Minneapolis, Minnesota (May 8, 2008) – The median price values of homes in the Twin Cities housing market are showing signs of seasonal increase, according to the Minneapolis Area Association of REALTORS® (MAAR) based on data from the Regional Multiple Listing Service of Minnesota, Inc.
The April median sales price of $204,500 represents the second consecutive month of monthly upward price movement, on the heels of seven consecutive months of downward movement.
"It's comforting to see an early seasonal rebound in prices," said Kevin Knudsen, MAAR President.
Despite the seasonal increase, the overall April median sales price of $204,500 is 7.9 percent behind April of last year. Lender-mediated properties, which include foreclosures and short sales, saw a decline of 9.6 percent for the same time period, while traditional, non-lender-mediated properties saw a decline of only 1.4 percent.
At the end of April there were 32,368 homes for sale, a mere 1.5 percent above this time last year, the lowest such year-over-year growth since MAAR began tracking the figures. Year-to-date, the number of new listings has fallen by 9.5 percent relative to the same time period in 2007. The number of year-to-date new listings which are not lender-mediated is decreasing at an even quicker pace—down by 24.0 percent from the same time period last year.
"The market has had an abundant supply of homes since the tail-end of the boom," said Knudsen. "This drop in seller activity is a sign of hope for market recovery."
While home sales remain down from last year, buyers are responding to improved affordability with a slight uptick in spring activity. The number of signed purchase agreements (pending sales) in April was 4,208, down only 6.6 percent from last April. Since 2006, these year-over-year declines have typically been between 12 and 20 percent.
"Despite the flat supply, soft prices mean excellent opportunities are still out there for buyers," said Steve Havig, MAAR President-Elect.
Established in 1887, the Minneapolis Area Association of REALTORS® (MAAR) is the leading regional advocate and provider of information services, research and education on the real estate industry for brokers, real estate professionals and the public. With more than 9,000 members, MAAR is one of the 25 largest local REALTOR® associations in the nation and serves the Twin Cities 13-county metro area and western Wisconsin.
Contacts:
Greg Sax, Communications Manager
Minneapolis Area Association of REALTORS®
gregs@mplsrealtor.com; 952.988.3123
Jeff Allen, Research Manager
Minneapolis Area Association of REALTORS®
jeffa@mplsrealtor.com; 952.988.3126
Mark Allen, Chief Executive Officer
Minneapolis Area Association of REALTORS®
marka@mplsrealtor.com; 952.988.3134
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