More than half of Twin Cities homes having falling home values
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A nationwide rise in the number of homes losing value over the past year has reached the Twin Cities, according to a new Zillow report.
Why it matters: Over half of Twin Cities homes lost value year-over-year in October, according to Zillow. That's about on par with the U.S. average.
Yes, but: Homeowners still "have plenty to feel good about," the real estate site reports.
State of play: Since most homeowners bought before a surge in prices in the early 2020s, the median home value in October was 67% higher than when the property was last sold.
- Just 4% lost value in that time, around 8.5 years for the typical homeowner.
Reality check: There's a difference between taking a loss and being "underwater."
- Far fewer homes are underwater today compared to 2019, Zillow chief economist Mischa Fisher says.
- And here in the Twin Cities, median sale prices — which are different than home values — have continued to increase all year.
Zoom out: Losses over the past year were most widespread in the West and South, where there are more available homes and greater climate risks.
- The metros with the greatest decline were Denver (91%), Austin, Texas (89%) and Sacramento, California (88%), Zillow found.