If you’ve been following national real estate headlines, you might think the housing market is either slowing to a crawl or on the brink of collapse. But here in Minneapolis–St. Paul, that narrative doesn’t quite fit.
Economists that look at real estate markets nationwide agree!
What we’re experiencing right now isn’t a boom or a bust. It’s something we haven’t seen in years: a more normal housing market. And when you zoom out and look at the bigger picture, that normalcy may actually set Minneapolis up for a strong 2026.
What the Minneapolis Housing Market Looks Like Right Now
This past year has been brisk—but not chaotic. Homes aren’t selling in minutes anymore, and that’s an important shift.
The average home is spending about 39 days on the market. This is consistent with past years.
Interest rates have largely held steady in the mid-6% range for 30-year fixed mortgages
Buyers have more breathing room, and sellers are still seeing solid demand
When you compare today’s market to the frenzy of 2020–2022, it feels very different. But when you compare it to 2019, it starts to look familiar. Balanced. Measured. Functional.
That’s not a bad thing.
Why Minneapolis Keeps Ranking as a Top Growth Market
Despite higher interest rates and a slower pace, Minneapolis continues to show up on top 5 growth market lists from major real estate organizations like Zillow, Redfin, and the National Association of Realtors.
So why does this metro keep punching above its weight?
1. Relative Affordability for a Major Metro
For a city of this size, Minneapolis remains comparatively affordable. We offer strong job markets, respected healthcare systems, major universities, and vibrant arts and cultural amenities—without the price tags seen in many coastal cities.
That affordability continues to attract buyers from higher-cost regions of the country.
2. Climate Stability Is Becoming a Housing Factor
While not always part of traditional real estate conversations, climate resilience is increasingly influencing long-term housing demand.
The Upper Midwest is more insulated from many of the climate-related disasters impacting other parts of the U.S., and that stability is quietly shaping migration patterns. Over time, this contributes to sustained housing demand.
3. Ongoing Housing Shortages
Housing inventory remains tight—and there’s little indication that this will change quickly.
New construction remains expensive
Building material costs continue to be impacted by tariffs
Labor shortages are worsening due to immigration crackdowns that reduce the availability of skilled workers on job sites
Fewer homes being built means continued pressure on prices, even in a calmer market.
What to Watch Heading Into 2026
No market is without risk, and it’s important to stay realistic.
Employment trends matter, and national unemployment rates have been increasing. A weakening job market can always influence buyer confidence. That said, real estate is deeply local.
We remain below national rates!
When you look specifically at Minneapolis and the broader Upper Midwest, the fundamentals remain strong: stable demand, limited supply, relative affordability, and long-term desirability.
Why a “Normal” Market Is Actually Good News
This isn’t the frenzy of 2021, and it isn’t a market falling apart either.
It’s a steadier environment where:
Buyers can make thoughtful decisions
Sellers still benefit from constrained inventory
Pricing is supported by fundamentals rather than hype
For people who understand the local market, this kind of balance can be incredibly healthy—especially as we look toward 2026.
Final Thoughts
If you’re buying, selling, or considering a move to Minneapolis, understanding local conditions matters far more than national headlines. The Twin Cities market continues to show resilience, stability, and long-term promise—even as other regions experience very different outcomes.
As always, all real estate is local. And right now, Minneapolis is quietly—and confidently—holding its ground.
As we approach the end of the year in Minnesota, the rhythm of life shifts. The days get shorter, the temps get colder, and people settle into the cozy rituals that make winter here feel special. And right on schedule, the real estate market slows down, too.
But slowing down doesn’t mean declining. In fact, the Minneapolis–St. Paul market remains one of the strongest and most stable in the country, especially when you focus on the 7-county metro, which is where most buyers want to be.
Here’s what’s happening right now — and what it means for buyers and sellers heading into 2026.
For previously owned single-family homes, the year-over-year appreciation rate is 4.5%. This is exactly where we want to be — growing, but not overheated.
Some markets around the country are seeing price declines. We are not.
Home prices here continue to hold their value, even when individual listings make price adjustments.
A Spotty, Discerning Market
The 2025 market is unusual — but honestly, when hasn’t it been?
Here’s the pattern we’re seeing:
Homes at or below the median price point often sell quickly and may receive multiple offers.
Higher-priced homes have a smaller buyer pool and may sit longer.
Across all price points, buyers are becoming more selective. They want move-in ready. They want value. They want fewer reasons to hesitate.
For sellers, this means preparation matters more than ever. Removing objections before buyers walk in the door is critical.
Current Prices and Inventory Levels
Previously Owned Single-Family Homes (7-County Metro)
Median price: $418,000
Average price: ~$508,000
Months supply:1.7 This number has not budged in more than a year.
Anything under 5 months of supply is considered a seller’s market, and we are firmly in that territory.
New Construction
Median price: $600,000
Average price: ~$713,000
YOY appreciation: 6%
Months supply: ~6 months
New construction is a balanced market, offering buyers an abundance of choice—but typically with trade-offs, including larger homes on smaller lots and landscaping that won’t feel mature for years.
Why Winter Is One of the Best Times to Buy
If you’re planning to buy at all, winter often provides the strongest buyer advantages:
More motivated sellers
Less competition
More negotiation power
More time to make decisions
Less pressure to waive protections
You can often secure a lower price in November or December than you can in the spring, when additional buyers flood the market.
Looking Ahead: Predictions for 2026
The Chief Economist for the National Association of Realtors predicts a 16% increase in home sales next year, assuming the Federal Reserve reduces interest rates as the economy cools.
If interest rates drop to around 6% or below, demand could skyrocket.
That sounds great for affordability — but keep in mind that lower rates also mean more competition. Prices and bidding activity typically rise when buyer demand returns in force.
And remember: Minnesota’s spring market starts in January.
Every year, without fail.
If you’re hoping to avoid competition, winter may be your moment.
Final Thoughts
Whether you’re buying or selling, strategy is everything.
Buyers: Winter gives you leverage and options.
Sellers: Patience is key in slower segments, but demand always returns with the new year.
The Twin Cities continues to offer stable appreciation, strong demand, and a market that behaves differently from many coastal or high-volatility areas.
And if you’re relocating here — welcome. It’s a great place to be, even in the winter.
If you want personalized advice or want to start a conversation about buying or selling in 2026, I’m here to help!
More Homes. Less Pressure. But Still a Seller’s Market?
If you’ve been watching the Minneapolis housing market over the past few years, you might be wondering: is this finally the shift we’ve been waiting for? In short — kind of!
Here’s what I’m seeing on the ground (and in the numbers) right now as of July 2025.
📈 Inventory Is Rising — and That Matters
We’ve seen a 31% increase in listings since the start of the year, and there are now about 7,300 active listings in the 7-county Twin Cities metro. That’s nearly 1,000 more homes than this time last year.
More homes on the market means more choices — and a little less panic — for buyers.
Almost every county is now over 2 months of housing supply:
Anoka and Ramsey Counties are still under 2 months.
Carver County is leading the pack at nearly 3 months.
📊 Quick Inventory Refresher:
0–5 months = Seller’s market
5–6 months = Balanced market
6+ months = Buyer’s market
So yes, we’re still in a seller’s market technically… but emotionally, it feels like a big relief for buyers compared to the frenzied pace of the past few years.
🧭 Buyer Experience: More Room to Breathe
If you’re coming from out of state — especially places where homes are lingering on the market or negotiation cycles are long — the Twin Cities might feel strange.
We still see multiple offers. Especially for homes that are:
Closer to the city
Priced right
In “1 out of 10” condition (mint and move-in ready)
Those homes? They’re flying. Still. But listings that need a little TLC, staging, or smart pricing? Buyers are negotiating, and sellers are making concessions.
💡 What Accepted Offers Are Looking Like Right Now
The transaction coordination team I use (Home Free TC) provided a quick market snapshot based on 47 accepted offers between July 1–11, 2025. It’s a small sample, but all from busy, high-volume agents:
15% of buyers waived inspections (that’s way down from the last few years)
21% were cash offers, 70% conventional financing
Median sale-to-list price: 100%
28% of offers included seller-paid closing costs
Only 4% used escalation clauses, and just 8% included appraisal gap coverage
Home warranties included in 11% of deals
Cancellation rate: 2%
Takeaway? The market is calmer. Strategic. Thoughtful. But good homes still move fast.
🏠 How Property Types Are Trending
🔹 Single-Family Homes:
Median price: $415,000
YOY increase: +3.8%
Median days on market: 14 (including inspection!) Most homes go under contract within the first week.
🔹 New Construction:
Median price: $595,000
YOY increase: +4.9% There’s more supply than demand here, which means more negotiating power for buyers. A great opportunity right now.
🔹 Condos:
Median price: Just over $200K
Flat pricing, and days on market are increasing. Supply > demand = slower sales.
🔹 Townhomes:
Median price: $310,000
Median days on market: 30 Townhome prices are holding steady, but longer market times are giving buyers a bit more wiggle room.
💬 So… Is It a Buyer’s Market Yet?
Not quite — but we’re headed in that direction, and it feels a whole lot better for buyers than it did even a year ago.
If you’re thinking about buying, there are real opportunities right now. If you’re selling, presentation and pricing matter more than ever — but you still hold strong ground.
🤝 Want Help Navigating This Market?
Whether you’re relocating, downsizing, upsizing, or just exploring options — I’m here to help. I’ve worked with clients all across the country and love helping people figure out whether Minnesota is their next home.
📩 Feel free to reach out — mschumann@kw.com or call / text 773-791-2015
And if thinking twice doesn’t do it, think a few more times—because you may be buying a house you’ll be stuck with for a LONG time.
I’m Mary Schumann, a realtor in the Minneapolis area. I help a LOT of buyers find the right home here. I’ve seen horror stories, analyzed inspection reports, and run the data on enough houses to confidently tell you to stay away from the following types of homes. Some of these tips may seem like common sense, but circumstances can sometimes push buyers to overlook red flags. Don’t be that buyer!
1. Homes With Obvious Flaws or Hazards
If a home has an obvious flaw that can’t be fixed—STOP and reconsider. Examples include:
Located on a busy street
Backing up to a railway
Next to a run-down mobile home park
The number one rule in real estate is location, location, location. If you buy in a noisy or undesirable area, you’ll limit your resale options significantly. Busy streets, railways, and unattractive neighbors often scare off buyers with kids or pets.
Pro Tip: It’s often better to buy the worst home in the best neighborhood than the best home in a questionable location.
2. Homes Without Basements
In Minnesota, basements are essential. We get tornadoes here, and having a safe place to go during severe weather is key. Basements also provide:
Extra storage
Space for a family room or workout area
Most buyers expect a basement, so skipping one could hurt your property value.
3. Homes With Water Problems
Watch out for homes at the bottom of a slope or in flood zones. These can lead to:
Damp basements
Water damage and mold
Look for signs of water staining or dampness, and make sure the home has a sump pump—a good sign the seller has mitigated any water issues.
Flood Zones Tip: Minnesota does well with water management, but always check flood maps if you’re near rivers or creeks.
4. Homes With Steep or Long Driveways
Minnesota winters mean snow and ice—and neither is fun on a steep or long driveway. Problems include:
Cars getting stuck or scraping low-clearance vehicles
Slipping on ice when walking up or down
Sunlight Tip: Driveways facing south or west get more sun, which helps melt ice and snow faster.
5. Poor-Quality New Construction Homes
Don’t get distracted by fancy finishes like granite countertops. Instead, focus on:
Durability of floors and carpet padding
High-quality mechanicals (furnace, AC, etc.)
Reputable builders with strong reviews
Minnesota has a 1-2-10 warranty on new construction:
1 year: Full coverage
2 years: Mechanical systems
10 years: Structural defects
Get a home inspection in the 11th month of your warranty to catch issues early.
6. Older Homes With Bad Roofs
Insurance companies may refuse coverage if a roof is in poor condition. Always check roof age and quality before buying an older home.
7. Homes at Dangerous Intersections or Curves
Avoid homes on T-intersections or tight curves. These locations often:
Attract traffic accidents
Shine headlights into your windows at night
8. Homes With HOA Restrictions
While Minnesota’s HOA rules are often less strict than other states, review them carefully. Minnesota law gives buyers a 10-day review period for HOA documents, including:
Rules and regulations
Budgets and expenditures
You can cancel your offer and get your earnest money refunded during this period if you don’t like what you see.
Final Advice: Don’t Skip Inspections
Yes, inspections are expensive, but they can save you from making costly mistakes. A high-quality inspector can uncover issues you may not be able to negotiate or fix later.
Work With a Realtor Who Tells It Like It Is
Thinking about buying a home? Find an agent who gives you honest guidance. My role is to arm you with the information you need to make smart decisions.
If you have questions, reach out! I love hearing from people who find me on online or on YouTube.
What is happening in the Minneapolis area real estate market? I’ve been following several metrics over the past few years and there are a few that really stand out to me as indicative of how the market is doing, not just PRICE but what kinds of terms are included in winning offers and I will let you know which terms are revealing the current state of the market here.
I’m keeping my finger on the pulse of what is happening in the Twin Cities metro real estate market so you can be an informed buyer or seller.
The number one question that most people have about homes is whether or not prices are falling? I keep hearing this and for the purposes of this discussion I’m just going to look at the 7 county metro around Minneapolis and St. Paul and we can check the different housing types. The first is the most popular -SINGLE FAMILY HOMES. When I was digging into data for this update I decided to look at it over the past year and the past 10 years so that I can show you trend lines for both. I’m also going to differentiate by new construction and previously owned because new construction is at a vastly different price point as a whole.
Prices & time on market for existing homes
Metrics that I didn’t talk about in the video are how long houses are staying on the market these days. I do see houses sitting for quite a long time in certain areas and price points but the official numbers are charted here. The graph gives the impression of a big increase in time, but real numbers equate to only 3 more days.
New Construction
I’ll talk about pricing but for new construction I see a lot of opportunity for buyers here! Why? Builders have a lot of inventory right now. They have completed homes as well as homes that are underway with completion dates coming up. They need to get these homes off their books so they can continue to build and the interest rates have slowed things down for everyone, but the big builders are offering rate buy downs for buyers right now along with all kinds of other incentives, from appliance packages to closing costs.
Things to consider are that these homes are mainly being built in 3rd ring suburbs and exurbs so if proximity to the city is important you’re less likely to be able to get a new build – or at least one with a big builder that can offer these incentives. There are custom builds on lots here and there in the city.
You’ll see a slight dip in median price ($5000) from the beginning of the year. I have read in multiple sources that they estimate that it would take 10 years of building for the builders to catch up to demand for homes due to the after effects of the housing recession in 2008. We are still that far behind. New construction is showing over 6 months worth of supply but take this with a grain of salt because builders list homes that are TO BE BUILT – so they aren’t existing yet – along with those that they have ready for a buyer to move into.
New construction supply shows a buyers market! I haven’t seen this kind of number in a VERY long time. Ever?
Things are different when you look at previously owned homes. It is still a sellers market, although not the insane sellers market of a year or 2 ago. Homes still get multiple offers, the market is still moving just not at a runaway pace. Previously owned single family homes are sitting at about 1.3 months supply. So you can see the difference here.
WHY is it a seller’s market for existing homes and a buyer’s market for new constructions?
What leads to this? 80% of people with a mortgage on their home are paying less than 5% interest, 50% of them have a rate at less than 4%, they need a big incentive to list their homes and buy a different home with a mortgage at a higher rate. This really is one of those cases where as usual, of you have a good budget you are at an advantage because you can buy new construction and take advantage of the market and the incentives whereas those 2 things don’t exist as much for existing homes, prices are lower as a median but supply is lower too and you don’t get the builder buy downs. But you also don’t have to pay for a deck or the multitude of finishing touches that need to be added to new construction.
Price reductions
Housing inventory is dropping now as we get into the winter and holiday time, but the other thing that is slowing is PRICE REDUCTIONS – the percentage of them is reduced by about half of what it was 1.5 to 2 months ago, from 14% of listings to about 7%. Maybe agents and sellers are pricing correctly now, or maybe they understand that they may spend more than 5 minutes on the market?
Bank owned homes
Another statistic of note are the number of distressed or bank owned properties. We still have fewer than 100 listed out of about 6200 active listings. Less than 1.5%, other markets in the US are not faring as well. People here are still meeting their mortgage payments.
Offer terms that show a big shift
OK – a couple of other things that really stand out to me – the first is that sellers are contributing to buyers closing costs 43% of the time! that’s the highest percentage I can remember seeing. People including appraisal gap language on there offers has almost disappeared (although escalation clauses are still being included) but this makes sense when you see that most sellers are now seeing themselves getting about 99-100% of asking – this number was at 105% or more for a while and that was just crazy. Another option if you are in the previously owned category of home, if you find one you like and it has a motivated seller you could ask for them to do the rate buy down for you. Interest rates have been dipping back down, but it’s doubtful that they will ever get as low as they were during the pandemic. This will likely spur some more buyer activity as we head into spring.
Data on Condos and Townhomes
If you have questions about the real estate market in the Twin Cities area – city or suburbs! – reach out! I love to talk to people that meet me YouTube or the Blog! Mary
Hey, everyone! Today, we’re diving into the heart of Minneapolis to explore the eclectic and bustling Uptown neighborhood. Known for its diverse offerings, from historic single-family homes to modern condos, Uptown is a unique urban environment with a personality all its own. If you are considering a city neighborhood and looking for a bit of a faster pace this one could be for you.
Want to see it IRL?! (or virtually IRL?) take a peek.
Where is it?
Uptown is situated in the southwestern part of Minneapolis, and what sets it apart is its perfect blend of urban living and natural beauty. Whether you’re a foodie, a cyclist, or just someone who loves a vibrant city vibe, Uptown has something for everyone.
One of the standout features of Uptown is its accessibility. The neighborhood is connected to the Midtown Greenway bike path, making it a haven for cyclists. And if you prefer public transportation, you’re in luck – Uptown offers easy access to various transit options, making it a breeze to explore the city.
Photo from Metro Transit
Housing
Uptown boasts a diverse range of homes, from charming single-family cottages to grand Queen Anne Victorian mansions. Many of these single-family homes were constructed in the early 1900s, showcasing stunning woodwork and unique architectural details.
Prices for single-family homes in Uptown vary widely. You can find a cozy cottage for just under $300,000, perfect for those looking to add their personal touch. Meanwhile, if you’re in the market for something truly grand, Queen Anne Victorians can fetch over $2 million, especially if they’re close to the picturesque Bde Maka Ska.
Lakes!
Bde Maka Ska – the jewel of the Uptown neighborhood. This beautiful lake is part of the chain of lakes and serves as a hub of activity. During the summer, locals flock to the pavilion to enjoy a meal and a drink. The lake itself is a playground for water enthusiasts, offering sailing, kayaking, paddleboarding, and a sandy beach for those seeking some sun.
I took this from my bicycle in July of this year. LOVE this area!
If you’re more inclined towards low maintenance living, Uptown has a fantastic selection of condos. At the higher end, you’ll find modern penthouses with breathtaking views overlooking Bde Maka Ska, priced at over $2 million. For something unique, there’s a converted firehouse with over 3500 square feet, listed just over $1 million. But for most condo seekers, the sweet spot is between $119,000 and $250,000, with options in low-rise buildings dating back to the late 1950s and early 1960s.
Food!
Now, let’s talk about the culinary scene in Uptown because, trust me, your taste buds are in for a treat. One iconic spot that’s been a staple for years is Bryant Lake Bowl – it’s not just a bowling alley, but also a theater and a restaurant. This lively joint is the perfect gathering place from breakfast until the early hours of the morning.
If you’re craving Korean-American cuisine crafted by a James Beard Award-winning chef, look no further than Kim’s. Chef Ann Kim has truly created something special here. And for those with a hankering for authentic French bistro fare, Barbette is a must-visit. The ambiance is as delightful as the cuisine, making it a favorite among locals.
For a cozy dining experience with good food and a warm atmosphere, check out Bryant and Lake Cafe. Picture this: delicious food, a crackling fireplace, and an inviting ambiance – what more could you ask for? And remember, these are just three gems in a sea of fantastic dining options in Uptown.
Now, let’s shift gears a bit. Uptown is not just a feast for the palate but also for the mind. Magers and Quinn, an enormous bookstore, beckons book lovers with its vast collection of new and used books. Lose yourself in the aisles and spend an entire afternoon exploring literary wonders.
Strolling down the same street, you’ll find a beloved spice haven of the Midwest – Penzey’s Spices. Whether you’re a culinary expert or just starting your spice journey, this shop has everything you need to tantalize your Midwestern palate. It’s a must-visit for those looking to elevate their cooking game.
Uptown has a slightly bohemian feel, and part of that charm comes from its well-curated vintage shops. Explore these hidden gems to find unique pieces that tell a story and add a touch of history to your wardrobe or living space.
Now, let’s talk about the practical aspects of living in Uptown. For those who value literary exploration, you’ll be pleased to know that the Hennepin County Public Library has a branch right here in the neighborhood. It’s not just a place for books; it’s a community hub where knowledge flourishes.
Need to stock up on groceries? Uptown has you covered. There’s a Cub Foods for your everyday essentials and, if you’re in the mood for a more upscale shopping experience, Lunds and Byerlys is just a stone’s throw away. Whatever your culinary needs, Uptown has the grocery stores to meet them.
If you’re raising a family in Uptown, your children may attend Barton or Lyndale Elementary schools. As they progress, Susan B Anthony Middle School might be the next stop before moving on to Washburn High School. Uptown is also home to families who embrace educational diversity. Many high school students in the area explore magnet schools to tailor their education to specific interests. It’s not just about learning; it’s about finding a passion and nurturing it.
From the diverse culinary delights to literary escapes and spice adventures, Uptown Minneapolis truly is a neighborhood that has it all. Whether you’re a foodie, a bookworm, an avid bicyclist, water lover, or a vintage aficionado, Uptown welcomes you with open arms. If you’ve enjoyed this exploration, don’t forget to hit that like button, subscribe for more content, and let me know in the comments if you’ve visited any of these fantastic spots. Until next time, happy exploring!
If you’re looking for something a little “extra” in your next home, you might be interested in taking a look at these neighborhoods in Edina. Some amazing homes and lots of variety in architecture from traditional to very modern on huge wooded lots. The location can’t be beat either!
A video tour of Indian Hills and Indian Trails
WHERE IS INDIAN TRAILS / INDIAN HILLS?
Indian Trails & Indian Hills are residential neighborhoods located in the city of Edina, Minnesota. They are located in the southwestern part of the city, near the border with the neighboring city of Eden Prairie. The neighborhood is bounded by Highway 169 to the west, Rt. 62 to the north, roughly the high school to the east, and about Valley View Rd to the south around Braemar park.
Indian Trails is located approximately 13 miles southwest of downtown Minneapolis and 11 miles southeast of the Minneapolis-Saint Paul International Airport (MSP). Commuting to downtown Minneapolis or the airport from the neighborhood is relatively easy, thanks to its convenient location near the major highways of 169 & 494, along with easy access to 100, 62 or 35.
The neighborhood is located just west of Highway 169, which provides direct access to downtown Minneapolis. Commuters can reach downtown in approximately 20-25 minutes by car, depending on traffic conditions.
The airport is also easily accessible from Indian Trails, with several transportation options available. The fastest option is to drive, which typically takes around 16-25 minutes depending on traffic. Additionally, if you wanted to park and take the METRO Blue Line light rail system, it provides direct access to the airport from the nearby Mall of America station, which is approximately 8 miles from Indian Trails. The journey from the Mall of America to the airport takes around 12 minutes. Finally, there are also several taxi and rideshare services available in the area, which can provide convenient transportation to the airport.
WHY LIVE THERE?
Indian Trails / Indian Hills area is known for its large, wooded lots and quiet streets. Many of the homes in the neighborhood were built in the 1950s and 1960s, and feature traditional architecture and well-manicured yards. Some of the homes in the neighborhood are valued at well over $1 million. The median sales price in this area is $982,500, well above the median for the Twin Cities metro, so a little “spendy” as the Minnesotans might say, but if this is in your budget it’s worth looking at, and if it’s NOT, it’s fun to look at the homes anyway! 🙂
If you want to learn about other neighborhoods and suburbs of the Twin Cities, check out my YouTube channel – I have an entire playlist of them that I add to regularly.
One of the things you’ll note about this area are the mature trees, the hilly landscape, and the curving roadways that give this neighborhood a sense of being nestled away from the suburban bustle, even though it has easy access to everything you might want. It definitely has a quiet, secluded and cozy feel.
Parks
The Edina area is home to several parks, including the 29-acre Arden Park, which features trails, picnic areas, and sports fields. But the closest is nearby Braemar Golf Course and Braemar Ice Arena which provide opportunities for golfing and ice skating, respectively.
Braemar Arena has three sheets of indoor ice and one outdoor seasonally.
The Braemar Golf Dome is the largest and longest-hitting indoor practice facility in the Twin Cities with 44 tee areas on two levels.
If you’re not a golfer, it also has an almost quarter-mile turf track which is open from the beginning of November through the end of April under the dome.
I’m not a golfer, and not a mall walker, sometimes you just want a place to stretch your legs that is “semi” outside feeling but without the risk of breaking your neck or your leg on icy sidewalks.
The track is free and open to the public. Make sure you wear layers as the facility maintains a temperature 40 degrees above the outside temperature. That sounds kind of toasty when it’s 35 degrees out, but maybe not as much when it’s below zero? You are allowed to use a stroller if you want to bundle up your little and walk.
Schools
Indian Trails is located within the Edina Public Schools district, and is served by Creek Valley Elementary School, Valley View Middle School, and Edina High School.
Shopping
Indian Trails is located near several shopping destinations in Edina and the surrounding areas. Here are a few options:
Southdale Center: Located approximately 5 miles north of Indian Trails, Southdale Center is a large indoor shopping mall with over 100 stores, including anchor tenants like Macy’s, JCPenney, and AMC Theatres. It takes up a large area between York & France Aves just south of 66th street. You’ll also find store like Target, whole foods, Lunds and Byerly’s groceries in this area. Trader Joes and Total Wine & Spirits is just south of this area at France & 494. In addition there is some upscale shopping all along France including inside the Galleria Mall.
Another option is to head about 6 miles west to Eden Prairie Center. Eden Prairie Center is another large indoor shopping mall with over 90 stores, including anchor tenants like Von Maur, JCPenney, and Target.
If you like an outdoor shopping area that is easy to navigate on foot, check out the intersection of 50th & France approximately 4 miles northeast of Indian Trails. It is a popular shopping district in Edina with a mix of independent shops and restaurants. In addition there is a small independent movie theater (The Edina Theater) that has recently been updated and is a real contribution to the area if you like movies and are also interested in seeing some of the smaller films that may not be blockbusters. Located in the same area is another Lunds and Byerly’s grocery.
Libraries
If you need your Public Library fix, the neighborhood is located almost exactly equidistant from the Eden Prairie Library just west of 169 across the street from the Eden Prairie Mall. It’s convenient if you’re running to Target over there or grabbing a bite at one of the many restaurants nearby. I believe that this library recently had a fairly significant update, and it was pretty nice to begin with! This is not a small library, but one of the larger libraries in the Hennepin County library system.
Eden Prairie Library:
Edina Library
The other options are the Edina Public Library which is just west of 100 where it crosses 50th street, also a lovely building that is a pleasure to spend time in or the 3rd option in Edina is the Southdale Library on York. This may be the only time you hear me say anything negative about a library, but I am not a fan. It’s pretty ugly, it doesn’t feel like a place I want to spend time. It harkens back to the earlier days when it was paired with a court building. Something about that doesn’t fit well. I dare you to disagree with me … THIS is the Southdale Library. (thumbs down).
They had planned to move this library into an empty department store at Southdale Mall before the pandemic, and then shelved those plans. I thought that was an innovative way to fill a large empty anchor spot at that mall and draw more people over there. While we are talking about that mall, it hosts a fairly new edition in the form of the LifeTime fitness health club. This place is a palace, with restaurants, co-working space, pools, soccer fields, spa, tennis and pickleball courts etc.
This mall also has the closest Apple Store in case you need some help or a new piece of tech. However, a library in there wouldn’t hurt. 😉
Overall, Indian Trails is a highly desirable neighborhood in Edina, known for its peaceful surroundings, natural beauty, and strong sense of community.
Do you have another community that you’re interested in? Drop a comment down below and I will add it to my list – I love getting content ideas from people that read my blog or watch my videos because it helps me give you what you’re looking for!
You’re not helpless when it comes to mortgage interest rates! A lot of buyers are concerned about monthly payments now that the interest rates have gone up.
I talked with Chris O’Connell at Loan Depot about 4 options that home buyers have to pay a lower interest rate and therefore a lower monthly mortgage payment. Chris had one that was surprising to me and we talked a bit about the one that seems to be getting a lot of attention in the real estate world right now, the 2/1 buy down and why that may not be the BEST option.
Take a look at this video interview if that is something that is worrying you as you think about buying a house now.
Does the phrase “appraisal gap” strike terror in your heart? Or leave you scratching your head? What about hearing tales of “appraisal guarantees” that are often needed when you’re a buyer in this seller’s market? If you’re a buyer or seller and you’re not spending every waking (and sleeping!) moment thinking about the real estate market, you may be confused about what these terms mean for you, and they may feel a little scary. Knowledge is power, so let’s talk about what an “appraisal gap” is and what an “appraisal guarantee” means for a buyer or a seller.
If you’ve watched any of my market update videos you’ve heard one thing reiterated and that is that we are in a historically strong sellers market. We have a lot of buyers competing for every home and that means that we nearly always have multiple offers and those offers are often for well over list price as buyers do whatever they can to beat the competition.
On the surface you may wonder “how can that be a problem”? if you’re paying with CASH it’s not a problem, you can pay any price you choose to pay for something as long as you can show that you have the funds available to do it. This is a big reason why cash buyers have an advantage right now, the price is the price and the seller doesn’t have to worry about the bank’s appraised value.
However 80+% of people are NOT cash buyers, they have to get a mortgage for their home purchase and as part of that loan the bank will hire an independent appraiser to look at the property and determine if it’s worth the amount they are loaning you for it. They don’t want to be stuck with worthless collateral to sell if you default on your loan. This evaluation of value is called an “appraisal”.
Sometimes your mortgage lender’s appraiser says the house IS worth less than you agreed to pay. This is known as an appraisal gap or a low appraisal.
I sometimes hear buyers with high loan approval amounts suggest that it might be a good strategy to buy a lower priced home and just throw a large amount of money at it because they can qualify for a loan of that size, but that still doesn’t eliminate the issues around homes appraising for the value of the loan. And really, appraisals exist for this very reason.
Options as a buyer
What are your options as the buyer if you’re worried that the appraisal will come in lower than what you have offered? after all – Sellers want to get the price you’ve offered in the contract whether or not the appraiser says it’s worth that amount as loan collateral.
The option that has been most successful with sellers is writing appraisal gap coverage or an appraisal guarantee into the contract for the purchase of the house. We are seeing this happen about 45% of the time now and it is getting to be more common as the market continues to be tight.
What this essentially means is that you will put a larger down payment on the home which bridges the gap between what you’ve offered and what the bank is willing to loan and preserves your ability to finance the purchase and close on the home.
A typical home purchase contract has an appraisal contingency: wording that says the buyer can call off the deal if the property appraises for lower than the buyer offered. But in hot real estate markets, where buyers outnumber sellers, some buyers waive the appraisal contingency. These buyers either pay cash for the home or gamble that they have money to pay the difference between the appraised value and the price, however much that may be.
rather than waiving the Appraisal contingency entirely, offering to cover the gap on a low appriasal is the middle path. You’re offering some amount that you will make up via a larger down payment.
Take the example of the $120,000 offer on the $100,000 home that has a $10,000 difference between the purchase price and the appraised value:
If you had offered to cover an appraisal gap up to $10,000, you would proceed with the purchase, bringing that extra $10,000 as a larger down payment.
If you had offered to cover an appraisal gap up to $5,000, you would be entitled to withdraw your offer and get your earnest money deposit back. That’s because the difference between the offered price and the appraised value is greater than the $5,000 appraisal gap coverage.
At this point, the seller may wish to negotiate with you to keep the transaction in tact and they may agree to lower the price by the remaining $5000.00 difference, or they may choose to go to the next buyer.
You’re more likely to succeed when offering appraisal gap coverage if you include proof of funds to do this as well.
If you’re lucky, you may not have to worry about appraisal at all. The bank may waive the required appraisal if they can see market conditions support it and that the buyer is bringing 20% or more as the down payment. This means that they look at the market data and determine that the property is likely worth the purchase price, but you will not know this until you’re closer to closing.
Things to think about
A couple of things to add as you consider whether or not to do this on your next purchase agreement:
Think about the home you’re buying, it’s condition, price, and location and what you’re willing to do to purchase that home. You want to be doing this for a home that will hold or appreciate in value.
Because of the market conditions, home prices nationally increased over 14% year over year. Median home prices in Minneapolis and the Twin cities went up 10.9% year over year according to the Minneapolis Area Association of Realtors.
Put that into perspective with your purchase.
If you are buying a home priced at $100,000 today and prices continue on their current path, that home would be valued at $111,000 a year from now.
If you’ve agreed to make up $5000, or $10,000 in low appraisal, the likelihood that you will be “whole” in a short period of time is there.
Another consideration is whether or not you will be able to afford a home in a year or two if this continues and if interest rates continue to rise.
So, it’s a math problem. Never been a big fan of math problems, but looking at it this way really adds some clarity and perspective.
Reach out with questions! I’m always happy to help.
A month goes by in a hurry it seems, so here we are! Did a month make a difference with the real estate market? YES. It is notably busier!
Click here to watch. 🙂
I don’t think I’m telling you anything you don’t already know, but the real estate market is on fire. Someone hit the gas pedal on the housing market in February and they have a lead foot. What does this mean specifically? Let’s look at the twin cities housing market as of Feb 18 2022.
If you are a seller – LIST NOW and you’ll be partying all the way to the bank.
Just about every listing is getting multiple offers in the first couple of days. The supply of buyers is so great and the supply of homes is so low right now – 15% fewer listings on the market than last year at this point!
Why are sellers hesitating? I assume that it’s because they are worried about finding THEIR next home. As an agent that represents a lot of buyers, I can tell you that sellers can not only command great prices for their homes they can still get a closing date that suits their needs. For example, if a seller is considering putting their home on the market, but are worried it will be gone in a blink, there is a great likelihood that the seller can ask for and receive a 60 close, flexible closing, or recently I’ve seen them asking for a seller’s home purchase contingency or lastly a rent back situation after closing remembering that most conventional loans require the transaction to close in 60 days on the buy side so no long term rentals this way! but this way the seller will have cash in hand and be able to buy while also have a roof over their heads while they wait for their next home to be available.
One of the things that I really like about real estate is that EVERYTHING is negotiable – as long as the parties work it out (within the law!) and get it in a signed contract, the parties can work together to find a solution that works for everyone. Do you have a creative way to structure a contract that lets everyone get what they need? Bring it up and there may be a way to make it work out!
This past week we had offer acceptance rates at 15%, which means that sellers are receiving 6-7 offers on average. But the average for the month is hovering around 35% according to Home Free Transaction Coordinators. I’ll give you more info on what they see in a successful offer after I take you through current market conditions.
Absorption rate
It’s a seller’s market, but to what degree? In the past I’ve explained that the way that we determine this is based on the absorption rate or how many months worth of housing inventory we have at a given time if nothing new were added to the market. 5-6 months is considered balanced, more than that is a buyer’s market and less is a seller’s market. Obviously the more extreme the number the more it favors one or the other. That obviously varies by housing type.
Single family homes have a .56 months (about 17 days) supply now as compared to one year ago when they were at .62 (about 19 days). We have started this year off with available inventory down by 21% year over year. New listings this month are down by 15% from last year.
I was looking for a bright spot and looked at new construction. Builders are responding to the need for houses and have started increasing their production too.
This image shows the big dip and now the increase starting in single family new builds between $400 & $600K. Its not dramatic, but any amount helps – if you have 50 more houses that’s 50 buyers that have found something.
If you have been thinking about selling and are curious about what your home is worth today, let me know. I’ll give you a free estimate of what your home is worth today – absolutely no obligation, just for your information if you want to know – just send me an email. We need homes and now is definitely the time to get the maximum amount of money out of your sale! mschumann@kw.com if you’re curious. I’m happy to do it.
Townhouse/ Condo properties are at .97 months (29 days) vs 1.13 a year ago (34 days). Prices on Townhouses are at a median of $267,000 which is UP 12.2%. Average days on market for a townhouse is down 26% to 14.
Condo prices are at a median of $195,000 up 6.6% from last year and are on the market for about 30 days. If you are a first time buyer or someone that likes condo living, this is the softest spot in the market today and your biggest opportunity.
Single family homes in the 14 county metro area have a median price of $370,000, a gain of 12.1% year over year. They are on the market for NINE DAYS. Only about half of what we saw a year ago. And don’t fool yourself thinking you have 9 days to think about it, this is a listing going live on a Thursday, showing through the weekend, closing offers on Sunday and allowing a 5 day inspection period before heading to pending.
The combined absorption rate (all property types) is at .67 months or 20 days of inventory as opposed to one year ago when we had a whopping .75 months or 22 days of inventory.
What can you do if you’re a buyer?
Here are my suggestions and strategies:
1.my office posts properties to agents internally that are off market and that sellers are willing to part with before going onto the MLS, so having that network available helps a lot!
2. make sure you see what is available in “coming soon” and get in there quickly
3. even better if you have the nerve- offer “sight unseen” while in this status. if the seller will do it, you can usually negotiate an inspection this way and if there is something wrong with the property get out of the contract without losing your earnest money, this does require a good offer out the gate. It’s not a way to get a bargain, but is a way to quit losing in multiples.
4. make your offer more appealing are to offer appraisal gap coverage. This means that if you are financing you are stating that you have the ability to make a larger downpayment in order to cover the gap between your offer and what the bank is willing to loan you, having cash is a very important piece of the puzzle in this environment. You can offer any amount of appraisal gap coverage – it doesn’t have to be 100% of the difference!
5 Look at “wallflowers” these are properties that have been on the market for longer than 4 days. This means they have made it through a weekend without getting an offer and may be more willing to negotiate or look at a reasonable but not extreme offer. These can be homes that a buyer got cold feet on, that their financing fell through or other scenarios.
6. Don’t ignore properties that need work! You can get a home loan that rolls a remodel into it. Not everyone can look past a dirty unfinished basement but it’s rarely a bad investment to add finished square footage to a house – especially in an in demand neighborhood.
7. Do you have time? Offer on new construction. You eliminate multiple offers and choose your finishes. Just be aware that contracts allow builders to cancel your contract if the price of materials goes up and you can’t cover the increase. Don’t get yourself in too deep.
8. There aren’t a ton of these available but spec houses are a good option. They may be completed new builds OR they may be nearly completed with an estimated move in date already.
9. my last option coming to mind to look at loans that allow you to offer as if you’re offering CASH – without a financing contingency. This seems like a HUH??! moment, but in my video next week I’ll interview a lender with a program like this that may give you a leg up and I’ll post it here, of course!
Accepted offers
OK – lets look at what’s been going on with offers per HFTC:
Buyers are waiving inspection 46% of the time, this is a lot, but that also means that 54% of the time they are getting an inspection.
Off market sales are at 12% – this is the “private listing network” that I mentioned where agents that have upcoming listings market them internally first.
Sales Contingent on the sale of the buyer’s home is down to 5% of the time.
Average sale to list price is 103.2%. I don’t know where these are happening because my buyers have been offering at 15% over and losing… We would be happy with 103%!
Cash is at 17% of offers, Conventional at 69%, FHA has ticked up to 5%, VA is at 0.
Hey! I would love to hear from you in a comment or an email or a smoke signal … reach out if you have questions!
