Look Past the Pretty Package
At times when a buyer looks at a beautifully staged home that fits their criteria, emotions rule. Fall in love with a particular house, and almost immediately, the heart works against our own best interest by suppressing our better judgment. You know what I mean, that little voice inside your head saying, “but what about those battered floors?”
Consider the facts first.
The more you know about a home before making an offer the better. The condition of the home should be a major consideration. Hopefully, unless expensive, unforeseen repairs are part of your plan, you are going to have a professional home inspection as a contingency in the offer. But, before you even make that offer, you can do your preliminary evaluation of the condition of the home yourself.
Don’t set the stage today for financial regrets later.
Now there is no way I am saying that refinishing floors, painting or other minor repairs should be dealbreakers. But if there are too many items that fall on the fix list, added all together they may prove to be a tipping point on the no-sale side or affect the dollar amount of your offer. Even when a home checks off all the needs boxes and many of the nice-to-haves as well, costly repairs can quickly lead to regret.
Look before you leap....
Twin Cities Housing Market Overview
As we look at June and the end of the second quarter, we observe a continuing trend of a more equitable and viable real estate market emerging. We also continue to enjoy strong housing market performance in part due to low unemployment, strong retail sales and the longest US economic expansion in history.
Overall, the dynamics of the market have not changed noticeably this year. Although new listings fell by 3.1 percent when compared to last June, the median sale price increased by 7.2 percent while days on the market flat-lined at 40. We are slowly approaching balance in the price range of $350K to $500K, but certainly not there yet. When we go above that range, we do reach a balance between buyer and seller. The highest price range is a buyer's market. Meanwhile, back in lower price land, inventory is scarce. I know, I know. You have been hearing this story for a long time now.
The High’s and Low’s of the Market
Looking at June of this year compared to 2018, new listings are down 3.1 percent. That decrease also brought pending sales down 2.9 percent and inventory levels down 1.3 percent. Meanwhile, the Median sales price increased by 7.2 percent, which is causing sellers to smile. Closed sales decreased 8.2 percent as did a percentage of list price received slightly by 0.3 percent....
Buying a Home in Today's Market is a Challenge
You are rooted in the trenches in your quest for home ownership. The last property you toured had the kitchen of your dreams, but it is too close to the highway. The retirement condo you saw on the internet has everything on your wish list, but the building doesn’t have an elevator.
A warning to buyers, especially first-timers, in this market, finding everything you want is rare when there are not many homes to choose from, and properties rarely last a week without an accepted offer. Although you agree that compromise is a given, it’s wise to remember that some factors cannot be changed if you discover the deal you made is not working. You don’t get an opportunity to test drive a home.
In a recent survey by Trulia, 51 percent of homeowners have regrets about some aspect of their home. It is a given with the lack of inventory and the stiff competition for homes, circumstances may call for more compromise than you may want from your sacred wish list. There is nothing wrong with being adaptable. However, there are certain things you should never concede if you're going to be among the 49% without buyer’s remorse. ...
Minneapolis-St. Paul Housing Market Overview
As we look at the middle month of the spring housing market, we observe a trend towards a more balanced and sustainable real estate landscape. With the fed holding steady on interest rates and even suggesting it may lower them, the concerns over rising costs of mortgages are behind us.
The economy, although not growing as rapidly as in previous years, is holding steading and stocks are performing well. All these factors create an atmosphere of consumer confidence in the economy. The real estate market responds well to these conditions.
Although the inventory of homes is rising in the higher pricing tiers, in the lower first-time buyer levels supply remains constrained. The current situation is great for sellers, but for buyers, it is still no bed of roses trying to break into the market and buy a home. It’s not surprising that we see fewer sales at this end of the market.
The Market Ups and Downs
Comparing May of last year to the current year, new listings are up 2.4 percent. We’ll take it! The Median sales price gained 5.2 percent. While closed sales ticked up 3 percent, pending sales sunk 1.8 percent. Homes spent less time on the market, down 4.3 percent. We also see a decline of 0.2 in the percentage of sale price received, although it is still sitting at 100 percent, which gives sellers little reason to complain.
Curb Appeal Works Magic on Buyers
If your curb appeal is missing that certain something that takes it from so-so to wow, I dedicate this post to you. If you are selling your home, you should already know how critical making that positive first impression is to potential buyers. You want to hit them with your best before they walk in the front door.
Even if you are not selling your home, boosting your curb appeal adds value to your property. You will also win the admiration of your neighbors and become the most popular house on the block. After you finish my list of suggestions, it will amaze you that such a small investment of money, time, and creativity will result in such a noticeable uptick of curb appeal.
Here are my best, inexpensive tips for upping your curb appeal game. So put on your sunscreen and let’s get outside!
1. Up Your Front Door Mojo
True story. Several years ago, I was having difficulty selling my home in Rhode Island. It was a newer home, a colonial replica in an association of like homes. Great location and landscaping but not getting the attention from buyers my agent and I anticipated.
I decided to paint the two yellow front doors, turquoise over the objections of my realtor, who was reminding me that my choice wasn’t a traditional colonial era color. A few days later, we had several showings and an offer. I’m...
Minneapolis-St. Paul Big Picture
The Spring Housing Market is in play. Prices are on the rise as inventory levels continue to decline. Hopeful buyers in the lower price range are jumping on desirable properties hoping their offers rise to the top of the heap.
Months supply of inventory is improving in the mid-price housing range. We see steady sales activity in the higher price ranges while in the lower tiers buyers are still finding that landing a deal on a home to be a challenge especially for desirable homes in sought after locations.
What’s Up and What’s Down
Compare new listings to April of last year; we see an increase across the 16 county Twin Cities region of 4.5%. Closed sales were down 6.9% while the median sale price rose 5.2%. Pending sales were also down 1.1% and inventory levels 1.2% lower.
April weather was wintery at times, which discouraged buyer traffic and slowed sales. This trend was seen across Minneapolis as well as other parts of the nation. Higher prices, less affordability, and low inventory combined forces to dampen sales.
Let’s Dig a Little Deeper into the Housing Stats
375 Ferndale Road N, Orono MN
5 BEDROOMS, 3 BATHS, OFFERED at $584,900
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If you are in search of an outstanding family home in the western suburbs, you may fall in love with our newest listing in Orono. This 2,783 square foot walkout rambler is spacious and stylish and offers charm, comfort, and modern functionality.
The current owners meticulously and lovingly maintain this beautiful home. The updates and improvements they made will impress you. Since we feel pictures tell the story of a home best, let’s begin our mini-tour and point out some of the features that we love about this home.
The Ups and Downs of the 2018 Housing Market
The 2018 housing market has sure been a wild ride. The year began with rapidly rising home prices and low mortgage interest rates. Bidding wars were the norm for highly desirable homes. It was not unusual for sellers to find a buyer in the first few days after putting their house up for sale, generally at full asking price or even above. Sellers were riding high while buyers struggled to close a deal on a home.
But in the last few months of the year, we begin to see a shift in the market. Prices are finally stabilizing or increasing at a slower pace. Interest rates reach 5.2 percent, an 8-year high. Though now rates have fallen back to 4.59 as a benchmark for a 30-year fixed rate mortgage. The market still favors sellers but to a lesser degree.
2017 compared to 2018
- new listings down -0.3%
- pending sales down -3.6%
- closed sales down -3.4%
- overall median...
Minneapolis-St Paul Housing Overview
As we approach years’ end, we see some subtle changes in the Twin Cities Metro housing market. The increase in inventory of homes for sale was10.5 percent over last month giving home buyers something to rejoice. This inventory boost by is by no means enough to bring the market into balance but does bring us closer. For consumers who have been trying to buy a home for several months, it was welcome news.
What’s Up and What’s Down
As we compare November of this year to November 2017, we find new listings up 12.6 percent, closed sales down 0.9 percent, the percentage of list price received down 0.1, and the median sale price of $265,150 up 8.2 percent. Meanwhile, pending sales were down 5.2 percent, inventory levels rose 2.3 percent with months supply up 10.5 percent. Days on the market fell 7.1 percent.
So while inventory is increasing and sales are decreasing, we are seeing more price reductions and fewer deals closing for full price offers. Although housing prices are still higher than last year, they appear to be slowing down. Properties for sale are still spending less time on the market than last year, an indication that demand is still robust, and buyers are scooping...
Best End of Year Advice for Real Estate Agents
In just a couple of weeks, the New Year will be upon us. It was a fast twelve months, wasn’t it? It feels like I was talking to you about fall home maintenance only a couple of weeks ago when it was actually in early October. Many trees were still stubbornly holding on to a few leaves, there was no snow on the ground, and we had not even had a hard frost. Now here we are decking the halls and talking about closing out the year and getting ready for 2019.
Admittedly I approach the new year with excitement and optimism tinged with a dash of trepidation and uncertainty. The new year is, after all, filled with mystery! What new clients will I meet? Which buyers and sellers will I reconnect with in the coming year? What changes in the market will surprise me? Which of my predictions will be proven correct? Am I ready for what lies ahead and if not what do I need to do so I don’t fall short of my expectations?
As the days and weeks of the next year unfold, I plan to be ready. One of the ways I prepare is by starting the year without the clutter of the last twelve months. It starts now. Here are some tasks we can take care of before January is on the doorstep because ready or not, soon 2019 will be knocking on the front door!
The Minneapolis-St Paul Housing Market Overview
As we look at the Twin Cities Housing Market Statistics for the first month of the final quarter of 2018 the one thing that hasn’t changed for months is the shortage of properties for sale in the lower end of the market. With so few homes that fit their budget, coupled with rising home prices and interest rates, would-be buyers continue to struggle with fulfilling their dream of ownership. Homes at this price range are still selling quickly, but we are finally starting to see that shift we have been talking about, in market conditions overall as we look at narrowing gaps in year over year data for sales, inventory, and price.
What’s Up Doc?
As we compare October of this year to October 2017, we find new listings up 9.2 percent, closed sales rose 3.4 percent, the percentage of list price received up 0.2, and the median sale price of $265,000 up 8.6 percent. Meanwhile, pending sales were down 1.7 percent, inventory levels dropped 2.2 percent, days on the market fell 7.7 percent. In summary, in the Twin Cities 16 county metro at least, we are still experiencing fewer homes on the market taking less time to sell with prices even on an upward trajectory.
What About the Economy?
Our local economy remains strong. The ...
The Minneapolis-St Paul Housing Market
Some say there are indications in the September housing stats that the market might be starting a shift towards balance. New listings increased 5.9 percent compared to September of last year. However, when we look at months supply of inventory that was down 3.4 percent. So what does this mean?
Let’s keep in mind that although we see balance in the market pricing tier for $500,000 and above, inventory levels in all other price segments are not even close to approaching balance which is a five to six month level of homes for sale. If you are one of those hoping to break into the housing market, your choices are limited with desirable properties selling like lightning going through butter.
Probing into the data, we see that median sales prices are still higher than last year by 6.5 percent when we look at month to month and 7.7 percent over last year when we compare the year over year data. Closed sales are down 5.8 percent and pending down 1.8 percent with properties spending 16 percent less time to sell.
Interest rates are bobbing around the 5 percent rate for mortgages which, combined with higher prices of homes may be sidelining some buyers and forcing others to rethink their home buying strategies. These numbers tell me demand...
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Lake Minnetonka 2.22 acre estate featuring 250 feet of shoreline
6 Bedrooms and 9 Baths, 9075 Square Feet
Proudly offered at $5,750,000
A Majestic Presence on Lake Minnetonka
Sitting majestically on the shore of Lake Minnetonka in Shorewood is one of the area’s most breath-taking homes. It’s so grand; you might expect to see Prince Harry and Meghan Markle walk into the grand foyer for an evening of cocktails and dinner. It’s a home that would feel comfortable with heads of state, titans of business and industry, and world-renowned celebrities of every genre.
5901 Chowen Ave S
4 Bedrooms, 2 Baths, 2,350 square feet offered at $449,900
Who says you can’t have your cake and eat it too? Tucked away in a lovely neighborhood of Edina we fund a delightful mid-century rambler. This fabulous tastefully updated family home has all the amenities on today’s family wish list.
You cannot beat this location. Edina is one of the most desirable 1st tier suburbs of Minneapolis. The new owners will appreciate the easy access to both Highway 100 and 35 and the Crosstown. Surrounded by parks, lakes, shopping, fun, and food with a 15-minute commute to downtown Minneapolis, what more could you ask for? Great Schools? You have that too. Edina has a nationally recognized school system which has been a magnet for families with kids over the years.
Success-driven Home Selling
Most people have two primary goals when they sell their home. These are to sell quickly at the best price possible. Both are attainable and if your location is TheTwin Cities metro and your home value is under $500,000, the market favors you in a big way.
However, please do not think that you will achieve these goals if you ignore the basic rules of how to prepare to sell your home. If you want multiple offers and you want them in the first few days of listing you need to accept the fact that preparation is necessary. If your home’s list price is in the higher tiers, it becomes even more critical.
Convinced? Fabulous! Here are my ten commandments of home selling. Follow these, and you will present your home at its finest.
Clutter is not aesthetically appealing. It makes your home look messy and lacking in storage space. The goal is to go through every closet, cabinet, drawer and storage space from basement to attic. Don’t forget the garage and any outbuildings as well. Everything you decide you do not need should be for sale, consignment, donation or disposal.
For some, this step is no big deal, and for others, this is the most difficult....
June 2018 Snapshot – Twin Cities Housing
As we close out the second quarter of the year and head into summer nothing much has changed regarding the ups and downs of Minneapolis-Saint Paul housing stats. Anyone who has been following the housing market in the Twin Cities will not be surprised by the June data. Inventory of homes continues to decline, ditto closed sales, pending sales, and days on the market. What’s up? The median sale price continues to rise. The constraint on sales is a reflection of low supply alone while demand remains strong.
We are halfway into the year with a strong economy and a real estate market that is responding accordingly. Consumers continue to have confidence and a positive outlook for the future. With unemployment at all-time lows and wages rising, home buyers have a reason to be optimistic. Even with interest rates inching upward, demand for homes remains steady.
On the supply side, builders are shifting resources from rental units to single family new construction. Sellers are also considering this may be the best year to make their move and listings are expected to increase accordingly. Things are looking rosy, and we give a thumbs up...
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Tips to Control Stress When Selling Your Home
When you sell a home, the experience has the inherent potential to be stressful. Not only is the rhythm of your daily life at the mercy of showings, but your home has to look tip-top for potential buyers. Your privacy is held hostage to strangers opening closets and drawers as they snoop into your nooks and crannies. Yikes! That is enough to get the calmest nerves twitching.
There are many moving parts to the sale of a house. There are many individuals involved in that sale. Any of these or a combination of several can become the stress source for the homeowner. These are factors the seller has no control over, zip, zero, none! However, there are many aspects of the home-selling process where the property owner can have power over the outcome. Making better decisions at the beginning of the process increases the likelihood of having a superior selling experience.
Since I have sat in the seller seat myself on a few occasions, I have gathered some morsels of wisdom on the subject. Since I love to share, as one seller to another, here are my best tips for a successful home sale.
Hire A Great Real Estate Agent
There are a few different ways people go about finding a real estate agent...
So You Want To Buy a Home
Taking the step from renting to homeownership is a life-altering event. Many people consider it the litmus test for adulthood. It is both thrilling and scary at the same time. It should be because not only is owning a home in itself a significant responsibility but it is the most significant purchase the majority of people will make in their lifetime. Owning a home is also a source of pride, of achievement, and for millions, still an essential component of the American Dream.
If owning a home is on your bucket list, perhaps you are waiting for the right time. The question is, how will you know when that is? There is no stock answer. There are many factors to consider, both pro and con on the subject of buying a home. For many first time home buyers, money is an obstacle. But that isn’t always the case. Nor should the considerations of when to purchase a house be strictly limited to the financial ability to do so.
There are outstanding advantages that come along with owning a home and there are detriments as well. Let’s take a look at how the pros and the cons balance each other. When we evaluate both and can get to the intersection where rewards offset risks, we will have a clearer picture of how we can proceed.
The Twin Cities Housing April 2018 Snapshot
I’m not going to lie to you; housing inventory is at a new all-time low. However, we do have a reason for optimism as new listing numbers are improving. Let’s also keep in mind that the early part of April felt more like January this year, with significant snowfall and low temperatures which may have held some potential sellers in winter hibernation mode. Still, sellers and builders are seeing a continued strong economy and are encouraged by a market poised to bestow significant financial gains.
For buyers, this market is still certainly challenging. Home values continue to rise while days on the market are fewer. The median sale price for April was $266,000 up 8.6 percent and days on the market fell 10.2 percent compared to April of last year which drives home the fact that buyers do not have the luxury of dawdling when it comes to offers. Additionally, buyers now have rising interest rates to contend with as well.
Twin Cities Economy and Housing Market is Strong
Sell Your Home When The Time Is Right For You
It’s no surprise that many people advocate that the best time to sell a home is in the Spring. Part of the reason this theory has evolved is that families want to be established in their new homes by the beginning of the school year in September. While this does make sense for families with children, when it comes to when to put your home on the market there are no one-size fits all scenarios.
Even though Spring may be considered prime time for home sales by many in the industry, there is no perfect time for everyone. Every situation is different, and when you are personally ready to sell, that becomes the best season for you. However, there is one piece of home-selling wisdom that is always true no matter what time of year you sell.
Can you guess that one sliver of home-selling wisdom? It’s the preparation of your home to look its best in winter, spring, summer or fall. Making an outstanding first impression on buyers will determine how quickly you sell and how high a price you obtain. A home that is move-in ready will face a cleaner offer with fewer if any contingencies. Even in this strong seller’s market, we find ourselves in right now, the condition and appearance of your home do matter.
It makes the most sense to take the time to get your home in tip-top shape for the fussiest of fussy buyers. If you think your house is nearly market ready and only...