August 15th, 2011 Market Update from the Minneapolis Area Association of Realtors. They do a pretty good job of summarizing the market. Inventories are down while prices are still dropping – however the good news is if the inventory keeps dropping then prices will begin to stabilize. Remember we are getting close to a balanced market, to reach a balanced market we should have a 5 to 6 month inventory of homes – we are now at 7.6month supply. Things appear to be getting better!