For the eighth straight month, the Twin Cities' median home sales price rose as the metro area saw increased sales demand and the distressed market accounting for a smaller part of overall home sales, according to the Minneapolis Area Association of Realtors (MAAR) on Monday.
However, the median prices fell in Apple Valley and Rosemount.
According to the MAAR’s local market update, the median sale price in Apple Valley in October was $155,000, which was $8,200—or 5 percent—lower than the same month last year. Also down last month as compared to October 2011 were closed sales (78, as compared to 87 last October) and new listings (65, as compared to 72).
Last month’s average sales price of $177,894 was 1.1 percent less than the same period last year.
Click here to read Apple Valley’s local market update.
According to the local market update, the median sale price in Rosemount in October was $168,200, which was $10,100—or 6.1 percent—lower than the same month last year. Also down last month as compared to October 2011 were closed sales (24, as compared to 29 last October) and new listings (36, as compared to 37).
Last month’s average sales price of $213,913 was 16.6 percent more than the same period last year.
Click here to read Rosemount’s local market update.
TWIN CITIES METRO
The Twin Cities' overall median sales price rose 14.8 percent to $175,000 in October compared with the same month in 2011, MAAR reported. Meanwhile trade group said the traditional median price rose 9.6 percent to $212,500; the foreclosure price climbed 15.2 percent to $123,500; and the short sale price was up 4.2 percent to $131,871, only the second year-over-year gain since June 2008.
“Sellers have been hesitant, but with tightening inventory comes improved prices.” said MAAR president Cari Linn said in a statement.
During October, 4,483 homes in the metro area went under contract, 34 percent higher than October 2011,according to MAAR. There were 4,262 completed home sales in October, a 15.1 percent gain from a year ago.
The number of homes for sale fell 29.7 percent to 15,002 active listings—the lowest number since before January 2003.
Meanwhile, the number of homes for sale has dropped for 21 consecutive months and is just above 15,000, the lowest level for any month since January 2003, MAAR said
Another indicator of the housing market's health: The inventory or supply of homes available for sale. The October inventory dropped 41.4 percent to 3.7 months. That figure indicates the market is on the brink of favoring sellers. Generally, any figure below four months supply is typically the hallmarker of a sellers' market, MAAR said.
Meanwhile, sellers saw homes generally selling more quickly in October compared with the same month a year ago. Homes sold in an average of 104 days, 24.8 percent less time than last October. Sellers, on average, received 94.4 percent of their list price, 3.5 percent more than last year.
In the metro, traditional sales accounted for 64.4 percent of all home sales, foreclosures 25.1 percent and short sales 10.5 percent.
“The market is starting to lean away from lender-owned and short sale properties and more toward traditional sellers again,” Andy Fazendin, MAAR president-elect, said in a statement. “We’re optimistic for 2013.”