The last week of 2009 found the Twin Cities housing market singing "Auld Lang Syne" and taking a breather. For the first time in four years, the active listing inventory dropped below 20,000. Chiming in the New Year at 18,980, inventory is at its lowest point since April 2005 and is 22 percent below last year at this time. Also of note, January's Supply-Demand Ratio of 6.69 houses per buyer is 20.6 percent behind a year ago.
New listings for the week ending December 26 dropped 18.9 percent from last year to 446. The 392 purchase agreements for the week were up a merry 53.1 percent above the previous year; while a significant jump, this reflects a small sample size.
We expect 2010 to begin slowly as car starting becomes more important than house hunting during the frigid conditions we're presently experiencing in the metro area.