Crosslake is a highly coveted area boasting over 120 miles of shoreline. More than a third of the town is covered in water, opening up endless recreation opportunities and views. Although most of the homes in the area are seasonally occupied, there are still great opportunities for buyers, sellers, and renters in the area to carry out their home transactions. Follow this real estate market forecast when planning a home purchase or sale in 2023.
Crosslake housing market trends
Currently, Crosslake is experiencing cooling trends. Review the statistics below for a quick view of local market conditions, then read on to learn what this means for you as a buyer or seller.
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Closed sales in Crosslake have decreased 30.8% YTD
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The median sales price has decreased 27.1% YTD
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The current median price for Crosslake real estate is $350,000
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The number of homes for sale has declined 52.2% YTD
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Months’ supply of inventory has decreased 46.9% YTD
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Crosslake currently has 1.2 months’ supply of inventory
Explaining the data
The demand for homes in Crosslake is on the decline, visible in decreasing closed sales and median price. As fewer buyers enter the market, sellers can expect more competition between other listed properties. Sellers should also be prepared for buyers to make more negotiations and ask for more concessions as the market tips in buyers’ favor.
Despite less buyer demand, the available homes on the market are shrinking. Less sellers are listing their properties for sale, while months’ supply of inventory is very low. The new listings in Crosslake have declined 38.1% compared to last year, which means the dwindling housing supply isn’t being replenished. A tight market and few options may also be constricting buyer demand in the area.
Despite less buyer demand, the available homes on the market are shrinking. Less sellers are listing their properties for sale, while months’ supply of inventory is very low. The new listings in Crosslake have declined 38.1% compared to last year, which means the dwindling housing supply isn’t being replenished. A tight market and few options may also be constricting buyer demand in the area.
Market trends in the Greater Lakes Area
The Greater Lakes Area is experiencing similar trends as Crosslake. Reviewing regional trends is important in contextualizing Crosslake’s local market conditions, which can help buyers and sellers make an informed decision.
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Closed sales have decreased 21.6% YTD
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The median sales price has increased 5.4% YTD
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The current median sales price in the Greater Lakes Area is $250,000
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The number of homes for sale has declined 2.7% compared to last year
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Months’ supply of inventory has increased 15.4% compared to last year
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The Greater Lakes Area currently has 1.5 months’ supply of inventory
Explaining the data
When comparing the Greater Lakes Area with Crosslake, there are a few notable differences. The median sales price has increased across the region while it’s decreased in Crosslake. Part of this may be caused by higher home prices in Crosslake overall, which average $100,000 more despite cooling trends. This price discrepancy will likely persist throughout the rest of the year as months’ supply of inventory remains very low.
The second difference between the region and Crosslake is the level of months’ supply of inventory. Although both figures only have a 0.2-month difference, inventory levels in the entire region have increased while those in Crosslake have decreased. This may signal more buyer demand or lower new construction rates in Crosslake compared to other towns and cities in the area.
In all other respects, the Greater Lakes Area parallels Crosslake market trends. Both are experiencing fewer closed sales, slim inventory levels, and overall cooling trends. For a deeper understanding of market trends in the area, buyers and sellers should always partner with local agents like the experts at the Larson Group.
The second difference between the region and Crosslake is the level of months’ supply of inventory. Although both figures only have a 0.2-month difference, inventory levels in the entire region have increased while those in Crosslake have decreased. This may signal more buyer demand or lower new construction rates in Crosslake compared to other towns and cities in the area.
In all other respects, the Greater Lakes Area parallels Crosslake market trends. Both are experiencing fewer closed sales, slim inventory levels, and overall cooling trends. For a deeper understanding of market trends in the area, buyers and sellers should always partner with local agents like the experts at the Larson Group.
Investing in Crosslake
Crosslake is a great place to invest for buyers interested in a seasonal vacation home or quiet small-town living with unbeatable water views. Attractions like the Crosslake Historic Village are a fun way to explore what the area was like in the late 1800s. Other spots like the Crosswoods Golf Course offer three 9’s right next to shimmering lake views. Buyers interested in living in Crosslake for the long term should factor in the cost of living in Crosslake, which is 26% higher than the national average.
Two things that investors interested in Crosslake rental properties should research are population and renter rates. Crosslake is predominantly populated by homeowners, with 87% of units in the area being owned. This is 20% higher than owner-occupation rates across the state. Owner-occupied properties, on top of high vacancy rates, may make it difficult to find renters. In Crosslake, 58% of the units in the area are vacant.
As 90% of the properties in the area are single-unit structures, buyers in the area should prepare for mortgage costs. The average monthly mortgage payment homeowners pay for a 30-year fixed loan in Crow Wing County is $1,495. This is $556 higher than last year, although still very affordable compared to the hottest markets in the US.
Two things that investors interested in Crosslake rental properties should research are population and renter rates. Crosslake is predominantly populated by homeowners, with 87% of units in the area being owned. This is 20% higher than owner-occupation rates across the state. Owner-occupied properties, on top of high vacancy rates, may make it difficult to find renters. In Crosslake, 58% of the units in the area are vacant.
As 90% of the properties in the area are single-unit structures, buyers in the area should prepare for mortgage costs. The average monthly mortgage payment homeowners pay for a 30-year fixed loan in Crow Wing County is $1,495. This is $556 higher than last year, although still very affordable compared to the hottest markets in the US.
Insight for buyers
Buyers can expect a mixed bag when entering the local market this year. Fewer home sales and lower median prices open up more opportunities to negotiate with sellers for the best deal. Crosslake’s great outdoor amenities and relatively manageable mortgage payments also work in a buyer’s favor. However, extremely low inventory levels limit a buyer’s search.
Insight for sellers
Sellers looking to list later in the year can expect buyer demand despite cooling trends. Although median prices and home sales are down, a tight inventory helps maintain property values. This, coupled with the amenities in the area, make it an attractive spot for buyers searching for a vacation home or seasonal living. As long as sellers partner with an agent, they should face few issues listing their property.
Ready to buy or sell in Crosslake?
The cooling trends in Crosslake’s local market present advantages for buyers and sellers alike. The town’s prime location and tight inventory maintain property values in the area. However, investors searching for rental properties may have trouble finding year-round demand, as many properties are owned and occupied for a portion of the year. If you’re ready to start a home search or sale in Crosslake, contact the professionals at the Larson Group for guidance.
*Header photo courtesy of Larson Group
