Friday, April 11, 2008

Forest Lake, MN Real Estate Market Statistics 1st Quarter 2008

Real estate in Forest Lake, MN in north Washington County and east Anoka County is still selling. Activity is up in the Forest Lake market as I can attest from the increased traffic at my open houses and my website. The Days on Market (DOM) Statistic for most homes show that many of the properties that did sell in first quarter were on the market for much of last year. Inventory is up in the under $300,000 price category and down in the over $500,000. Check fourth quarter statistics here. The reduction in inventory in the upper bracket has less to do with sales and more to do with timing as many lake homes were removed from the market. This is common as it is difficult to sell lakeshore properties in the winter when the shoreline is frozen.

The first quarter numbers show area homes are staying on the market an average of 287days, which is up considerably from the 166 DOM in the fourth quarter. The jump is probably due to the fact that few new listings come on during this time period and that the homes available had been on the market since early in 2007. We should see the average DOM go back down in the second and third quarters but only time will tell.

If we look at sold homes in the under $300,000 category for the first quarter alone, the absorption rate has skyrocketed from 10 months in 4th quarter to 20 months. But as January and February are historically slow this is likely not a trend. Using solds and pendings, the Forest Lake absorption rate is still approximately 9-10 months if all homes close.

High end home sales continue to struggle for sales. Only one home sold in the last 3 months, sellers in the $400,000-$500,000 price category skewing the DOM to two days. But compare and average with the 429 DOM for the $500,000 and up category, it is an average of 265 DOM for the higher priced Forest Lake homes.

Spring seems to always bring out new buyers and sellers. Hopefully it will be a year of negotiation as there is still plenty of housing inventory to work with. Great homes at amazing prices are out there on lakeshore and acreage properties. When the ice finally drops off the lakes, it might be the year to consider a lakeshore home!

Lakeshore opportunities are abundant in the Forest Lake area! I expect that more listings will return as soon as the ice is off the lake. There is still an amazing inventory of 44 lakeshore homes. Many have been on the market for a quite a while. With continued low interest rates, it is a great time to negotiate a deal on your piece of Minnesota shoreline!

1st Quarter Forest Lake residential real estate statistics for single family homes:

Under $300,000~ 79 Active Listings, 13 Pending Listings, 13 Sold Listings, 254 DOM (Lakeshore Subgroup ~ 1 Active, 1 Pending, 2 Sold)

$300,000-$400,000 ~ 36 Active Listings, 4 Pending Listings, 4 Sold Listings, 278 DOM (Lakeshore Subgroup ~ 9 Active, 1 Pending, 3 Sold)

$400,000-$500,000 ~ 20 Active Listings, 1 Pending Listings, 1 Sold Listing, 2 DOM (Lakeshore Subgroup ~ 6 Active, 0 Pending, 1 Sold)

$500,000 and Up~ 32 Active Listings, 0 Pending Listings, 1 Sold Listings 497 DOM (Lakeshore Subgroup ~ 28 Active, 0 Pending, 1 Sold)

Lakeshore available in the City of Forest Lake

44 Active Listings, 2 Pending Listings, 7 Sold Listings

Forest Lake lakeshore price range: $279,900-$2,900,000

33 Homes on Forest Lake
7 Homes on Clear Lake
1 Home on Shields Lake
1 Home on Sylvan Lake
1 Home on Little Comfort Lake
1 Home on Neds Lake

**All Statistical information based on information from the REGIONAL MULTIPLE LISTING SERVICE of MINNESOTA, INC. for the period of 1 /1/08 through 3/31/08.

Articles on Forest Lake, Lakeshore and Minnesota that might be of interest:

Does "Minnesota Nice" Affect the Real Estate Market? "Yah, You Betcha!"
Dreaming of Life on MN Acreage?--What YOU Need to Know Before YOUR Move!
Affordable Minnesota Lakeshore
Relocating to Forest Lake MN? The Schools are Full of Ranger Pride!
Forest Lake High School Rangers are Pounding Nails Again—New Home Under Construction!
Forest Lake High School Rangers House Construction Project Complete—And Up for Bids!

If you are buying, selling or relocating to Forest Lake, Minnesota and need help from a professional Realtor, give me a call or visit my website for a FREE Relocation Packet. I specialize in acreage and lakeshore properties in the north and east Twin Cities metro area including Ham Lake, Lino Lakes and all communities in the Forest Lake School District! Serving Anoka, Chisago, Ramsey and Washington Counties in Minnesota.

Copyright 2008 Teri Eckholm