Posted in: Luxury homes, Market insights

Fall Market Update - Home prices are up in every bracket

Fall housing market update

Upper bracket homes have seen a substantial increase in sales activity in recent months – in fact, sales of homes listed at $500,000 and above are up 46 percent over last year.

The most recent statistics from the Minneapolis Area Association of REALTORS® point to significant improvements to the market overall – and the news is the same throughout the region.

Sales are up, prices are up and competition is fierce. Property inquiries to the Edina Realty Customer Care department are up 26 percent over last year, showing how eager buyers are for more information and a fast connection to available properties.

VIDEO: Minnesota Fall Market Update 2013

These double-digit sales increases, and the fast pace of sales in our market, have some people wondering if we’re on the brink of another bubble. At Edina Realty and across the country, experts agree that the short answer to this is, “No.” Government oversight and tighter regulations have led to greater consumer protections and price growth will moderate as sellers come out from underwater and begin listing their homes, and as the interest rates continue to rise. Both these conditions have already begun.

And keep in mind — although they are rising, sale prices are still well below where they were during the bubble years, even when adjusted for inflation.

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Status Definitions

For sale: Properties which are available for showings and purchase

Active contingent: Properties which are available for showing but are under contract with another buyer

Pending: Properties which are under contract with a buyer and are no longer available for showings

Sold: Properties on which the sale has closed.

Coming soon: Properties which will be on the market soon and are not available for showings.

Contingent and Pending statuses may not be available for all listings