24 Jul Minnesota real estate weekly update
Minnesota real estate weekly update
This is Jeff Anderson’s Minnesota real estate weekly update for July 25th, 2026.
We review the real estate facts and future trends
First the trends of our real estate market
Our summer real estate season is here with a new shift to a neutral market. Rates have inched higher and with more homes on the market it has changed from our spring sellers’ market.
The federal reserve discussed interest rates at the last meeting and decided not to lower them because of war and inflation. The higher gas prices from the Iranian conflict will impact inflation for months, if not years, and affect future interest reductions as well. This war looks far from over so this will continue to impact us and tariffs will as well.
In this ever-changing MN real estate market, it is important to work with an experienced real estate agent. You can trust you have advantage you have when your agent has over 30 years of experience. Real estate experience is priceless!
Next the facts
Our current housing affordability Index for Minnesota real estate for June was 116. That compares to 116 at the same time last year. The higher the number equals greater home buying affordability in the Minneapolis/St. Paul area. The current inventory of homes for the seven-county area that is for sale is 11,119. That compares to 10,385 at this time in 2025. So, inventory is up 7.1%. An interesting fact, in 2009 when we had our first real estate correction in 40 years in Minnesota, we then had over 36,000 homes for sale. Sales made for the past week were 965, compared to 956 in the same week last year. Sales pending for the last 3 months are up 10.2% compared to last year.
We find in an average real estate market that we would have a three-month supply of housing inventory. We now have 2.9 months (June figures). Last year in June we had a 2.7 month supply. The average number of days on the market for the seven-county Twin Cities area was 42 days in June and that is compared to 39 days last year.
More Minnesota real estate facts
The median sales price for June was $410,000 in the Twin Cities area. That is up 2.1 percent from 2025 in June. The average sale to list price was 99.6% for June and that compares to 100% in 2025. Those figures represent a strong real estate market. To see more Minnesota real estate market information visit my website at https://www.mnrealestate.com/twin-cities-information/area-appreciation-rates/. You will find comprehensive and up-to-date facts about our Minnesota real estate market!
Our current interest rates in the Twin Cities
We are about 6.375% for conventional and 6% for FHA/VA. These rates are going up because of the Iranian war. Gas prices and tariffs have increased inflation so do not expect a decrease in interest rates soon.
Lastly, what is the future of MN real estate?
We are now in our summer real estate season. Inventory is increasing now and so it is a good time to buy. Ask me about a 2-1 buydown for your mortgage interest rates…suitable time to consider that!
This is a suitable time to discuss your housing needs for 2026!
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