Quick Overview of 2014 Annual Report on the Twin Cities Housing Market

Rabbit Warren at Pontoise, Snow  1879 
Camille Pissarro, French
 The Art Institute of Chicago

We could certainly use some inventory again.  I just checked and the latest report shows that the inventory levels are at 11,999.  That's quite low, as we usually like to see approximately 20,000 homes on the market.  Based on my Open Houses, buyers are just getting started.  Perhaps the sellers are too.

Here's the overview from the Minneapolis Area Association of Realtor's 2014 Annual Report on the Twin Cities Housing Market.

Two steps forward, one step back. That's how the 2014 housing recovery went in most local U.S. markets. It was another recovery year but not without its hurdles – some new, some familiar. Metrics like sales price and new listings showed improvement, while new home construction and inventory didn't quite meet expectations. Though the rate of improvement is uneven across areas, price tiers and market segments, overwhelmingly encouraging data sets a positive tone for 2015.





Ginko Leaves on Gate       28 October, 2014

It may be cooling off, but the market is still plugging ahead.
Read the latest from Minneapolis Area Association of Realtors
Weekly Update below. 

Rising home prices and continued housing stability continue to lure new listings and keep inventory at a comfortable level. Although things like student debt and lethargic wage growth may provide some obstacles for first-time home buyers, those on the hunt for homes are still graced by relatively low inflation and low mortgage rates. The seasonal slows may settle in soon, but the market remains mostly content. In the Twin Cities region, for the week ending October 18: • New Listings increased 1.6% to 1,310 • Pending Sales increased 5.1% to 912 • Inventory increased 6.1% to 18,094

So, it's been awhile since I posted on this blog.  Well, the summer was pretty much a "Merrily we row along" until about a month ago when the market shifted.  Since then, it's been a little on the quiet side, although I have sold two listings in the past 2 weeks that were sitting on the market because of overpricing for awhile.  It's important for sellers to realize that the market has shifted and it will probably be quiet through the 4th quarter of the year.  It's pretty typical for a seasonal slow down to occur in the real estate market at this time, but it is difficult to predict if this is a "typical seasonal slow down".  It seems a little more that that.  We will see.  As for now, it's important for sellers to be realistic about pricing their homes to sell and getting them into pristine showing condition. 

Check out Mpls Area Association of Realtor's Weekly Update below.


As we turn toward the final and typically quietest quarter of the year, it is easy to wonder if we are destined to lose the stability that we have worked hard for throughout the U.S. However, gloomy considerations are readily put aside after considering a recent investigation by the Inter-national Monetary Fund into the real estate markets of other countries. It turns out that our national housing price-to-income ratio is fairly conservative. At this rate, we will soon stop talking about the process of housing recovery and just call it recovered.

In the Twin Cities region, for the week ending October 11:
• New Listings decreased 6.6% to 1,423
• Pending Sales increased 6.8% to 955
• Inventory increased 7.5% to 18,178

For the month of September:
• Median Sales Price increased 5.1% to $205,000
• Days on Market remained flat at 71
• Percent of Original List Price Received decreased 0.9% to 95.6%
• Months Supply of Inventory increased 15.8% to 4.4

Monthly Skinny: July 2013

Take a minute or two (literally) and check out "The Skinny" on the Twin Cities Real Estate Market, published by Mpls Area Association of Realtors.  Current Inventory levels are still low @ 18,011, but they are creeping upward towards a more balanced market.

Cool Black Doors

Check out the link to the right.  Who would've thought that painting an interior door black would be cool.  I did have a black front door on my first townhouse that I always liked, but interior doors??? Check out the pics & the link.

Here's the latest from the Mpls Area Association of Realtors;

We are within one of the most affordable home-buying environments in history, but prices are up and rates may well go up, too. Rising prices provide empirical evidence of healthy demand. If inventory is able to replenish itself over the course of the next several months, sales could break up the sluggishness seen in some markets. There are those who believe that millennial buyers are being seduced away from homeownership by the agility of urban renting. That doesn't appear to be the case. Housing is enjoying brisk activity, and people are talking positively about residential real estate again.

In the Twin Cities region, for the week ending July 12:
• New Listings increased 8.7% to 2,091
• Pending Sales decreased 8.4% to 1,231
• Inventory increased 7.8% to 17,606

For the month of June:
• Median Sales Price increased 4.7% to $219,900
• Days on Market decreased 6.8% to 69
• Percent of Original List Price Received decreased 0.3% to 97.2%
• Months Supply of Inventory increased 10.5% to 4.2

Mpls Area Association of Realtors Weekly Update

Here's the latest from Mpls Area Association of Realtor.  The message remains the same - Low Inventory.  If you  know of someone thinking of selling in the next 6 months, let me know.
 
There's no dainty tiptoeing through the tulips this spring, as market flower fields speculation.  Sales & new listings are up, and hope for a fluorescent spring market is flourishing.  An increase in inventory is the desire at this point in the season, as more properties for sale should nudge first-time home buyers to sow their fledgling seeds in the housing market and encourage move-up buyers to say goodbye to familiar flower beds in favor of an upsized plot across town.

In the Twin Cities region, for the week ending April 12:

• New Listings increased 19.9% to 1,925

• Pending Sales increased 1.8% to 1,157

• Inventory decreased 2.4% to 13,736

For the month of March:

• Median Sales Price increased 7.6% to $190,000

• Days on Market decreased 11.1% to 96

• Percent of Original List Price Received remained flat at 95.0

• Months Supply of Inventory decreased 6.1% to 3.1

Property Taxes

Well, it's that time of year.  You've probably gotten your new tax statement.  Here's a couple of Since the MN Property Tax is frequently misunderstood, I thought I would post these fact sheets from the MN Department of Revenue.  Check it out.  And of course, if you would like a market on your house to determine it's Real Market Value, not it's Taxable Market Value, let me know - I'd be happy to run some numbers.

Understanding Property Taxes 
How the Assessor Estimates your Value