For Week Ending June 22, 2019

Persistently low mortgage rates and slower price increases have combined with economic growth, low unemployment, wage improvement and consumer confidence to keep home buyers in the market, despite insufficient supply. Builders have not made enough new homes for several years, and, thus, national housing inventory is extremely tight. The vacancy rate for owner-occupied homes in 2018 was the lowest since 1995. If the economy begins to slow, this situation is unlikely to improve.

In the Twin Cities region, for the week ending June 22:

• New Listings increased 1.9% to 2,028
• Pending Sales increased 1.2% to 1,494
• Inventory increased 1.1% to 12,008

For the month of May:

• Median Sales Price increased 5.2% to $285,000
• Days on Market decreased 4.3% to 45
• Percent of Original List Price Received decreased 0.2% to 100.0%
• Months Supply of Homes For Sale increased 4.3% to 2.4

All comparisons are to 2018

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.

For Week Ending June 15, 2019

As anticipated, the Federal Reserve did not change the target range for the federal funds rate (currently set at 2.25% to 2.5%) during their most recent meeting, but the door was left open for a possible rate reduction in 2019 following a string of increases over the last several years. Although the economy is still performing well due to low unemployment and solid retail sales, trade tensions, slowed manufacturing and meek business investments have created uncertainty.

In the Twin Cities region, for the week ending June 15:

• New Listings remained flat at 2,069
• Pending Sales decreased 2.0% to 1,463
• Inventory increased 1.0% to 11,687

For the month of May:

• Median Sales Price increased 5.2% to $285,000
• Days on Market decreased 4.3% to 45
• Percent of Original List Price Received decreased 0.2% to 100.0%
• Months Supply of Homes For Sale increased 4.3% to 2.4

All comparisons are to 2018

Click here for the full Weekly Market Activity Report. From MAAR Market Data News.