Tracking the Market During Covid-19
Market Remains Resilient
Despite the stay-at-home order in place in Minnesota, the Twin Cities’ real estate market continues to move forward. Houses are selling, often with multiple offers, and our team is able to show homes following some common sense guidelines we’ve put in place.
Comparing 2020 to 2019
To get an overall view of market traction and direction we’ve been keeping our eyes on some key metrics, comparing the most current March and April numbers from 2020 to what was reported in 2019. The chart below shows key statistics for Hennepin County.
Hennepin County, MN Stats Comparing 2020 to 2019
from Minneapolis Area Realtors
|up ↑ 12.9%||up ↑ 6.6%||down ↓ 10.8%||down ↓ 15.4%|
|down ↓ 31.1%||up ↑ 8.5%||down ↓ 23%||down ↓ 16%|
March 2020 vs 2019
New Listings: up 12.9%
Median Sales Price: up 6.6%
Avg Days on Market: down 10.8%
Total Inventory: down 15.4%
April 2020 vs 2019
New Listings: down 31.1%
Median Sales Price: up 8.5%
Avg Days on Market: down 23%
Total Inventory: down 16%
Interpreting the Numbers
Strong Buyer Demand
In both March and April, higher average sales prices and shorter average days on the market indicate that buyer demand remains strong. They are out looking and are anxious for new listings to come on the market.
As potential sellers sat tight this April during the shelter-in-place order, the number of new listings dropped significantly compared to 2019. This has added even more demand on the buyer side–keeping sellers in good positions with sales prices continuing to be up and selling times down. Values have, at least to this point at the end of April, remained strong–particularly on the lower end of the market where multiple offers are quite common due to lack of inventory.
In coming weeks, as shelter-in-place restrictions are loosened-up, we anticipate the number of new listings to begin to rise again. We’ll be watching to see how this potential increase in listings affects values and timelines and will continue to keep our clients informed.