Twin Cities Real Estate Market Goes Up; 2013 Promising

Updated: 01/02/2013 7:09 AM KSTP.com By: Jay Kolls

It was a good real estate year in 2012 and experts expect that trend to continue in 2013 for home sellers. 

The average home sale price went up 10-percent in 2012 in the Twin Cities, according to real estate expert, Herb Tousley, of the University of St. Thomas. Tousley says home inventory has also gone down from 20-thousand to just 14-thousand available homes on the market in 2012.

Tousley says low interest rates and fewer homes on the market will continue to drive up prices in the Twin Cities real estate market. Tousley says that makes 2013 a very good year for sellers.  Tousley also says the percentage of foreclosure, or short sales, has fallen to less than 40-percent in 2012. At the peak of the recession in 2009 and 2010, Tousley says, distressed home sales accounted for 55 to 60-percent of all home sales.