Thursday, May 5, 2022 / by Brittany Aspenson
A few markets where buyers will face less competition for homes.
Many buyers are either uncomfortable or unable to compete in the many multiple-offer situations throughout our Twin Cities market. Today I wanted to talk about some of the less-competitive markets where you may have more time to make a decision and less pressure to offer so much over asking price.
The first market to look at is the downtown condo market of Minneapolis and St. Paul. Minneapolis has 3.5 months of inventory, and St. Paul has 2.5 months, which is quite a bit more than most markets. The suburbs of these areas are more competitive, with just 0.9 months of inventory. Given that there’s more supply to choose from, you’ll have more time to consider your decision and make the best choice.
The prices in this market are good, too. The list-to-sales price ratio in Minneapolis is 99%, St. Paul’s is 100%, and it’s 102% in the outer suburbs. That means you won’t have to bid as ...
Monday, April 18, 2022 / by Brittany Aspenson
Three things to consider when deciding whether to buy or rent.
Today I am pleased to be joined by a great realtor from my team, Gary Raeker. We’re addressing the question, “When does it make sense to buy?” Right now, a lot of people seem stuck; home prices are increasing, but so is rent. Today we will discuss three factors to consider before buying a property:
1. Your finances. For most people, buying a home is the largest purchase they’ll make in their lifetimes. It’s a big cost upfront, but once you buy, you can build equity, increase your net worth, take advantage of tax breaks, and more. Plus, you’ll have a defined monthly payment that won’t rise with the cost of living as rent does.
“Real estate transactions are always emotional.”
2. Market conditions. Depending on interest rates and home prices, your monthly mortgage could increase or decrease. Interest rates may be going up, but they are still historically low. If y ...
Monday, April 11, 2022 / by Brittany Aspenson
Gary Raeker joined me to discuss how he’s helping buyers win in this market.
One of our team’s top agents, Gary Raeker, specializes in helping our home-buying clients. He joined me recently to share the top five things that buyers are doing in this market to ensure their offers get accepted.
Feel free to watch the full video, or use these timestamps to browse specific topics at your leisure:
0:00 — Introducing today’s topic
1:10 — No. 1: Price
1:35 — No. 2: Inspection contingency
2:09 — No. 3: Closing date
3:02 — No. 4: A strong pre-approval letter
4:31 — No. 5: Purchase agreement presentation
5:33 — Final thoughts
Thanks so much to Gary for joining me to explore each of these factors in detail. Each homebuyer and situation is different, but these are five helpful strategies that buyers are using to make their offers stand out.
If you have. ...
Friday, April 1, 2022 / by Brittany Aspenson
Here’s why we likely aren’t heading for a crash anytime soon.
Our market has been hot for a long time, causing many people to wonder if another market crash is just around the corner. Fortunately, our market is nothing like it was back in 2008, and today I want to talk about why.
The first reason why our market isn’t like 2008 is that housing remains affordable. Three key factors determine affordability in a market: interest rates, wages, and home values. When we compare the two markets, our home values are high, just like in 2008. However, interest rates are lower than in 2008, and wages have increased over the last few years. Because of this, houses are still relatively affordable even though values keep increasing.
"We’re currently in a great lending environment."
Another difference between this market and 2008 is our mortgage standards. Lenders tightened their standards after the crash, and things haven’t changed since th ...
Tuesday, March 8, 2022 / by Brittany Aspenson
Four ways that you can strengthen your offer and win the bid.
Inventory continues to shrink, so when a buyer finds the right home, they should do everything they can to get it. In this seller's market, we often get asked about how buyers can get their offer accepted. Here are four things that will strengthen your offer:
1. Get a pre-approval letter from a reputable local loan officer. Sellers want to be confident that the buyer’s financing will come through at closing.
2. Consider properties below your budget. This will allow you to compete in a multiple offer situation by going over asking price.
3. Consider fixer-uppers and homes lingering on the market. There will likely be less competition for these homes, which could give you more flexibility to negotiate.
4. Work with a strong real estate agent. The agent should have enough knowledge and experience to navigate this challenging market. They should be able to provide you with the data and tools necessary to make a co ...