The most recent statistics from the Minneapolis Association of Realtors is bound to make potential home sellers smile, as we’ve finally got good news for you! It’s been a long dreary slide of depreciation in the real estate market, but all indications are pointing to brighter days. With interest rates hovering around 4%, and housing affordability at the
highest levels we’ve seen this millennium, the market is becoming flooded with home buyers. With additional buyer pressure on the existing inventory of homes, buyers are starting to see the end to their powerful grip on the market.
The following statistics compare February 2012 to February 2011:
Sellers will be happy to know there are 27% fewer homes on the market. Our current number of homes for sale is our lowest since January of 2004.
A balanced market by definition has 5-6 months of inventory. This number is arrived at by taking the number of homes for sale, divided by the average monthly pending sales from the last 12 months. This is a very important statistic in gauging the balance of the market. The current supply is at 4.6 months, and it hasn’t been this low since 2005.
We’ve seen a 10% decrease in market time, which puts us at a pre-2007 levels.
Even though we have fewer homes on the market, we had 23% more closed sales this February, the most closed sales in February since 2006.
We had 34% more homes in Pending status (homes with accepted purchase agreements waiting to close), the highest amount in February since 2005.
The short and sweet of it is: Fewer homes for sale + more buyers in the market = a great time to sell your home!
Curious where your home value is currently sitting? For customized statistics on YOUR neighborhood, contact the Simply Home Group!