During March there were 3,525 closed sales with a median price of $149,000, a 6.4 percent increase from last year, according to the Minneapolis Area Association of Realtors.
That was the first and biggest annual increase in monthly sale prices since the federal home buyer's tax credit helped boost the market during 2010, and the best evidence so far that the housing market is gaining monentum.
Despite several other positive signs, house prices continue to face headwinds in the coming months in the way of historically high levels of foreclosures and short sales.
Other highlights from the March report:
- New listings: -7.2%
- Overall inventory: -27.5%
- Closed sales: up 8.4%
- Months supply inventory: 4.6 months
- Average days on market: 144, down 10%
- Percent of all sales that were foreclosures or short sales: 49%, down from 57% in February:
