Minneapolis St Paul Real Estate Update
Minneapolis Real Estate Blog
Sales of previously owned homes has seen a slight increase for the first week of December, rising to 533 total purchase agreements written. This trails purchase agreements for the same period a year ago by 10.6 percent. Total inventory of homes for sale always sees it's seasonal reduction at this time of year. There are 4,000 homes on the market compared to 8 weeks ago. Some of this is due to sales, but also the number of cancellations, and expireds. People have had their home on the market for a long spell and have decided to either stay where they are or wait until the new year to take a go at it again.
If you are planning to sell, make sure your expectations for how long this may take. The current days on market is approximately 148 DOM. This is an increase of 12.4 percent from a year ago. This is 148 days from the time the home goes on the market until a contract has been executed. The time until closing can add another significant period of time. The minimum additional time could be as little as 20 days with an infinite amount of time stretching to 90 or 120 days. In total you could be waiting up to more than a half of a year to complete your real estate transaction.
Watch out for that low ball offer as the overall average percent of list to sale price shows that homes are selling for 92.6 percent of asking price. Buyers have no hesitation about making an offer substantially less than what the home is listed for. Buyers have been made aware of the stressed market by the media and are comfortable with making such an offer with no hesitation. Sellers negotiate as their home may have been on the market for a long period of time or there awareness to market conditions make the think twice about not getting an offer at all.
Currently the supply of inventory is 9.3 months with over 40,000 homes for sale in the 13 county area. This includes single family, town homes and condos.
Statistics represented here have been provided by the Market Update from the Minneapolis Area Association of Realtors.
Date: Tuesday, December, 11th 2007 @ 09:03:03 AMViews: 183
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