Twin Cities Real Estate News

As the Twin Cities real estate market continues to recover fewer Twin Cities homeowners owe more than their home is worth.  The negative equity problem for the Twin Cities is far less than in many other Midwestern markets due to the steady improvement in home prices.   The decline of households with negative equity is good news for the Twin Cities and for homeowners that may be looking to sell.   This is just another sign that the Twin Cities real estate market is stabilizing and improving.  If you are considering selling  or curious about the market value of your home check in with MyTwinCitiesRealty.com and me for all of your real estate needs.

Full Article-Buchta, J. (2014, March 8). Fewer Twin Cities homeowners underwater.  Minneapolis Star Tribune.

Retrieved from http://www.startribune.com/

The home prices in the twenty cities of the S&P Case/Schiller index climbed 13.7% from November 2012.  This gain was the biggest 12 month gain since 2006 in this property price index.  The Twin Cities area saw gain of 10.5% from the previous year, even after home prices experienced some flattening in October to November.  A relatively limited supply of homes for sale has allowed home prices to continue to appreciate even as higher mortgage interest rates reduce the home buyer pool.

It is hard to say what will happen with mortgage interest rates, but if you can afford to buy there are definitely still opportunities in this market.  I think it would be a good plan to be prepared to be aggressive in this market. I have feeling that given our harsh winter this year we may even step back into a high growth period as we move toward spring.

Full Article- Smialek, J. (2014, January 29). Home prices in 20 cities rise the most since February 2006.  Bloomberg News.

Retrieved from www.startribune.com

The statistical measurement for U.S. homebuilder confidence dropped slightly in January.  The reading of 56 from the National Association of Home Builders/Wells Fargo builder sentiment index was down 1 point from December, but reading above 50 still indicates a view of “good” rather than “poor”.  Mortgage interest rates although still near historically low levels have risen more than a full percentage point and slightly lower numbers in new home sales have contributed to the decrease in builder confidence.  A lower supply of homes on the market, rising home prices, and still low mortgage interest rates have allowed home builders and experts to remain confident in a gradual recovery.

Full Article- Veiga, A. (2014, January 21). U.S. homebuilder confidence dips in January.  AP Real Estate Writer Fuze.

Retrieved from www.twincities.com

Twin Cities housing prices have hit a five year high and sales have risen to the highest level since 2005.  2013 started out strong for home sales, but has tapered a bit into the fall and winter. This tapering of sales activity has been attributed to a rise in mortgage interest rates and the government shutdown decreasing overall consumer confidence.  Even as sales activity has seen some tapering in 2013, home prices have not been decreasing.   A smaller supply of listed homes and a reduction of distressed or foreclosure properties have driven home prices upward.   Rising home prices should help increase the homes available for sale, as fewer homeowners will be underwater on their mortgages.

The Twin Cities has experienced increased sales throughout most of the metro area.  This growth has paralleled or exceeded that of most other metro areas nationwide.  Many experts predict that the real estate recovery will continue into 2014, but probably will not match 2013.  A stable real estate market that continues to recover at a healthy and sustainable rate should provide opportunities for buyers and sellers.

Full Article-Buchta, J. (2014, January 14). Housing prices hit 5 year high.  Minneapolis Star Tribune.

Retrieved from www.startribune.com