27 Jan Minnesota real estate weekly update
Minnesota real estate weekly update
This is Jeff Anderson’s Minnesota real estate weekly update for January 27th, 2024. We have lots to talk about. Read on to find out why this is a buying opportunity.
We review the real estate facts and future trends
The trends of our real estate market
Our winter real estate season is here but it feels like spring, and we continue to experience low inventory. This is bringing more buyers into the Minnesota real estate market and a seller’s market.
It is important in this market to work with an experienced real estate agent. You can imagine the advantage you have when your agent has 30 years of experience. Real estate experience is priceless!
The facts
A good reading is our current housing affordability Index and for Minnesota real estate for December was 117. That compares to 121 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 are for sale is 6,397. That compares to 6,677 at this time in 2023. The Minnesota real estate inventory of homes for sale is down 4.2% from last year. 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. The Minnesota real estate pending sales for the last week (sold but not yet closed) was 560. And that compares to 546 pending home sales in 2023.
We find in an average real estate market that we would have a three-month supply of housing inventory. We now have 1.7 months (December figures). Last year in December we had a 1.5 month supply. The average number of days on the market for the seven-county Twin Cities area was 50 days in December and that compares to 50 days last year.
More Minnesota real estate facts
The median sales price for November was $353,700 in the Twin Cities area and that is 1.3% more than last year at this time. The average sale to list price was 96.7% for December and that compares to 96.3% in 2022. 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
Inflation is coming down and that is great news since now the Federal Reserve has said they are planning to do three quarter point interest rate reductions next year! Interest rates have come down to 6.25% for conventional and six for FHA and VA mortgages. Let me know if you need to speak to a lender who has those low rates.
What is the future of Minnesota real estate?
We are now into multiple offers on the best homes on the market. Make sure you understand what that involves and how to be prepared. This spring and summer will just get busier and more intense as more buyer jump into the market and interest rates continue to decrease.
This is a suitable time to discuss your housing needs for 2024!
Jeff Anderson
The Anderson Team
www.mnrealestate.com
RE/MAX RESULTS
612-386-8600
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