More homes. Stable prices. A market that's finally breathing.

If you've been watching the Dakota County real estate market, May 2026 brought some welcome shifts - especially if you're a buyer who's been sitting on the sidelines waiting for a little more breathing room.

Here's what the numbers are telling us.

More Homes Are Coming to Market

New listings jumped 9.4% compared to May 2025, with 951 homes hitting the market last month alone. Year to date, we're up 10.4% in new listings over the same period last year. That's real movement. More inventory means more options, and after a stretch of historically tight supply, that's good news for buyers.

Prices Are Holding Steady

The median sales price in May came in at $405,000, up just 0.5% from May 2025. The average sales price landed at $439,714, a 1.7% increase year over year. Price per square foot ticked up slightly to $199.

The story here isn't dramatic appreciation - it's stability. Prices aren't cratering, and they're not spiking. That's actually a healthy sign for a sustainable market.

Homes Are Taking a Little Longer to Sell

Days on market increased to 45 days in May, up from 38 days a year ago - an 18.4% jump. Year to date, the average sits at 57 days. This is one of the clearest signals that buyers have a bit more negotiating room than they did a year or two ago.

That said, sellers are still receiving 99.8% of their original list price on average. Homes that are priced right and show well are still moving. The days of frantic bidding wars may have cooled, but well-positioned listings are absolutely still selling.

Still a Seller's Market - Just Not a Frenzied One

With 2.8 months of supply and 1,301 active listings, we're still technically in seller's market territory (anything under 6 months is). But that number is creeping up from 2.6 months last year, which tells us the scales are slowly tipping toward more balance.

What This Means for You

If you're buying: This is the most opportunity-rich environment we've seen in a while. More homes to choose from, sellers who are willing to negotiate, and prices that aren't running away from you. If you've been waiting, it's worth having a conversation.

If you're selling: You still have the upper hand, but proper pricing and presentation matter more than they did in the frenzy years. Homes priced right are selling close to asking. Overpriced homes are sitting.

If you're just watching: That's okay too - but markets move, and this one is showing signs of finding a new equilibrium.

I'm always happy to talk through what these numbers mean for your specific situation, whether you're thinking of buying, selling, or just want a pulse on what your home might be worth today.

Data sourced from the Saint Paul Area Association of Realtors® ShowingTime Local Market Update, May 2026. All data from NorthstarMLS.

Holly McCarthy is a licensed real estate agent serving the Twin Cities metro area.