Detroit, MI 48227 Real Estate Market Report

ZIP Code: 48227
Report Date: February 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

As of February 2026, the real estate market in Detroit, MI (ZIP: 48227) is characterized by a median sold price of $80,000, reflecting a stable yet cautious environment for buyers and sellers alike. The neighborhood has shown signs of resilience with a year-over-year price trend that is up, suggesting a potential for modest appreciation in property values. However, the market is experiencing elevated inventory levels, which may indicate a slower sales velocity and a more competitive landscape for sellers.

The median days on market stands at 180 days, signaling a prolonged selling period that could contribute to pricing friction. While the median listing price is $99,000, the gap between listing and sold prices highlights the challenges sellers face in aligning expectations with market realities. Overall, the market temperature remains neutral, indicating a balanced environment but with caution warranted due to the excess supply relative to sales activity.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

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Property Taxes

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Liquidity & Velocity

Note: A Sale-to-List Ratio near 100% can occur when properties sell at or near their final listing price after price adjustments during the listing period, even when initial listing prices differ significantly from sale prices.

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in the Detroit market around 5.875% are 0.78% lower than the 6.87% average seen a year ago, presenting a cost opportunity for recent borrowers.

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.

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Key Findings

1. The median sold price of $80,000 indicates a stable market, but the gap with the median listing price of $99,000 suggests potential pricing friction for sellers.

2. With 180 days as the median days on market, properties are experiencing slower sales velocity, which may impact buyer interest and urgency.

3. The median market rent of $1,629 reflects strong rental demand, contrasting with the slight decreases noted in the broader metro area, indicating potential investment opportunities.

4. The property tax rate of 1.73% is relatively moderate, which may enhance the attractiveness of property ownership in the area.

5. Current interest rate pressure is described as moderate, presenting a cost opportunity for buyers compared to the previous year's rates.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.