List my Twin Cities Home in February? Are You Kidding?

For the past decade or so, my clients who have listed their homes in the dead of winter have had the greatest success. I am not kidding about this. Sure, some days are bitter cold and people have to be bundled up, but they DO move. 

FACT: There are many more buyers in the Twin Cities searching for the perfect home, than homes on the market listed for sale.

Even diehard Minnesotans believe no one moves in February. It’s so darn cold everyone is hunkered down inside. But Minnesotans don’t hibernate. We go to work, the gym, restaurants and generally live our lives embracing the cold. Believe it or not, there is currently an over abundance of Minnesotans who want to move THIS winter. And with interest rates edging up, there are many home buyers who don't plan to wait until spring to purchase a first home or move up to a bigger home, better school district or closer to their new job.

Winter after winter, I try to convince sellers to believe how low the housing inventory is in February compared to the amount of active home buyers. It is really difficult to overcome that ingrained belief to wait until that “hot spring market” when the weather is warm and grass is green. Sellers assume they will get a better price in May or June. However, it is just the opposite. If a homeowner can get their house listed BEFORE spring, they are more likely to get top dollar and generate multiple offers.

I recommend to my clients to try to get listed before the Parade of Homes starts in early March. My reasoning? It comes down to basic supply and demand. There is a demand for affordable starter homes right now and very little housing supply in February and March. Not every buyer can afford new construction but the Parade advertising really motivates people to move. Home sellers that get your home listed soon, might be hanging the sold sign sooner than expected (and for a good price too!)  

Need tips to get your Minneapolis/St Paul home SOLD? Email me for Teri's Top 10 Tips to a Quick Sale

Thinking of selling in 2017? Let me be your professional REALTOR®, give me, Teri Eckholm of BOARDMAN Realty, a call or visit my website for a FREE Home Buyer Success Guide or FREE Home Value Report. I specialize in acreage and lakeshore properties in the north and east Twin Cities metro area including Ham Lake, Lino Lakes and all communities in the Forest Lake School District! Serving Anoka, Chisago, Ramsey and Washington Counties in Minnesota. 

Copyright 2017 terieckholm.com

It's a Crazy Market for First Time Buyers!

I haven't written a blog post since March. It's not that I have been slacking off or there is nothing to write about in the Minneapolis/St Paul real estate market. On the contrary, I have been just too darn busy writing offers for buyers. (And fielding them for my sellers). It is not a market where you write one offer per buyer when they find their perfect dream home. Oh no, I am talking multiple offers for the same buyers on dream home after dream home until they get an offer that is accepted.

First time home buyers are having the most difficult time with this market. They don't have time to think or process whether or not the house is a good investment. They have to make a decision and write up an offer immediately. And not just any reasonable starting offer, it has to be a good offer because 9 times out of 10, there will be multiple offers.

Advice for Home Buyers

1. Work with an EXPERIENCED Realtor. My 15+ years of experience means something. I know how to negotiate and write a good offer that will increase your chances of getting it accepted. There are tricks to this trade and an experienced agent will coach buyers to write the best offer for the situation.


2. Be Preapproved. Your offer will not be taken seriously if it doesn't have a pre-approval letter (or proof of funds when paying cash).

Advice for Sellers

If you are selling in this market, it might cross your mind that you do not need an agent. Statistics show that homes sell faster and for more money if it is listed on with an agent. There are numerous hiccups in a home sale that can arise in a frantic market like we are seeing in the Twin Cities metro. Not only is it difficult to assess multiple purchase agreements should there be more than one offer. Buyers rush writing offers to get in first. This often leads to buyer' remorse before the sale closes. There is additional negotiation that happens after the inspection. With a good agent by your side, a seller can focus on packing rather than dealing with the details of the closing process.

READY TO MAKE YOUR MOVE? Let me be your professional guide. If you are buying, selling or relocating to Minnesota and need help from a professional REALTOR®, give me, Teri Eckholm of Boardman Realty, a call or visit my website for a FREE Home Buyer Success Guide or FREE Home Value Report. I specialize in acreage and lakeshore properties in the north and east Twin Cities metro area including Ham Lake, Lino Lakes and all communities in the Forest Lake School District. Serving Anoka, Chisago, Ramsey and Washington Counties in Minnesota.
 
Copyright 2016 terieckholm.com

Snapshot of Home Sales Statistics in White Bear Lake, MN Year End 2015

The housing market in White Bear Lake, Minnesota remained strong but was a  bit flat overall from 2014 to 2015. This northeast suburb of the Minneapolis/St. Paul metro area had almost the exact same numbers of new homes listed on the market in year over year in 2015. There was a sizable increase in closed sales up by a dramatic 15%. Interestingly, this was on par with 2013 numbers so the lack of inventory in 2014 might have contributed to lower sales. The real estate demand is remains high and the market strong. The average price of a home rose by  3.5% in White Bear Lake going from $208,914 in 2014 to $216,127 in 2015. This raised the average price per square foot accordingly; going from $118/sq ft to $121/sq ft. The average days-on-the-market statistic was slightly higher in 2015. It took an average 71 days to sell this past year but this is still down significantly from the average 88 DOM in 2013. Sellers remain in a strong negotiating position and offers are being accepted very close to the listed price. Last year sellers in the White Bear Lake area received an average of 97.1% of asking price.

As we start 2016, housing inventory levels are very low for homes in the White Bear Lake area which has created more of a seller’s market, giving the negotiating advantage to a home seller. With continued low interest rates, home buyers seeking their dream homes started very early this year. Home owners considering selling in 2016 and wanting to take advantage of the improved market do not need to wait for the spring market to start. It is here! With home inventory is low, the negotiating edge goes to the seller but as more homes list, this opportunity could be reduced considerably.

What is my White Bear Lake Home Worth?

READY TO MAKE A MOVE? Let me be your professional guide. If you are buying, selling or relocating to Minnesota and need help from a professional REALTOR®, give me, Teri Eckholm of Boardman Realty, a call or visit my website for a FREE Home Buyer Success Guide or FREE Home Value Report. I specialize in acreage and lakeshore properties in the north and east Twin Cities metro area including Ham Lake, Lino Lakes and all communities in the Forest Lake School District. Serving Anoka, Chisago, Ramsey and Washington Counties in Minnesota.
 
Copyright 2016 terieckholm.com

What is a Low Ball Offer in a Hot Real Estate Market?

In a hot real estate market, what initial offer can insulting to a home seller? 10% less than asking? 5% less? A full priced offer with 3% of buyer's closing costs paid by the seller?

When housing inventory is as tight as it is currently in many north and east Minneapolis/St. Paul metro communities, what is considered a "lowball offer" might be less than you think.
 
As a REALTOR®, I have seen my share of sellers who were insulted by a buyer’s offer over the years. There are times when anything less than a full priced offer is insulting. But should a buyer be afraid to request a few thousand toward closing costs with a fear that the seller will balk and accept the next offer in line?
 
A lot depends on the price and location within the Twin Cities. In some neighborhoods, it could be insulting to offer less than full price especially if it is a home priced under $200,000. There are an abundance of first time buyers out there looking for affordable, move-in ready homes. There are so many buyers out there that a well prepared and priced property can get an offer (or 2, 3 or more) in a matter of hours and be in pending in a matter of days. There are many neighborhoods and communities throughout Anoka, Washington, Ramsey and Chisago Counties with a very small number of homes for sale. Well priced homes do not stay on the market long.  It can be tough being a home buyer with a limited budget in  this changed market.

In fact some situations buyers will feel frustrated and that they might never get a home. The get advice from friends and relatives to never pay full price. Sellers always negotiate. But in reality, many sellers will not negotiate significantly. And a perceived offensive or  "lowball" offer could put the buyers’ dream home purchase in jeopardy.

How to Coming up with an Acceptable Starting Point:

• Request that your REALTOR® to do a market analysis. When representing a buyer, I will look up the recent comparable homes sold in the neighborhood before the "what to offer" discussion begins. In this low inventory market, a seller that lists at market value but could still be in a multiple offer situation due to demand. If the home is properly priced and in high-demand area, anything that is not close to full price could mean that the seller will wait for another offer. By looking at the neighborhood comparables, my buyers better understand what offer will be considered reasonable.


• Consider the original list price. If a seller started off too high and adjusted the price of the home it could be priced right now. If a market analysis shows the current price of the home is fair, offering 5-10% less could be considered insulting. When a buyer has found "THE: house and fallen in love with it, it might make sense to make an offer closer to the asking price rather than haggle and risk losing it.


• The Overpriced Home. If the market analysis shows the home to be significantly overpriced and the offer will be more than 10% less than current the current asking price, it may be helpful to provide the comparables to the seller and his/her agent. Sometimes when the offer is accompanied by documentation to back up the offer, the seller is less offended.But be careful not to overlook good comps to justify your offer. This strategy can be worse that not providing documentation at all.


• Buyer’s Plans to Remodel and Update. Some buyers think sending a long list of planned updates complete with associated estimates is a good strategy to negotiate for a price reduction. Often these lists include changes that reflect cosmetic and personal taste. Most sellers are not impressed when a buyer’s offer indicates that they are offering tens of thousands less due to paint, carpet and other cosmetic changes. If the updates are necessary due to age or wear, make note of the fact. But slamming a well maintained and updated home to justify a low offer is insulting and make continued negotiations difficult if not impossible.


• Avoid Considering Price Paid for Home. I have come across a few buyers who research tax records to determine the price the seller paid for the property. They assume if someone purchased a home at a very low price, they have a ton of equity. This can be true but not always. Some sellers have taken the equity out of their home for improvements or for other reasons. And well sellers do have equity, they usually don't intend to give it away either. Keep the negotiations focused on the fair market value of the home.

Right now, sellers are in excitedly anticipating a non-contingent, pre-approved home buyer to write an offer on their home. In most cases, they understand the market and have worked hard to prepare their properties to entice a written purchase agreement (or several). But buyers must think through their offers; the perfect starting point for negotiations must contemplated thoroughly. Discussions can go south very quickly between buyer and seller when the initial offer is deemed rude.

Need help coming up with that perfect starting point for your home offer? Let me be your professional guide. If you are buying, selling or relocating to Minnesota and need help from a professional REALTOR®, give me, Teri Eckholm of Boardman Realty, a call or visit my website for a FREE Home Buyer Success Guide or FREE Home Value Report. I specialize in acreage and lakeshore properties in the north and east Twin Cities metro area including Ham Lake, Lino Lakes and all communities in the Forest Lake School District. Serving Anoka, Chisago, Ramsey and Washington Counties in Minnesota.

Copyright 2015 www.terieckholm.com 

Checklist to Get Your Home Ready to Sell in 30 Days

Home buyers are poised and ready to purchase in the Twin Cities but there is very little housing inventory right now. I am really surprised at how few listings I am seeing in the north and east metro right now. It is spring after all. And, spring is one of the best time to sell a home in Minnesota. 

Home buyers are ready, but are you? Preparing a home for sale is not an easy task but it can be done quickly if necessary. If the perfect place to move comes on the market next week, would you be ready to have your home on the market in 30 days?

I have several tips I share with my selling clients when I do a market analysis for a home. Many of my past clients refer to this as their check list of things to do to get your home in tip top shape before selling.  All are simple tasks and inexpensive ways to get your home ready so that first potential buyer is impressed. Following this list won’t take the place of hiring a professional home stager, but it does seem to get my seller’s on the right track to a quick sale.

Teri’s Tips for a Quick Home Sale

1. Pump Up the Curb Appeal—Jazz up the front entrance with a coat of paint and new hardware on the front door.  Remove any personalized signs or doorknockers. Trim trees, bushes and keep the walkway to the front door clear.  Once the weather is warm, invest in bright, colorful flowering plants to welcome visitors. 
2.  Prep the Kitchen—The Kitchen can sell the home so make it appear as large and inviting as possible!  Clean off counter and organize cabinets and drawers.  Store, pack or discard seldom used appliances and large pans. Large kitchen appliances should be in a matching color. Consider replacing the counter if worn or outdated. Replace dated faucets and light fixtures. 
3.  Update the Bathrooms—Bathrooms also can make or break a sale. Sometimes cleaning, painting and re-caulking is not enough to help a dingy bathroom.   Consider replacing a dated vanity, counter and sink. Look closely at the faucets and light fixtures. If they are dated, consider replacing.  A nasty discolored tub, might need resurfacing professionally or use a DIY product like Rustoleum. Likewise, the flooring needs to be scrutinized. If it is out of date or worn, replace. As a final touch, stage the room with colorful floor mats and fluffy coordinated towels to make cozy.
4.  Reduce Clutter—Sort out EVERYTHING! Throw away what you don’t need and pack the rest. Too much stuff? Consider an off-site storage locker or pod during the move. Donate unwanted items to charity. If you have big “toys” like a camper, boat or classic car, consider storing at another location until after the move. 
5.  Clean Inside and Out!—Your home needs to be spotless and smell wonderful. This goes for the garage and yard too. Don’t just dump everything from the house into the garage. A buyer will want to assess the size of the garage and won’t be able to do that if it is too cluttered. If you have pets, the yard, litter box and cages, must be clean and odor-free for every showing. 
6.  Paint—Light and neutral colors will make smaller rooms appear larger. Personalized painting of children’s names or cute designs should be painted over prior to the first showing.  Remove any wall paper. Almost every buyer I have worked with groans when they see wall paper in a house. Use premium quality paint, patch holes properly and tape woodwork prior to starting. A sloppy paint job is counterproductive and can hurt your bottom-line. 
7.  Make Minor Repairs—Tighten knobs, fix leaks, oil squeaks, replace dirty filters, repair cracked windows and holes in screens. Anything that can be fixed, should be fixed. Buyers will not pay top dollar for a “project house”. 
8.  Fix a Leaking Roof—Buyers look at ceilings for water stains. One small stain could cause a buyer to question the entire roof. Find and fix the leak at its source. This might be the time to call in a professional.  Make sure to have a permit for the work whether DIY or professional roofer. Repair any ceiling damage and be prepared to fully disclose the work done. 
9.  Explain a Wet Basement—Do what you can to make repairs and minimize moisture in the basement. Be prepared to fully disclosure any water intrusion issues past and present. 
10.  Exterminate—Call a professional to get rid of any rodent or insect intrusion. One bug, alive or dead, can scare away a potential buyer. If you get periodic mice in the home, remove traps and bait before showings. Again, honestly and fully disclose any pest issues to potential buyers before the sale.

Need more help to sell your Minneapolis/St Paul Home? Let me be your professional guide. If you are buying, selling or relocating to Minnesota and need help from a professional REALTOR®, give me, Teri Eckholm of Boardman Realty, a call or visit my website for a FREE Home Buyer Success Guide or FREE Home Value Report. I specialize in acreage and lakeshore properties in the north and east Twin Cities metro area including Ham Lake, Lino Lakes and all communities in the Forest Lake School District. Serving Anoka, Chisago, Ramsey and Washington Counties in Minnesota.

Copyright 2015 www.terieckholm.com 

Time to make a move to a bigger home?

Time to make a move to a bigger home? Call Teri at 651-336-7073 for FREE Market Analysis!

If your home is a bit too crowded maybe it's time to make a move. Interest rates are still at record lows and starter homes are selling quickly in the Minneapolis/St Paul north and east metro! Your perfect little starter home could sell for top dollar due to the record low inventories on homes for sale in the Twin Cities. It's the perfect situation for a move up buyer. 

Copyright 2013 www.terieckholm.com