Minneapolis home sellers might be getting the hint. According to Trulia.com, the initial sale prices on 40 percent of the homes on the market in Minneapolis had been reduced at least once – the highest rate in the nation for 8 months during 2010. Sellers seem to be getting the hint. During the first quarter of 2011 the rate of price reductions in Minneapolis dropped to 37 percent. Trulia’s "consumer educator," Tara-Nicholle Nelson, speculates that many of the properties that had reductions were pulled off the market during the holidays and then were relisted at the beginning of the year. "Relisting those properties resets the time they will keep the property on the market before perceiving a price reduction as necessary," Nelson said.
But as of April 1, the rate of price reductions dropped to 28 percent, a sign, Nelson said, that Minneapolis sellers realize that they need to list their homes at more realistic prices initially to keep them from lingering on the market, avoid receiving lowball offers and maximize their chances of getting their homes sold at all.
- The median sales price for all home sales in Minneapolis from Jan. 11 to Mar. 11 was $134,250, a 12-percent decline compared with the previous quarter.
- Sales prices have fallen 38 percent over the last 5 years.
- The average price per square foot for Minneapolis was $121, a decrease of 8 percent compared to the same period last year.
- Popular neighborhoods (based on how many people are searching for information for those neighborhoods on Trulia.com) in Minneapolis include Linden Hills, Lowry Hill, Lynnhurst, Fulton, Warehouse District, and Willard-Hay.