The housing market has been in the news non-stop these last few months. Interest rates are up and in some parts of the country home sales are sluggish as the number of houses on the market goes up. Homeowners are no longer as interested in selling.
Locally the number of houses on the market is up slightly and the number of new listings is down slightly. The median number of days on the market for houses in the Twin Cities Metro area had jumped from 11 days to 12 days between June and August and from 13 days to 14 days in St. Paul during the same period. If we go all the way back to the before time in 2019 median days on market were 20 in St. Paul and 23 for the Metro area.
A decade ago we were seeing numbers in the 80s and 90s for median days on market . . just to add some context.
The real estate market is changing a bit, as it always does, but the demand for houses remains very high and the supply is still much lower than the demand. In the last few months, things have eased up a bit for buyers. There are even situations where sellers are willing to accept less than the asking price.
St. Paul homes are on average selling for more than the asking price. Multiple offers are common. It helps to understand the local market when buying or selling residential real estate.
It is unclear at this point if we are in a recession or heading into one. The unemployment rate is still hovering around 2% in the Metro area. Homeowners have more equity than ever and there isn’t any evidence at this point that home prices are going to go down.
