Factors Influencing Real Estate Sales, By Alan Olson, Broker

Posted by Admin Admin on Thursday, March 22nd, 2012 at 3:05pm.

  • Recently the NATIONAL ASSOCIATION OF REALTORS announced that interest rates for a 30 year fixed mortgage were the lowest in 60 years.
  • In addition, the report cited that inventories of homes for sale were down to a 6.2 month supply.  6 months is considered a balance for supply vs. demand.
  • Minnesota unemployment is down to 5.6% which is below the national average.
  • Pending real estate sales in Minnesota are up 14.5%.
  • The housing affordability index is the highest ever which deals with household income vs. home prices.
  • Prices in Minnesota have been stable for the last 12 months.

These are all factors that have positively affected real estate sales.  Now that inventories are low, it is a better time for sellers to sell and of course low interest rates make it financially more affordable for buyers.

My advice for buyers and sellers entering the market.....use a professional full time real estate agent that knows not only the past comparables but one who knows the present ones and the trends.

Alan Olson, Broker/Owner

Century 21 Vista, Inc.

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