2012 was a better year for the housing market than 2011 was and I am optimistic that 2013 will be even better. . . but am waiting to see if we fall off the fiscal cliff. The low interest rates could drive prices up and if the Mortgage Interest Tax deduction goes down that could drive home prices down.
Employment is up and so is demand for housing. People with jobs can buy houses. Jobs are good.
In 2011 3000 homes were sold in St. Paul for an average of $134,754. They were on the market for an average of 136 days and at least 1318 of those homes were distressed properties. They were either short sales or foreclosures.
In 2012 3412 homes were sold in St. Paul for an average of $153,744. They were on the market for an average of 116 days and at least 1192 of them were distressed properties.
These numbers are a little preliminary because there will be some closings today and information from closings that happened last Thursday or Friday may not yet be in the system.
The real estate market has been strong this holiday season and the inventory of homes on the market remains low. There are still sellers who are patiently waiting for their homes to be worth as much as they were in 2005. They may have to wait another 7 to 10 years.
I will publish more numbers starting next Monday.
The numbers are from the Northstar MLS and they are deemed reliable but not guaranteed.
*home is where the violet grows