Minnesota Real Estate and Minnesota Homes for Sale are seeing some strange trends in the last year. If you were a Minnesota Homeowner looking to sell Minnesota Real Estate then it was downright scary. The affordability index which is a measure of how affordable Real Estate in Minnesota is for a buyer was at an all time high reaching 202 in 2009. This compares to 145 in 2004, 137 in 2005, 131 in 2006 which was the top of the Market in Minnesota Real Estate.
The dollar volume of sales in Minnesota Real Estate continued to drop from an all time high $15,600,000,000 in 2005 to just over $9,000,000,000 in 2009. This was due to many factors. One of the biggest factors was the increase in lender mediated sales from about 1% in 2004 to 43% in 2009. Think about that for a moment. The number of sale that the bank was involved in is up 43 times or 4300% since 2004 for Real Estate in Minnesota. Lender mediated homes comprise both Minnesota Foreclosures and Minnesota Short Sales. The cost per square foot of homes in the Minneapolis St Paul Real Estate market fell from a high of $149 per square foot in 2005 and 2006 down to $105 dollars per square foot in 2009.
What does this mean to buyers and sellers? If you are buying Minnesota Real Estate then you will be able to experience some of the lowest interest rates ever recorded in Minnesota along with buying homes at prices that have fallen back to level in the 1990′s. Even if you have a home to sell, if you are doing a lateral move or up-sizing, you will see be able to take advantage of savings on the home you buy and recoup or make money on the purchase.