This week brought one of those classic Minnesota transitions—from sunshine in the 50s to waking up to new snow, and then even more snow heading into Black Friday. Downtown Stillwater felt alive with early holiday energy, and yet the real estate market moved along in a much calmer, more predictable rhythm.
According to this week’s Stillwater, MN 55082 Real Estate Report, the local housing market continues to show signs of seasonal cooling, with several metrics shifting in ways both buyers and sellers should understand.
Market Activity Overview
Even with Thanksgiving distractions and unpredictable weather, buyers remain active—just more selectively.
This week we saw:
- 1 New Listing
- 4 Homes Under Contract
- 39 Active Listings Total
This reflects a steady, holiday-adjusted pace rather than a drop-off in interest.
Market Action Index: Softening Trend Continues
One of the strongest indicators of current market health is the Market Activity Index (MAI). This week, Stillwater’s MAI sits at:
➡️ 44 – Slight Seller’s Advantage, Trending Toward Neutral
The MAI has been cooling consistently over the past several weeks. More homes are available, buyer urgency has softened, and as a natural result, prices have begun inching downward.
If the MAI continues this trajectory into the Buyer’s Zone (below 30), we can expect further downward pressure on pricing until demand reaccelerates.
Pricing Trends You Should Know
While the Stillwater market remains fundamentally strong, we’re now seeing the kinds of pricing adjustments typical for November and December:
- Median List Price: $790,000
- Price Reductions: 33% of active listings
- Price Per Sq. Ft: Slight downward drift
- Days on Market: Average 75 | Median 49
Importantly:
• Mid-market homes (Quartile 3) are showing the most noticeable cooling.
• Higher-end homes are taking longer to sell.
• Well-priced, well-presented homes are still attracting offers quickly.
These shifts align perfectly with buyer behavior in late Q4—serious buyers remain active, while discretionary buyers often pause until January.
What This Means for Sellers
The Stillwater market is not declining—it's rebalancing. Here’s how sellers can stay ahead:
✔ Strategic pricing is essential
Buyers are value-driven right now, and overpriced homes are sitting.
✔ Presentation matters more than ever
Staging, photography, and digital marketing create separation in a softer market.
✔ Buyers who are active right now are serious
They often have timelines, relocation needs, or financial triggers pushing them to act.
What This Means for Buyers
This may be one of the best windows we’ve seen in months.
✔ Less competition
Holiday distractions always reduce buyer count.
✔ More negotiating power
With the MAI trending downward, buyers gain leverage.
✔ Better value opportunities
Softening prices + longer DOM = more favorable terms.
If you're a buyer waiting for the right moment—this may be it.
Looking Ahead to December & Early 2026
Over the next few weeks, we’ll be watching closely:
- Will the MAI continue to soften?
- Will sellers adjust pricing more aggressively?
- Will inventory hold steady or rise as “pre-spring” listings begin?
- How will interest rates affect buyer momentum heading into Q1 2026?
Stillwater remains one of the most desirable markets in the Twin Cities region, but the current shift offers real advantages for both sides—depending on strategy.
If you’d like a personalized version of this report tailored to your neighborhood or home value, I’d be happy to prepare one.
About Richard
Richard McDonough is a top-producing real estate broker in Stillwater & Wasington County Minnesota reaching into Western Wisconsin, specializing in luxury homes, waterfront properties, and distinctive estates throughout the St. Croix Valley With more than 33 years of experience, Richard has built a reputation for integrity, innovation, and results, making him one of the most trusted and recognized Realtors in the region.
As a fourth-generation Stillwater resident, Richard combines deep local roots with global reach through his affiliation with Lakes Sotheby’s International Realty. His expertise spans the area’s most sought-after communities — from Stillwater and Lake Elmo to Woodbury, Afton, Marine on St. Croix, Mahtomedi, Grant, and Dellwood — along with select Wisconsin river towns such as Hudson and Prescott.
Richard is known for delivering a “Luxury Plus” marketing approach that goes beyond traditional real estate services. Every listing receives a personalized strategy with professional staging, high-end photography, drone video tours, and targeted digital campaigns across Google, YouTube, Facebook, and Instagram. His ability to tell each home’s unique story consistently attracts qualified buyers and maximizes value for sellers.
In addition to his track record of selling some of the St. Croix Valley’s most prestigious properties, Richard is deeply engaged in his community. He serves on local nonprofit boards, volunteers for events like Home Town for the Holidays, and is dedicated to supporting the Stillwater area’s vibrancy.
Clients describe Richard as experienced, resourceful, and innovative — a true advocate who handles every detail of the buying and selling process with professionalism and care. Whether helping first-time buyers, seasoned investors, or high-net-worth individuals, Richard’s mission is to make every real estate experience seamless, rewarding, and successful.
