Sorry for my absence. I needed a little time in the sun. I’m happy to report, however, that in my absence, Minneapolis and St Paul duplex sales went charging on without me.
For the week ending February 26, 2013, there were 23 offers accepted by Twin Cities duplex, triplex and fourplex owners. Of these, almost half (47.8 percent) had equity in their properties.
This resulted in a final average off-market list price of $159,850. As properties are currently selling for around 94 percent of their list price, it’s reasonable to assume a final average sales price north of $150,000.
During the same week in 2012, 22 small multifamily property owners received and accepted offers. Of these, 59.1 percent could call themselves “traditional sellers” who had equity in their duplex. This resulted in an average sold price of $143,177.
New inventory continued to shrivel, as there were just 18 new listings for the week. Of these, a whopping 72.2 percent belonged to equity sellers.
For the same week in 2012, there were 22 new listings, 68.2 of which were brought to the market by equity sellers. A drop of four listings year over year doesn’t sound like much until you realize, that’s 18.2 percent fewer Minneapolis and St Paul duplexes, triplexes and fourplexes available for people to buy.
The single family home market followed a similar trend, with new listings down 4.9 percent and pending sales up 7.9 percent, which contributed to overall inventory being down 31 percent from the same time last year.
And even after a week of vacation, I can still say…it’s a great time to sell a Minneapolis duplex.