The Minneapolis Area Association of Realtors just released their Weekly Market Activity Report for the Twin Cities real estate market. For the week ending on June 4th the Twin Cities market continued to see a significant decline in home sales which is mainly attributed to the end of the Homebuyer Tax Credit which ended on April 3oth.
As the weeks following the tax credit expiration unfold, buyer demand continues to slow. The 600 purchase agreements signed for the week ending May 29 were 34.6 percent below the previous year—the fourth consecutive week of year-over-year decline in Pending Sales.
Refreshed supply is also in decline, as New Listings posted a fifth consecutive week of year-over-year decline, landing at 1,474 for the most recent reporting week—a 5.9 percent decrease from a year ago.
Current sales are about half of what we saw the last week of April so despite the continued low interest rates there are a lot fewer buyers in the market right now.
