Hey Ben, How’s the Market?
Given the pace of the real estate housing market this year so far, the question I hear most right now… ‘is it slowing down out there yet?’
Don’t expect a yes from our team! There’s a good chance they will roll their eyes at me in grief that there never seems to be a moment we’re not taking on new projects or tasks for a new client and home.
We are grateful for that though, to all of you, whose support our business is built on.
The numbers actually say yes, it’s slowing down just a bit. New listings and number of sales in July of ’16 were both down about 5% compared to July ’15.
That is of little concern though, and we think it just reflects what we’ve saying that the ’16 pace is fun, but probably not sustainable. Despite the July comparison, 2016 year to date is still up nicely: Twin Cities closed sales up 3.5%, median sales price up 5.5%.
Returns on investment real estate are slightly more modest than the recent past, but still solid with increasing rents offsetting increasing prices. We’ve found the demand for investment property to clearly be strong with our recent offering of eight duplexes in the North metro, all gone within days and finalized in a week. Each property received competing offers with the majority selling above list price.
Home buyers and home sellers, it may feel like Fall is here, but the Summer is still going strong and great times for both buying and selling. I may even be looking around…