Twin Citites Housing Supply Outlook - March

Twin Cities Housing Supply Outlook
provided by MAAR

Sales growth is strongest now in the townhouse segment. Over the last 12 months the number of sales has increased by 24.4 percent, compared to increases of 14.8 percent and 11.8 percent for single-family and condo homes, respectively. All of that townhouse sales growth can be found in the price segments below $150,000.

Below $120,000 there is only 3.1 months of supply, down from the mark of 6.1 a year ago. Above $1 million there is 32.8 months of supply, up from the mark of 24.8 from a year ago.

Sales in the higher price ranges continue to slow. The market drivers of activity in the lower price ranges (low rates, tax credits) are having little to no effect in the upper bracket segments.

CHAD ELLIOT, REALTOR© The Hennepin Group, LLC Keller Williams Realty 17205 Yale Street NW, Suite D Elk River, Minnesota, 55330	Mobile: (651) 795-1147 Fax: (763) 241-0187 Email: chadelliot@kw.com ChadElliot.com

Twin Cities Housing Supply Outlook - February

Twin Cities Housing Supply Outlook - February 2010
provided by MAAR

The new construction market has made huge strides in cutting down on oversupply the last year. The inventory of newly built homes has dropped to 2,175, down 32.6 percent from the last year. Meanwhile—on the demand side—sales picked up during 2009 thanks to the federal tax credit for first time buyers. The combined effect is that the Months Supply of new construction inventory has fallen from 11.0 to 7.8 in the last year.

Does that mean its time for builders to start putting new projects in the ground, post haste? Not quite. The impending loss of the federal tax credit and a likely increase in mortgage rates down the road mean that downward pressure on home sales is on the horizon. Regardless, the new construction market is in a much better place than it was a year ago.

The biggest growth in new construction home sales can be found in the lower price ranges of single-family detached properties. Sales are up strongly in that segment over the last 12 months.

CHAD ELLIOT, REALTOR© The Hennepin Group, LLC Keller Williams Realty 17205 Yale Street NW, Suite D Elk River, Minnesota, 55330	Mobile: (651) 795-1147 Fax: (763) 241-0187 Email: chadelliot@kw.com ChadElliot.com

Twin Cities Housing Supply Outlook - December

In the overall Twin Cities market, home sellers are now getting
closer to their original asking prices than they were a year ago.
Dig a little deeper, however, and it becomes clear that it’s only
the Single-Family Detached segment that's seeing improvement.
The lowest mark for Percent of Original List Price Received at
Sale can be found in previously owned condominiums, which post a
low mark of 88.6 percent.
Home sales continue to look the strongest in the more affordable
price ranges. Homes below $190,000 are selling at a 49.9 percent
faster clip over the last 12 months than they did the prior 12 months.
Above $190,000, sales are down by 10.5 percent.
That's caused some large differences in our calculation of Months
Supply of Inventory by price range. The lower price ranges are
extreme seller's markets, while the higher prices ranges still present
sellers with challenging conditions.

Housing Supply Outlook Report