Report: Twin Cities Housing Supply Drops to Historic Low, Median Sales Price Rises to $332K
Median Twin Cities sales price rose to $332,250 last month
Those looking to buy a home could face intense competition this spring. A new report released by Minneapolis Area Realtors shows the supply of homes for sale in the Twin Cities metro is at a record low given the current demand.
According to the report, there was 4,221 homes for sale at the end of January, barely over a three-week supply. A six-month supply is considered a balanced market.
“It’s important that market participants understand what less than 1.0 month of supply means,” said Mark Mason, president of the Saint Paul Area Association of Realtors. “This means well-priced and attractive listings will sell quickly and often with multiple offers in play.”
Impact on northwest suburbs
The drop in new listings can be seen across the northwest suburbs. In Plymouth, new listings in January dropped 27.6 percent compared to the year prior — from 87 to 63. In New Hope and Golden Valley, new listings were cut in half.
There were a couple exceptions: both Brooklyn Park (up 19 percent) and Brooklyn Center (up 13 percent) both saw slight increases in listings last month compared to the previous year.
Historic sales prices
While the supply crunch has created a slow start to the housing market, sellers have seen sale prices spike. The median Twin Cities sales price rose to $332,250 last month. That’s the highest January median sales price on record.