January 4, 2015 (Newswire.com) - Lake Minnetonka Area home price appreciation rates continued their positive momentum in 2014; however, the pace slowed due to normalizing as part of the healthy movement in the Twin Cities housing recovery. The latest housing data from Northstar MLS show how home prices vary by location, even within neighboring Lake Minnetonka Area communities.
"Lower levels of homes available to purchase in 2014 limited prospective Lake Minnetonka real estate buyers who now welcome more choice - even as median home prices have slipped higher," says Jenna Thuening, owner of Home Destination. "Those with sufficient home equity to become move-up buyers often wait for homes to become listed in the region, as the demand has typically outstripped supply."
A new Interest.com study reveals that the Twin Cities housing market is a better market for home buyers and sellers, with strong pockets like the Lake Minnetonka Area. Both median earnings and median home prices are aligned and creating an economic setting that's ideal for home ownership.
Median-priced homes in regions such as San Francisco and New York have homes at median home prices that are even more beyond the reach of the average income of most buyers, according to interest.com. But for the Minnetonka, Twin Cities area, housing experts believe the moderated pace of rising prices of 2014 make it easier for future home buyers. Median housing price growths are expected to remain modest in 2015, while mortgage rates are forecast to ascend by a point or two.
Herb Tousley, director of real estate programs at the University of St. Thomas in Minneapolis, says a coupling of housing factors lend to buyers interest in Twin Cities real estate. With an overall median income of $67,194 - close to $15,000 in income earnings elevated more than the national average - metro residential earn on average more than residents in the 25 biggest cities.
"We've got a pretty diverse economy here, a lot of medical tech, a lot of corporate headquarters," Tousley says, "so a fair number of people have a higher income." Minneapolis 13 County residential communities eluded the far swings of real estate boom and bust that smacked the Sun Belt and California real estate in the last 10 years.
The metro area, including the popular homes around Lake Minnetonka, offers a great selection of homes that fall within the range of those making median earnings. "We have a big tranche of what I call middle-class, middle-priced homes," says Tousley.
The following list of current Lake Minnetonka Area median home prices from Northstar MLS helps home buyers follow fundamental shifts in market prices. All real estate is local and individual residential neighborhoods fluctuate as local changes impact the median home sales price in a specific area. The double digit increased witnessed in 2013 have eased into a more balanced pace.
Individuals who do own their own homes can expect to gain further equity in 2015. Homes in the Lake Minnetonka Minnesota area are highly sought after, which impacts median home prices. The National Association of Realtors forecasts additional annual gains in home prices will run between 4 and 5 percent in the coming year. Higher levels of housing inventory in Lake Minnetonka will ease the lack of real estate listings home buyers faced one year ago. A look back and a current look at Lake Minnetonka Area median home price points will set a benchmark for both sellers and buyers in 2015.
Median Home Prices In the Lake Minnetonka Area
A prepared benchmark of median home prices for specific residential neighborhoods in the Lake Minnetonka Area, Minnesota as markets head into a new year. Information is drawn from the Minneapolis Area Association of Realtors (MAAR). Stats cover housing data over a one year price range, from November 2013 through November 2014.
Deephaven homes - Up from $554,800 in 2013 to $1,000,000 in 2014; median home price +80.2%
Excelsior homes - Up from $1,474,250 in 2013 to $1,175,000 in 2014; median home price +140.8%
Greenwood homes - Up from $875,000 in 2013 to $3.550,000 in 2014; median home price +34.3%
Long Lake homes - Down from $397,500in 2013 to $150,000 in 2014; median home price -62.3.8%
Minnetrista homes - Down from $595,000 in 2013 to $390,000 in 2014; median home price -34.5%
Minnetonka Beach homes - Up from $1,115,000 in 2013 to $ 1,305,400 in 2014; median home price +17.1%
Mound homes - Up from $142,000 in 2013 to $182,450 in 2014; median home price +28.5%
St. Bonifacius homes - Down from $232,000 in 2013 to $154,450 in 2014; median home price -33.4%
Shorewood homes - Up from $340,000 in 2013 to $435,000 in 2014; median home price +27.7%
Excelsior - Up from $177,00 in 2013 to $1,139,00 in 2014; a median home price +543.8%
Wayzata - Up from $320,000 in 2013 to $635,000 in 2014; median home price +98.4%
About Home Destination - Twin Cities Real Estate:
Home Destination offers a loyal and committed real estate professional service that personally handles all of the details of selling or purchasing homes in Eden Prairie, Minnesota. Highly regarded by peers as a Minneapolis metro expert for over 15 years, gain a skilled representative as guide to make the best possible housing decisions. Helping all home buyer types, Jenna Thuening has the real estate experience and acumen Lake Minnetonka, Minnesota buyers and sellers can enjoy.