Here’s a look at our current winter Twin Cities real estate market.

Your home is likely your largest investment, so we want to share local market information so you know where you stand. 

If you’ve been following real estate lately, you probably know that there’s a low inventory of houses for sale. Inventory has decreased by 46% since 2019. With many buyers out looking in the market, demand is very high. They want to take advantage of the historically low interest rates, which for most, are lower than 3%. 

We’re seeing a pattern of people migrating out of large metro areas, which is causing the low supply and high demand. Right now, properties are selling very quickly, just 7 to 14 days on average, and many will sell within 1 to 4. The average sales price in the Twin Cities metro area is $275,000, which has risen 8% since last year. 

Our 2021 housing market looks very optimistic.

Nothing is ever perfect, but by and large, our 2021 housing market looks very optimistic, especially considering that over 58% of all homes in the U.S. have at least 60% equity in them. 42% of houses are owned free and clear, and the average mortgaged home has about $177,000 worth of equity. With so many people working from home that are considering right-sizing, relocating, or buying lake properties, now is an opportune time for sellers to maximize their equity position before the supply of listings grows considerably. 

The bright spot for buyers is that more homes will doubtless become available in the next six months, which will provide more options and eliminate some of the urgency. With a bigger selection, buyers won’t be forced to make a decision in mere hours and will have more time to make up their minds. 

If you’d like more information about the present market or have any questions, let us know how we can help via phone or email. We’re a husband and wife real estate team, so we know what it takes to make crucial life decisions with your partner. We would love to assist you with any real estate needs you have.