Census shows midsized suburbs reeling from Michigan crisis

Data reveal incomes are down, foreclosures up in Metro Detroit.

Mike Wilkinson / The Detroit News

Michigan's economic descent has affected communities large and small, census data released today show, leaving homeowners squeezed by declining incomes and forcing many to leave their homes.

The number of vacant housing units in the six-county region has doubled since 2000, and the percentage of folks who spend more than a third of their monthly income on their mortgage has taken a noticeable tick upward.

For the first time since the 2000 census, the agency released detailed data on communities with populations greater than 20,000; earlier data only covered townships, cities and counties of more than 65,000.

The new data show every Metro Detroit midsized community saw median household income fall since 2000, with most communities seeing double-digit drops.

"It shows the mismatch between costs and income," said Xuan Liu, data manger for SEMCOG, which provides planning advice to local governments.

For instance: In 2000, about 16 percent of homeowners spent 35 percent or more of their monthly income on their mortgage. Now, 19.6 percent of homeowners spend that amount.

That helps explain why Metro Detroit has been a leader in foreclosure rates, and the new numbers may indicate that many are leaving their homes and apartments. There were an estimated 100,000 vacant housing units in 2000; that number has shot to 200,000.

The data are gleaned from the American Community Survey, which is given annually to 3 million households. The results of the survey have replaced the old long form given every 10 years.

The information covers smaller communities and is taken from three years' worth of surveys.

Auburn Hills saw its median household income drop by more than a quarter to $46,080 in 2007, costing households nearly $1,500 more a month in income.

Daniel L. Pillsbury has lived in Auburn Hills for 26 years and has witnessed the transformation of the city from an undeveloped slice of rolling land to a bustling local economy boosted by Chrysler.

But just like everywhere else the last decade, Auburn Hills has been hit especially hard as Chrysler has laid off or bought out workers who have taken their paychecks elsewhere.

"It's all just trickled down in the community," Pillsbury, a 64-year-old retired General Motors worker, said Monday. "People just aren't spending. They buy less and do with less. The late '90s and early 2000s are gone. We just don't have the stock market to support it anymore."

The last several years have brought other changes as well. Racial diversity, seen in a few inner-ring suburbs in earlier census reports, has continued, changing cities from Eastpointe to Novi.

Eastpointe, which borders Detroit to the northeast, saw its African-American population quadruple. It now comprises a fifth of the community as blacks seek the same school, safety and neighborhood choices that suburbanites have sought for decades.

James Burrell moved to Eastpointe two years ago because he was tired of the late-night activity in his Detroit neighborhood.

The 27-year-old African-American, who now shares a four-bedroom home with his mom, sister and niece, said he was attracted to the area's homes and offerings. "It's quiet," Burrell said. "Most of our family was coming this way."

Staff Writers Jennifer Chambers and Christina Stolarz contributed. You can reach Mike Wilkinson at (313) 222-2563.