January 2025

Happy New Year from Christo Lane!

As we kick off 2025, the Minneapolis real estate market is showing signs of renewed energy. With interest rates stabilizing and a fresh wave of buyers entering the market, it's a great time to explore your real estate goals.

Minneapolis Market Update

• Inventory is creeping up: We're seeing a slight increase in the number of homes for sale compared to this time last year. This provides buyers with more options and potentially less competition.

• Prices remain steady: While the frantic pace of price increases has slowed, Minneapolis continues to be a strong seller's market.

• Hot neighborhoods:  Northeast Minneapolis remains popular with its vibrant arts scene and proximity to downtown. Families are flocking to Southwest Minneapolis for its excellent schools and green spaces. Uptown continues to attract young professionals with its trendy restaurants and nightlife.

• Condos are making a comeback:  With more inventory and competitive pricing, condos are becoming an attractive option for first-time homebuyers and those seeking a low-maintenance lifestyle. Check out new listings in the Mill District and North Loop!

Interest Rate Update

After a period of volatility, mortgage interest rates appear to be stabilizing in the 6-7% range. While higher than the record lows of recent years, these rates are still historically favorable.

2025 OUTLOOK

Tips for Buyers in the Current Market

• Get pre-approved for a mortgage:  This will give you a clear picture of your buying power and make you a more competitive buyer.

• Be prepared to act quickly:  In a competitive market, desirable homes can sell fast. Have your financing in order and be ready to make a strong offer.

• Work with an experienced realtor:  A local expert can guide you through the process, negotiate on your behalf, and help you find the perfect home.

National Real Estate Trends

• The rise of "Zoom towns":  The pandemic-driven trend of remote work continues to fuel demand for homes in smaller cities and towns with a high quality of life.

• Sustainability is key:  Buyers are increasingly prioritizing energy-efficient features and eco-friendly homes.

• Multigenerational living:  With rising housing costs, more families are choosing to live together in multigenerational households.

Community Spotlight:

This month, we're highlighting the vibrant Longfellow neighborhood in South Minneapolis! Known for its diverse community, independent businesses, and beautiful parks along the Mississippi River, Longfellow offers something for everyone.

Longfellow Community Council

Stay tuned for next month's newsletter, where we'll cover the Spring Market and and how to navigate it along with some pre-list updates for your home.