News – Page 21

September 7, 2021

Weekly Market Report

For Week Ending August 28, 2021

Pending sales were down for a second straight month, falling 1.8% in July, according to the National Association of REALTORS®, as stiff competition for homes and high sales prices have discouraged some would-be buyers. Home prices have been soaring during the pandemic, with the S&P Corelogic Case-Shiller national home price index reporting that prices rose 18.6% nationally in June, the largest annual increase in the history of the index since 1987.

In the Twin Cities region, for the week ending August 28:

New Listings decreased 10.6% to 1,621
Pending Sales decreased 8.6% to 1,463
Inventory decreased 17.8% to 8,014

For the month of July:

Median Sales Price increased 11.9% to $350,000
Days on Market decreased 53.7% to 19
Percent of Original List Price Received increased 3.5% to 103.6%
Months Supply of Homes For Sale decreased 30.0% to 1.4

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

August 30, 2021

Filed Under: Weekly Report

Weekly Market Report

For Week Ending August 21, 2021

With the last days of summer on the horizon, experts are expecting an unusually busy fall market, as sellers continue putting more homes on the market, hoping to take advantage of record-high sales prices and strong buyer demand. The National Association of REALTORS® reports the median existing home price was up 17.8% year-over-year, and new listings were up 7.3% in July compared to June, defying seasonality trends typically seen in the fall.

In the Twin Cities region, for the week ending August 21:

New Listings decreased 5.0% to 1,757
Pending Sales decreased 11.0% to 1,454
Inventory decreased 19.5% to 7,906

For the month of July:

Median Sales Price increased 11.9% to $350,000
Days on Market decreased 53.7% to 19
Percent of Original List Price Received increased 3.5% to 103.6%
Months Supply of Homes For Sale decreased 30.0% to 1.4

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

August 26, 2021

Filed Under: Monthly Skinny Video

July Monthly Skinny Video

August 23, 2021

Filed Under: Weekly Report

Weekly Market Report

For Week Ending August 14, 2021

High home prices are the most common reason prospective buyers have yet to purchase a home, with 39% of active buyers mentioning high sales prices as the primary deterrent to not finding a home in Q2 2021, according to a recent Housing Trends report from the National Association of Home Builders. This is a change from the previous two quarters, where interested buyers reported being outbid by other offers as the most common reason for not purchasing a home.

In the Twin Cities region, for the week ending August 14:

New Listings decreased 11.7% to 1,697
Pending Sales decreased 8.0% to 1,503
Inventory decreased 19.3% to 7,901

For the month of July:

Median Sales Price increased 11.9% to $350,000
Days on Market decreased 53.7% to 19
Percent of Original List Price Received increased 3.5% to 103.6%
Months Supply of Homes For Sale decreased 30.0% to 1.4

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

August 23, 2021

Filed Under: The Skinny

Twin Cities Housing Market Returning to Historic Trends

(August 17, 2021) – According to new data from the Minneapolis Area REALTORS® and the Saint Paul Area Association of REALTORS®, buyer activity in the month of July more closely resembled a typical, pre-pandemic summer than the frenzied buying spree seen over the last year or so. Demand as measured by pending sales was down 11.2 percent from July 2020 but was flat compared to July 2019.

Meanwhile, seller activity in the Twin Cities Metro increased for a fourth consecutive month. The number of homes listed on the market during the month was up 0.7 percent from last year, partly a result of the pullback in seller activity last spring and summer.
“Buyer activity was remarkably strong around this time last year,” said Tracy Baglio, President of the Saint Paul Area Association of REALTORS®. “It’s important to put softening sales figures in context. We’re returning to a more typical market in line with the past five years. Compared to the frenzied pace of Summer 2020, that appears to be a slowdown, but it’s really just ‘normalization.’” Overall, sellers are still firmly in control of this market; that hasn’t changed. With just 1.3 months supply of inventory, the metro remains a sellers’ market. Historically, six months of supply is considered a balanced market.

Another hallmark of supply-constrained markets is fast market times. The median number of days a property remained on market declined 58.8 percent to seven days. In other words, half of the pending sales in July had accepted offers within a week of being listed. On the other hand, home prices were up 11.9 percent from last July to arrive at $350,000 for the month. That’s even with June, even though prices tend to reach their seasonal peak in June.
“With offers still coming in at an average of 3.6 percent over original asking price, more people are understanding the strength of this market,” according to Todd Walker, President of Minneapolis Area REALTORS®. “Any supply increase can readily be absorbed by the record demand in the marketplace, and any rebalancing or adjustment will take some time to play out.”

Activity varies by area, price point and property type. Sales of single-family homes were up 3.4 percent in Minneapolis and level in St. Paul, suggesting demand remained strong in the core cities. Condos were the only property type to grow in year over year sales. Across the 16-county Twin Cities region condo sales rose 8.6 percent. Sales of previously owned homes fell 2.5 percent while new construction dropped 23.9 percent.

July 2021 by the numbers compared to a year ago

- Sellers listed 8,139 properties on the market, a 0.7 percent increase from last July
- Buyers signed 6,202 purchase agreements, down 11.3 percent (6,695 closed sales, down 5.2 percent)
- Inventory levels fell 25.3 percent to 7,590 units
- Month’s Supply of Inventory was down 35.0 percent to 1.3 month (4-6 months is balanced)
- The Median Sales Price rose 11.9 percent to $350,000
- Days on Market decreased 53.7 percent to 19 days, on average (median of 7 days, down 58.8 percent)
- Changes in Sales activity varied by market segment
  - Single family sales were down 5.5 percent; condo sales rose 8.6 percent; townhome sales decreased 5.3 percent
  - Traditional sales fell 4.2 percent; foreclosure sales were down 54.5 percent; short sales fell 42.9 percent
  - Previously owned sales were down 2.5 percent; new construction sales dropped 23.9 percent
  From The Skinny Blog.

August 16, 2021

Filed Under: Weekly Report

Weekly Market Report

For Week Ending August 7, 2021

America’s housing shortage may be starting to ease up, with new listings up 6.5% year-over-year in July, making it the fourth consecutive month of annual increases, according to realtor.com’s Monthly Housing Report. More than half of the nation’s 50 largest metropolitan areas reported double-digit increases in new listings, which may suggest the market is beginning to normalize after the record-breaking activity seen during the pandemic.

In the Twin Cities region, for the week ending August 7:

New Listings increased 1.7% to 1,939
Pending Sales decreased 18.6% to 1,414
Inventory decreased 23.1% to 7,605

For the month of July:

Median Sales Price increased 11.9% to $350,000
Days on Market decreased 53.7% to 19
Percent of Original List Price Received increased 3.5% to 103.6%
Months Supply of Homes For Sale decreased 30.0% to 1.4

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

August 9, 2021

Filed Under: Weekly Report

Weekly Market Report

For Week Ending July 31, 2021

The percentage of first-time home buyers fell to 31% in June, the lowest level in more than 3 decades, according to the National Association of REALTORS®. Cash offers, bidding wars, and soaring home prices are making it increasingly difficult for first-time buyers to compete in a market with record low inventory and declining housing affordability, even as 30-year mortgage rates dropped below 3 percent for the first time since February.

In the Twin Cities region, for the week ending July 31:

New Listings decreased 1.6% to 1,832
Pending Sales decreased 10.4% to 1,476
Inventory decreased 25.9% to 7,427

For the month of June:

Median Sales Price increased 14.8% to $350,000
Days on Market decreased 52.4% to 20
Percent of Original List Price Received increased 4.5% to 104.1%
Months Supply of Homes For Sale decreased 42.9% to 1.2

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

August 2, 2021

Filed Under: Weekly Report

Weekly Market Report

For Week Ending July 24, 2021

Sales of new construction single-family homes fell to a 14-month low, dropping 6.6% in June compared to May, according to the Commerce Department, although sales of new homes remain 13.5% higher compared to a year ago. The recent decline in sales can be attributed to rising construction costs and building material prices, with these increases then passed on to consumers, and to labor and supply chain challenges, which have extended homebuilding timelines, frustrating buyers and further aggravating America’s housing shortage.

In the Twin Cities region, for the week ending July 24:

New Listings decreased 3.3% to 1,786
Pending Sales decreased 4.6% to 1,481
Inventory decreased 25.9% to 7,400

For the month of June:

Median Sales Price increased 14.8% to $350,000
Days on Market decreased 52.4% to 20
Percent of Original List Price Received increased 4.5% to 104.1%
Months Supply of Homes For Sale decreased 42.9% to 1.2

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

July 26, 2021

Filed Under: Weekly Report

Weekly Market Report

For Week Ending July 17, 2021

Cash buyers continue to make up a significant portion of the U.S. housing market, with nearly one-third of home sales this year being all-cash purchases. Although investors make up a considerable number of cash sales transactions, the increasing availability of remote work during the pandemic has allowed some homeowners to sell their homes in pricey markets and relocate to less-expensive locales, where they’re able to pay cash for a new home, giving them an edge in a highly competitive market.

In the Twin Cities region, for the week ending July 17:

New Listings increased 3.1% to 1,909
Pending Sales decreased 12.0% to 1,422
Inventory decreased 29.0% to 7,106

For the month of June:

Median Sales Price increased 14.8% to $350,000
Days on Market decreased 52.4% to 20
Percent of Original List Price Received increased 4.5% to 104.1%
Months Supply of Homes For Sale decreased 42.9% to 1.2

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

July 26, 2021

Filed Under: Monthly Skinny Video

June Monthly Skinny Video

The increase in sales prices comes with a slight decline in existing home sales nationwide, as homebuyers struggle with declining affordability amid a lack of inventory, forcing some buyers to simply wait it out in hopes of more inventory and less competition.