January 2023
The US housing market began the year in a state of rebalance, with many buyers and
sellers remaining cautious while they wait to see where the market is headed. Nationally,
pending sales rose 2.5% month-to-month, marking the first increase since May, while
sales of existing homes fell 1.5% as of last measure, according to the National
Association of Realtors® (NAR). Demand for housing persists, but higher mortgage
interest rates have cut into housing affordability, with total home sales down 17.8% last
year compared to 2021.
![](https://www.theexceptionalhometeam.com/wp-content/uploads/2023/02/January-526x1024.jpg)
New Listings in the Twin Cities region decreased 10.6 percent to 3,285. Pending Sales
were down 19.3 percent to 2,560. Inventory levels rose 14.5 percent to 5,588 units.
![](https://www.theexceptionalhometeam.com/wp-content/uploads/2023/02/1-1024x1024.png)
![](https://www.theexceptionalhometeam.com/wp-content/uploads/2023/02/2-1024x1024.png)
![](https://www.theexceptionalhometeam.com/wp-content/uploads/2023/02/4-1024x1024.png)
Prices continued to gain traction. The Median Sales Price increased 2.7 percent to
$341,995. Days on Market was up 46.3 percent to 60 days. Buyers felt empowered as
Months Supply of Homes for Sale was up 44.4 percent to 1.3 months.
![](https://www.theexceptionalhometeam.com/wp-content/uploads/2023/02/3-1024x1024.png)
As sales slow, time on market is increasing, with the average home spending 26 days on
market as of last measure, according to NAR. Seller concessions have made a
comeback, giving buyers more time and negotiating power when shopping for a home.
Although home prices remain high, mortgage rates declined steadily throughout
January, falling to their lowest level since September, sparking a recent surge in
mortgage demand. Lower rates should aid in affordability and may soon lead to an
uptick in market activity ahead of the spring selling season.
Source: MAAR
http://maar.stats.10kresearch.com/docs/mmi/2023-01/x/report?src=page