On a beautiful Minnesota Saturday, several years from now, two people will be standing on a deck.  Maybe it's in Maple Grove, or Plymouth, or Champlin or Brooklyn Park.  One person comments on how nice the others home is and the other leans in and just above a whisper tells their friend what they paid for it.  Their face shows a twinge of guilt mixed in with their very visible pride in deal-making.

The deals that are out there right now on builder spec homes, lots, and foreclosed properties are a once in twenty years opportunity.  I have shown a bunch of them and noticed two things.  First, the quality is amazing.  True there is some absolute junk.  But I have seen some move in ready homes at prices 25% below appraised tax value.  Second, they are going to disappear.  Now I do not want to be one of those people who tries to create a false sense of urgency.  Let me ask you this though, do you really think there are any builders currently building houses they intend to sell for $100,000.00 below their cost?

So, if you are comfortable on the sidelines, by all means stay there.  But if you find yourself on a deck somewhere a couple years from now and you're kicking yourself because your buddy can't get that smug look off of his face, don't be mad at me.  I told you.

Thanks for reading and remember; for help with Hennepin County Real Estate, Maple Grove Real Estate or any Minnesota Real Estate, call Coach Boom

Tim Ross * Re/Max Associates Plus * 612-598-9295

Active Rainers, I need some help and I know you are the group to ask.  I have a situation I have not seen before that seems unfair at the least an unethical at the worst.  I would appreciate your response as I have decisions to make.

So here is the deal.  My client goes to a listed builders model.  They tell the agent they are working with me.  They do not like the model but do like a lot in the development.  Here is where it gets interesting.  The lot is not listed on the MLS, the client puts a hold on it, intending to have me work the deal with them.  The agent now informs me that he works for the builder as a consultant and designer, not as an agent, and the house to be built is written up as a building contract on their lot, not a real estate transaction.  He instructs them to purchase the lot from the developer with a clause that his company will build a house on it for them.  As such, the only real estate transaction is on the lot, which is not listed.  Therefore, he informs the buyers that they can have their own representation but they will have to pay for it.  He does not argue that they are working with me but says there is no real estate commission to be paid.  The existence of a buyer rep contract would not change the deal.

I know this is legal but is it kosher?  My real question is this person works out of my office.  Apparently my broker said this was an acceptable way to do business.  Am I wrong to be getting mad? 

I could really use your guidance.

Thanks for reading and remember for help with Hennepin County real estate call Coach Boom.

Tim Ross * 612-598-9295 * tim@rosshometeam.com * www.activerain.com/coachboom

January was a slow month across most of Hennepin County.  Maple Grove, however, showed signs of shrinking choice for buyers.  New listings fell by 8 units versus last January.  Combined with an increase in closed sales over last January of 10 units to 56 total closed may will result in a decrease in inventory.  This is good news for sellers in this high demand area.  This came at a price, however, as average sale price declined by 10% month over month.  Average days on the market until sale increased to 162, 20 days higher than January 2006.  All and all inventory in Maple Grove is shrinking and the competitive homes are selling.  Sellers, price 'em right and be patient.

Thanks for reading and remember for help with Maple Grove homes or any Hennepin County real estate call or e-mail Coach Boom.

Tim Ross * Re/Max Associates Plus * 612-598-9295 * tim@rosshometeam.com

Don't worry it did'nt even hurt.  In fact, it was a terrific shot in the arm.  Those of you wondering about the time you spend on Active Rain and struggling to see how it can benefit you, read on.

I work hard to stay in touch with my clients.  Still things happen.  I showed a nice young couple of first time buyers several houses last summer.  Timing wasn't right and they decided to go to the sidelines for a while. I had a home address and a cell phone number in my data base.  So I diligently sent out my newsletter and hoped they would refer to it when they were ready to re-enter the market.

Well, like I said, things happen.  They moved, changed cell plans so they lost my contact information. They saw some value in the work I had done for them so they went to the trouble of going to the Internet to see if they could find me.  They did a Google search for Tim Ross and bang right to my blog.  How cool is that?  The Internet is working for me.  So take the time to blog, you never know if someone may be looking for you too.  Thanks Ann and Sou for going to the trouble.  I'll make it worth your while.

Thanks for reading and remember for help with Hennepin County real estate or Minnesota real estate call Coach Boom.

Tim Ross * Re/Max Associates Plus * 612-598-9295 * tim@rosshometeam.com* blog: www.activerain.com/coachboom

Maple Grove weathered the storm pretty well all things considered.  Sales were down for the year as predicted, finishing at 882 units,  New listings were also down, 52 units less for the year.  This is one of the early indicators of inventory being moved.  Potential buyers should take note of the declining inventory.  It may be the early stages of the pendulum starting to swing back toward the seller.

Maple Grove real estate did, again, demonstrate it's general strength.  This demonstration came primarily in average sale price.  Average sale price for Maple Grove real estate increased by 6% for the year.  Many areas declined.  Also impressive was the fact that average percentage of list price received at closing stayed above 95%.   That is one of the strongest figures in Hennepin County real estate.

Interest rates stood at 5.5% as of this writing for a 30 year fixed rate loan with no pre-paid interest.

Thanks for reading and remember for help with Maple Grove real estate or any Hennepin County real estate, or Minnesota real estate questions call Coach Boom.

Tim Ross * 612-598-9295 * tim@rosshometeam.com* Blog: www.activerain.com/coachboom

As a coach I have come to know Mo.  Mo is the most impactive player on the field.  When he (or she, could be either) is on your squad everything bounces right.  When working against him (or her, I'm starting to lean toward female) nothing goes the way it should.  Sometimes people wonder why I would call an all out blitz with very little time left in the half.  The answer?  I'm trying to grab Mo.  If I get a big loss or sack, even if no points get scored, I might just get Mo to come over to my side.

Mo, for those of you who did not pick up on my semi-clever metaphor, is momentum.  It's at work all the time.  Either pushing us forward or holding us back.  Working for us or against us, momentum has power, big power.  Some days I notice that I just have no fire, then I get one minor thing accomplished and I'm off to the races, Mo.

I think we can all help ourselves a bit by paying attention to momentum.  Maybe on those days where we are surrounded with negativity and the business is getting the best of us a person should make a move at grabbing Mo.  It could be making one check in call to a luke warm prospect.  It could be letting that other person have that parking place.  A smile in the checkout line, a door held open, or a salad instead of a cheeseburger, Mo loves this stuff.

I recently joined Weight Watchers.  I have a half a person to lose.  Although I am early in the process, I can already tell Mo digs it. 

Thanks for reading!

Call Coach Boom for help with all of your Minnesota real estate and Hennepin county real estate needs.

Tim Ross * Re/Max Associates Plus * Champlin, Minnesota * 612-598-9295 * tim@rosshometeam.com

I am an expert on the Hennepin County real estate market.  I am also an expert on the entire Minnesota real estate market. Why? Because I say so.  An article once said that all I need to do to become a consultant is to say I am a consultant.  I think the same is true when it comes to experts.  I saw one on TV this morning saying she was certain that we were in a recession.  Ya think?  Nice vision.  She cited several undecipherable numbers and had a line graph that was very impressive, it had green and red lines.  Those of us who know people related to the residential construction industry don't need the chart or an MBA to have a clue as to what's happening.

I have learned the secret.  All you have to do is say the same thing for a long enough period of time and sooner or later you're going to be right and bang you're an expert.  There are people who have been calling for a recession for two years that are out there right now saying, "See?... I told you so."

Well you heard it here first.  The real estate market is going to get better.  There is demand.  There is available financing.  And heaven knows there is property for sale.  I am going to say this to as many people as I can find, and as loud as I can.  Sooner or later the market will do what the market does and the pendulum will swing back just as it has every other time any market has corrected.  And I will be right there, saying, "See? I told you so."  Do you think CNN will call?  Probably not.  As soon as things start to look up they will start looking for "experts" predicting the next cyclical downturn.

Thanks for reading and remember, for help with Hennepin County real estate, call Coach Boom

Tim Ross * Re/Max Assoicates Plus * 612-598-9295 * tim@rosshometeam.com

I am an expert on the Hennepin County real estate market.  I am also an expert on the entire Minnesota real estate market. Why? Because I say so.  An article once said that all I need to do to become a consultant is to say I am a consultant.  I think the same is true when it comes to experts.  I saw one on TV this morning saying she was certain that we were in a recession.  Ya think?  Nice vision.  She cited several undecipherable numbers and had a line graph that was very impressive, it had green and red lines.  Those of us who know people related to the residential construction industry don't need the chart or an MBA to have a clue as to what's happening.

I have learned the secret.  All you have to do is say the same thing for a long enough period of time and sooner or later you're going to be right and bang you're an expert.  There are people who have been calling for a recession for two years that are out there right now saying, "See?... I told you so."

Well you heard it here first.  The real estate market is going to get better.  There is demand.  There is available financing.  And heaven knows there is property for sale.  I am going to say this to as many people as I can find, and as loud as I can.  Sooner or later the market will do what the market does and the pendulum will swing back just as it has every other time any market has corrected.  And I will be right there, saying, "See? I told you so."  Do you think CNN will call?  Probably not.  As soon as things start to look up they will start looking for "experts" predicting the next cyclical downturn.

Thanks for reading and remember, for help with Hennepin County real estate, call Coach Boom

Tim Ross * Re/Max Assoicates Plus * 612-598-9295 * tim@rosshometeam.com

Those of you waiting for the Minnesota real estate market to return to the activity levels of 2002 through early 2005 may want to pick another post.  I attended a very informative information session put on by our Countrywide Mortgage regional vice president. I had been beating my brains out trying to figure out how it all got so overheated and why the brakes got hit like Fred Flintstone shoving his feet through the floor. 

My answer, came in two words, Wall Street.  Do yourself a favor and check out how much money exited the dot com sector after the late nineties run and came flying into real estate.  Historic safety and solid returns made real estate the haven of choice for billions of dot com dollars.  Hedge funds and other huge pools of capital were buying mortgage backed securities like never before, often with little regard to what made up the bundles.  Buildings were financed and built by companies who were basically sophisticated flippers. At one point one in four townhouse or condo purchases was made by an entity that was not going to live in it.

Now I tend to be an over-simplifyer, probably because I slept through too many classes in college.  But, what happens to any market when incredibly large amounts of cash get thrown at them?  Prices go up.  Increasing values attract more cash and so it goes until the first sign of trouble.  In our case that trouble was fourteen consecutive increases in interest rates. Then the cash leaves.  That giant sucking sound you heard during the second half of 2007 was Wall Street running away like their hair was on fire.  Those creative loans that disappeared went away because Wall Street quit buying them, period.

So where are we now?  Well maybe this is it.  Maybe this is the market.  The Hennepin county real estate market, where I work, will finish the year down roughly 17% from 2006.  I'll bet twenty to twenty five percent down from the highest point.  What if this is it?  Are you ready?  Will you compete with the highest seventy five percent or will you fade out with the weakest twenty five percent.  The new market is competitive.  The overpriced will not sell. The most competitive seventy five percent will sell. Will you say no to the overpriced?  Will you help your client be among the most competitive seventy five percent?  Will you be afraid of what isn't there or go get your share of what is there.  There is no more free money in real estate.  You want it?  Go get it.  Outwork 'em!  Out perform them.  Attack!  The new market belongs to those who will help their clients compete.  I don't know about anyone else but I love this!  Bring it on!

Thanks for reading and for more information about Minnesota real estate or Hennepin County real estate...

Tim Ross * Re/MAX Assocates Plus * 612-598-9295 *

Subscribe to my blog at www.activerain.com/coachboom

                                     New listings-127 for November 2007 versus 118 for November 2006, 1872 year to date versus 2045 year to date 2006.  Overall decrease of 173 houses listed in Plymouth this year versus last.

Closed sales-59 homes closed in November this year versus 72 in November last year.  Year to date closed sales finished the month at 775 units this year versus 952 in 2006. 

Average sale price increased from $322,475 to $330,090 year over year.  This indicates two things.  First, there is not as much new construction inventory in Plymouth.  Second, it is a stable, healthy area.

Percentage of list price received at closing dropped 1% from 96.1% to 95.1%.  This number, combined with the drop off in closed sales indicates that the properties that are moving are priced correctly.

All of the figures, when compared with the rest of the area, continue to show Plymouth real estate  as desirable.   There are deals to be had here, but the sellers are smart.

For more information on Plymouth real estate, Hennepin County real estate or Minnesota real estate...

Tim Ross * Re/MAX Associates Plus * 612-598-9295 * tim@rosshometeam.com *

Subscribe to my blog at www.activerain.com/coachboom