"Multiple offers are still pretty common; so serious buyers need to make strong offers right up front." ~ David Arbit, Research Manager at MAAR
Twin Cities, Minnesota (PRWEB) December 10, 2013
Twin Cities pace of home sales activities tapers with anticipated seasonal adjustments; however housing data shows exceptional year-over-year gains across multiple areas of Minneapolis - St Paul housing activity, according to the Monthly Skinny. A slower pace may help homebuyers who have felt pressed to make strong purchase offers upfront due to heightened bidding wars.
"The pace of Twin Cities home price gains and bidding wars may ease - which is a welcomed by prospective home buyers", says Jenna Thuening, owner of Home Destination. "We find that prospective Twin Cities homebuyers have had to come with financing in hand and move quickly with a solid purchase offer to have a fair chance. A slower pace over the holidays has it advantages for sellers, too."
The pace of home sales due to purchases of Twin Cities foreclosed homes as slowed significantly. Today's report from CoreLogic noted the five states with the largest year-over-year drop in the foreclosure inventory were: California (-53.8 percent), Arizona (-53.2 percent), Colorado (-43.5 percent), Minnesota (-43.1 percent) and Wisconsin (-40.7 percent). Buyers demand and supply for distressed homes. Traditional home sales were up 39% in November, swinging the housing market arena back to "normalized" numbers.
“In October, the year-over-year appreciation rate remained strong, but the month-over-month appreciation rate was barely positive, indicating that house price appreciation has slowed as expected for the winter,” comments Dr. Mark Fleming, chief economist for CoreLogic. “Based on our pending HPI, the monthly growth rate is expected to moderate even further in November and December. The slowdown in price appreciation is positive for the housing market and homebuyers as almost half the states are now within 10 percent of their respective historical price peaks.”
Homes Sell in the Twin Cities Faster Than New Listings Come On the Market
Twin Cities housing activity levels for the month of November were strong on the selling side which puts more pressure on the already-too-low housing supply. Details in the latest Minneapolis Area Association of Realtors report include:
- Median Sales Price increased 13.4% to $195,000
- Days on Market decreased 26.5% to 75
- Percent of Original List Price Received increased 1.3% to 95.4%
- Months Supply of Inventory decreased 11.1% to 3.2. Inventory levels remain near a 10 year low.
- 20 straight months of year-over-year home price gains.
- 7 consecutive month in year-over-year increases in Twin Cities home seller activity.
- Traditional seller activity was up 39%.
- November 2013 home prices, including distressed sales, are likely to remain at the same pace month on month as October 2013, with a projected increase of 12.2% year-over-year from November 2012.
"It has definitely experienced a faster paced Twin Cities housing market so far this year. Homes are selling fast. And that means if you hope to buy a home, you have to be prepared to move quickly or loose out in the bidding process," adds Thuening. Once a home purchase offer is accepted, buyers have been at loan officer’s beck and call to close as early as withing 25 days.
Jenna Thuening is a skilled real estate professional, providing real estate consultations for home buyers and sellers in the Twin Cities metro. Home Destination specializes in homes for sale in Eden Prairie, Minnetonka, Edina, Orono, Chanhassen, Lake Calhoun, Lake Harriet, Maple Grove, Plymouth, MN, and residential homes through out the Minneapolis Western Suburban Cities. For real estate advice and assistance call 651-206-2410.