A chilly October didn’t put the freeze on the Twin Cities home market, as listings, sales and home prices all climbed during the month.
The median sales price of a Twin Cities home increased to $280,000 in October, up 5.7 percent from last year, according to a report from Minneapolis Area Realtors. (The figure is down a bit from an all-time high of $290,000 in July, though.)
Both buyer and seller activity also increased from 2018 levels, a trend MAR attributed to low interest rates.
Pending home sales increased 4.9 percent in October, while new listings increased by 3.8 percent. That brings the number of properties on the market to 6,258. The increase in pending home sales has been continual since June, when mortgage rates dropped below 4 percent.
Inventory also went up, but supply continues to to be tight for first-time buyers and competing buyers of homes below $350,000, according to MAR. A tight inventory supply follows high inventory costs, a labor shortage and regulatory constraints. The Twin Cities home market has about 2.3 months of supply, down 8 percent from a year ago.