Key Takeaways

Key Takeaways Premium neighborhoods like Barton Hills and Burns Park command $650,000-$1.5M+ with 8% annual growth, driven by location and limited inventory Emerging areas like the Westside show strongest growth at 12% year-over-year, offering opportunities in the $300,000-$450,000 range University of Michigan and expanding tech companies create consistent high-income demand while Ann Arbor's landlocked geography limits supply Student-heavy rental areas and major traffic corridors show flat or declining values, while infrastructure issues affect long-term neighborhood prospects

Ann Arbor Michigan Home Values by Neighborhood: Your 2026 Guide to What's Hot and What's Not

Look, I've been buying houses across Michigan for over two decades, and Ann Arbor has always been one of those markets that keeps me on my toes. Between the University of Michigan driving demand and the tech companies moving in, this city's got layers most people don't see.

I had a homeowner call me last week from the Old West Side who was shocked to learn her grandmother's 1,200 square foot bungalow was now worth $450,000. That's the Ann Arbor market for you — it'll surprise you every time.

Here's the deal: Ann Arbor isn't just one market. It's a collection of distinct neighborhoods, each with its own personality and price point. Whether you're thinking about selling, buying, or just curious about what your place is worth, you need to understand these differences.

The Premium Neighborhoods: Where Money Goes to Live

Burns Park ($650,000 - $1.2M+)

This is Ann Arbor's crown jewel, and the prices show it. Burns Park sits just south of downtown with tree-lined streets and homes that look like they belong in a movie. We're talking median home values around $850,000 as of February 2026, up about 8% from last year.

What drives these values? Location, location, location. You can walk to downtown, the homes have character (most built in the 1920s-1940s), and the neighborhood association keeps everything looking pristine. The downside? These properties rarely hit the market, and when they do, they're gone fast.

Barton Hills ($700,000 - $1.5M+)

If Burns Park is the crown jewel, Barton Hills is the whole crown. Tucked away in the hills southwest of downtown, this neighborhood screams exclusivity. Home values here have been climbing steadily, with some properties pushing past $1.2 million regularly.

These aren't just houses — they're estates. Larger lots, custom builds, and that secluded feeling that comes with a premium price tag. Values here have stayed strong even when other areas wobbled.

The University Area: Student Housing Meets Family Living

Near North ($400,000 - $650,000)

Here's where it gets interesting. The Near North area, especially around Broadway and north of downtown, is caught between two worlds. You've got beautiful historic homes mixed with student rentals, and that creates some unique opportunities.

Family homes in good condition are fetching $500,000-$600,000, but I've seen investor properties that need work go for much less. The key is knowing which blocks are trending up versus which ones are stuck in rental-property limbo.

Near West Side ($350,000 - $550,000)

This is one of my favorite areas to work in because there's so much variety. You've got everything from converted student housing to fully renovated family homes. Values have been climbing as young professionals discover they can get more house for their money here.

The challenge? Some blocks are transitioning faster than others. I've bought houses on streets where half the homes are still student rentals while the other half are young families fixing up their places.

The Emerging Areas: Where Smart Money is Looking

Westside ($300,000 - $450,000)

If you want to see where Ann Arbor is heading, look west. The Westside neighborhoods, particularly around Jackson Avenue, are seeing serious investment. Home values have jumped nearly 12% in the past year alone.

What's driving this? Simple — it's the last area in Ann Arbor where regular working families can still afford to buy. Plus, the city's been investing in infrastructure improvements, and smart buyers are taking notice.

Pittsfield Township Adjacent ($280,000 - $400,000)

Technically not Ann Arbor proper, but close enough that you get the benefits without the full Ann Arbor tax bill. These neighborhoods are seeing steady growth as buyers get priced out of the city center.

I've been buying more properties in this area lately because there's real value here. Good schools, newer construction, and room to grow your investment.

What's Really Driving Ann Arbor Home Values in 2026

Let me give you the straight story on what's moving this market:

The University Factor: U of M isn't just the big employer — it's the economic engine. When enrollment is up, when research funding flows, when football season brings 100,000+ people to town every Saturday, that all translates to housing demand.

Tech Invasion: Google, Amazon, and other tech companies have been quietly expanding their Ann Arbor presence. These aren't minimum-wage jobs — these are six-figure salaries competing for the same housing stock as everyone else.

Supply Crunch: Here's the thing nobody likes to talk about — Ann Arbor doesn't have enough land to build on. The city's basically landlocked, surrounded by townships that fight new development. That means existing homes become more valuable by default.

Infrastructure Reality: Some neighborhoods are dealing with aging sewer systems, road repairs, and utility upgrades. These aren't sexy topics, but they absolutely affect property values. Smart buyers factor this in; others get surprised by special assessments.

The Not-So-Pretty Truth About Some Areas

Look, I wouldn't be doing my job if I didn't tell you about the challenging areas too. There are pockets of Ann Arbor where values have been flat or even declining:

Heavily Student-Concentrated Blocks: Some streets near campus are so dominated by rental properties that they've lost their appeal to owner-occupants. Values here depend entirely on rental income potential, not traditional homeowner demand.

Major Traffic Corridors: Properties right on Stadium Boulevard or Washtenaw Avenue might be convenient, but they're fighting an uphill battle against noise and congestion.

Properties with Deferred Maintenance: This is where HOMESELL USA comes in. I see beautiful homes in great neighborhoods that have been neglected for years. The location is worth $500,000, but the house needs $150,000 in work. These situations require creative solutions.

What This Means for Your Property

Whether you're thinking about selling or just want to understand your investment, here's what you need to know:

If you're in one of the premium neighborhoods, your property value is probably strong, but don't assume it'll keep climbing forever. These markets can be cyclical.

If you're in an emerging area, pay attention to what's happening around you. Are neighbors fixing up their places? Are "For Rent" signs being replaced by "Sold" signs? These are leading indicators of value trends.

If you're dealing with a problem property — maybe inherited, maybe behind on maintenance, maybe caught in a difficult financial situation — remember that location still matters. A distressed property in Burns Park has different options than one in a declining area.

At HOMESELL USA, I've purchased properties in every Ann Arbor neighborhood you can think of. Sometimes it's a quick cash sale for someone who needs to relocate fast. Sometimes it's helping a family deal with an inherited property that needs major work. Every situation is different, but the fundamentals of location and value remain consistent.

The bottom line? Ann Arbor's housing market in 2026 is strong but complex. Values are generally trending up, but at different rates in different areas. Whether you sell to us or someone else, make sure you understand what your specific neighborhood is doing, not just what the city-wide averages show.

If you're dealing with a property situation in Ann Arbor — whether it's a beautiful home in a premium neighborhood or a fixer-upper that's been sitting empty — give Uncle Charles a call. No pressure, no judgment, just straight answers about your options in today's market.

Frequently Asked Questions