The supply of housing is down 11% from what it was last March and at the same time the demand is up by 16% from last year. The numbers are for our twin cities metro area housing market.
The supply for homes that are under 120K is the lowest and the demand is the highest. There is about a 3.1 month supply of homes under 120K and a 32 month supply of homes priced over a million dollars. It looks like and 8K tax credit might not be enough to get people to buy million dollar homes or maybe there just are not enough people with enough income to afford them.
The lowest priced homes sell the fastest. There is nothing new about that. It is nice to see that the demand for houses is up. I take that as a good sign in the one year comparision.
We still have a 10.2 months supply of condominiums, last year at this time we had a 12 month supply so it is getting better in the condo market, The St. Paul association of Realtors has an in depth supply and demand report available on their web site for those who want to dig deeper into the housing market.
