Region’s Supply of Homes Remains Tight

Rochester, MN (KROC-AM NEWS) - A tightening of the supply of homes continues to impact the real estate market in southeastern Minnesota.

The monthly market report from the Southeastern Minnesota Association of Realtors shows the number of homes for sale across the region dropped 23-percent last month when compared to May of last year. The just over 1600 homes on the market is equal to a only little bit over 3 months supply.

The number of closings on existing home sales slid 6.5-percent from May 2014, while the number of pending sales was down less than a half percentage point. The average number of days a home was listed before selling dropped almost 15 percent to fewer than 70 days, while the median sales price rose over 4-percent to about $165,000.

In Rochester, only 344 homes were listed for sale in May, which is down over 28-percent from a year ago and accounted for a supply of only 1.7 months. The median sales price in Rochester was up 6.6-percent to $187,000.