The last two months have brought a lot of changes to the Minneapolis real estate market. As we continue to navigate social distancing orders and an uncertain economic future, some buyers and sellers are pressing pause on their real estate dreams. However, despite everything that’s going on, it’s still an excellent time to enter the market.
Your Minneapolis Real Estate Market Update
Although many industries have experienced a significant downturn during the COVID-19 crisis, real estate is certainly not one of them. Curious about the current state of the market? Here are a few trends to keep in mind before you buy or sell.
The market remains strong
If you’re on the fence about entering the market, we have some fantastic news for you. Believe it or not, sales were up during the first quarter of 2020 when compared to the same period last year, and historically low interest rates are tempting many buyers to make a move.
Although there was a slight dip in sales, experts don’t think we’ll see a housing crash similar to the crisis in 2008. Prices have remained stable, and inventory has only decreased by about 3.3%.
Real estate is turning virtual
To comply with social distancing mandates, agents are turning to the internet to help clients buy and sell homes. In-person showings have been replaced by virtual or 3D tours—and some agents even offer video walkthroughs of a home via FaceTime or Zoom.
It’s also possible to close on a home from the comfort of your couch. Electronic signature services (like DocuSign) and online notaries make it easy to sign all of your paperwork remotely. If you’d rather handle your paperwork in-person, you can also arrange for a “drive-up” closing.
Want to learn more about our virtual buying and selling strategies? Feel free to reach out to us or schedule a video conference to get the ball rolling!
Mortgage rates are still low
It’s no secret that mortgage rates are historically low right now—but recent changes from the Fed have sent them plummeting even further. As of mid-May, the average rate for a 30-year fixed-rate mortgage is just 3.5%, while a 15-year fixed-rate mortgage is hovering around 3.12%.
These unbelievable rates are fantastic for buyers, sellers, and current homeowners alike. In addition to stimulating the housing market, low mortgage rates also make it easy for homeowners to refinance and save money on their loans.
Learn More About the Minneapolis Real Estate Market
If you’re thinking about buying or selling your home in the Minneapolis area, we’d love to help! Just get in touch with the David Azbill Group to learn more about the current state of the market. Be sure to check out our virtual buying and selling resources for more information, too!