The housing market in the Twin Cities continues to adjust to growing declines in foreclosure listings, according to a monthly report released this morning by the Minneapolis Area Association of Realtors. With fewer investors chasing foreclosures, there were 5,291 closings in the Twin Cities last month, a 7.3 percent decline compared with last yearAnd with fewer heavily discounted homes being sold and more traditional buyers on the hunt, the median price of those sales increased 5.3 percent to $219,001. That was the 30th consecutive year-over-year increase and the highest August median sales price since 2007. Here's a look at what happened during the month:

  • Inventory increased 8.7 percent 18,205 home from last year, the sixth month of year-over-year inventory gains.
  • New listings were flat, increasing 0.1 percent to 6,958
  • Pending sales decreased 7.0 percent to 4,802.
  • At the current sales pace there are enough houses on the market to last 4.4 months, slightly below equilibrium.
  • Sales of traditional homes (not bank owned) increased 4.6 percent while foreclosure and short sale closings fell 50.4 percent and 58.0 percent.

We'll have a full story in the Friday paper.

- Jim Buchta