Minneapolis Real Estate Market Update

Minneapolis Real Estate - Phillips Neighborhood

MN Real Estate Market Update - February, 2009

The Phillips neighborhood is a very diverse community where crime rates are declining due to increased enforcement. Comparing January of 2008 to the month of January in 2009, there were 7.1% fewer listings put onto the market, with 26 properties going onto the MLS this January. There were nine closings this January, an increase of 125% over last January's four closings. The average sales price January of 2009 decreased 7.8%, from $95,575 to $88,083. The percent of original list price received at the time of sale decreased from 91.2% last January to 84.5% this January. Average days on the market decreased 5.2%, with an average of 201 days this January vs. 212 days last January. For single family detached listings on the market, there were 37 listings on the MLS this January, an decrease of 11.9% compared to the 42 last January. The townhome-condo inventory decreased 28.4% from 67 to 48 active listings in January of 2009.

Now we'll compare the entire year of 2007 to the entire year of 2008 for this part of the Minneapolis real estate market. New listings are up 13.9%, with 319 listings put onto the market this year. Closed sales increased by 6.1% with 87 properties closing in 2008. The average sales price in the Phillips neighborhood is down 41% from last year, going from $167,278 to $98,613. The average days on the market until sale in 2008 were 147 days, an increase of 50.4% over 2007. The percent of original list price received at the time of sale dropped 8.4%, from 94.4% to 86.5% in 2008.

Aside from Camden, Phillips had homes on the market, on average, the longest of all other Minneapolis neighborhoods in 2008. This is very unexpected based on he numbers the last time we looked at the Philips neighborhood (November)! Today there are 133 listings in Phillips, ranging from a $7,500 rehab to a $1.7M apartment building and everything in between!

Downtown Minneapolis real estate update

It's hard to believe we are already into February of 2009! There are so many things still happening with our real esate market here in Minneapolis and throughout the Twin Cities. In today's entry, we wanted to take a quick look at the downtown Minneapolis real estate market for the most recent statistics that have been released.

Comparing December of 2008 to December of 2007, there were a drop in new listings put onto the MLS by 1.8%. Closed sales dropped significantly, going from 57 to 30 closings. The average sales price for a property sold on MLS in this area increased by 7.4%, going from $393,269 to $422,461. The inventory of condos and townhomes for sale was down 24.4%, with 415 actives for sale on the MLS in December of 2008.

When looking at the entire year of 2008 compared to 2007, new listings for downtown Minneapolis were down 24.6%. Closed sales dropped by 7%, and the average sales price rose 5.2% to $338,114. Average days on market did rise from 85 to 106 days.

Overall, things are looking up for this market. Fewer properties for sale and a steady demand has forced prices upward. Unfortunately other parts of Minneapolis have not followed suit of course.

Lake Nokomis real estate

Nokomis - Minneapolis, MN Real Estate Market Update - December 2008

Lake Nokomis is home to many walking and biking paths, beaches, close to Minnehaha Falls and much more! Oh, did we mention it has some nice housing too?! Let's look at the trends in this area of Minneapolis.

First, looking at November 2007 compard to November 2008, there have been 40.5% fewer listings put onto the market, with 50 going active this November. Closed sales are also down from 47 to 32, a decrease of 31.9%. The average sales price only shows a 1% decline from $213,968 to $211,852. The average days on market until sale in the Nokomis neighborhood has increased 22.7% to 123 days (from 100 days last November.) Inventory of homes on the market has declined: detached single family homes fell by 14.9% and townhomes and condos dropped by 16.1%.

Now we'll compare January through November 2007 to January through November 2008. New listings in Nokomis went from 1,540 to 1,143, a decrease of 25.8%. Closed sales are down 14.4%, from 727 in 2007 to 622 in 2008. The average sales price of a property did decline by 8.4%, going from $237,998 to $218,016 in 2008. The percent of original list price received at the time of sale in the Nokomis area only declined 2%, from 95.7% to 93.8% (Downtown Minneapolis and Southwest are above 93.8%but the rest are not, so this is still a good area to sell!) The average days on the market increased 19.2% to 108 days.

There is definitely less activity in the Nokomis area right now. However, there isn't anything overly negative we can comment on at this time. Certainly there were fewer houses listed and less closed sales, but the average sales price is staying relatively level and sellers are getting a high percentage of the sale price they are asking for. As far as average days on the market, 108 days is lower than the overall average here in the Twin Cities. Certainly good news for this part of Minneapolis! When in doubt, price your property well and it will sell.

Our Minneapolis real estate team!

The Minnesota Real Estate Team was extemely humbled to learn that we made the Wall Street Journals Top 200 Real Estate Professionals for 2007. The WSJ ranked the top fifty individual agents and teams across the United States according to total volume closed and total number of closed transactions. Our team was fortunate enough to come in the Top 50 Teams in the United States for number of homes sold in 2007. We also were humbled to learn that we were the only real estate team from Minnesota from any company that made this list!

Though our real estate market here in Minneapolis certainly has shifted over the last couple of years, there is still a very high number of closings taking place all across the state. The retail listing market certainly is slower, but inventory levels still fairly high on the MLS, and buyers are getting a great chance to find outstanding "buys."

The moral of the story: it is not all doom and gloom here in the Minneapolis real estate market. Our team is just a very, very small piece of the "real estate pie" here in Minnesota. But this recent honor received does in fact show, there is alot of great real estate activity happening in Minneapolis and the state as a whole.

If you are a real estate investor, check out our free monthly investment property seminars. And if you enjoy real estate radio, take a listen to our weekly FM radio show, The Minnesota Real Estate Show.

Longfellow Homes

Minneapolis - Longfellow - MN Real Estate Market Update - October, 2008

Today we will look at trends in the Longfellow neighborhood of Minneapolis. Comparing September of 2008 to September of 2007, there have been 42.5% more homes put on the market this year, equalling 57 new listings going on this September. Closed sales are up 12.1% this September, with 37 properties closing vs. only 33 last year. The average sales price is down 19.8% from $224,385 to $180,049. Average days on the market in the Longfellow neighborhood are up 53.6%, from 71 days last September to 109 days this September. As far as single family homes that are currently for sale, there were 136 actives in September of 2007, compared to 123 actives in September of 2008, a decrease of 9.6%.

Now we'll look at January through September 2007 and compare to January through September of 2008. There were 543 new listings put on the market in 2007 and in 2008 there were 504, a decrease of 7.2%. Closed sales are down 14.1%. The average sales price went down 12.7% from $224,897 in 2007 to $196,365 this year. Average days on the market are up 29.6%, from 73 days last year to 95 days this year. This number is low compared to the overall market! The percent of original list price received at the time of sale only decreased 2.3%, from 95.4% last year to 93.2% this year.

The last update on Longfellow we did was real estate numbers and statistics through the end of July. In two months time, closed sales are still increasing. The prices haven't dropped significantly, but went from a 14.6% drop a couple months ago to only a 12.7% drop now compared to last year. Hopefully these both are lasting trends!

Minneapolis - Camden Homes for Sale

Camden - Minneapolis, MN Real Estate Market Update - September, 2008

Today we're going to look at the Camden neighborhood of Minneapolis and real estate trends there. Comparing September of 2008 to the month of September in 2007, there have been 10.2% fewer listings put onto the market, with 115 added to the MLS this September. Closed sales are up 146.2%, from 26 to 64 closings. Of the closed sales, sellers received an average of 86% of their asking price. The average sales price this September was $81,167, down 33.6%. Average days on the market were 150 days, compared to 147 days in 2007. For single family detached listings on the market, there was a decrease of 25.8%, with 405 listings on the MLS this September in the Camden neighborhood. There were 11 townhomes or condos on the market this September, down from 14 the previous year.

Now we'll compare January through September of 2008 to January through September of 2007. New listings are down 4.2%, with 1,256 listings put onto the market this year. Closed sales increased 52.9%, with 451 properties closing in 2008 vs. 295 in 2007. The average sales price in Camden is down 41.4%, going from $140,669 in 2007 to $82,472 in 2008. Average days on the market increased 13.5%, with homes staying on the market 169 days on average in 2008. The percent of original list price received at the time of sale dropped 6.3%, from 90% to 84.3% in 2008.

In conclusion, the Camden area seems to be doing pretty well. With closed sales up over 50% this year, people are definitely seeing some value and built-in equity opportunities in homes here with the sales prices being down 40%! Another interesting fact is that over 75% of the homes in Camden are owner occupied. Perhaps this number could mean that residents may care more about the long-term future of their neighborhood and could be more involved than more of a transient rental community.

Lake Nokomis homes for sale

Nokomis - Minneapolis, MN Real Estate Market Update - September, 2008

The Nokomis neighborhood of Minneapolis is beautiful and has some amazing homes to choose from! Comparing September of 2008 to the month of September in 2007, there have been 35.4% less listings put onto the market, with 82 hitting the MLS this September. Only 54 properties closed, a drop of 19.4% compared to last September's 67 closed sales. Of the closed sales, sellers received an average of 95.7% of their asking price. The average sales price this September was $214,801, down 15.4%. Average days on the market were 104 days, compared to 88 days in 2007. For single family detached listings on the market, there was a decrease of 29.5%, with 253 listings on the MLS this September in the Nokomis neighborhood. There were 32 townhomes or condos on the market this September, down from 41 the previous year.

Now we'll compare January through September of 2008 to January through September of 2007. New listings are down 22.3%, with 1,026 listings put onto the market this year. Closed sales dropped 17.8%, with 480 properties closing in 2008. The average sales price in Nokomis is down 8.5%, coming in at $220,378 from $240,913 in 2007. Average days on the market increased 20.4%, with homes staying on the market 109 days on average in 2008. The percent of original list price received at the time of sale dropped 1.9%, from 96% to 94.2% in 2008.

Lake Nokomis is home to beaches, walking/biking paths and trails, and beautiful landscaping. Also the beautiful Minnehaha falls is located right near here. If you enjoy the outdoors, you would love it here! The stats above are a reflection of the market and even though they are not real impressive now, you can definitely get some great built in equity if you buy in Nokomis now!