Builders Are SLASHING Prices In The Minneapolis Metro
About this video
Builders are slashing prices on new construction homes across the Minneapolis–St. Paul metro! Discover discounts of up to $52,000 in Lino Lakes, Hanover, and Rosemount. Learn why builders are cutting prices, how mortgage rate buydowns work, and where Twin Cities homebuyers can find new construction deals.
Key takeaways
- Twin Cities builders are cutting prices, mostly on finished, unsold "spec" or inventory homes, because every month an empty home sits costs them interest, taxes, insurance and upkeep. Homes you order and wait for rarely get the same cuts.
- Nationally, about four in 10 builders cut prices late last year, by about 5% on average, and about two-thirds offered incentives. Lennar's annual filing showed an average incentive of about $62,700 per home, up from $48,800.
- Three kinds of savings: a straight price cut (a smaller loan), a rate buydown (a lower payment, same loan) and a flexible credit toward closing costs or upgrades. Offers may require the builder's lender and may not stack.
- Examples at the time of the video: a Lennar home at Watermark in Lino Lakes about $52,000 off (just under $500,000, roughly $350 a month less), a Lennar home at Crow River Heights in Hanover about $39,000 off, and a Pulte home at Amber Fields in Rosemount about $38,000 off.
- By comparison, Twin Cities resale homes sold for about 98% of asking in August, roughly $8,000 off a $400,000 home. Builder deals are tied to specific homes and change quickly, so confirm what's current.
Questions this video answers
Are Twin Cities builders cutting prices?
Yes, mostly on finished homes that haven't sold. In the video, cuts of about $38,000 to $52,000 were found in Lino Lakes, Hanover and Rosemount, while to-be-built floor plans had no discount.
What's the difference between a builder price cut and a rate buydown?
A price cut lowers the amount you borrow for good. A rate buydown lowers your rate and payment, but the loan amount stays the same. A credit usually goes toward closing costs or upgrades.
Read more: Newest homes · Blaine vs. Lino Lakes · Rosemount market report
Notes written by Huerkamp Home Group from this video. Figures are as stated in the video on October 20, 2026; check the current numbers in our market reports.
