The raw numbers first, simply put below,Â homes forÂ sale in theÂ Twin Cities market compared to homes sold in the past year, broken out by type of sellerÂ (to the nearest 100, as of October 2011, sources Northstar MLS and MPLS Realtor Association):
The quick interpretation of what to expect as a buyer...
There are about 1,800 Traditional Sales per month compared to the 14,000 listings, meaning 7-8 months of inventory.Â Expect the buyer's market you should expect. Prices are negotiable and the amount comes down to level of motivation.Â Closing cost and inspection concessionsÂ are common.Â Â Buyers can usually dictate the closing timeline within reason.
Bank Owned properties are selling at over 1,000 per month but with only just over 2,000 listings.Â Expect competition.Â Multiple offers are common, sales above list price are not uncommon.Â Prices are negotiable but pretty strictlyÂ as a function of time on market (more time equates to reductions or discounts).Â As-is clauses, no repairs, narrow windows of acceptable closing dates all prevail with most bank'sÂ 'my-way-or-the-highway' general attitude as a seller.
The Short Sale category shows more properties currently for sale than have closed for the entire previous year.Â Expect not to close. Anything can happen in this category, logic frequently falls prey to bureaucracy and conflicting interests,Â and it'sÂ difficult to generalize.Â It's quickly evolving however, and we can help you identify the more saleable scenarios.Â Buyers still need to hope for the bestÂ while planning for the worst.
It goes without saying that every situation is unique, so take these expectations for the broad generalizations that they are.Â A perfectly priced traditional seller may fit the competitive bank-owed description, an over-priced bank owned may be the opposite, and some lucky buyers will close on a short sale with no issues.Â An active and experienced agent is your best source for determining what to expect one property at a time, REMAX Results has a lot of those!