If you read this morning’s Minneapolis Star Tribune, you may have seen two articles that may affect your decision to either buy or sell a multifamily investment property in the Twin Cites any time in the next decade.
The first headline screamed the Twin Cities will need nearly 71,000 new apartments in the next 13 years in order to keep up with demand. The story was based on a report from the National Multifamily Housing Council and National Apartment Associations.
It cited decreasing home ownership, international immigration, and delayed home purchases thanks to shifts in the timing of the drivers of home ownership, like getting married and having children.
Whether you’re thinking of becoming a real estate investor or already own and are considering buying more, this bodes well for the long-term return on your investment. With low interest rates and skyrocketing rents as a result of demand exceeding supply, it is still a good time to buy; despite rising prices and low inventory.
In the same section of today’s news, another story brought good news for Minneapolis and St Paul duplex, triplex and apartment sellers. The number of listings on the market for sale in May fell to a 14-year low. While there were 8,744 new listings, which was roughly the same number as last year, they sold so fast that by month’s end, there were 17 percent fewer than at the same time last year.
In other words, it’s also a GREAT time to be a seller.
If you’re considering buying, selling, or exploring the idea of investing in real estate, please give me a call or send an email. I’d be happy to help you find the path that’s right for you.