Minnesota home sales up as mortgage interest rates fall

More homes changed hands in Minnesota in September compared to the same time last year as lower mortgage rates motivated more buyers.

Listings rose 4.9 percent across the state while pending sales increased 5.9 percent, according to data from the industry trade group, Minnesota Realtors. In the Twin Cities metro, listings were up 5.2 percent and pending sales rose 7.9 percent.

The average interest rate on a 30-year mortgage fell by about half a percent between June and September. St. Paul Area Association of Realtors President Jennifer Livingston says mortgage rates are a “huge” factor for potential buyers and sellers who are weighing whether to make moves.

“Even a small rate change can mean hundreds of dollars in monthly savings for buyers, specifically first-time home buyers,” she sai