Month: September 2018

More sellers are feeling optimistic about listing their homes just as humidity, cabin weekends and food-on-a-stick give way to rakes, school buses and sweater vests. Compared to last August, Twin Cities sellers listed 7.6 percent more homes on the market. That was the largest increase since late-2015. Although buyers signed 2.9 percent fewer contracts than last year, they did manage to close on slightly more deals. Three of the last four months had increases in new listings; three of the last four months had decreases in pending sales. This trend of rising seller activity and moderating buyer activity suggests we could be approaching those long-awaited inventory gains. Sure enough, the 7.8 percent decline was the smallest decrease in inventory in over three years. Months supply was down just 3.8 percent to 2.5 months.

That said, today’s buyers still face plenty of competition over limited supply. Sellers yielded an average of 99.2 percent of their original list price and 100.1 percent of their current list price, illustrating how drastically undersupplied markets tend to favor sellers. The shortage is especially noticeable at the entry-level prices, where multiple offers and homes selling for over list price have become commonplace. The move-up and upper-bracket segments are less competitive and—for the most part—much better supplied. The market remains relatively tight, but there are some early signs that things could be loosening up for buyers.

August 2018 by the Numbers (compared to a year ago)
• Sellers listed 7,814 properties on the market, a 7.6 percent increase
• Buyers closed on 6,629 homes, a 0.2 percent increase from last August
• Inventory levels for August fell 7.8 percent compared to 2017 to 12,243 units
• Months Supply of Inventory was down 3.8 percent to 2.5 months
• The Median Sales Price rose 6.3 percent to $268,000, a record high for August
• Cumulative Days on Market declined 16.7 percent to 40 days, on average (median of 21)
• Changes in Sales activity varied by market segment

o Single family sales fell 0.8 percent; condo sales rose 15.3 percent; townhome sales increased 1.1 percent
o Traditional sales rose 1.5 percent; foreclosure sales sank 35.4 percent; short sales dropped 31.3 percent
o Previously-owned sales were down 0.5 percent; new construction sales increased 20.9 percent

It’s official. Yesterday, Southeast Minnesota REALTORS (SEMR) signed papers to merge its MLS operations with NorthstarMLS, and our president, Kath Hammerseng was there with pen in hand. All SEMR members—approximately 1,000—will use NorthstarMLS as their primary MLS. The conversion of all SEMR members and their listings from their current MLS to NorthstarMLS is targeted to be completed mid-November.

(LEFT TO RIGHT): JOHN MOSEY (NORTHSTARMLS PRESIDENT/CEO), MAN HUYNH (SPAAR PRESIDENT), JAY JEWSON (SEMR PRESIDENT) AND KATH HAMMERSENG (MAAR PRESIDENT)

“This is great for members and brokers because we can better serve our clients when our information is more consistent and accessible,” said President Kath Hammerseng. “And, it eliminates the necessity to pay for more than one MLS service.”

According to NorthstarMLS, benefits include:

Agents and appraisers (and their clients) will have access to all listings in our combined region, including offers of cooperation and compensation.

Brokers, agents and appraisers belonging to two Associations to access both SEMR and NorthstarMLS listings will now be able to access all listings through a single Association membership, saving costs and eliminating double listing input into two systems.

New MLS data fields and enhanced existing fields to accommodate greater Minnesota needs and benefiting all NorthstarMLS users.

Greater cooperation between brokers and agents across the State, directly benefiting buyers and sellers.

A positive example to all Associations in the State of how well greater collaboration between MLS’s benefits all brokers and agents, whether through participation in the Regional, or simply operating from a common data platform.

SEMR members will benefit from the latest innovations and technologies including Infosparks, Remine, TLC, TrustFunds, MyFloodStatus, etc. —tools that help drive productivity and profitability.

SEMR has been approved as a shareholder by current shareholders—Minneapolis Area REALTORS® and Saint Paul Area Association of REALTORS®. As a shareholder, SEMR will have a seat on our Board of Directors.

We look forward to SEMR being part of the NorthStarMLS community and better serve Minnesota.

Click here to read more and see photos on NorthstarMLS.