Minneapolis, Twin Cities Minnesota (PRWEB) June 15, 2014
The Twin Cities housing recovery has rays of sunlight glimmering brightly on improving home prices, higher numbers of traditional home sales, and relief from the inventory depravity buyers have faced. According to the Minneapolis Area Association of Realtors (MAAR), May's numbers bring a mix of news, but offer a positive outlook for prospective home buyers and seller as they check the "warmer" readings of Minneapolis real estate market conditions heading into summer.
"Creating a 'first-time' for 2014, new Twin Cities real estate listings were the highest found since 2010. Factors contributing to the rise are attributed to an increase in the number of traditional home sales versus the promotion of a homebuyer tax credit or other stimulus," says Jenna Thuening, owner of Home Destination. "The Twin Cities real estate recovery is coming out from behind the clouds."
Listed below are the keynotes Home Destination finds in the June 11 Minneapolis Skinny report titled: Twin Cities Has Largest Pool of Homes for Sale in Almost a Year
1. New Real Estate Listing up 6.1 Percent
Though new listings rose 3.0 percent compared to last May, traditional new listings rose 14.1 percent while foreclosure and short sale new listings fell 44.0 percent and 47.7 percent, respectively. In contrast to the drop in pending home sales to 9.0 percent, traditional pending sales rose 0.7 percent while foreclosure and short sale pendings declined by 39.3 percent and 47.3 percent. With the strongest impact being improvements in the overall inventory level at 6.1 percent; it is still important to note that traditional inventory was up 25.9 percent.
2. Twin Cities Home Prices May 2014
Home prices are rising as hoped and as confirm a progress real estate recovery. Home prices have not reached what housing experts called "normal" before the crash. At the same time, the burst of the housing bubble teaches us that we are better off if home prices do not reach unsustainable highs. MAAR says that, "As a result of this ongoing shift toward higher-priced and higher-quality product, the median sales price for the metro rose 8.2 percent to $210,000. That now makes 27 straight months of year-over-year price gains".
3. Sellers Gaining a Good Price And Closing Quickly
Sellers find they are reaching their closing date quickly, as days on market was down 7.0 percent to 80 days, on average. Sellers on average gain 96.8 percent of their home's original list price. With more traditional buyer out competing for fewer homes on the market, sellers have enjoyed the advantage of selling their homes quickly and at a great price.
4. Twin Cities Home Buyers Plan to Live in Their Homes Longer
The short supply of inventory stripped some Minneapolis real estate buyers of sufficient listings in order to locate a suitable home to buy. Buyers are seeking more housing market knowledge than before the market tumbled and have more resources available to make better informed purchase decisions. As tighter lending has added new challenges to close on housing transactions, buyers are more determined to search until they find a home they will be happy living in for the next 5 or more years.
5. Twin Cities Home Foreclosures & Short Sales May 2014
Though new listings rose 3.0 percent compared to last May, traditional new listings rose 14.1 percent while foreclosure and short sale new listings fell 44.0 percent and 47.7 percent, respectively. Similarly, though pending sales were down 9.0 percent, traditional pending sales rose 0.7 percent while pending Minnesota home foreclosures and short sale dropped 39.3 percent and 47.3 percent respectively.
Minneapolis Area Association of Realtors (MAAR) figures are based on statistics for the combined 13-county Twin Cities metropolitan area. Metro home sellers and real estate buyers must keep in mind that all real estate is subject to location and the demand for housing in each neighborhood. Comparisons may be similar but not even within neighboring housing communities. For a more accurate report by locations, Realty Times offers a chart where individuals can view market conditions by city.
"Given how well the Twin Cities real estate recovery has improved overall, many metro area homeowners are reassessing their situation and deciding it is a good time to move and buy another home," states Thuening.
Home Destination offers an extensive library of home buyer resources and is a Twin Cities residential real estate consultant serving the metro over 15 years. Dedicated to giving investors the best opportunity to make solid real estate decisions, call 612-396-7832 and ask for Jenna Thuening.