The amount of days that a home sits on the market does not necessarily have anything to do with the home for sale. Many times, it has to do with location, and even the amount of competition from other neighbors. Take for instance, Minnestrista, Mound, and Orono, which have the largest amount of homes for sale this year. They also have a relatively high number of days of the market (DOM).
At the same time, you could look at Orono with its high DOM, and also take into consideration that the average selling price in 2007 was almost $2 Million, also contributing to the reason for a high DOM.
On Lake Minnetonka, there are many small towns that surround the lake, and each has homes that vary in price. Greenwood for instance, is relatively small, and only had four homes sell for all of 2007, at an average sales price of $1.1 Million. Spring Park, on the other hand, has only two homes for sale and barely 2000 residents, but the average sales price is just a little above $600,000.
As you look at the average days on the market for Lake Minnetonka, the one thing to remember is that most of these homes are fairly expensive. And as we all know, the higher the price, the longer is takes to sale.
Oops! Looks like I forgot to do the market analysis for February. But have no fear, with the market slow down, we didn’t’ miss out on too much!
$1 Million -2 Million – The “cheap” homes have tons of competition, what with 117, which is almost the same amount as in January. Thirteen homes are pending, which
compared to March 2007, is a three homes short. Closed sales totaled six, which blows last year out of the water.
$2 Million – $3 Million : 41 homes are competing against each other, especially with almost 10 homes for sale more than in January. Selling seems a little difficult in this price range as there is only 1 pending sale and 1 closed sale for March.
$3 Million – $5 Million : There are 22 homes currently for sale on Lake Minnetonka in this price bracket. Looking back to March 2007, there were only 9! Makes me wonder if some affluent home owners are also finding themselves in a financial pickle with the housing downturn.
$5 Million + : The premier homes in the price range are the cream of the crop. Nothing is new except maybe a few photos. Only eight homes can boast this price range, and the highest priced home tops the scale at $53 Million. The higher a listing is, the longer it takes to sell.
If you would like to search the current luxury home inventory in Minneapolis, Saint Paul, and the surrounding areas, view my price by price analysis at
Fine Homes of Minneapolis.
So here we are, a new year, and hopefully, a better year for the luxury market. We saw about a 10% decrease in closed sales in 2007 for homes priced above $1 Million. Compared to lower price ranges, this was pretty good. Some saw up to 26% decrease in home sales.
It should also be no big surprise that luxury homes take longer to sell, and this January, the current supply of inventory will take roughly 18 months to clear out. Out of the 670 highend homes for sale in the Twin Cities, 177 of them are in the Lake Minnetonka area.
$1 Million -2 Million – The “cheap” homes have tons of competition, what with 116 of them in the Lake Minnetonka area trying to persuade a buyer to chose them over their neighbor across the lake. Nine lucky home sellers will be moving out soon since they were able to hook a buyer successfully this last month. Even with sub-zero temps!
$2 Million – $3 Million : 33 homes coming in strong at this mark and the types of architectural styles available are endless. Well, maybe not endless, but there are a lot of options to make any picky buyer happy. At least two homes from 2007 are about to become sold statistics in the next few days.
$3 Million – $5 Million : Nineteen homes take on the second highest listing category currently for sale, while only two from last year were able to sell.
$5 Million + : The premier homes in the price range are the cream of the crop. Some heavy hitters from 2007 have stepped aside to let some new big boys have their chance at finding that perfect luxury buyer. Only eight homes can boast this price range, and the highest priced home tops the scale at $53 Million.
If you would like to search the current luxury home inventory in Minneapolis, Saint Paul, and the surrounding areas, view my price by price analysis at Fine Homes of Minneapolis.
Well, since it is the end of 2007, I guess I must sit down and look at the luxury market statistics for the year and let you know how things went.
$1 -2 Million : Throughout the Twin Cities and surrounding suburbs, 395 homes were sold in this price range. While many homes sold, it took on average 190 days to get them new owners, with the average price being around $1.4 Million.
$2-3 Million : No big surprise here but once you hit $2 Million, the number of homes for sale decreases dramatically. Only 49 homes sold this year, but surprisingly they only took about 15 days longer to sell than those price below $2 Million.
$3-5 Million : Most of the homes that get mega-expensive tend to be located near water. The 15 homes that sold in this price bracket are no exception. Eight of these homes were located on Lake Minnetonka.
$5 Million + : Minnesota doesn’t rank high on the national radar for luxury homes, but home magazines most likely have never been here and don’t know what they are missing when it comes to Lake Minnetonka real estate. In 2007, five truly luxurious homes sold above the $5 Million mark, all of them on the largest lake around the Twin Cities. Two of them were all time highs, one at $12 Million and one at $14.5 Million.
Overall, the luxury market for Minneapolis, Saint Paul, and Minnetonka didn’t do too bad for 2007. The best price range to be in for 2008 will be the $1-2 Million dollar range. Around February, the local Realtor association will be coming out with 2007 stats and projections for 2008. Stay tuned over the next few months to see where we were and where we are heading!
Looking to buy a luxury home? Well, the place to be is Lake Minnetonka. Just because it is winter doesn’t mean you can’t go out there and see the beauty of a frozen lake. Who knows, you might even want to put in some ice fishing time or check out a pond hockey game between showings. Here’s the real estate numbers for the month of November:
1 Million – 2 Million : Compared to the rest of the year’s activity, the brakes were put on this month and new listings were put to a halt. There are currently only 131 homes actively for sale, the same amount as back in April. Six homes have gone pending this month and five homes closed, making the pending and closing stats some of the best this year.
2 Million – 3 Million : Never the price bracket with outstanding results, there are currently 36 active listings, with two homes pending. Only one home sold this month.
3 Million – 5 Million : It’s winter and more high-end luxury homes are going on the market. Needless to say but the luxury market is not effected by the downturn like everything else. This month there was an increase of eight more listings bringing the grand total to 24. Unfortunately no homes have gone pending, but one did sell.
5 Million + : The uber-bracket of Minnetonka real estate currently has 9 mega listings (just like last month). Obviously this bracket takes a very special buyer with some change hanging around.
Last month I mentioned there was a buyer closing on a home listed at $6.9 Million. Actually, the homes original list price was $ 8 Million, but the price has been dropping along with the market. I was surprised when I saw the final sales price come in at $5.4 Million. That’s a 22% price drop from the current list price, but a whopping 33% decrease from the original asking price of $8 Million! I have to say that is one mighty lucky buyer. Most sellers wouldn’t even negotiate that low, but when you have been on the market for 224 days, it’s probably a good idea to not dismiss any offers that might trickle in.
Looking to buy a luxury home? Well, the place to be is Lake Minnetonka. The most active price range of 2007 has been the $1-2 Million market and is the most affordable for the area. But there are also some big hitters out there with nine homes priced over $5 Million.
1 Million – 2 Million : Seeing a huge slow down this month, with only 143 homes currently for sale around Lake Minnetonka. No new homes have gone pending, but eight of last months pending sales closed in the month of October.
2 Million – 3 Million : This bracket saw a huge decrease in active listings. There are 34 active homes for sale meaning six homes have been pulled from the market since September. Only one home in this price range sold in October.
3 Million – 5 Million : Always the bracket to be active or slow, October saw four of last months homes put under contract. This brings the active list down to 16, with one sale as well.
5 Million + : The uber-bracket of Minnetonka real estate currently has 9 mega listings. Obviously this bracket takes a very special buyer with some change hanging around. In fact, one such buyer was found this month and is currently waiting to purchase a listing for just under $7 Million. I will update you next month on the final sales price.
I have just added a Luxury Home Slideshow to the Minneapolis Luxury Real Estate Blog that highlights homes for sale in and around the Lake Minnetonka area. Prices of luxury homes in the area range from $53 Million down to $1 Million. My hopes are that you love it as much as I do and have a further opportunity to see what Luxury means in Minneapolis.
I would really appreciate any feedback you have about this new feature. Do you like it, hate it? Does it make the page too busy? Should I place it further down the page? Does it distract you from reading my great posts? Any thoughts are greatly appreciated!!!
Last month a luxury estate, Southways, hit the real estate market at a record price of $53.5 Million. The home, which is listed with Coldwell Banker Burnet, sits on 1700 feet of Lake Minnetonka shoreline and boasts almost 13 acres. Located in Orono, the home was built and designed in 1918 by Harrie T. Lindeberg. It was used by the Pillsbury family as a summer retreat for 72 years! The current owners are the only others to ever own this grand home.
Take a peek at the inside and surrounding ground photos.
Looking to buy a luxury home in Minneapolis? Well, the place to be is Lake Minnetonka. The most active price range of 2007 has been the $1-2 Million market and is the most affordable for the area. Fall is upon us and now is a great time to take a tour of homes for sale via the water and also enjoy the changing colors.
1 Million – 2 Million : The most active high-end price range just got more active this month, again. This time more homes moved to PENDING, eleven to be exact, and 5 of last months six closed for the month of September. However, active listings still remain high at 141.
2 Million – 3 Million : This bracket saw a another decrease in active listings. There are 41 active homes for sale and only 1 pending. Four homes closed this month, 1 more than in August.
3 Million – 5 Million : Always the bracket to be active or slow, the month of September was the reverse of last month and gained more listings – holding steady at 21 listings. Nothing sold this month as last month’s only pending is still waiting to close.
5 Million + : The uber-bracket of Minneapolis real estate currently has 11 homes for sale, which is two more than last month. No homes have been put under contract nor did any sell this past month either. Last month’s most expensive home on Lake Minnetonka priced at $15.9 Million just got beat out by a new listing on Lake Minnetonka for $53.5 Million!!!
Lake Minnetonka Real Estate Update – August 2007
Looking to buy a luxury home in Minneapolis? Well, the place to be is Lake Minnetonka. The most active price range of 2007 has been the $1-2 Million market and is the most affordable for the area. Summer is winding down and soon the Lake will have a spectacular display of autumn colors for all to enjoy. Get your home soon so you too can enjoy the wonderful lake views and take a last cruise around the lake before winter sets in.
1 Million – 2 Million : The most active high-end price range just got more active this month, again. This time more homes moved to SOLD, six to be exactly, and 7 more took their spot for being put under contract. However, active listings still remain high at 144.
2 Million – 3 Million : This bracket saw a slight decrease in active listings, some being withdrawn from the market and a couple being put under contract. There are 42 active homes for sale and six pending. Three homes closed in August.
3 Million – 5 Million : Always the bracket to be active or slow, the month of August was very much the latter. Holding steady at 17 listings, one pending, and only one sale. But what do you expect when you are selling in such a high price range?
5 Million + : The uber-bracket of Minneapolis real estate currently has 9 homes for sale. No homes have been put under contract nor did any sell this past month either. The most expensive home on Lake Minnetonka is still hanging in there at $15.9 Million.
According to the Minneapolis Area Association of Realtors, the housing supply outlook for homes $1 Million + is about 21.9 Months, an increase of over 25% since the beginning of the year. The number means that is will take almost two years to sell all the homes price over $1 Million in Minneapolis, St Paul, and the surrounding MLS areas. Of course, every local market is different, so what sells slow in one area, my sell like hot cakes in another!
