David Arbit - Guest
Andy Fazendin - Host

David Arbit, MCRP, the Director of Research and Economics for Minneapolis Area Association of Realtors, was our guest and gave us a lively and "nerdy" overview of our current real estate market.    The current market is in good shape and there is good residential home purchasing growth.  The three main reasons for this is interest rates are still low, the cost of rent is raising, and the economy is good.  
One of the interesting bit of information David shared was the Price to Income Ration across the country.  Below are some numbers:
14:1 in San Francisco
5:1 in Denver
4:1 in Boston
3:1 in Minneapolis
Minneapolis has a very healthy market and there is a tight supply of homes coming on the market.  One reason is people are staying in their homes an average of 10 years, vs 5-7 years in the 2000's.  For the numbers geek, he shared that there is a 76% reduction in available homes yet a 12% population growth.  A fun statistic, in 2016 the median house cost $230K and in 2017 cost $245K.  The median income is currently $90 and he felt if a family earned this amount, it was better to own then rent.  Overall, he felt that the market was in a much better and smarter place than it was before the housing crash in 2008 and felt the market would continue to be good.