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Foreclosure Statistics

  • Comprehensive Twin Cities Foreclosures and Short Sales Report

    A special research report from the Minneapolis Area Association of Realtors highlighting the inventory of homes for sale, the median sales prices, the number of new listings and the number closed sales.

  • Interactive Twin Cities Foreclosures and Short Sales Report

    An interactive tool from the Minneapolis Area Association of Realtors summarizing all foreclosure and short sale activity in the Twin Cities which can be further tailored to your specific city.

  • Twin Cities Overall Market Update

    A weekly snapshot of the market activity for the Twin Cities with a year-over-year comparison of new listings, pending sales, active listings, average market time and the percent of original list price received.

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Twin Cities 2010 Foreclosure Recap

February 7, 2011

The Minneapolis Area Association of Realtors (MAAR) released their 2010 Twin Cities Housing Market Annual Report. According to the numbers, 39.9% of all closed sales in the Twin Cities last year were foreclosures and short sales or what the report is calling distressed sales. This compares to 43.1% in 2009 and 31.4% in 2008.

Some of the cities with the greatest percentage of distressed sales include North Minneapolis at 64.0%, Elk River at 60.0% and the St. Paul Phalen area at 59.9%. Some cities with the lowest percentage of distressed sales include Edina at 13.3%, Southwest Minneapolis at 12.4% and the Highland area of St. Paul at 10.4%.

It’s interesting to note that the downtown Minneapolis and St. Paul townhouse and condo/loft markets were some of the areas with the lowest percentage of distressed sales. Of the 508 closed sales in downtown Minneapolis, 19.5% were distressed and of the 139 sales in downtown St. Paul, 23.0% were distressed.

Of course, the real question now is what the future of foreclosures will look like in Minnesota? The Minnesota Home Ownership Center has tallied the number of pre-foreclosure notices for all of 2010, a leading indicator of future foreclosure activity. According to their report, we saw a statewide increase of 8% in notices from 66,570 in 2009 to 71,665 in 2010. The Twin Cities seven-county metro area had a 3% increase from 41,809 in 2009 to 43,143 in 2010.

The Home Ownership Center acknowledges that “the overall numbers make it hard to forecast anything but continued foreclosure activity” going forward. As always, you can find more detailed information about these reports or others by clicking on the news tab at TwinCitiesHomeForeclosures.com and looking under the Foreclosure Statistics section. If you have further questions or comments, please don’t hesitate to contact me.

— John MacKany

Twin Cities Foreclosure Update

September 22, 2010

Here is a current snapshot of the Twin Cities foreclosure and short sale activity as well as three interesting articles that offer some perspective on what lies ahead in terms of the overall number of foreclosures throughout Minnesota.

The Minneapolis Area Association of Realtors (MAAR) reported on August 31, 2010 that there were 28,245 active listings in the Twin Cities 13 county metro area. Of those, 8,348 or 30% were foreclosures and short sales. At this same time, 1,311 or 42% of the 3,154 pending sales and 1,161 or 41% of the 2,835 closed sales were also foreclosures and short sales.

The next two articles are from the Minnesota Home Ownership Center. The first article entitled 2010 Continues to Outpace 2009 dated August 5, 2010 indicates that in Minnesota, the number of pre-foreclosure notices in 2010 continues to outpace the number of notices for 2009. The second article entitled Foreclosures Rise Again – New Report dated August 12, 2010 shows that there were 13,093 foreclosures in Minnesota at the end of the second quarter of 2010 compared to 11,089 during the same period last year. According to the Minnesota Home Ownership Center, if this pace continues, we could exceed the 2008 statewide record of 26,251 foreclosures.

The third article appeared in the Star Tribune on September 16, 2010 by Bob Von Sternberg entitled Minnesota’s Foreclosures grew faster than national average. This article basically summarized a foreclosure report produced by RealtyTrac that appeared on the same day and reported that nationally “lenders repossessed more homes in August than in any month since the start of the nation?s mortgage crisis.“ In addition, the article goes on to highlight something that realtors often refer to as “shadow inventory“ which represents properties that are being withheld from the market. According to Rick Sharga, a senior vice president at RealtyTrac, “fewer than a third of homes repossessed by lenders are on the market“ due to the fact that “nobody wants to overwhelm a soft buyer’s market with too much distressed inventory for fear of what it will do for house prices.”

What’s clear from these articles is that it’s not just a matter of IF we’ll see more foreclosures; but it’s also a matter of WHEN they’ll be placed on the market. You can track the foreclosure activity by clicking on the news tab at TwinCitiesHomeForeclosures.com and looking under the Foreclosure Statistics section. You can also find additional articles about foreclosures and short sales on my blog. If you have any questions or comments, please don’t hesitate to give me a call.

— John MacKany

The Future of Foreclosures...

May 4, 2010

It’s no surprise that foreclosures and short sales still are a significant part of our overall real estate market. While experts continue to offer predictions, no one really knows for certain whether or not we’re in for another wave of defaults or if the worst is behind us. With this in mind, I want to draw your attention to two local resources that can provide some perspective on where we are and where we might be going.

To understand where we are, the Minneapolis Area Association of Realtors (MAAR) does a great job of tracking the monthly foreclosure and short sale activity in the Twin Cities. As of March 30, 2010, their report indicated that 27% of all New Listings, 26% of all Active Listings, 38% of all Pending Sales and 42% of all Closed Sales were foreclosures and short sales. However, it’s important to note that while the traditional market clearly shows an increase in activity during the summer months, the foreclosure and short sale market shows no seasonality and therefore may represent a greater overall percentage simply based on the time of year you’re looking at.

To get a sense of where we’re going, the Minnesota Home Ownership Center tracks the number of pre-foreclosure notices. Their recent blog entitled Uh-oh… First Quarter Pre-Foreclosure Notices indicates that a statewide record 18,412 pre-foreclosure notices went out during the first quarter of 2010. While the moratoria that many banks honored during the first part of 2009 prevents us from doing a meaningful year-over-year comparison, the number of pre-foreclosure notices is still the highest it’s been over the past five quarters and most certainly will have an impact on the amount of foreclosures over the next six to nine months.

As always, you can link to these reports and many others by clicking on the news tab at TwinCitiesHomeForeclosures.com and looking under the Foreclosure Statistics section. You also can find additional articles about foreclosures and short sales on my blog. If you have further questions or comments, please don’t hesitate to give me a call.

— John MacKany

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