Minneapolis Duplex Market Changes

Change ahead signThere were some big shifts in the Minneapolis duplex market the week ending July 14, 2012.

For example, for the first time in months and months there were fewer pending duplex sales (19) than there were the same week the year before (28).

Of this group of sellers who accepted offers, 52.6 percent were traditional sellers this year. One year ago, just 28.6 percent of the sellers did not need to include a bank in the sale negotiations.

The average off market list price for duplexes that received purchase agreements for the week was $168,205. This shatters the average sold price for the same week in 2011, which was a paltry $115,123.

There were 35 new listings for the second week of July in 2011, with 57 percent of those requiring a lender’s permission to sell. This year, just 28.6 percent of the 21 new sellers either are banks or will require negotiating with one in order to sell.

In the single family market, word of a tightening market brought sellers out, with the number of new listings up 6.2 percent for the week. While this increase was good news for anxious home buyers, the total amount of inventory available on the market remains down 30.7 percent for the year.

The combination of shrinking inventory and rising sales helped the median home price in the Twin Cities for the month of June increase 10.4 percentto $179,000.

Clearly, change can be a good thing.