"Good News for Local Housing Market"
by Robin Peterson
President, Coldwell Baker Burnet
October 2007
We are seeing many signs of health in the economy and strength in our housing market. Those who are wondering about our housing market conditions should make note of the following local and national trends and statistics:
- Our favorable housing affordability index of 131 means that home ownership is well within the means of the average home buyer in the Twin Cities area.
- There is a generous supply of well priced, quality homes for sale, giving buyers many choices in communities throughout the Twin Cities and greater Minnesota.
- MarketWatch, a leading online business publication, recently ranked the Twin Cities area as the number one place for business in the country. Our healthy mix of old and new, small and large, public and private businesses helped us earn this distinction and ensures that we can weather economic downturns.
- Our unemployment rate, currently at 4.9 percent, provides the job security home buyers need. According the the Minnesota Department of Employment and Economic Development, we had a 75 percent increases in high-paying mathematics and technology jobs this year.
- We have a we4ll-educated work force and one of the country's highest high school graduation rates (92 percent.) We rank among the top 10 states in college graduation rates, according to Twin Cities Education Resources.
- The Metropolitan Council predicts continued strong population, household and employment growth in the 13-county Twin Cities metro area through the year 2030.
- Strong national job growth reports in July, August and September (292,000 jobs) demonstrate that the economy is vibrant.
- We have moved past the August credit crunch and there is an ample supply of home financing that is readily available for prime borrowers at interest rates that are near 45-year lows.
- The National Association of REALTORS is reporting home price increases for the first time in 13 months, potentially signaling that more home appreciation is on the horizon.
For the 30 years that I have been in the real estate business, I have seen consistent strength in the Twin Cities and greater Minnesota real estate market. Today we have all the components of a healthy housing market: low unemployment and job growth, favorable interest rates, high housing affordability, and a robust supply of homes for sale. many people may look back at this time and wish they had taken advantage of today's favorable market. i encourage consumers to get the facts from our experienced, professional sales associates, the people most qualified to discuss the merits of home ownership.
