Twin Cities Real Estate Update September 2011
STEVE: Hi, this is Steve Westmark, Counselor Realty. Thanks again for watching my video blog this week. Well, today, I’m going to talk a little bit about the update of what’s been going on in the Twin Cities real estate market, show you some graphs, and give you some insights. The first graft I’m going to show you that you’ll see is what’s been happening in closed sales.
The closed sales in the Twin Cities back in 2009 we had about 25,000 through the month of July of that year. Then we went to 23,000 last year. And this year, we’re just slightly less than that by about a thousand units. So we continued about a same pace, and I’m expecting that this year we’re going to end up with about the same unit sales as happened in 2008. The makeup of those sales is the traditional seller is about 60% of those sellers; 30% are bank owned; and then 10% of those are short sale.
The next graph I’m going to show you is a graph on new listings. And where we’ve been going with the total listings in the marketplace has been very, very positive. In 2009, we had over $55,000 listings that were listed at that period of time, and it was about the same in 2010. This year, it’s dropped by 10,000 listings to about 45,000 listings that have come on the market. And in fact, our current inventory of homes that are for sale on the market right now is 24,000 homes for sale.
The next two charts that you’ll be able to look at are showing you what’s going on in the median sale price and the average sale price in the Twin Cities. We’ve had a slight uptick in average sales price in 2010, which had more to do with our sales tax credit. And then we had a decline both in the median sales price and in the average sales price. And you’ll see with the median sales price it was at 11%, and for the average sales price it was at about 8%.
I expect the prices to remain about the same going on into the fall. There usually is a slight decline as you move into the market in the fall because you’ll have less buyers. But we’ve kind of stabilized in our pricing, and with the amount of buyers that are going to continue to be in the marketplace, it should be a good full market with great interest rates. Thanks again for watching this update on the Twin Cities marketplace, and make it a great day. Bye.
