Another record month for house prices, but where in the Twin Cities can you find a bargain?

Median prices across the 7-county metro hit $285,000 in May.
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House prices across the Twin Cities metro hit another record last month, with the median property changing hands for $285,000.

It follows a growing trend in recent years that has seen the metro area housing market tighten amid growing demand that far outstrips housing supply, and at a time when interest rates remain extremely cheap.

Buying a house has become increasingly competitive, with homes particularly in the sub-$300,000 range selling extremely quickly, particularly those in or immediately around Minneapolis and St. Paul.

But there are bargains to be had out there, as evidenced by areas of the cities where house prices are actually falling, bucking a trend otherwise seen in the rest of the metro.

Interestingly, some of the biggest fallers come in the more affluent areas of the metro, with the likes of Wayzata, Minnetonka Beach, and the Lowry Hill and Cedar-Isles-Dean neighborhoods of Minneapolis seeing double digit drops between 2017 and 2018.

Here's a look at some of the areas of the Twin Cities where there could be bargains to be had:

City/neighborhood2017 median price2018 median priceDifference

Lakeland

$419,380

$315,996

-24.7%

East Isles, Mpls.

$579,013

$479,560

-17.2%

Cedar-Isles-Dean, Mpls.

$675,359

$561,298

-16.9%

Wayzata

$1,246,308

$1,060,251

-14.9%

Downtown East, Mpls.

$749,262

$651,116

-13.1%

Tangletown, Mpls.

$449,531

$393,576

-12.4%

Lowry Hill, Mpls.

$628,948

$550,735

-12.4%

East Harriet, Mpls.

$488,779

$449,181

-8.1%

Whittier, Mpls.

$197,831

$186,855

-5.5%

Excelsior

$774,067

$736,638

-4.8%

Summit-University, St. Paul

$314,403

$301,960

-4.0%

Edina

$559,616

$539,210

-3.6%

Mendota Heights

$435,832

$420,455

-3.5%

Eden Prairie

$379,020

$367,144

-3.1%

Calhoun-Isle, Mpls.

$486,567

$474,475

-2.5%

Golden Valley

$352,819

$348,212

-1.3%

The figures above were provided by Minneapolis Area Realtors.

We reported earlier this year how there is a weakness in the market for higher-priced homes, with some sellers having to accept significantly below asking price to close on a sale. 

Meanwhile, houses at the lower end of the market are often selling for at or above asking price, which is constricting the housing market, with the lower-end seeing higher prices, and the upper-end lower.

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But while there are many parts of the Twin Cities that have seen decreases in median prices, they are easily outstripped by the number seeing increases.

And as the table below shows, some of the biggest increases have been happening in neighborhoods where the median price is below $300,000.

Here's a look at some of the biggest house price increases seen in 2018 compared to 2017.

City/neighborhood2017 median price2018 median priceDifference

Woodland

$1,668,351

$2,224,067

+33.3%

Prospect Park-E. River Rd, St. Paul

$268,911

$350,032

+30.2%

Bayport

$313,563

$398,645

+27.1%

West Calhoun, Mpls.

$249,834

$315,044

+26.1%

Hawthorne, Mpls.

$153,293

$192,352

+25.5%

Longfellow, Mpls.

$222,986

$277,110

+24.3%

St. Anthony East, Mpls.

$225,091

$275,126

+22.2%

Logan Park, Mpls.

$238,909

$289,864

+21.3%

St. Anthony West, Mpls.

$328,236

$393,746

+20.0%

West Seventh, St. Paul

$211,959

$248,871

+17.4%

Tonka Bay

$965,605

$1,133,027

+17.3%

Mounds View

$224,713

$262,936

+17.0%

Anoka

$219,665

$253,790

+15.5%

Lind - Bohanon, Mpls.

$173,527

$199,894

+15.2%

Camden, Mpls.

$158,367

$182,415

+15.2%

Bryn Mawr, Mpls.

$376,335

$433,417

+15.2%

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