Report: TC home prices still depressed by foreclosuresby Nancy Lebens, Minnesota Public Radio
St. Paul, Minn. — The UST Residential Real Estate Index indicates home prices in the Twin Cities may be moving in the right direction, if slowly.
For the month of June, the UST Index shows the median price for a home sold in a traditional sale was up 1.45%, with the number of sales overall increasing "significantly," according to the report.
But despite the gradual improvement over the last few months, the Twin Cities home sellers won't see dramatic improvement in prices. That's because there is such a high percentage of foreclosed properties changing hands.
The report also said the percentage of foreclosures remained "historically very high" at 38% of sales in June. But that's down from 45% foreclosures as a percentage of total sales in May.
The UST Residential Real Estate Index is put together by the Shenehon Center for Real Estate at the University of St. Thomas. The authors were Herb Tousley, director of real estate programs and Thomas Hamilton, associate professor of real estate, both at St. Thomas.
Nancy Lebens is an editor for MPR News.