When purchasing your home, you need to know about the area that you are investing in. This is especially true when you are purchasing (or building) a higher-end home, because the demand for that home may be limited in some areas more than others. Whether your objective is to purchase the most square footage for the money, or to ensure the maximum resale value down the road, the following comparisons between locations will help you to understand the dynamics of market trends for homes that are over 3,000 square feet for some popular school districts in Oakland, Washtenaw, Wayne, and Livingston Counties (SE Michigan, Ann Arbor, Metro Detroit). 

Data description and limitations: 

• The following live market statistics represent statistics for single family homes sold that are over 3,000 feet in size. Data is updated monthly, directly from the MLS.
• Markets vary in the number of waterfront homes that are included. Waterfront properties tend to reflect higher home prices and price per square foot. The following data does not remove the affect of waterfront properties on the sales data. In other words, it includes all of the data for each market (both waterfront and non-waterfront homes).
• Included are the following schools, followed by their comparison group number(s) in parentheses:
  • Livingston County Schools: Brighton (1,2) Hartland (1), Howell (1), Pinckney (1)
  • Oakland County Schools: Bloomfield Hills (4), Huron Valley (2), Novi (3, 4), South Lyon (2, 3), Walled Lake (2)
  • Washtenaw County Schools: Ann Arbor (4, 5, 6), Chelsea (6), Dexter (5, 6), Saline (5, 6)
  • Wayne County Schools: Northville (3, 4), Plymouth-Canton (3, 5)

Insights

Disclaimer: The charts below represent live data from the MLS, updated monthly. The following summary represents the findings of the data trends at the time this was published, in March 2019.

• Group 1 (Brighton, Hartland, Howell, Pinckney): For these four Livingston County school districts, Brighton appears to have the most stable market for the larger homes, as reflected in both the average sales price and the average price per square foot, both of which continue to steadily climb. For market stability and return on investment, Brighton may have the edge. That being said, your dollar will go further in the other three markets.
• Group 2 (Brighton, South Lyon, Huron Valley, Walled Lake): These four neighboring schools districts (Livingston and Oakland Counties) all demonstrate consistent and relatively uniform increases in average sales price for this home category (Brighton and Huron Valley slightly outpacing South Lyon since 2016). Likewise, the increases in price per square foot are remarkably similar in their trajectory, demonstrating consistent home value increases in each market. 
• Group 3 (Novi, South Lyon, Northville, Plymouth-Canton): We are seeing a slight flattening out of home prices in Novi, Northville, and South Lyon, and while Plymouth-Canton is still a bargain in comparison, the growth in average sales price and average price per square foot is outpacing their pricier neighbors. The average price per square foot makes it clear: there is a premium price for Northville properties, and Novi also demands a premium for location. Your housing dollar will go further in South Lyon and Plymouth-Canton school districts.
• Group 4 (Ann Arbor, Novi, Northville, Bloomfield Hills): In comparing these four premium school districts, the average price points for larger homes in Northville and Novi look like a pretty good value when compared to Ann Arbor and Bloomfield Hills. This can reflect a larger range of luxury homes in the Ann Arbor and Bloomfield Hills markets. When you consider price per square foot, Novi is the bargain of the group. It's notable that the price per square foot in Bloomfield Hills has increased over the past year, and is now in the same ballpark as Ann Arbor, even with its significantly higher average selling price during the same period.  
• Group 5 (Ann Arbor, Dexter, Plymouth-Canton, Saline): These are all strong markets for this category. Ann Arbor is costly, but there are great options nearby to consider for someone who works in Ann Arbor. 
• Group 6 (Ann Arbor, Chelsea, Dexter, Saline): Similar to group five, these are all strong markets and great options for someone who works in Ann Arbor. The dramatic increase in average sale price in Chelsea may indicate an influx of home sales in this category. 

For all markets, working with a knowledgeable Realtor to ensure that you do not overspend for the neighborhood and location is key. For more information or insight, to discuss this data, or to discuss your next move, contact me at 1-888-58-LAURA. 

-Laura Abramson

You may also be interested in:

• Live market statistics by home size - Livingston County
• Live market statistics by home size - Oakland County
• Live market statistics by home size - Washtenaw County
• Live market statistics by home size - Wayne County
• Other market statistics

Group 1 Schools Districts: Brighton, Howell, Hartland, Pinckney - Average Sale Price - homes 3,000+ square feet

Group 1 Schools Districts: Brighton, Howell, Hartland, Pinckney - Average Price per Square Foot - homes 3,000+ square feet

Group 2 School Districts: Brighton, South Lyon, Huron Valley, Walled Lake - Average Sale Price - homes 3,000+ square feet

Group 2 School Districts: Brighton, South Lyon, Huron Valley, Walled Lake - Average Price Per Square Foot - homes 3,000+ square feet

Group 3 School Districts: Northville, South Lyon, Novi, Plymouth-Canton - Average Sale Price - homes 3,000+ square feet

Group 3 School Districts: Northville, South Lyon, Novi, Plymouth-Canton - Average Price Per Square Foot - homes 3,000+ square feet

Group 4 School Districts: Ann Arbor, Northville, Novi, Bloomfield Hills - Average Sale Price - homes 3,000+ square feet

Group 4 School Districts: Ann Arbor, Northville, Novi, Bloomfield Hills - Average Price Per Square Foot - homes 3,000+ square feet

Group 5 School Districts: Dexter, Plymouth-Canton, Ann Arbor, Saline - Average Sale Price - homes 3,000+ square feet

Group 5 School Districts: Dexter, Plymouth-Canton, Ann Arbor, Saline - Average Price Per Square Foot - homes 3,000+ square feet

Group 6 School Districts: Dexter, Chelsea, Ann Arbor, Saline - Average Sale Price - homes 3,000+ square feet

Group 6 School Districts: Dexter, Chelsea, Ann Arbor, Saline - Average Price Per Square Foot - homes 3,000+ square feet

What's the difference in home value of a 3-bedroom vs. a 4+ bedroom home of the same size? I thought it would make sense to see what the difference is, and to break it down BY HOME SIZE. There are two sets of data. The first set compares average sale price for 3-bedroom homes vs. 4+ bedroom homes BY HOME SIZE. The second set shows average price per square foot BY HOME SIZE.  

Limitations

In creating the following charts, I did not have the option to compare 3-bedroom homes with 4-bedroom homes. Therefore, the closest I could do is 3-bedroom homes vs. 4-or-more-bedroom homes. Keep in mind that as the home size increases, we are more likely to be including more homes with 5+ bedrooms in the comparison. Still, I feel that these statistics are useful.

What the numbers show

Disclaimer: The charts below represent live data from the MLS, updated monthly. The following summary represents the findings of the data trends at the time this was published, in March 2019.

For the Ann Arbor / Washtenaw County market, having an extra bedroom for the same home size does increase the home’s value, both in sale price and cost per square foot. And while some people may see this as something obvious, this does not apply in other areas, such as neighboring Oakland County. The high cost per square foot in Washtenaw County, and the large rental population likely come into play as we see the “beds and heads” rule applies: the more people who you can accommodate in the dwelling for sleeping quarters, the more valuable the space. This rings true even for smaller homes, whereas in areas not dominated by the “beds and heads” rule, buyers favor better use of space (larger bedrooms, bathrooms, or common areas).

That being said, the data trends becomes less clear in the 2600-3000 square foot range. It’s important to acknowledge that this data is more likely to represent homes throughout the county, and therefore be more heavily influenced by the outlier areas that are less focused on university housing (such as Saline, Dexter, and outlier townships). To be sure, we would need to take a closer look at the data for each specific area. Homes over 3000 square feet clearly favor more than three bedrooms. Not only is there more space to accommodate a fourth bedroom, but in larger homes we are more likely to be comparing a 3-bedroom home with a home that has five or more bedrooms.

You may also be interested in:

• Oakland County - Impact of number of bedrooms on home values
• Livingston County - Impact of number of bedrooms on home values

Comparing average sale prices of 3 vs 4+ bedrooms by home size - Washtenaw County MI

For homes in 1200-1499 square foot range

For homes in 1500-1749 square foot range

For homes in 1750-1999 square foot range

For homes in 2000-2199 square foot range

For homes in 2200-2399 square foot range

For homes in 2400-2599 square foot range

For homes in 2600-2799 square foot range

For homes in 2800-2999 square foot range

For homes over 3000 square feet

Comparing average selling price per square foot of 3 vs 4+ bedrooms by home size - Washtenaw County MI

For homes in 1200-1499 square foot range

For homes in 1500-1749 square foot range

For homes in 1750-1999 square foot range

For homes in 2000-2199 square foot range

For homes in 2200-2399 square foot range

For homes in 2400-2599 square foot range

For homes in 2600-2799 square foot range

For homes in 2800-2999 square foot range

For homes over 3000 square feet

At what point does it make sense to steal space from that 4th bedroom to do something else with the square footage?

Or, to rephrase, what's the difference in home value of a 3-bedroom vs. a 4+ bedroom home of the same size? I thought it would make sense to see what the difference is, and to break it down by homes size. After doing many CMA's of 3-bedroom vs. 4-bedroom homes, my theory was that it would make little difference for smaller homes, but there might be a threshold in home size after which a 4th bedroom might offer a premium overall. 

I have compiled the following data and presented it BY HOME SIZE. There are two sets of data. The first set compared average sale price for 3-bedroom homes vs. 4+ bedroom homes BY HOME SIZE. The second set shows average price per square foot BY HOME SIZE.  

Limitations

• Not all square footage is created equal. It really does depend on what you are going to do with the extra space. A buyer may see a lot of value in a master bathroom that can comfortably accommodate a king-sized bed. A buyer may also see a lot of value in a 2nd-floor laundry room if all of the bedrooms are on that floor. A buyer may not be thrilled with a 4th-bedroom turned custom closet, if adequate closet space is already available.
• In creating the following charts, I did not have the option to compare 3-bedroom homes with 4-bedroom homes. Therefore, the closest I could do is 3-bedroom homes vs. 4-or-more-bedroom homes. Keep in mind that as the home size increases, we are more likely to be including more homes with 5+ bedrooms in the comparison. Still, I feel that these statistics are useful.

What the numbers show

Disclaimer: The charts below represent live data from the MLS, updated monthly. The following summary represents the findings of the data trends at the time this was published, in March 2019.

The days of the four-bedroom home bringing a premium price may be behind us. At the time of publication, these numbers show that four-bedroom homes are typically selling for LESS than the same-sized three-bedroom homes. In addition, the price-per-square-foot is higher on average for three-bedroom homes than for four-bedroom homes. There are several potential reasonable explanations for this:

• Bedroom space is cheap, but the opportunity cost is high. Three-bedroom homes have the luxury of allocating more space to areas such as kitchens or more luxurious bathrooms, which cost a premium when compared to a plain old fourth bedroom (likely a contributing factor in the higher price per square foot of 3-bedroom homes). And most homeowners are recognizing those spaces as valuable (higher average sale price).
• Even allocating that space towards larger closets or a well-placed office or den ("flex space") can provide value that homeowners who can forego the fourth bedroom appreciate.
• Buyers who need that fourth bedroom may be willing to sacrifice more luxurious spaces for the needs of their family. A more practical choice is often necessary, if a fourth bedroom is needed.
• The fourth bedroom often translates to smaller bedroom sizes. A master bedroom that can't comfortably fit a king-sized bed is one example of a trade-off that a 4-bedroom home buyer may have to make...and it's a sacrifice that most buyers are not willing to make unless they have to, due to the greater needs of the family and/or budget constraints.

You may also be interested in:

• Washtenaw County - Impact of number of bedrooms on home values
• Livingston County - Impact of number of bedrooms on home values

Comparing average sale prices of 3 vs 4+ bedrooms by home size - Oakland County MI

For homes in 1200-1499 square foot range

For homes in 1500-1749 square foot range

For homes in 1750-1999 square foot range

For homes in 2000-2199 square foot range

For homes in 2200-2399 square foot range

For homes in 2400-2599 square foot range

For homes in 2600-2799 square foot range

For homes in 2800-2999 square foot range

For homes over 3000 square feet

Comparing average selling price per square foot of 3 vs 4+ bedrooms by home size - Oakland County MI

For homes in 1200-1499 square foot range

For homes in 1500-1749 square foot range

For homes in 1750-1999 square foot range

For homes in 2000-2199 square foot range

For homes in 2200-2399 square foot range

For homes in 2400-2599 square foot range

For homes in 2600-2799 square foot range

For homes in 2800-2999 square foot range

For homes over 3000 square feet

At what point does it make sense to steal space from that 4th bedroom to do something else with the square footage?

Or, to rephrase, what's the difference in home value of a 3-bedroom vs. a 4+ bedroom home for the same square footage? I thought it would make sense to see what the difference is, and to break it down by homes size. After doing many CMA's of 3-bedroom vs. 4-bedroom homes, my theory was that it would make little difference for smaller homes, but there would be a threshold in home size after which a 4th bedroom might offer a premium overall. 

I have compiled the following data and presented it BY HOME SIZE. There are two sets of data. The first set compared average sale price for 3-bedroom homes vs. 4+ bedroom homes BY HOME SIZE. The second set shows average price per square foot BY HOME SIZE.  

Limitations

• Not all square footage is created equal. It really does depend on what you are going to do with the extra space. A buyer may see a lot of value in a master bathroom and a master bedroom that can comfortably accomodate a king-sized bed. A buyer may also see a lot of value in a 2nd-floor laundry room if all of the bedrooms are on that floor. A buyer may not be thrilled with a 4th-bedroom turned custom closet, if adequate closet space is already available.
• In creating the following charts, I did not have the option to compare 3-bedroom homes with 4-bedroom homes. Therefore, the closest I could do is 3-bedroom homes vs. 4-or-more-bedroom homes. Keep in mind that as the home size increases, we are more likely to be including more homes with 5+ bedrooms in the comparison. Still, I feel that these statistics are useful.

You may also be interested in:

• Oakland County - Impact of number of bedrooms on home values
• Washtenaw County - Impact of number of bedrooms on home values

Comparing average sale prices of 3 vs 4+ bedrooms by home size - Livingston County MI

For homes in 1200-1499 square foot range

For homes in 1500-1749 square foot range

For homes in 1750-1999 square foot range

For homes in 2000-2199 square foot range

For homes in 2200-2399 square foot range

For homes in 2400-2599 square foot range

For homes in 2600-2799 square foot range

For homes in 2800-2999 square foot range

For homes 3000+ square feet

Comparing average selling price per square foot of 3 vs 4+ bedrooms by home size - Livingston County MI

For homes in 1200-1499 square foot range

For homes in 1500-1749 square foot range

For homes in 1750-1999 square foot range

For homes in 2000-2199 square foot range

For homes in 2200-2399 square foot range

For homes in 2400-2599 square foot range

For homes in 2600-2799 square foot range

For homes in 2800-2999 square foot range

For home with 3000+ square feet

The wet room, like the one featured below from HGTV's Dream Home 2019, is a home design trend that is becoming very popular with interior designers and builders. As a homeowner and a Realtor who advises clients on home improvement projects, I couldn't resist asking: what do homeowners and home buyers think of this trend? 

We've all seen our fair share of master bathrooms with a lot of space dedicated to a large garden tub. Many of these master bathrooms also have a very limited footprint for the shower. If the large tub area is the only area to reclaim space for a luxurious shower, this seems like a wonderful combination: I can have a large space for the shower, and not forego the bathtub altogether. But I wondered if potential home buyers would agree, so I presented some options to an active local Facebook group - a group of all moms - and I was very specific about tailoring the feedback to fit my needs, so I posed the following question:

As a HOME BUYER, which of the following statements most accurately describes your thoughts about the master bathroom like the one shown here, with the bathtub within the large shower area? Let's assume:

• that this is the only way to include a larger shower AND a bathtub in the master bathroom
• there is already a standard sized bathtub in another bathroom (for the kids)
• the homeowner plans on selling their home within the next 5 years (so appealing to buyers is equally important to the homeowners as "what they like")

Results are as follows:

• 45% - "I would love this!"
• 25% - "It's OK - not something that would sway me in the home buying decision one way or the other
• 23% - "Not a huge fan. I would rather have the large shower area without a bathtub in the master bathroom."
• 4% - "Not a huge fan. I would rather have this whole area for a bath tub, even if it means having a very small separate shower area."  
• 3% - I like it, but I don't think it would increase the overall value of the home to me." 

For someone considering a remodel, I think this is good news. What it tells me is that almost half love it or like it, and another 25% are neutral. But even the 23% who were "lukewarm" on the design chimed in on the fact that they like the large shower, but could forego the bathtub. That's good to know and is consistent with my experience that there are many buyers who are ready to ditch the bathtub altogether. That being said, you will leave some buyers out in the cold if you don't include the tub. So if it appeals to you, it can be a good design solution as these numbers show the trend has strong appeal for about 50% of buyers, and is only a hard "no" for a very small percentage. Only 4% would prefer the smaller shower and separate large tub.

So what were the specific pros and cons? The biggest argument against it is the fact that many people do not use their bathtub currently, so they would see the bathtub getting wet from the shower as just another thing that would require cleaning - even if they weren't using it. These people likely fall into the category that would have rather had the large shower without the bathtub.

Take a look at different reactions to the design in these comments, starting with the topic of cleaning:

• "We stayed in a hotel like this. It seemed colder while in the shower since it's such a large area to warm up. And all I could think about was having to clean it! The tub is getting "used" daily while you are showering, which just seems like more work to clean."
• "It looks great but the tub and everything around it would always be getting splashed on." 

Cold

• "My kids are the only ones who take a bath so unless we loved EVERYTHING else about the house, this would turn me off. It's a huge shower area and I would rather get rid of the tub." 
• "Maybe it's just me but I feel this would affect the sale of your home negatively."
• "I would cross this house off my list."

Lukewarm

• "I know not everybody likes a soaker tub, but it's a nice stress reliever for me. I like them separate. I don't want to have to clean a tub every time someone showers, and on occasion, my husband might need to jump in the shower while I'm soaking."
• "It's super pretty. I'm just not a tub person and would never use it."
• "We considered doing something similar in our last house and decided against it. We did a large shower with multiple shower heads instead. We loved it. 
• "We've debated about going to a full shower here, but I still love my baths. With our current tub/shower combo, I don't take baths except for days that I clean the tub. Due to space constraints, I'm not sure what we'll end up doing. This idea is interesting, but it would be a lot of cleaning. Not ideal."
• "My husband is a custom home builder ($1M-$2M estate homes), and this is our business. I personally love this, however, I often have to pull myself in and not design to my personal taste. I want to do something similar in my personal home, but I decided not to because my husband keeps repeating the resale value thing." 

Hot

• "This is HUGELY popular...I've seen it with Chip and Joanna, the Property Brothers, and other high end designers."
• "Wet rooms are a hot trend in Interior Design. It makes it easier to transition from one area to another." 
• "I think the wet rooms are getting more and more popular."
• "Having a wet area would be nice. Sometimes I like to soak in a tub then shower to wash my hair and shave my legs."
• "It is a neat idea. Imagine not having to wipe up the floor every time after baths! And if the kids took their baths in there, they could splash away to their heart's content!"
• "As a mom, I LOVE this! My child seems to think our bathtub is a splash around pool, so I wouldn't have to worry about the rest of the bathroom floors being ruined from the excessive amounts of water my child "accidentally" splashed on the floor at bath time every night. This is beautiful!"

It's important to remember that there will always be homeowners who are resistant to change. Since this layout is relatively new, it's possible that some people who don't currently use the bathtub when it's completely separate from the shower may eventually find that they do use it when combined in a wet room design. If there is room for a generous shower area and a bathtub, that's great. But I think a lot of people can relate to this comment: "I like the division (having separate shower and bathtub) but maybe it's just because it's what I'm used to. But I agree that if it was this set-up or NO tub in the master at all, I'd take this set-up for sure."

Average Sale Price - Grand Blanc Twp

Average Price Per Square Foot - Grand Blanc Twp

Average Sale Price - Grand Blanc School District

Average Price Per Square Foot - Grand Blanc School District