The Twin Cities realtors have some numbers out. "Home sales in the Twin Cities, Minn., area fell by double digits in April, according to three metro Twin Cities Realtor associations. Realtors reported 3,919 closed home sales last month, down 15.6 percent from a year ago when 4,645 sales were recorded."

"New listings set an April record at 10,864 units, marking the ninth consecutive month of record new-listing activity, according to the Minneapolis Area Association of Realtors. However, new listing growth was only 4 percent higher than last April after several consecutive months of 20 percent annual growth or more."

"'All indicators point toward a more balanced market representing a shift in the buyer's favor as compared to the past five years,' said Todd Shipman, president of MAAR. 'This is the best market for buyers we've seen in five years,' said Jeff Green, President of the North Metro Realtors Association. 'There are so many options of housing choices available right now. Size, price, location, buyers can pretty much take their picks.'"

"At the end of April there were more than 28,000 single-family units on the market, 45 percent more than a year ago."

"For the past (bad link warning) several years, the stars have been aligned for Downtown development. 'Records were consistently smashed,' states a report on the Twin Cities real estate market for 2005 by the MAAR. But what goes up must come down. 'The extreme nature of this market was unsustainable,' the report continued."

"Most real estate insiders admit that the Downtown market is slowing (and) that a few of the larger projects still years from construction will fall off of the pipeline, and while some say there is danger for the Downtown and greater housing market."

"Is the market slowing? 'Yes,' answered Tom Melchior, a member of the Downtown Minneapolis Neighborhood Association. Melchior said the market began to slow for higher-priced condos priced more than $500,000 about a year ago. Now, the cool-down has spread to all price ranges, he said."

"As for luxury units, Frank said Schafer Richardson understood from the start that its Phoenix on the River, priced from $400,000 to more than $3 million, would compete for a thinner market of buyers. 'How many can afford a million-dollar unit?,' he asked."

"He said he also believes that big condo projects will fall off the pipeline, but said he’s not concerned. Other developers are bullish, as well, Hines Interests plans as many as 1,250 units (albeit fewer than the original 3,000-5,000 plan) at its Twinsville development."

"Melchior said such a surplus of unsold condos could bring the market down. 'My fear is that a number of these projects will move ahead without a high proportion of presales,' he said. 'The project will get built and sit there for years with a lot of vacant units,' Melchior said. 'The developer will have to slash prices in order to [sell] the units. Then the whole market gets hurt.'"

"Susan Bollweg, who owns a condo at Centre Village, says it appears to already be happening. She cited the MAAR report, which shows a 7.7 percent drop in Central Minneapolis (Downtown) housing prices from 2004 to 2005. Couple that with the more than 7,000 units either planned or under construction, and Bollweg fears for the value of her condo in the 30-year-old Centre Village."

"The frenzied pace of the gold rush may be over, but most real estate observers say that Downtown will continue to attract new residents. But still there is the sheer number of units in the pipeline. According to Maxfield Research, since 2001, 3,662 units have been sold or reserved Downtown, but the number of units actually built since then has not caught up. By the end of this year, Maxfield’s Bujold projects only 2,752 units will have been completed."

"With sales slowing, neither Melchior nor Bujold expect Downtown’s absorption rate to sustain its peak rate of more than 1,000 units per year. Bujold expects it to 'hover around 1,000' units per year in the near future; Melchior said a balanced market could level off at around 500 in the long run."

"Compare that to the more than 7,000 units planned for Downtown over the next five years, and it seems something will have to give. Already, one developer, Ryan Cos., has backed off of its proposed 600-unit Superior Plating development. Tony Phelps, director of development for Ryan, cited a lack of interest by development partners due to a glutted market. 'It will be interesting to see what happens in the next year or two,' he said."

"Stanton, the sage developer, agreed that the market is far from dead. 'I’ve been in biz 44 years. I’ve seen it slow down and speed up,' Stanton said. 'The only way building is going to stop is if people quit having sex. Will it slow down for six months or a year sometimes? Yes. Will it stay down? It can’t.'"