What is a dual market? Homes priced in the lower price ranges up to $350,000 have low inventory levels (not enough listings to meet buyer demand). This creates a seller's market where sellers often receive multiple offers or offers over the asking price. Why is this great for move up buyers right now? The homes priced over $350,000 have an adequate inventory or an over supply (more listings than buyers are demanding). For Twin Cities area homes priced between $190,001 to $250,000 supply went down 20.2% in March 2017 compared to March 2016 per statistics reported by Northstar MLS. For the same period homes priced between $350,001 to $500,000 supply went down only 3.7%. Homes priced between $500,001 and $1,000,000 supply went down 6.1%. Homes priced $1,000,001+ supply increased by 4.2%.
We are in an unusual market that has not been seen in 40+ years. A perfect opportunity for move up buyers. Sell in a seller's market. Buy in a buyer's market. Call Lori 612-991-7849 if you would like a review of your home's demand and possibilities. Or Click Here to view your neighborhood market. Just enter your zip code to obtain the statistics.
Low supply and steadily rising rates and prices have been the story so far after the first quarter of 2017. No change is expected in the coming months.
More statistics for the twin cities area from Northstar MLS for the period starting April 2016 through March 2017:
Pending Sales in the Twin Cities area were up 3.5 percent overall.
The price range with the largest gain in sales was the $500,001 to $1,000,000 range, where they increased 17.6 percent.
The overall Median Sales Price was up 6.3 percent to $235,000.
The property type with the largest price gain was the Single-Family segment, where prices increased 6.3 percent to $254,900.
The price range that tended to sell the quickest was the $190,001 to $250,000 range at 48 days.