I want to give up a quick update on the real estate market for the first half of 2020 and some predicting for the end of the year. As you can imagine, the market has been affected by Covid 19 and below is some information about how the real estate industry has adjusted to reduce the risk to home buyers and sellers. The 2020 Real Estate Market Overall, the real estate market has continued to be very strong for the past few years and into 2020. Demand continues to outweigh supply, which has increased the median sales price 5% year over year as of June with a current median price of $305,000 in the Twin Cities. Covid 19 has affected the real estate market, but it’s hard to know the effect on the demand from buyers. Currently, demand is still very strong with pending sales for June up 6% over last June. Covid 19 has had a great impact on sellers with listings down 15% in June. This is creating a tight and very competitive market for buyers especially on homes selling under $500,000. Usually we see a summer slow down in the real estate market, but with the limited supply the market continues to be busy. Rates Interest rates are another factor that continue to fuel the current market. For the first time in history the conventional 30-year fixed mortgage rate is below 3%. This is great news for consumers as they can afford more house or reduce their mortgage payment. For those of you who haven’t refinanced recently, this could be a good opportunity to do so. Covid 19 In March, April and May, the real estate market saw a sharp decrease in the number of listings coming on the market as we sheltered in place and tried to understand how Covid 19 would affect all of us. This is an ongoing issue to me as a real estate agent as I want to provide a service to our clients, but also keep all of us safe and mitigate the risk of spreading the virus. Edina Realty has put in place several precautions including monitoring the health of all agents coming into the offices and asking our clients about their health as we take them to look at homes. At the listings, only one Realtor is able to show a house with no overlapping showings inside the listing. We ask the sellers to keep all the lights on, so the agents and buyers don’t have to touch anything after they enter the house. Finally, we require all buyers and agents to wear a mask, we provide foot coverings for them to wear and provide hand sanitizer. Covid 19 has created challenges for all of us and I’ll do everything I can to help you if you are ready to make a move. I will work hard to make it a safe and successful experience for you.
I provide these articles in the hope of helping you understand your home better and to do so with a little humor. Most people, including many agents, don’t know this information so please pass this along to your friends, family and neighbors. If they happen to ask who you recommend as a Realtor, don’t feel the need to beg them to call me…give me their name and number and I’ll do that! Please stay well! Comments are closed.
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