Are we past the peak?

Back in 2009 when the housing market was crashing we used to explain that we would not know when we hit bottom until after we hit bottom. Last October the local real estate market peaked in terms of the number of home sales. The decline in sales since then has been blamed on the weather. I am not so sure that is the whole truth.

graph of home sales
Closed home sales in St. Paul – click on chart to enlarge

The local real estate market is strong. Home sellers need to make sure their home is priced right and in good repair. Buyers should make an offer when they find a home they like because there is still only about a 3.5 month supply of homes on the market which means that we are in more of a sellers market than a buyers market.  The market has cooled since last summer which is a good thing because prices were going up a bit too quickly and it was starting to feel kind of bubblish.

Print Friendly, PDF & Email