Ted Bergstrom

For Week Ending April 17, 2021

A new analysis by housing giant Freddie Mac suggests that the U.S. housing market needs 3.8 million more single-family homes nationwide to meet demand. Sam Khater, Freddie Mac’s chief economist, noted “we should have almost four million more housing units if we had kept up with demand the last few years.” While new construction activity has increased in recent years, it has never fully recovered to its previous peak more than fifteen years ago.

In the Twin Cities region, for the week ending April 17:

• New Listings increased 19.0% to 1,582
• Pending Sales increased 45.3% to 1,481
• Inventory decreased 47.6% to 5,276

For the month of March:

• Median Sales Price increased 10.4% to $328,000
• Days on Market decreased 36.1% to 39
• Percent of Original List Price Received increased 2.7% to 101.9%
• Months Supply of Homes For Sale decreased 55.0% to 0.9

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

For Week Ending April 10, 2021

Home prices are not the only rising cost for prospective homebuyers. ATTOM Data Solutions’ latest property tax analysis of nearly 87 million single-family homes in the U.S. found the average property tax bill rose 4.4 percent from 2019 to 2020, to an average of $3,719 for a single-family home. Nationwide, the average effective tax rate was 1.1% of the property’s value in 2020, down slightly from 1.14% in 2019.

In the Twin Cities region, for the week ending April 10:

• New Listings increased 27.1% to 1,658
• Pending Sales increased 20.8% to 1,249
• Inventory decreased 49.3% to 5,086

For the month of March:

• Median Sales Price increased 10.4% to $328,000
• Days on Market decreased 36.1% to 39
• Percent of Original List Price Received increased 2.7% to 101.9%
• Months Supply of Homes For Sale decreased 52.6% to 0.9

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

For Week Ending April 3, 2021

The University of Michigan’s latest Consumer Sentiment Index came in at 84.9 points, up from 76.8 in February and the highest level since last March’s 89.1 reading. The index is an economic indicator of the overall health of the economy as determined by consumer opinion. Increasing values point to increasing consumer confidence in their own financial health and the health of the overall economy.

In the Twin Cities region, for the week ending April 3:

• New Listings decreased 7.6% to 1,406
• Pending Sales increased 21.8% to 1,358
• Inventory decreased 49.4% to 5,051

For the month of February:

• Median Sales Price increased 11.5% to $314,000
• Days on Market decreased 31.3% to 46
• Percent of Original List Price Received increased 2.1% to 100.1%
• Months Supply of Homes For Sale decreased 47.1% to 0.9

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

For Week Ending March 27, 2021

As the spring market is in full swing and home prices are ticking up, mortgage rates have moved higher in recent weeks as well. Freddie Mac reports that the national average rate for a 30-year fixed-rate mortgage rose to 3.17% with an average of .6 points. While rates are still below the average of 3.5% for the same week last year, the year over year comparison has been tightening in recent weeks.

In the Twin Cities region, for the week ending March 27:

• New Listings decreased 3.8% to 1,479
• Pending Sales increased 15.5% to 1,327
• Inventory decreased 49.0% to 4,992

For the month of February:

• Median Sales Price increased 11.5% to $314,000
• Days on Market decreased 31.3% to 46
• Percent of Original List Price Received increased 2.1% to 100.1%
• Months Supply of Homes For Sale decreased 47.1% to 0.9

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

For Week Ending March 20, 2021

Real estate data firm ATTOM Data Solutions reported that the number of homes flipped by investors decreased in 2020 for the first time since 2014. For this study, ATTOM defined a home flip as a condo or single-family home that sold twice within 12 months. Flips of single-family homes and condos fell 13.1% in 2020 compared to 2019, falling to its lowest point since 2016. ATTOM estimated that 5.9% of all homes sold in 2020 were flips.

In the Twin Cities region, for the week ending March 20:

• New Listings decreased 21.4% to 1,390
• Pending Sales increased 4.9% to 1,230
• Inventory decreased 48.6% to 4,872

For the month of February:

• Median Sales Price increased 11.5% to $314,000
• Days on Market decreased 31.3% to 46
• Percent of Original List Price Received increased 2.1% to 100.1%
• Months Supply of Homes For Sale decreased 47.1% to 0.9

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

For Week Ending March 13, 2021

Freddie Mac reported that cash-out refinancing activity surged 42% in 2020 compared to 2019, as homeowners cashed out $152.7 billion in home equity, the highest level since 2007. Low interest rates and strong appreciation in recent years proved attractive to cash-out refinance borrowers, who, on average, withdrew $50,000 in equity.

In the Twin Cities region, for the week ending March 13:

• New Listings decreased 22.0% to 1,391
• Pending Sales increased 4.8% to 1,252
• Inventory decreased 46.5% to 4,857

For the month of February:

• Median Sales Price increased 11.5% to $314,000
• Days on Market decreased 31.3% to 46
• Percent of Original List Price Received increased 2.1% to 100.1%
• Months Supply of Homes For Sale decreased 47.1% to 0.9

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

For Week Ending March 6, 2021

With the spring market well underway, buyer activity remains very robust and hot properties continue to frequently encounter bidding wars. While mortgage rates have ticked up over 3% for the first time since last July, the incremental increase is unlikely to have a substantial effect on buyer demand.

In the Twin Cities region, for the week ending March 6:

• New Listings decreased 21.8% to 1,433
• Pending Sales decreased 1.7% to 1,130
• Inventory decreased 44.6% to 4,818

For the month of February:

• Median Sales Price increased 11.5% to $314,000
• Days on Market decreased 31.3% to 46
• Percent of Original List Price Received increased 2.1% to 100.1%
• Months Supply of Homes For Sale decreased 47.1% to 0.9

All comparisons are to 2020

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.