We didn’t think the inventory of available homes in Minneapolis could shrink any smaller until we got a look at last month’s real estate statistics. Overall it’s a tough market for homebuyers and will remain so as long as homeowners aren’t moving.
News for Minneapolis Home Buyers
Inventories are down in all of Minneapolis’ neighborhoods, with the exception of University, where the inventory increased nearly 20 percent.
Citywide, the number of new listings decreased 13 percent while closed sales increased 8.5 percent. Competition for homes in decent condition is swift so if you’ll be shopping for a home, make sure you’re prepared for this market.
News for Minneapolis’ Home Sellers
The median sales price of a Minneapolis home has increased to $225,000, a nearly 6 percent hike over prices this time last year. Prices are down, however, from last month when the median sales price was $234,450. Of course this is the median for the whole city – scroll down to see a neighborhood breakdown.
Expect to get, on average. 97.4 percent of your original asking price and to sell your home within 51 days.
When we break the market down into neighborhoods we see that prices rose in all of Minneapolis’ neighborhoods with the exception of Central, Longfellow, Southwest and University.
Let’s take a look at the communities with the biggest increase in home prices:
Near North – While still one of Minneapolis’ most affordable neighborhoods, prices took a steep climb in Near North. The median sales price increased more than 25 percent, from $126,000 to $133,000. It is definitely a great time to sell right now in Near North.
Phillips – July brought good news to the Phillips neighborhood when the median sales price of homes there increased more than 16 percent, from $118,750 to $138,500.
Northeast – You’ll find home prices took a hefty hike in Northeast last month, from $168,750 to $195,600. That’s an increase of nearly 16 percent. This is the Minneapolis community with the lowest inventory of homes for sale so if you have your heart set on living here you’ll need to be first in the door of new listings.
The Minneapolis community that saw the largest drop in the median home price from last year to this year is last month’s winner in this category, Central. The median home price fell 13.7 percent from last year’s $305,000 to $263,150. The good news for homeowners in Central, however, is that this represents an increase in the median price from June’s $252,000.
Homes in Southwest are selling the quickest, spending 43 days on the market, a 29 percent decrease over this time last year. Despite this, you'll find the largest number of homes for sale here and in Calhoun Isles.