlords won’t sell because the rental market has been wonderful for investors over the last few years.”

Pidd’s perspective is, “People aren’t listing their homes for sale because they can’t find a home to purchase. We’re in a cycle that will continue…until we have more housing available in the area.” To that end, she has spoken with several developers about building more homes in the Stockbridge community. She mentioned the Eastbridge condominium development on Brogan Road and said, “I think this is just the beginning of what’s to come in the housing market in our area.”

“We also rely upon people moving into newly built homes, which frees up inventory,” Scheller noted, but she added, “Builders are way behind the curve, and the cost of building materials is a BIG issue.”

Some might guess that COVID-19 has negatively impacted the real estate market. While it was true that real estate sales slowed when offices were closed during the early part of the state shutdown, none of the experts interviewed for this article believe that COVID-19 is overly concerning to their clients who are listing and looking for homes now. They are all proactive about educating their clients on how to ensure safe showings and are handling many other tasks virtually. As the G.U. Crew said, virtual open houses and 3D walkthroughs have reduced the number of times people are going through homes.

The pandemic may actually have had a positive effect for those house hunters who are now able to work from home permanently.

According to Scheller, she hears from people who “are looking for good home office space in their next purchase.”

Per the G.U. Crew: “Home buyers have been re-evaluating the idea of having to be close to a city center for work. Areas such as Stockbridge, where you can get more home for your money, have become more viable options for them.”

But Pidd thinks that considerations like staying close to friends, schools, and activities, are more important to potential buyers. “People also want to live within a reasonable distance from local amenities such as a grocery store or pharmacy.”

It has been the pandemic that brought Randi Bergsma and her husband and two children back to the area temporarily from Los Angeles. She’s in grad school, and since arriving in Michigan in June to stay with family, she’s been taking online classes and her husband is working remotely from here. Both grew up in Michigan—Bergsma in the Chelsea area and her husband in Beverly Hills, near Southfield.

Although their current situations will likely necessitate them returning to L.A. for another year, Bergsma has had her eye on the real estate market throughout her stay here in Michigan. She spent a lot of time at her grandparents’ home in Stockbridge when she was growing up. Now, as she considers her own family’s possible desire for acreage, she mentioned, “Two things impress me that have improved noticeably around here: accessibility to high-speed internet and the ready access to the trail systems.”

“Now that I’m here, I’m amazed at all the biking/hiking trails. Back in L.A. we loved biking our neighborhood and the kids loved riding their scooters. I’m noticing here in Michigan that the bike paths offer plentiful, safe, and affordable recreation!”

As for high-speed internet, the budding social worker in her hopes the flexibility of working from home will open doors for higher-paying remote work in rural areas like Lyndon Township, Waterloo, and Stockbridge. “Hopefully then, young people who live in these communities and benefit from good school systems won’t feel the need to leave and not come back.”