This article has been updated to reflect recent changes in the Minneapolis real estate market due to the coronavirus pandemic. We'll be discussing the housing market trends for the Twin Cities Metro Area. Our focus for real estate investment would be the Minneapolis housing market—entire twin city metro area—and we shall also share the top reasons to invest in this region. First of all, let's find out how is Covid-19 pandemic is affecting the real estate activity in the Minneapolis housing market.
Minneapolis–Saint Paul is a major metropolitan area and is commonly known as the Twin Cities after its two largest cities—Minneapolis and Saint Paul. They’re separated by the Mississippi River. The waterfront is home to many cultural landmarks and coveted waterfront real estate. The entire Minnesota housing market slumped in May due to coronavirus pandemic causing a -24.2% decline in new listings and -20.4% decline in home sales (closed) as compared to May 2019, according to Minnesota Realtors®. Pending sales also dropped by 12.6%. The twin cities of Minneapolis and St. Paul. were below the state average as home sales dropped by 25.1% over there.
In June, the Minnesota housing market pulled up from the steep declines seen in May. Closed sales in June declined only -8.1% year over year, showing some recovery from the -20% declines seen last April and May. The twin city metro area saw a year-over-year decline of 12.7% in home sales—which was much better than May's drop of 25.1%. The Median Sales Price continued to uptick in June. It increased by 5.2 percent to $305,000.