Increasing Home Sales in Twin Cities Since 2020

Since 2016 we typically see around 60,000 closed home sales in the Twin Cities.  But since 2020 we have seen a big increase in total sales, peaking in June 2021 with over 68,000 sales.  In retrospect the home prices of 2020 seem low compared to 2022. We have seen a 20% increase in prices just over the last two years.  So going into the spring selling season we have $4 a gallon gas, high inflation, and mortgage interest rates set to increase.  The big question is do buyers still have the power to keep bidding up prices?  With inventory levels at all time lows they might not have much of a choice if they want to secure a great property.  If you are looking to buy or sell give me a call.