For home buyers it’s no secret. Buying a home this spring will be the hardest it has been in recent memory. Laura Kusisto, US housing reporter for the Wall Street Journal breaks down the hot buying market and lack of inventory, not only here in Minneapolis, but across the rest of the country.
Some highlights of the article include:
- According to the Minneapolis Area Associations of Realtors (MAAR) the inventory of homes for sale in Minneapolis dropped by about 25% in February 2017 compared with the same time last year, while the median sale price rose 7.6% to $223,000.
- National median home price is $228,400
- Average number of days’ homes in the area are spending on the market is at a 10-year low of 81 days.
- Usually hot markets such as Seattle and Denver are experiencing low levels of houses for sale but typically slower markets including Minneapolis, Cleveland, Nashville, Tampa, and Louisville are also experiencing historically low housing inventory.
- Home prices have risen 55% since the market bottom in 2012 and hit a new high in 2016, according to MAAR.
Houses that hit the market locally are measured in hours as opposed to days they are being sold in. If you are a serious about purchasing a home, be prepared to make an offer on the spot and be prepared to be one of several offers on the home. You can read the full article to educate and prepare yourself for the battle that is purchasing a home in the current market.