Minneapolis Real Estate Market Update

North Minneapolis housing

North Minneapolis Market Monthly Update - May, 2008

Let's take a look at what is happening for real estate buying and selling in North Minneapolis. Comparing May of 2008 to May of 2007, there have been exactly the same number of homes put onto the market, 118. Closed sales are up 67.6% this May, with 57 properties closing. The average sales price however is down dramatically, from $119,315 to $57,256 (52%.) Average days on market in North Minneapolis is down 40.4%, from 192 days last May to 114 days in May of 2008. As far as new single family homes that are for sale on the market, there were 386 actives in May of 2008, compared to 422 actives in May of 2007.

When looking at January through May, comparing 2007 to 2008, there are some staggering numbers to share. Closed sales are up by almost 75%, from 134 sales in 2007 to 234 closings in 2008. The average sales price has really taken a huge hit. In 2007, it was $114,300. Now in 2008, it has dropped to $66,656. The average days on market is down 18%, from 178 days last year to 146 days this year. The percent of original list price received at the time of sale stayed pretty level, with it being 85% in 2007, and now 84.1% here in 2008.

After so many newspaper front page headlines, we all know North Minneapolis was a victim to a large amount of mortgage fraud by various real estate investors the past few years. It is encouraging to see so many closings this year however. Even though price has dropped, there is a lot of buying activity taking place in this area. The market seems to have hit bottom and has begun moving upward.

Homes in Southwest Minneapolis

Southwest Minneapolis Market Monthly Update - May, 2008

Southwest Minneapolis has always been a section of Minneapolis that has had nice demand by buyers over the years. Comparing May of 2008 to the month of May in 2007, there have been 22.6% less listings put onto the market, with 147 hitting the MLS this May. Only 67 properties closed, a drop of 23% compared to last May. The average sales price this May was down 9.8%, coming in at $294,865. Average days on market was 129 days, compared to 104 days in 2007. For single family detached listings on the market, there was an increase of 7.3%, with 324 new listings put onto the MLS this May. There were only 42 townhome or condos put onto the market this May however, down from 66 the previous year.

The numbers comparing January through May of 2008 to January through May of 2007 reveal some interesting trends as well. New listings are down 13.1%, with 650 listings put onto the market this year. Closed sales dropped significantly (31.3%), with 222 properties closing in 2008. The average sales price in Southwest Minneapolis did not drop too much. Through May, the price is down 3.1%, coming in at $332,315. The average days on market increased by 9.2%, with homes staying on the market on average, 134 days in 2008. The percent of original list price received at the time of sale dropped 2.7%, from 95.7% to 93.1% in 2008.

Seeing the average sales price remain fairly constant is encouraging. As mentioned initially, this part of Minneapolis really seems to be desirable for sorts of real estate buyers.

Downtown Minneapolis real estate

Downtown Minneapolis Market Monthly Update - May, 2008

I wanted to post an entry specifically on the downtown Minneapolis real estate market, and what has happened comparing May of 2008 to May of 2007. There have been 31.8% less listings put on the market this May, with only 120 properties being put onto the MLS. The average sales price actually has increased, from $320,846 in May of 2007, to $345,526 in May of 2008. Average days on market has stayed somewhat consistent, with this May seeing a drop of 5.7%, The overall inventory levels for single family properties dropped 28.6%, and the active townhome and condo listings dropped by 14.6% (from 602 listings last May to 514 this May). As far as closed sales, the downtown area saw a 1.9% increase this May, going from 53 sales last year to 54 this year.

When comparing January through May of 2007 to 2008 at the exact same time, downtown Minneapolis saw 20% less listings put onto the MLS. 2008 has seen 666 new properties come onto the market. Thankfully, there has been a 42% increase in closed transactions, with 250 properties closing so far in 2008. The average sales price stayed pretty level, going from $315,834 to $316,274 this year. The average days on the market has increased by 18.7%, with current market time now at 206 days. The percent of original list price received at the time of sale has also stayed very level. Last year it was 95.9%, and this year it is 96.5%.

These numbers are actually somewhat refreshing for our downtown condo market. We know the Minneapolis condo market has "taking a beating" over the last couple of years pricewise and inventory wise, but these numbers do seem encouraging for those that own and live in the downtown market.

Apple Valley Houses

Apple Valley Real Estate Market Monthly Update - May, 2008

It's time to look at Apple Valley and what is happening with the real estate statistics in this community. Let's first compare the month of May in 2008 to May of 2007. This May, there were 159 new listings put onto the market, down 19.3% from last May. Closed sales dropped only 5.7%, with 66 properties closing this May. Average sales price actually rose 4.2% in Apple Valley, from $236,444 to $246,331. Average days on market rose dramatically (23.9%), from 121 to 150 days. Inventory levels dropped this May. The single family detached inventory decreased from 212 properties last May, to 199 actives this year. The townhome and condo inventory levels also dropped 3.1%.

Now comparing January through May of 2007 to 2008 of the exact same time period, we have some more interesting numbers to share: new listings dropped 13.8% , from 827 to 713. Closed sales also dropped by 12.9%, with 230 properties closing this year through May. The average sales price did rise, from $241,093 to $244,515 here in 2008. The percent of original list price received at the sale stayed very comparable, dropping only 1.5% to 94.1%. Overall, average market time is up 27.6% to 158 days.

Apple Valley residents surely will be happy to see their average sales price actually has risen from 2007 to 2008. It is not all doom and gloom here in the Twin Cities and Minneapolis real estate marketplace.

Shakopee real estate

Shakopee Real Estate Monthly Market Update - May, 2008

It's summer time in Shakopee, Minnesota! Valleyfair the amusement park is getting busier and busier I am sure. Unfortunately the real estate scene in this great town is not as "hopping" right now. Taking a look at May of 2008 to the month of May in 2007, Shakopee saw a drop of 25% in closed sales, going from 72 closings last May to 54 in May of 2008. The average sales price also dropped, from $280,774 to $233,172 in May of 2008. Average days on market rose 36.1%, going from 117 days in May of 2007 to 159 this May. There was only a 2.3% increase in overall inventory levels for single family homes on the market, and the townhome and condo market decreased in active listings from 218 to 216 of this year.

When we compare January through May of 2007 to January through May of 2008, the Shakopee real estate market has seen a drop of 11% in the amount of listings that have gone on the market. Closed sales have dropped 14.7% this year as well, going from 218 in 2007 to 186 this year. The average sales price dropped 13.8%, going from $261,850 to $225,783. Market time has increased from 133 days in 2007 to 162 days here in 2008. The percent of original list price received at the sale dropped from 96.6% to 92.5% here in 2008.

Savage Homes

Savage Homes and Real Estate Monthly Market Update - May, 2008

Surprise, surprise! Savage real estate too is seeing a bit of a slow down here in 2008. When comparing the month of May 2008 to May of 2007, there have been 11.1% less listings put onto the market. Closed sales have dropped by 28.6%, with only 30 homes closing in May. The average sales price dropped 12.2%, from $306,343 to $268,959 in 2008. Average days on market jumped up 28.3%, with average market time in May at 191 days. Thankfully, there is 7.8% less overall single family homes on the market, and only one more townhome and condo listing (126 listings this year compared to 125 in last May.)

When comparing January through May of 2008 to 2007 of the same time period, there have been 18.5% less homes put onto the market (97 less.) Pending sales have dropped by the exact same percentage, with 119 sales taking place so far this year. Average sales price is down a whopping 10.2%, going from $279,443 in 2007 to $250,883 in 2008. The percent of original list priced received at time of sale has dropped from 96.1% in 2007 to 92.5%. Average days on market is up to 170 days. Last year through May it was at 138 days.

Savage, though having many wonderful neighborhoods, has not been immune to the overall shift in price that has taken place here in the Minneapolis real estate market.

Edina Homes for Sale

Edina Real Estate Market Monthly Update - May, 2008

The Edina real estate market has seen a major downtown in closed sales year to date. Year to date, through the end of May, there have been 26.8% less closings than January through May of 2007. Thankfully, there has also been 8.2% less listings put onto the market this year. As far as average sales price, Edina has seen an increase of 6.2% in 2008. Even in this market, the average sale price has risen from $476,595 in 2007 to $505,937 here in 2008. This is great news for residents in Edina indeed! Average days on the market has stayed very much consistent with last year. It is currently at 153 days, with last year being 152 days (again through the end of May.)

When we compare May of 2008 to May of 2007, there have been 4.5% less listings that were put onto the market. Closed sales dropped dramatically (42.9%) here in May of 2008. Again, as a bright spot however, the average sales price is up 21.1%, going from $413,053 to $500,258 in May of 2008. Average days on market dropped from 141 days last May to 134 days this year. We have also seen a slight increase in the active inventory for sale here this year, with 273 single family properties currently on the market. The townhome and condo inventory levels have actually dropped 1.9% here in May of 2008.

Overall, in spite of what is happening in the entire Twin Cities marketplace, prices have remained stable in Edina. With so many historic neighborhoods, demand has tapered but buyers still are willing to "step it up" and purchase great properties in this city.

Maple Grove real estate

Maple Grove MLS and Real Estate Market Monthly Update - May, 2008

What's going on with the real estate market in Maple Grove, Minnesota? When comparing May of 2008 to May of 2007, Maple Grove has seen a drop of 24.1% in new listings put onto the MLS. Closed sales have also dropped by 4.8%. The average sales price in May was $293,143, down from $336,561 in May of 2007. For homes currently on the market, we have seen market time increase to 152 days, up from 119 days in May of 2007. Thankfully the townhome and condo inventory is down 3.5% here in 2008, with current inventory levels at 275 properties.

When we look at year to date real estate activity in Maple Grove, comparing 2008 to 2007, there have been 2.8% less listings put onto the MLS, still however over 1000 new listings total (1057.) 307 properties have closed, a drop of 7.5% compared to 2007, and the average sales price is down 11.2%, to $297,987. Average days on market is up to 153 days, an increase of over 24%. When looking at the percent of original list price received at the sale, that number is now 92.8%. In 2007 through the end of May, it was 96%.

These numbers are in line with what we are finding in many of the Twin Cities area communities. Because Maple Grove's average sales price is higher than many parts of the Twin Cities, this year over year drop in average sales price is not totally unexpected.

Eden Prairie MLS

Eden Prairie MLS and Real Estate Market Monthly Update - May, 2008

Eden Prairie has always been a high demand area for real estate here in the Twin Cities. Let's take a quick look at what is going on in this great city. When comparing May of 2008 to May of 2007, we have seen 5.8% less homes come onto the market. Sadly, there have were 30.6% less closings in May, and the average sales price is down to $359,087 (from $403,365 in May of 2007.) This is an 11% drop. Average days on the market is now 164 days, an increase of 23.6% compared to last year.

Year to date, there have been 921 new listings put onto the MLS, a decrease of 9.7% compared to 2007. Closed sales are down a whopping 18.3%, with 272 properties closing here in 2008. Average sales price in Eden Prairie dropped from $391,963 in 2007 to $351,562 in 2008 (a 10.3% drop.) Market time has increased to 152 days, only up 8% from 2007 (140 days.)

Eden Prairie also has as number of upper bracket homes. With so many "nicer" pockets, this 10.3% year to date drop in average sales price is not a surprise. With the tightening of the credit markets creating fewer upper bracket buyers, and of course an abundance of supply, price decreases were surely in order.

Minneapolis Real Estate 0508

What's going on with the real estate market in Minneapolis? We wanted to provide you a quick snapshot of how things are looking right now. Comparing January through May of 2008, to January through May of 2007, Minneapolis as a whole has seen a drop of 15.7% in average sales price. Year to date, the average sales price is at $214,414, where last year it was at $254,388. Thankfully, there have been 13% less listings that have been put on the MLS. Market time is rising. So far, average market time is at 149 days, compared to 2007 where average DOM was 130 days. Closed sales have seen a decline this year of 5.8%, with 1,657 closings taken place so far this year.

When we compare the month of May, 2008 to May of 2007, we have seen 18.8% less listings come onto the market here in Minneapolis, and 16.5% less properties go pending. Average sales price has dropped significantly, from $262,440 to $199,392. Inventory-wise, we have seen a drop of 2.1% of single family homes put onto the market here in May of 2008, and 17.6% less townhomes and condos.

When we look at various neighborhoods in Minneapolis, there are a number of statistics of interest: the North Minneapolis area has seen an increase of 74% in closings here in 2008 compared to last year, with the Minneapolis Uptown area seeing a drop of 33% in closed sales. Camden has seen an increase in 38.2% in closings in 2008, with the Phillips neighborhood down 48.3%.

As far as average sales price comparing 2007 to 2008 year to date, the Uptown-Lakes area has seen an increase of 3.8% year to date, with many neighborhoods down significantly: the Phillips is down 42.6%, and North down 41.7%. Downtown Minneapolis has held steady at a 0.1% increase here in 2008.