Twin Cities/Minnesota Weekly Market Update For the Week Ending Dec. 24th

I had a customer say they were a little worried about buying right now because they read an article saying that the prices were going to come down more this year.  The media likes to report the negative. We all know that by now right!?!?  Whats the only negative in these stats below. - The Median Sale Price is DOWN -

The median sale price might very well be down slightly in 2012 too.  However, for the investor buyers and first time buyers buying around or below that median sale price you need to understand the reason its down is because that's were most of the sales come in (below the median price).  The sales are LOW, prices are LOW, interest rates are LOW and  there are not enough higher price sales to bring that median sale price up much.  

I do believe the homes below this median price will see a slight increase this year. It is the time to buy! Mark it down that I said so. I am VERY confident in that!

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If you follow our weekly notes with even a sidelong glance, you know that the story of 

the market in 2011 has been increased sales and decreased inventory. That's all well 

and good, but consumers and the media want to talk about one thing: Price. Ideally, 

sellers seek multiple offers. This signals strong demand and competitive bidding. 

Buyers want to know that purchasing a home is a financially sound investment. 

Consumers, whether buyer or seller, want to know when we'll be establishing a stable 

real estate foundation again. Which is exactly why the tale of increased sales activity 

and healthy inventory absorption matters.

In the Twin Cities region, for the week ending December 24:

 • New Listings decreased 9.6% to 596

 • Pending Sales increased 48.4% to 607

 • Inventory decreased 24.4% to 18,666

For the month of November:

 • Median Sales Price decreased 10.2% to $149,000

 • Days on Market decreased 1.8% to 135

 • Percent of Original List Price Received increased 1.0% to 90.9%

 • Months Supply of Inventory decreased 29.8% to 5.