Daniel, Other/Just Looking in Minneapolis, MN

According to Trulia, the average listing price of a 3-bedroom in Minneapolis is $306k, and the average sale

Asked by Daniel, Minneapolis, MN Thu Dec 27, 2007

price is just $238k. Is the difference because buyers are successfully negotiating discounts of almost 25%, or because more expensive homes aren't selling at all?

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Daniel, the 238k average salke price is probaly for all properties sold, not just 3 BR listings.

Here is a great source for data regarding solds, days on market, list to sell ratio, etc.. It is

http://www.mplsrealtor.com/Segments/Realtors/the-100.htm

This is a statistical analysis done by the board of realtor using actual data, rather than tax records, etc., which a lot of the websites are using. I do think you will find all the data you are inquiring about there.

If you have further questions, please don't hesitate to give me a call or e-mail me. My link to website is listed below......

Thanks, Todd Norsted
Web Reference: http://www.toddnorsted.com
3 votes Thank Flag Link Thu Dec 27, 2007
Daniel....I just checked and the actual average sale price in November in Minneapolis was $263,243.

Thanks, Todd
Web Reference: http://www.toddnorsted.com
3 votes Thank Flag Link Thu Dec 27, 2007
Michael and Todd have it right on. This is a very dynamic and changing market and each neighborhood, style and price point is working differently right now. I have a deal closing next week with a buyer of a 1.5 story home with 3 bedrooms, 1 bath, and 1 car attached garage for under $70k in Minneapolis. The house needs some cosmetics but less than $5000 will really make a difference!

It's hard for many agents to get a proper handle on this market, let alone consumers. Any information provided by the local REALTOR associations will be more accurate than the stats put out by other organizations for the reason that Todd stated: we have better & more current data.
Web Reference: http://www.aaronsold.com
1 vote Thank Flag Link Thu Dec 27, 2007
Daniel,
Minneapolis is split into several areas on our MLS. Each has different statistics. For the year the average percentage of sale price recieved ranges from 89.2 in Camden to 96.7 percent downtown. Houses priced right and in good condition are selling in all price points. With the help of a good Realtor you should be able to come up with a price for your offer taking into account days on market, condition, past sales in the neighborhood, etc.
Michael Doyle
1 vote Thank Flag Link Thu Dec 27, 2007
In this market, there are a number of homes that are priced too high and some really great bargains. That being said, there are larger numbers of more highly priced homes on the market than the market is absorbing, so the split between average list price and average sale price looks out of whack. If you look at the 1708 single family homes that have sold year to date for 2008 in Minneapolis, the average list price was $197,513 and the average sale price was $190,669 -- so the list to sale "spread" was closer to 5% than the 25% you are projecting. Typically, the higher priced the home, the more room there is in the spread, but it all comes down to the individual negotiations between any particular buyer and seller for a particular property.

Best wishes.
0 votes Thank Flag Link Mon Jul 7, 2008
Daniel,

Ask your Realtor to do a comparative market analysis for you. Have him/her show you recent "solds" and "actives". Even though the Minneapolis Area Association of Realtors has accurate statistics, they are a month behind. These days a month makes a big difference!
0 votes Thank Flag Link Fri Dec 28, 2007
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