Twin Cities Median Sales Price Jumps $50,000 from January 2021

The median price of homes in the Twin Cities went from $300,000 in January 2021 to $350,000 today.  I have never seen prices go up this fast.  It will be interesting to see what happens.  Sales are near all-time highs, prices are at all-time highs, but inventory is at all-time lows.  Long term, real estate appreciates at about 3% per year so this fast appreciation in prices is very uncommon over the last 60 years.  But the law of supply and demand rule so we could see prices continue to rise as long as people are willing to pay the price.  

Just for fun I added another chart that goes back to 1975 when the average home sales price in the United States was only $39,000.  Today it is over $420,000.  I wish I could buy some of those nice 1950s ramblers for $40,000. If you need help buying or selling give us a call.