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Health & Fitness

Twin Cities Sees 12 Consecutive Months of Rising Home Prices

Finally a seller's market! Homeowners, the wait is finally over to sell and for buyers, get your ducks in a row and be ready to offer quickly. Tammy Maddrey, Roger Fazendin Realtors 952-738-1331

In today's News Release, MAAR announced that Twin Cities homes sold for a higher median price than during the year prior for the 12th consecutive month, leading them to conclude our real estate market's recovery is sustainable.

Many homeowners have been "waiting for the market to get better" before putting their home for sale on the market, leading to a significant inventory shortage.  There are a lot of buyers out there fighting for each new listing, which in turn is driving prices upward.

In every case the year-to-date statistics compared to last year signal a strong SELLER'S MARKET:

Find out what's happening in Lake Minnetonkawith free, real-time updates from Patch.

  • New listings down 7.9%
  • Pending sales up 6.2%
  • Closed sales up 4.3%
  • Days on market down 23.1%
  • Median original list price up 13%
  • Median sales price up 14.4%
  • Price per square foot up 13.5%
  • % of Original list price received by sellers up 3%
  • Inventory of homes for sale down 31.6%
  • Months supply of homes down 40.8% to 2.9 months

 

Homes that are in good condition and staged well are selling very quickly, often with multiple offers in the first few days. Homeowners need to get their home in tip top condition before listing to take advantage of the feeding frenzy.  Homes that still need a bit of work will take longer to sell and buyers will expect a "bargain" price.

Find out what's happening in Lake Minnetonkawith free, real-time updates from Patch.

For buyers, this environment demands that you are ready to write an offer on the spot.  At a minimum, get pre-approved and have your letter printed and ready to attach to your offer. Offers that are contingent on the sale of your own home are NOT going to be attractive to a seller and I wouldn't waste your time.  Get your own home ready and on the market before you go out househunting, otherwise you are setting yourself up for disappointment as you witness your dream home sold to someone else.

How do Twin Cities statistics compare to our Lake Minnetonka area? In some categories ours are even more extreme! Months supply of homes is down 35.5%, pending sales are up 27% and closed sales are up 26.8% over last year's figures.  Months supply of private waterfront homes is down 42.9% and closed sales for that segment are up 23%.

What does this mean? I don't like to beg, but WE NEED YOUR LISTINGS! Don't miss this moment in time - when the real estate stars are aligned and as a seller you should get a very good price for your home. This real estate "trifecta" may not come again for a while:

  1. Record low interest rates make homes more affordable to buyers
  2. Lowest inventory levels in 10 years creates enormous demand for each new listing
  3. Unemplyment rate in the Twin Cities much lower than national average providing well qualified pool of buyers

I would love the opportunity to talk to you about selling your home. Give me a call any time: Tammy Maddrey, Roger Fazendin Realtors 952-738-1331.

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