If you ask a real estate agent how the market is doing right now, you’ll be lucky if they have much more time than to say, “Busy!” April was one of the fastest-paced months that the Twin Cities metro real estate market has seen in 10 years, with 26 percent more pended listings than last April and the most purchase agreements signed in any month since June 2005, according to the Minneapolis Area Association of REALTORS®.
Here are some additional insights from last month:
New listings and inventory
Sellers are feeling confident; they listed 10.7 percent more homes than April 2014.
These new listings can’t keep up with buyer demand; inventory still fell nearly 2 percent year-over-year, despite the uptick in new listings.
Demand is high for lake homes
Another current hot market is lake homes. If you’ve been considering selling your place on the water, now is likely a good time to do it.
Pending sales of homes with lakefront, river shore and water access in all areas and price points increased 45 percent in April over the previous year.
You need more than stats; you need insights
Broad market statistics are great for measuring the overall health of the market, but your experience will depend on many factors, including price range, location, property type (condo, townhome, single family) and more.
A real estate professional can provide insights into what to expect in your unique market segment.
As an example, let’s take a look at months’ supply of homes for sale in two price brackets.
The months’ supply metric estimates how long it would take for all homes currently on the market to sell if no new listings were entered. A “balanced market” is about six months’ supply. The lower the inventory supply, the more the market favors sellers. Higher supply indicates buyers have more control.
$100,000 - $249,999: The months’ supply of homes for sale in April was 2.5 months, which indicates this segment heavily favors sellers because buyers must compete over very few homes for sale.
$500,000+: The months’ supply was 9.1 months in April, indicating a market more favorable to buyers.
The economic picture
Conditions remain favorable for buyers and sellers in the Twin Cities metro and western Wisconsin, with mortgage rates near historic lows, low unemployment rates and the
highest overall economic confidence in the country, according to Gallup. Forbes ranked Minnesota in the top 10 best states for business and as the second best state for quality of life.
If you’re curious about real estate market conditions for your unique situation,
please reach out please reach out to be connected with one of our real estate experts for insights you can use.
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Twin Cities Area
Southeast Minnesota Area
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Northwestern Wisconsin Area
The Monthly Skinny
"The Monthly Skinny" is provided by the Minneapolis Area Association of Realtors
*Edina Realty Appointment Center statistics.
Based on information from the Minneapolis Area Association of REALTORS®, Inc. Data collected from the REGIONAL MULTIPLE LISTING SERVICE OF MINNESOTA, INC., for properties in the 13-county region exclusively.