Twin Cities Real Estate: Recovery to Continue in 2014?

by Alex Stenback on February 12, 2014

2014 Jan Months of supply

The January Stats from the Minneapolis Area Association of Realtors were released this AM.

The jist:

Buyers closed on 2,536 properties overall, a 12.8 percent decrease from last January. Once again, traditional sales were up 6.2 percent while foreclosure sales and short sales fell 34.7 and 54.3 percent, respectively. Twin Citizens shopping for homes now have 11,690 properties to choose from – or 10.6 percent fewer than last January.

Emphasis (mine) added on that final sentence.  Inventory in our view here at Behind the Mortgage is THE key to continued recovery in our real estate sector, and has thus far been the biggest struggle for the “ready to buy right now” set of homeowners.

Put another way, there is barely 2.5 months of supply out there – by far the lowest level in a decade or more (see graphic heading this post.)

With nearly every other metric looking good (prices up, days on the market <100, fewer foreclosures and short sales, low unemployment in the region) what this market needs to sustain a recovery is inventory.

And it needs it now. So go ahead and list that house of yours.

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Twin Cities Home Prices Aug 2013: Rebounding So Hard

by Alex Stenback 09.12.2013

The Minneapolis Area Realtors Association has released their August 2013 Real Estate Stats.  You can fins the full report here (pdf!), but this quote from the 4th paragraph is sure to have home sellers (and anyone who has purchased a new home in the last couple of years) smiling: With 18 straight months of year-over-year median […]

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Rising Home Values = Rising Home Equity = Less Underwater Homeowners

by Alex Stenback 09.10.2013

Real Estate Research firm CoreLogic solves a baffling (2 + 2 = ?) equation for us by illustrating the fact that rising home values lead to less people with negative equity (a gentle, sanitary euphemism for owing your lender more than your home is worth.) Jim Buchta at the Strib gets the local angle – […]

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Twin Cities Real Estate: Prices Up and To The Right

by Alex Stenback 04.10.2013

You’d have to be living under a rock to have missed the news that the local (and national) real estate market is on the mend, but I thought I’d post a quick graphic scraped from the most recent monthly indicators report (PDF!) from 10k Marketing (the most excellent “research and stats” arm of the Minneapolis Area Association […]

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Why Your Water Must Be Turned on Before Closing

by Alex Stenback 11.13.2012

Sometimes, the fact that lenders can be sticklers for property condition makes people crazy. To explain why we are the way we are, here’s an excerpt from an actual email received in our office today, on a property that we required the sellers to turn the water on before closing. We sent the appraiser out […]

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Testimonial Time Out

by Alex Stenback 11.09.2012

I have been too busy generating these to do much proper blogging lately.

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Now Can We Call the Bottom In Housing? The Fear Bubble Has Popped

by Alex Stenback 06.26.2012

About a year ago, we started telling anyone who would listen that housing was at, or very close to a bottom in both prices and sales, and that those who would wait, might miss the best deals. Here’s one example, from February 2009: The Fear Bubble May Cause You to Miss an Opportunity. Now, over […]

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‘Obama’ FHA Refinance Program: Changes include reduced FHA insurance premiums for streamline refinance program

by Alex Stenback 03.06.2012

UPDATE:  HUD has now published the Mortgagee Letter: The new program will be available for FHA Case Numbers assigned on or after June 11th 2012.  This means eligible borrowers will need to wait about 3 months (and hope that rates remain low) before they can lock in. Additional fact sheet here. ——– Now here’s a […]

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The Obama Refinance Proposal: Don’t Hold Your Breath Just Yet

by Alex Stenback 02.10.2012

I am getting a lot of email on the new “Obama Refinance Plan” that was announced last week. I’ll be back with a more technical breakdown of the key elements of the proposal, but I wanted to poke my head out to make two quick points on this: 1. The Obama Refinance Plan is a […]

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