Mortgage Rates: The bond and mortgage markets remained flat in June as the national average for a 30 year fixed, conventional mortgage began and ended the month at 4.55%.
Pending Sales: 6,300 homes came under contract in June which is down 5% month over month and down 4% year over year. The slow down in pending sales in June is expected as the selling season typically starts in February, peaks in May and begins to taper off in June.
New Listings: 8,700 new listings hit the market in June which is down 5% month over month and down 1%, year over year. That drop was also expected as market activity begins to taper off in June.
Homes for Sale: Despite the decline in new listings, home inventory grew to just over 11,100 homes for sale due to an ever larger decrease in demand. That is up 2% month over month but down 17% year over year and down 34% from the inventory level of 2013.
Median Home Prices: In June, the median home price in the Twin Cities fell slightly to 270,500 as the crazy spring market came to an end and the summer slow down began. That is down less than 1% month over month but this is the first time that prices haven’t increased month over month since January of this year. The median home price is still up 5% year over year and up 29% from 5 years ago.
The summer market tends to be much softer than the spring market and prices tend to retrace as the remaining months of the year pass by. Then in February when inventory is typically at it’s lowest, the spring demand hits and prices begin to make their move back up.
This concludes my broad analysis for July. Please don’t hesitate to connect with me any time to discuss the market conditions in your particular neighborhood and thank you for taking the time to watch this video.
To schedule a free consultation, call us today at 952-222-SOLD (7653).
By Nick Leyendecker, REALTOR® with Coldwell Banker Burnet