There is a tight inventory (20 year lows in supply) and prices are climbing.
Reports The Wall Street Journal:
It isn’t just hot spots like Seattle and Denver that are seeing scarce supplies of homes for sale but also sleepier locales like Minneapolis, Cleveland, Nashville, Tenn., Tampa, Fla., and Louisville, Ky.This is not what a recession looks like.
The inventory of homes for sale in Minneapolis dropped by about 25% in February compared with a year earlier, while the median sale price rose by 7.6% to $223,000, according to the Minneapolis Area Association of Realtors. That’s on par with the national median home price of $228,400. The average number of days homes in the area are spending on the market is at a 10-year low of 81 days so far this year.