Yes, I said January. Not May or June.
In the first 31 days of 2018, the Twin Cities quite literally experienced a shortage of duplexes for sale. There were just 186 properties available for sale on the entire MLS. For the record, the MLS covers the seven county metro area and a handful of out state and Wisconsin listings.
That is the fewest number of duplexes available during any month in over a decade by 14 percent.
If you remember your high school economics class, what happens to prices when demand exceeds supply? They go up, right?
The median sales price for the 88 duplexes, triplexes and fourplexes that sold in the first month for 2018 was $281,500. That means half sold for more, half sold for less.
Better yet, that number was $41,500 higher than the median sales price for those properties in 2017.
What happens when supply goes up? Prices level off or decline, right? What happens to real estate inventory in the spring? It usually goes up.
If you’re ready to retire as a landlord, or simply want to move your money to a different location or type of investment property, give me a call. Spring is just around the corner.