Minneapolis & Edina over $2 million

During this period of market correction, media pundits talk of falling values, and lenders refer to "declining markets" but we all know, real estate is intensely local. Average market conditions rarely tell the real story of what is happening in any given neighborhood.

In this multi part series, close examination of specific price ranges and neighborhoods reveals the "real" real estate market behind the headlines.

In this part, "The Best of The Best" Minneapolis homes over $2 million.

There aren't many homes sold over the $2 million mark. In the past year* there were just 17 sold, (7 of there were in Edina). I'm specifically looking at home inside the 494/694 beltway.

The most expensive home sold went for $3,550,000 in Edina, and was a stunning 9,500 sq. ft. new construction, 6 bed, 8 bath, home sitting on nearly 2 acres including a private pond. O...M...G... it is every bit as amazing as you might think.

This market is characterized by the neighborhood in Edina and the Kenwood area of "the city" (Mpls). 11 of the 17 homes were new construction built since 2000. The other 7 were all pre-war construction, the oldest dating back to 1892 a remodeled piece of the cities' Mary Tyler Moore history with 9,800 sq. ft. 8 beds and 9 baths.

The average 2 million plus home is far less impress (but far from un-impressive) averaging 5 beds, and 5 baths with 6,700 finished square feet. Here are all the homes sold in past year for over $2 million.

With 46 homes in the area for sale over $2 million, 17 sold and 2 pending, there is currently a 29 month supply of inventory available or, to put it another way there are 29 homes for every buyer in this market.

In Edina there are just 14 for sale, while 7 sold, an even 2 years worth of inventory. Meanwhile in Minneapolis, there are 28 for sale and 10 sold, making for a more intense buyer's market, with almost 3 years worth of inventory on the market.

These are all very unique properties, and the owners are often "international". Sometimes these are one of a few residences owned; sometimes the owner is coming or going from another part of the world. In any event the "story" behind the sale of these homes is an important part of the package. With so many properties for buyers to choose from, it's possible for buyers to look until they find a home that "feels" right in all aspects of their lives.

* 365 days preceding June 18^th, 2008