Real Estate News

Twin Cities Real Estate Market Update - Coronavirus Impact Week 3

This is our week 3 update on the impact the Covid-19 Coronavirus pandemic is having on the local Twin Cities Real Estate Market.  Check here for our Week 1 and Week 2 impact reports to watch how things have changed.

The Twin Cities real estate market is still active, but but we are now reporting all 3 key indicators are lower when compared to the same week in 2019.  These stats are provided by the Minneapolis Association of Realtors for the week ending March 28, 2020.Twin Cities Market Statistics as of March 28, 2020  New Listing inventory: down 5.8% over the same period in 2019.  This is the first time we have seen new listing numbers trend lower compared to 2019 and is a strong indication that sellers are holding off from listing their homes right now.  At this point, we don't know how many sellers are temporarily waiting to list their homes until they feel things have improved.

Pending sales: down 5.4% over the same period in 2019.  This is also the first time in 2019 that pending sales have been lower than the same period in 2019.  It's interesting that the percentage of pending sales and the percentage of new listings are both down about 5% over 2019.  This is an early indication that the market changes are affecting buyers and sellers somewhat equally right now.

Inventory of available homes: for this reporting period, inventory is down 7.0% over...

Twin Cities Real Estate Market Update - Coronavirus Impact Week 2

This is our week 2 update on the impact the Coronavirus pandemic is having on the local Twin Cities Real Estate Market.  Check here for our Week 1 impact report.

The Twin Cities real estate market continues to show signs of life, albeit at a slower pace than would normally be expected in late March.  These stats are provided by the Minneapolis Association of Realtors for the week ending March 21, 2020, which represents the second week of social distancing practices.Twin Cities Market Statistics as of March 21, 2020  New Listing inventory: up 16% over the same period in 2019.  This is still a strong indication of market activity, but the numbers are trending downward over 2019 and could be an indication that sellers are holding back from listing their homes.

Pending sales: up 11% over the same period in 2019.  While this represents a positive change in sales activity over 2019, it also indicates a slowing over the previous week and we will watch to see if the slowing trend continues.

Inventory of available homes: for this reporting period, inventory is down 7.1% over the same period in 2019.  Last week inventory numbers were down 8.7% over 2019 and we reported this would be a closely watched figure as we move deeper into the spring market.  While not a drastic change, the year-over-year figures indicate a slight rise in available inventory.

The last statistic we would like to share is current showing traffic.  We are watching the showing data daily, but felt it would be better to share the weekly stats for this report. ...

Twin Cities Real Estate Market Update - Coronavirus Impact

We are frequently asked how the Coronavirus pandemic is affecting the local Twin Cities Real Estate Market and wanted to share some thoughts from the front line.

Like everyone, this pandemic is impacting the real estate industry and is changing how we do business, but it has not shut down the real estate market.  Let’s look at some current statistics to help identify what is happening right now.  Our intention is to share this information with you weekly, so you have the most up to date information available as we navigate this unprecedented situation.

Let’s review the most recent data from the Minneapolis Association of Realtors.  This information is for the week ending March 14, 2020, which represents the early stages of our current social distancing practices.Twin Cities Market Statistics as of March 14, 2020

New Listing inventory: up 21.7% over the same period in 2019.  The market has been up 7%-35% each week since February 1, 2020.  We expected this increase based on the consumer demand and short supply of homes as buyer's and seller’s positioned themselves to take advantage of historically high pricing and historically low mortgage interest rates.  We will watch this trend closely over the next few weeks.

Pending sales: up 16% over the same period in 2019.  Pending sales have been up each week since February 1, 2020, ranging from 10%-24% over the same weeks in 2019.  Again, this is expected based on what we thought would happen this year.

Inventory of available homes: for this reporting period, inventory is down 8.7% over the same period in 2019.  We feel like a broken record, but inventory levels have continued to fall, year over year, since 2014 with no end...

What’s Happening in the Twin Cities Market?

Our median sale price has continued to rise and currently sits 10% above its previous peak. Here’s what else you need to know about our current market.

It’s time for another update on the Twin Cities real estate market. First, we have some very exciting news. Looking back, the previous peak of our market was in 2006 and 2007. During that time, the median sale price was right around $240,000. Now, as we fast forward, we’ve exceeded that peak and are currently around 10% above where this previous peak was. Our current median sale price is around $260,000.

This median sale price is up because inventory is down and demand is up. It feels like we’ve been talking about this for a while now, and it has continued into this year. However, there is one thing that we’re starting to see change a little bit. Pending sales are starting to slow. We’re still in a pretty strong seller’s market, but those pending sales numbers are declining a little bit more than usual.

"We’re currently 10% above our previous median price peak.”

...

How Will the Tax Reform Act Impact Our Twin Cities Market?

Though there were some key changes brought to our real estate market by the new tax reform act, the majority of us won’t be affected by them.

There’s a lot of news out there about the new tax reform act, and we’ve summarized some of the key changes that will impact our real estate market the most.

The first change involves the deduction for property taxes. In the past, if you itemized your deductions, you could deduct the full amount of your property taxes. This deduction is now capped at $10,000.

The second change has to do with the mortgage interest deduction. Previously, this deduction was capped at $1 million, but it’s now capped at $750,000. Any properties that were purchased until the middle of December 2017, though, will be grandfathered into the $1 million deduction.

"Interest rates today are even lower than
For the majority of our Twin Cities market, business will go on as usual.”

One thing that was left unchanged was the length of time you must live in a home to get the capital gains deduction when you sell that home. There was some...

Market Update: 2017 vs. 2018

It’s time to look back at 2017 and forward to what we can predict for our market in 2018.

 

Now 2018 is underway, it’s time we take a look back at what we saw from our market in 2017, as well as look forward to what we should expect for the rest of this year.


Last year, we predicted that pricing would trend upwards by approximately 5%. What actually happened was that prices rose by 7%, with the median sales price having increased to $246,000.

Inventory reached all-time lows last year, with around 13,300 homes on the market at the time. Now, inventory is actually down to 11,300.

Interest rates today are even lower than
what we saw in 2017 as we enter the spring season.

...

How Does Our Current Market Compare to Last Year's?

What’s going on in the Twin Cities real estate market? Today, we’ll be bringing you a look at how this year’s market statistics compare to what we saw at this time in 2016.
 

What’s going on in the Twin Cities real estate market?

As you may remember, our last market update came just before the summer. The market was extremely hot, many properties were receiving multiple offers, and sellers were getting top dollar.

So, how do things look now? Well, what we’re seeing this year is consistent with the trend we witness every year. Inventory starts low in January but builds through the summer. Then, the inventory levels resume a downward trend in the fall.

Now that fall has arrived, we’re currently seeing this same trend. So, let’s get into some specific numbers.

"What we’re seeing this year is consistent...

5 Ways to Invest in Real Estate

Real estate investing is on the rise. Here are five different ways you can get involved.
 
Selling a home? Click here for a FREE Home Price Evaluation

Investing in real estate is no longer restricted to the super wealthy. According to a recent survey, real estate investors now make up 15% of the population. That translates to almost 50 million individuals who invest in at least one property other than their primary residence.
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What’s Happening With the Twin Cities Metro Market?


What do the numbers for spring real estate in the Twin Cities metro area tell us about our market? We’ll answer that for you today.

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What’s going on with the spring real estate market in the Twin Cities metro area?

The spring market is fully underway and buyers are very active in the marketplace. However, the number of listings coming on to the market isn’t great. There’s actually 3.5% less inventory compared to this time last year. The number of sales taking place, however, is similar to last year.

We’re seeing lower inventory and competitive buyers. In 2016 there were about 12,200 homes on the market and we’re around 10,000 right now. Last year we were talking about inventory being historically low and now, it’s even lower. That low inventory has caused a rise in the median sale price. A year ago the median price was $220,000, and right now it’s $237,400. That’s a 7% increase from last year.

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The Keys to Successfully Buying in a Seller’s Market


Being a buyer in a seller’s market can be tough. Here’s how you can accomplish your goals more easily.

Buying a home? Click here to perform a full home search
Selling a home? Click here for a FREE Home Price Evaluation

It’s tough to be a buyer right now in our aggressive seller’s market. The best houses are receiving multiple offers and selling within days. In the $150,000 to $300,000 price range, the market is especially aggressive. So, how do you compete as a buyer?

It all comes down to preparation in a number of different areas....