Grand Rapids Real Estate Market Update - February 2026

Perigon Realty Group
Mar 10
3 min read

The Grand Rapids housing market continues to show resilience as we move through the early months of 2026. While inventory remains tight, we’re beginning to see subtle shifts compared to both last month and this time last year. Understanding these trends helps buyers and sellers make better decisions as the spring market approaches.

Let’s take a closer look at what the numbers are telling us.

Home Prices Continue to Rise Year Over Year

One of the most noticeable trends is that home values in the Greater Grand Rapids area have continued to increase over the past year.

In February 2026, the average sale price reached $375,000, compared to $369,000 in February 2025, representing a 1.6% increase year over year. While price growth has moderated compared to the rapid appreciation we saw during the pandemic years, the continued upward movement reflects steady demand and limited housing supply throughout West Michigan.

For homeowners, this means property values remain strong and equity continues to build.

Inventory Remains Tight

The biggest factor shaping the Grand Rapids market is still the lack of available homes for sale.

In February 2026, there were 540 homes on the market, compared to 875 homes in February 2025, a 38% decline in available inventory year over year.

Low inventory continues to create competition among buyers and keeps upward pressure on prices.

When we look at months of supply, the market currently sits at about 1.1 months of inventory, well below the 4–6 months typically considered a balanced market.

This means we are still firmly in a seller’s market, where well-priced homes tend to sell quickly.

Homes Are Selling Quickly

The pace of sales has also picked up compared to last year.

The average days on market moved up from 44 days in February 2025 to 48 days in February 2026, showing that homes are still moving relatively quickly when priced appropriately.

In addition, the list-to-sale price ratio remains at approximately 97%, indicating that most homes are still selling very close to their asking price.

For sellers, this suggests that strong pricing and proper marketing can still generate competitive interest.

Month-to-Month Changes

Looking at the difference between January and February 2026, we can see early signs of the spring market beginning to take shape.

The average sale price increased from $361,000 in January to $375,000 in February, reflecting a noticeable month-to-month jump as buyer activity increases.

At the same time:

Homes for sale dropped from 887 in January to 540 in February.
Months of inventory tightened from 1.8 months to 1.1 months.

These shifts suggest that buyers are becoming more active while the supply of homes remains limited.

What This Means for Buyers and Sellers

For buyers, the market is still competitive, but price growth has slowed compared to previous years. Preparation is key—getting pre-approved and being ready to act quickly can make all the difference when the right home hits the market.

For sellers, conditions remain favorable. With inventory levels low and demand steady, properly priced homes in desirable areas of Grand Rapids continue to attract strong interest.

Looking Ahead to the Spring Market

Historically, the Grand Rapids market begins to pick up significantly between March and June. As new listings begin to hit the market and buyers re-enter the search after winter, we expect activity to increase.

The key question will be whether inventory grows enough to relieve the current supply shortage or if the market remains tight throughout the year.

Either way, the data shows that Grand Rapids remains one of the most stable and competitive housing markets in Michigan.

If you're thinking about buying or selling a home in the Grand Rapids area, having a clear understanding of the current market can help you make the right move.