Lakes Country Real Estate Market Update
The market has changed. Real Estate value has increased nationwide as we can read in many news articles. That is true. One thing we must remember is that we have many different markets. Real Estate is not always the same and each market is not necessarily acting the same.
Real Estate Market Map
In Minnesota property prices have increased by over 10% in the last year and we had 25% less available properties for sale than the year prior during the last fall months. Most of that data is influenced by the metro which defines the largest market in the state.
However, we have experienced a very similar development is Lakes Country. In West Central Minnesota including Becker and Otter Tail County we have seen properties sell above asking prices with often 5 or more competing offers presented to the seller shortly after a property hit the market. We are also experiencing significantly less properties available for sale which leads buyers to move quickly and offer more than asking prices.
Right now, we are in a seller’s market which means, sellers are making the prices. Low ball offers can be disregarded and will be rejected. When selling real estate this year, owners have the chance of great returns on their initial investment. We have seen returns as high as 25% for purchases made during the last 3 years only.
When buying this year, low interest rates are still inviting to enter the market. Looking at the past 4 decades real estate value has continuously increased with a few corrections during that time. It is always a good investment to own real estate. One thing is certain: they do not make more land. And there are no new lakes.
Minnesota has a unique real estate market which is still affordable compared to national averages. We believe that property values will continue to increase, and we do not foresee a market correction soon. The local real estate market in West Central Minnesota is of great opportunity to own real estate and enjoy your investment at the same time. Lake style living is our focus, and we look forward to assisting you with your next real estate transaction whether you are selling or buying. Contact one of our agents to help you.