A newly released report by the Housing Affordability Institute stresses what I’ve been researching for year; Twin Cities new construction costs are higher than many other metropolitan areas across the country. Yes we live in a cold climate that requires increased costs for energy efficiencies; but the underlying factor is it cost more to build…read more
One of the most important mid-term elections of our life-time is Tuesday November 6th….so please get out and vote! I have reposted an interesting article from Realtor.com comparing the housing market by county and by political leaning. Interesting read. Red vs. Blue America: How the Nation’s Real Estate Divide Could Determine the Midterm Elections By…read more
There is no question the home supply inventory is low across the Twin Cities, regardless of price point. As of July 2017 the inventory of homes for sale in the Metro Area was only a 2.4 month supply – equilibrium is about 5 to 6 months. Not surprisingly, the supply of homes is lowest for…read more
This past June new building permits posted the highest monthly totals in a decade in the Twin Cities. Compared to last year at this time, new home permits are up over 60% in one year! New construction volume has been dominated by new luxury apartment construction since the Great Recession; so it is good news…read more
The Mullins Group is often asked, “why is new construction so expensive” compared to other Metro Areas? There isn’t one reason; but a multitude of reasons why housing is so pricey in the Metro Area. A few of the reasons include: land costs, Met Council MUSA line, over-the-top building code changes, impact fees from local…read more
As we have previously stated in other recent posts, the supply of homes for-sale is at all time-lows; here in the Twin Cities and across many markets in the U.S. This lack of inventory has driven up housing costs as buyers have fewer options and homes are selling with multiple offers. This past week alone;…read more
As we have discussed in other recent posts; the supply of homes for sale has been extremely tight in the Twin Cities Metro Area. Based on the current sales volume, the supply of homes for sale would only last 1.9-months, whereas a balanced market would have a supply of six months of homes for sale. …read more
The Twin Cities real estate market has witnessed a fundamental shift over the past few years from a buyers to sellers market. Inventory (i.e. the supply of homes) continues to remain very low which has resulted in price appreciation and few days on market. In 2016 the median days on market was only 33 days,…read more
Like most areas across the country, the Twin Cities real estate market as drastically impacted by last decade’s housing downturn and the ensuing Great Recession. After peaking in 2005 and 2006, the median sales price of a home in the Twin Cities is finally back up to the pre-recessionary levels. However, the new construction market…read more
Home pricing in the Twin Cities has recovered from the recession as the median sale price has once again reached the peak back in 2005 and 2006. However, in many communities within the 494 core and specifically first-ring suburban communities; housing pricing has appreciated faster than communities on the fringe. This is in part due…read more
