Buying a Home in Today’s Minneapolis St. Paul Real Estate Market
Over the past few years, conditions in the real estate market in Minneapolis St. Paul metro area have gone through some dramatic changes. It’s been a time of turmoil and uncertainty. Economic conditions across the entire country have resulted in lower property values and have disrupted the lives of many people, both in Minnesota and elsewhere. Some homeowners have even lost their homes to foreclosure or have been forced to make short sales. It’s been a tough period for many people.
Today, though, things are looking better. Unemployment rates have gone down somewhat. The foreclosure rate is also lower. In the Minneapolis St. Paul area, median home prices listed on the Minnesota MLS are beginning to creep up, while inventories of existing homes for sale are going down. The housing market is showing signs of recovery. While nothing is certain, it’s beginning to look better for homebuyers and sellers alike. Real estate investors are buying bargain-priced foreclosed homes in the Twin Cities to add to their rental portfolios, and home sales in general are improving in most communities. The bottom line is that the current market conditions are making buying a home today more and more affordable, both for first time homebuyers and for homeowners looking to move up.
Affordable Home Ownership in Minnesota
If you’ve been thinking about buying a home, but were waiting for improvements in the housing market in the Minneapolis St. Paul metro area, now may be an excellent time to buy. Here are some of the reasons conditions are ideal for homebuyers:
- Homes Are Still Very Affordable – Even though median home prices have edged up a bit recently, all types of residential real estate remain at attractively low prices. In many cases, homes are selling for prices that are equivalent to or less than the monthly cost of renting a similar home. From luxurious homes to starter homes, affordable pricing is a major factor in the current market. There are still many foreclosed and short sale properties available at even more attractive prices. How long this situation will last remains to be seen, but extraordinary bargains remain available.
- Mortgage Interest Rates Remain Low – Despite improvements in the overall economy, mortgage interest rates are still at historical low levels. Lenders are making real estate loans to qualified borrowers more readily than in the past. Homebuyers with substantial down payments and stable incomes are finding lenders very willing to fund fixed-rate mortgages at rates that are very appealing to borrowers. VA and FHA loans are also available to qualified homebuyers.
- Existing Home Inventories Offer Choices – While inventories of existing listings with Participants of Northstar MLS MN are smaller than in the recent past, today’s homebuyers are still finding a wide choice of homes available in all price ranges. The large number of homes available lets homebuyers choose a home that closely matches their needs and desires at prices they can afford, and in a location that matches their wishes.
- Sweat Equity Opportunities Abound – For handy homebuyers who are seeking homes that would benefit from some fixing up and updates, the recent economic downturn means that many homeowners have deferred some projects and are putting their homes on the market as-is. From landscaping work, painting, and other do-it-yourself jobs, opportunities to create "sweat equity" can mean major opportunities for savvy homebuyers with DIY skills.
- Real Estate Investment Opportunities – If you’re a real estate investor looking to get started or to add to your existing property portfolio, the current Minneapolis St. Paul real estate market still has plentiful opportunities for investors. Short sales, foreclosures, and properties that can be rehabbed easily are still available, And of course, interest rate and prices still are very attractive.
Helping Homebuyers Find Values in the Twin Cities
Today, as always, our REMAX Realty team has its finger on the pulse of the entire Minneapolis St. Paul metro area housing market. We’re eager to help homebuyers find the homes they’re looking for throughout the area. Our home listings search tools can quickly show you listings posted by participants of the Minnesota Northstar MLS and can help you locate homes that meet any set of criteria. As members of Northstar MLS, our licensed agents can also search all types of multiple real estate listings for you to locate homes and other properties anywhere in Minnesota, based on your detailed specifications. Remember, only a licensed MN Realtor has the ability to access the actual Minnesota MLS. We’re always ready to show you homes that will meet your home buying goals, and excellent customer service is our hallmark. Contact us about properties you locate using our property search tools or just to discuss your real estate buying plans. We’d love to assist you in reaching your goals.