Twin Cities Duplex Market Repeats Itself

In either a weird coincidence or sign of the times, January saw 62 Twin Cities duplexes, triplexes, or fourplexes get new owners.

That’s exactly the same number sold in January of 2024 and 2023. While I suppose that means things haven’t changed, it’s worth noting the average sales price for the same month has increased 20% over the three years to $415,341.

That does not mean there aren’t noteworthy changes in the market. For example, the aforementioned sale properties spent an average of 53 days  before selling. When including previous time on the market before the listing was cancelled and put back on the market (CDOM), that number swells to 69. That’s a 81.6% increase in DOM over January 24, and a 5.4% increase in CDOM.

In all, multifamily property sellers averaged a sales price 97.2%  of the original list price. With just a three-month supply of inventory, it is nonetheless, still a seller’s market.

A 4 bedroom, 2 bathroom partially demo’d duplex house conversion in the Payne-Phelan neighborhood offered the buyer a terrific rehab opportunity at $118,000. A U of M Como neighborhood triplex with a whopping 14 bedrooms and 6 bathrooms netted the seller and topped the market at $950,000.

The month saw 83 new listings contribute to January’s total of 195 active listings. Minneapolis contributed 45 new opportunities, and St Paul added another 25.

A fire ravaged 2 bedroom, 2 bathroom duplex in Minneapolis’ Folwell neighborhood will keep someone busy over the winter and was priced to go at $75,000. A 9 bedroom, 4 bathroom duplex in the Holland neighborhood topped the market at $849,900.

We may see the impacts of political controversy and the Fed’s stated pessimism about lower interest rates in February’s numbers. Then again, Minnesotan’s tend to see winter’s end on the horizon right after the Super Bowl, so all bets are off.