Edina, Minn.—January 16, 2013 – Edina Realty maintained its leadership position during 2012, a year that was marked by strong housing demand, higher prices and decreased supply. According to the Minneapolis Area Association of REALTORS® (MAAR), these are all strong signals of a market in recovery, and it’s expected to continue through 2013.
“Last year, sellers, who realized that the market correction was largely behind us, sold their homes more quickly on average, oftentimes with multiple offers,” said Bob Peltier, president and CEO of Edina Realty Home Services. “The market for both sellers and buyers is very favorable right now, which is great news for housing.”
MAAR reports that the median closed sales price of a home in the 13-county metro area rose 11.9 percent to $167,900, while the average number of days homes were on the market before sale was down 20.6 percent to 117 days. The median closed sales price of a home in Minnesota and Western Wisconsin rose 10.1 percent in 2012, according to data from the REGIONAL MULTIPLE LISTING SERVICE of MINNESOTA, INC. (RMLS).
Edina Realty again widened the gap between itself and its competitors in both traditional and lender-mediated home sales during 2012. For the 13th year in a row, Edina Realty maintained its leadership position with 21.2 percent market share in the 13-county metro area. The company led the market in both traditional home sales and lender-mediated sales. During 2012, Edina Realty handled more than 32,600 pending transactions (buy and sell side) and $6.9 billion in pending sales volume.
MAAR reports that the active supply of homes for sale during 2012 fell to 10-year lows. Consumer purchase demand continued to rise even without government incentives, largely due to continued low interest rates and record housing affordability. Overall, the number of homes sold in the 13-county metro area rose 16.9 percent to their highest level since 2006. At the same time, the inventory of homes for sale dropped 31.8 percent to 11,875 units, the lowest level in 10 years.
Edina Realty also led the market in listing inventory, with 19.4 percent market share. The company led in both traditional and lender-mediated listings.
Looking into 2013, Edina Realty Home Services president and CEO Bob Peltier is optimistic the market will continue to see steady growth, especially since interest rates remain at historic lows and with high home affordability.
“Pent-up demand by both potential homebuyers and people who want to move will create a very robust market this spring,” Peltier said. He added that he expects traditional home sellers will dominate the market, and new construction will be on the rise and perhaps even reach a level we haven’t seen for several years.
Peltier said he anticipates continued home value appreciation. “Upper bracket homes sales and prices, which tend to be the last to recover, will stabilize and start to increase. However, buyers will need to be prepared with proper financial documents in order to secure financing, and they should plan to work with a lender like Edina Realty Mortgage that is experienced in purchase financing.”
Edina Realty’s website continues to be most popular regional real estate website. In 2012, online home searching interactions across edinarealty.com, mobile website and mobile apps were up 23 percent over 2011.
Edina Realty currently has 2,100 REALTORS® operating out of approximately 55 offices. More than half of the firm’s REALTORS® and staff from Edina Realty and its parent company, HomeServices of America, www.homeservices.com, are attending Edina Realty’s annual “Expo,” held on Jan. 16 at Saint Paul RiverCentre, where the leadership team talks about the state of the market, the firm’s 2013 strategies and the new advertising campaign.
Edina Realty, a subsidiary of HomeServices of America, is one of the nation’s largest real estate companies with approximately 55 real estate offices and nearly 2,100 REALTORS® throughout Minnesota and western Wisconsin. Edina Realty's family of companies includes Edina Realty, Edina Realty Title, and Edina Realty Mortgage. Edina Realty handled more than 32,6600 pended transactions and $6.9 billion in pended sales volume in 2012. For more information, visitwww.edinarealty.com, m.edinarealty.com, or find us on Facebook:facebook.com/EdinaRealty; and Twitter: Twitter/Edina_Realty