Updated: 01/13/2014 5:02 PM
Created: 01/13/2014 12:32 PM KSTP.com
By: Megan Stewart
Lower supply levels, strong demand and higher prices are among the encouraging real estate developments in 2013 that brought about ongoing market recovery, according to the Minneapolis Area Association of Relators.
MAAR presented its residential real estate statistics at the Twin Cities Relators annual Housing Market Update Monday.
Low interest rates and affordable prices contributed to an 8.8 percent increase in home sales for the 13-county metro, according to the group's findings.
Consumer purchase demand increased, reaching levels not seen since 2005. As the active supply of homes for sale fell to an 11-year low, absorption rates improved to levels not seen since before 2003, MAAR said.
The group believes improvements in the local economy will boost the Twin Cities real estate market in 2014. They contributed the positive outlook to job growth accelerating, interest rates remaining attractive and an unemployment rate well below the nation’s average.
2013 by the Numbers