The Downtown Minneapolis real estate market has seen slight shifts over the past year, with September’s numbers revealing both positive momentum and lingering complexities. By comparing this September to the same time in 2024, as well as year-to-date (YTD) trends, we can see how demand, pricing, and timing are working together to shape today’s market.
New Listings
September 2025: 86 (+11.7% YoY)
More homes are coming to market, giving buyers increased options compared to last year. The year-over-year jump in September new listings suggests sellers are gaining confidence in entering the market, potentially influenced by stabilizing interest rates and buyer activity downtown.
That said, the growth is moderate compared to 2024 when an influx of luxury condos skewed listing volume. This year’s supply is steadier, pointing to a more balanced flow of inventory rather than big spikes.
Closed Sales
September 2025: 41 (+14% YoY)
YTD 2025: 422 (+8.5% YoY)
Sales activity is up significantly, outpacing the increase in new listings. This means buyers are absorbing inventory at a healthy clip, even as days on market have stretched longer (more on that below). The strength in closed sales reflects underlying demand for downtown living — buyers who had been waiting are now moving forward, and steady YTD growth reinforces this confidence.
Median Days on Market
September 2025: 94 (+74% YoY)
The most striking metric is how long it’s taking properties to sell. At 94 days, homes are sitting nearly three months before going under contract—well above 2024 levels.
This may seem contradictory with stronger sales activity, but it highlights a disconnect between pricing expectations and buyer willingness. Properties are eventually selling, but buyers are selective and patient, especially when it comes to downtown condos where lifestyle fit and amenities are key.
Median Sales Price
September 2025: $350,000 (+2% YoY)
YTD 2025: $353,000 (-7% YoY)
Prices show a split story. In September alone, the median sales price rose slightly year-over-year, a signal that well-positioned listings are still commanding competitive offers. However, the YTD figure is down 7%, underscoring the influence of last year’s luxury inventory, which pushed overall averages higher.
This year’s more balanced mix of listings means the median reflects a truer picture of the mid-market condo buyer rather than being disproportionately lifted by multi-million-dollar sales.
Median Price per Square Foot
September 2025: $306 (+3.4% YoY)
YTD 2025: $302 (-3.5% YoY)
Like overall sales price, price per square foot shows a short-term gain paired with a year-to-date decline. In September, buyers demonstrated willingness to pay slightly more for quality space, particularly in desirable buildings with strong amenities or prime locations.
However, the YTD dip reflects the adjustment from last year’s luxury-heavy market. Without as many high-end brand new listings this year, averages are settling into a more sustainable range.
The Broader Picture
Downtown Minneapolis real estate is demonstrating resilience and stability in 2025. While homes are taking longer to sell, demand is present — as evidenced by rising closed sales and modest price gains in September. The slowdown in luxury new-build listings compared to last year has leveled the playing field, making the market appear more affordable and approachable to a wider pool of buyers.
Overall, the data points to a market that’s neither overheated nor stagnant. Sellers must be strategic with pricing and patient with timelines, while buyers benefit from more options and negotiating power. Both sides, however, can find opportunity in this evolving landscape.
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Data retrieved from the NorthStarMLS via map of Downtown Minneapolis Neighborhoods including: Loring Park, Elliot Park, Downtown West, Central Minneapolis, North Loop, East Town, Mill District, Nicollet Island, St. Anthony West, and Marcy-Holmes.
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