buyers: FHA Mortgage Insurance Premiums set to Rise - 01/25/13 02:17 AM
As if there isn't enough things going up one more is coming. FHA's Insurance Fund; the fund that is used to payout when FHA loans get foreclosed is estimated to be negative $13.48 billion. This is what is estimated to carry 30 years worth of reserves.
HUD announced changes to FHA to begin sometime in 2013. A few other changes in addition to the monthly premiums and initial FHA insurance premium raising are:
Raising DTI for borrowers with low credit scores. FHA will require borrowers with credit scores below 620 to have a maximum DTI (debt to income ratio) of … (8 comments)

buyers: 7 Spring Maintenance Tips for Your Home - 03/27/12 06:45 AM
Now that the spring is in full force there are a few things you can do to keep your home running well and organized.
 
1.  A/C - Take a hose and spray from the top down on the cooling fins (not just the blade, but the small fins on the side) of the condenser unit outside.  This will remove dirt, grass clippings, and cotton wood seeds from the surface which can dramatically reduce the effectiveness of the unit.  Remember you should not run your unit when the air outside is less than 60 degrees.
 
2. Gutters - Clean out … (3 comments)

buyers: 3 Important Things To Consider When Buying a Home - 07/21/11 02:31 AM
You have probably heard that location, location, location is an important factor when buying a home. It is of course one of the biggest factors in the value of a home. Here are 3 things to consider and the weight they have in the value of a home today and in the the future.
 
1. Location
Location will hold probably 80% of the homes value. It is what city the home is in, how close the home is to shopping, public transportation, recreational activities, and school districts. These are things that virtually will not change. Now you can move a … (1 comments)

buyers: June 2011 Twin Cities Real Estate Market Update - 06/22/11 04:46 PM
The latest Monthly Skinny was released from the Minneapolis Association of Realtors (MAAR). Emily Green, 2011 MAAR Treasure, talks about the trends and implications of last month's numbers (May).
Highlights Include: May 2011 Pending Sales are UP 13.2% from May 2010. May 2011 Inventory is DOWN 11.8% from May 2010. May 2011 Median Sale Price is DOWN 12.6% from May 2010. May 2011 Months of Inventory is UP 11.9% (8.5 Months) from May 2010. A balanced market is 5-6 months of supply http://www.youtube.com/user/MinneapolisREALTORS#p/u/1/VNkvdJ_FWyY The favorable improvements in Pending Sales and Inventory being down may have more to do with the substantial … (0 comments)

buyers: How To Determine the Ages of Updates and Remodels - 06/09/11 01:50 AM
 As a buyer you probably have seen updated bathrooms or windows and wonder when they were done. There are some ways to find out with a little looking. Here are some ways:
 
Windows
- look inside between the double pane glass for a manufacturer's date. There might also be one etched in the glass in a corner of the pane. Lastly lift the window up and look for a sticker underneath or on the sides.

Toilets
- Look underneath the tank lid. There is usually a manufacture date stamped into the ceramic or porcelain
 
Unfinished Walls Exposed
(ie … (2 comments)

buyers: 10 Things to watch when buying foreclosures and shortsales in Minnesota - 11/04/10 08:17 AM
I recently had a friend ask about what to watch for when buying a short sale or foreclosure.  Though these properties can be bought at significant discounts there are some risks as well that can be assumed.  You don't always know the outcome but at least know the possible risks.
Things to look for when buying short sales:
1.  Has there been  a sheriff's sale yet, if so you have 6 months to sell the home before it is foreclosed on.  
2.  If the sheriff's sale was done about 5-6 months ago it is probably not worth writing on.  
… (1 comments)

buyers: Twin Cities Market Update - 10/21/10 09:26 AM
Currently we have seen an increase in activity of buyers in the area.  New listings are down 4.1% from this time last year and active listings are up 11.5%.  The biggest change is Pending sales are down 44.8% from this time last year! 
The days on market for a home to sell went from an average of 129 in September 2009 to 132 days this September.  Another interesting fact is that the percent of sales price received versus list price is down from 93.9% in September 2009 to 90.9% this September.
Months supply of inventory have gone up from 6.6 to … (0 comments)

buyers: FHA 203K Re-hab Loan Repair Guide; Qualifying and Non-Qualifying Repairs - 05/22/10 05:18 PM
Here is a quick guide I received from my loan officer regarding what you can and can not repair when using the FHA 203K rehab loan.  Remember this is just a guide and not an everything list.  Also remember the contractor doing the work needs to be approved by FHA 203K.
 Borrower(s) Shopping Guide to Qualified Repairs Allowed with 3.5% Down
Minimum Down 3.5% of Total Project Cost (Funds can be own or gifted) 
Examples of repairs that would qualify for the program:
Repair/ Replacement of roof, gutters, downspouts with permit
Heating/air conditioning- possible permit
Upgrade/Repair plumbing, and electrical systems with … (1 comments)

buyers: Median Home Sales Price Update for the Twin Cities - 05/16/10 04:43 PM
Tax Credit, economy recovering, or both; numbers are numbers and at least they are positive.  i was recently reading an article in the Pioneer Press posting the latest numbers from the Minneapolis Area Association of Realtors regarding April 2010's median sale prices compared to April 2009 numbers.  The 13 county Twin Cities Metro median home sales price is up 11 percent.  The April 2010's median sales price was $169,800 versus a 2009 sales price of $153,000.
Of course the biggest question is are these prices due solely because of the tax credit or other factors?  It would be naive to think … (0 comments)

buyers: America's Top Public High School Rankings - 01/30/10 01:14 PM
Have you ever wondered where the top public schools are in Minnesota or any other state?  Well there is an easy website that can help you out.  In a recent article I was reading in News Week they have randed the top 1500 U.S. Public High Schools.
In Minnesota there were 28 schools in the top 1500.  The top three for Minnesota were: St Louis Park ranked 107th, Edina ranked 111, and Minneapolis' Southwest was 231.
The complete list for 2009 and other years can be found at http://www.newsweek.com/id/201160
… (2 comments)

buyers: Thoughts on the First Time Home Buyer Tax Credit - 11/06/09 09:19 AM
If you're like me you probably have mixed views on tax credit.  It is estimated that the February first-time home buyer tax credit cost the government roughly $43,000 for every additional home sale it generated!
Here is a few thoughts I have for new tax credit:
Will home prices decrease because existing home owners will just reduce their home price $6500 knowing that they will make it up on the back end?  Will this force existing home owners to compete with foreclosures so that buyers will buy their home and not bank owned? Then forcing bank owned to lower theirs. 
I … (0 comments)

buyers: CASH IS KING! - 08/27/09 02:17 PM
The term "Cash is King" is more true than ever in this market.  Let me explain a recent situation that proves this.
After a bank refused to extend the redemption period on a short sale that they said they would accept at $248K, the home went into foreclosure and 3 months later finally came back on for $215K!!
This was a steal and obviously underpriced.  My buyer put in an offer of $231,500 with 30 day closing, no closing costs, and 20% down conventional.  I thought, this is a pretty good, strong offer.  There were multiple offers as anticipated.
About a week … (1 comments)

buyers: Home Ownership Versus Renting - 06/19/09 02:43 PM
Very Simple and I am going to keep this short. 
In a recent June 2008 issue of REALTOR, there was an article titled "Homeownership Still Pays."  They mentioned that there was a recent Fed Survey of Consumer Finances on wealth.  They concluded that owner's wealth exceeded that of renters by a ratio of 50:1!  A median wealth of $205,000 for home owners and only $4,200 for renters!
Over time the home owner will out perform a renter.  You have to look over the long term.  If a buyer only plans to stay in a home for less than 5 years, than … (1 comments)

buyers: When is a Short Sale "Accepted" Can the buyer keep "Looking"? - 06/19/09 02:27 PM
With the volume of short sales out in the market, it has sparked my brain to get a few tips out to my fellow colleagues.  For many when a buyer writes an offer on a short sale we continue to look for "better" properties in the mean time as many short sales will not work out.  Many have even started to use a "short sale addendum" which provides many great benefits to both parties. 
The biggest problem though comes when you have an offer on a short sale and want to back out of it to write on another property....problem you … (10 comments)

buyers: Buying in 55106 or 55411? Want an extra $8000 on top of the First Time Home Buyer Tax Credit? - 06/03/09 07:37 AM
Two of the hardest hit zip codes; 55411 and 55106 in the Twin Cities have been given money to get home buyers back in the area.
Home buyers looking to buy a home in St. Paul's Dayton's Bluff neighborhood, 55106 or North Minneapolis neighborhoods like Willard Hay, Near North, Hawthorne, and Jordan will get extra money for a down payment, with the help of a $1 million grant from a Minneapolis charity. 
Anyone who purchases a single-family home, duplex, town home, or condo in these 2 zip codes by the end of the 2009 calendar year will receive $8,000. The money will not have … (0 comments)

buyers: $2000 Grant Opportunity in West St. Paul - 06/03/09 06:17 AM
A recent artical announced a new grant program to qualifying buyers, buying West St. Paul.  This new grant is on a first come basis and funds are limited.  There are no income restrictions.  The buyer must purchase a foreclosed property, be owner occupied, and live in the home for a minimum of 5 years to not repay the $2000 back.  Other benefits are listed below.  Please visit West St. Paul Vacant Property Grant Program for more information. 
 Qualifying applicants will receive the following:
•·        A $2,000 grant,
•·        Free Family Pool Pass for One-Year,
•·        Free Family Golf Membership for One-Year, and
•·        Free Basic Comcast … (0 comments)

buyers: Just How Many Buyers Are Out There? - 04/20/09 04:38 PM
To follow up with my last post about multiple offers here is a little stat that makes sense why we are running to that situation.  A few weeks ago our multiple listing services connected with BookAShowing (sweet system by the way) You click on all the homes you want to set up, click BookAShowing and you can set all them up with times and dates, hit set appointments, and wait till you get confirmations!!!  No more calling 15 companies appointment lines, well a few companies are not on board, but the majority are.
Any ways since they released BookAShowing just a few weeks … (1 comments)

buyers: Multiple Offers.....What Market Is This? - 04/20/09 03:53 PM
As the market heats up and starts to turn around, unfortunately it is sometimes impossible to avoid multiple offers.  In the last month my clients have been involved in a handful of multiple offers.  I have also show many properties that sold in just a few days.  Had they wrote offers, more multiple offer situations.
Regardless of the market the homes that are the best condition and priced right will get the most attention.  Though now, many areas of the Metro are actually sellers markets, and many buyers are trying to get the same properties.  In many areas there is less than 2 months … (0 comments)

buyers: Replace a Few Household Items to Save the Earth and You Money - 04/16/09 03:37 PM
Here is a list of a few items you can replace in your home that over a few months or years will pay for it's self and save you money:
Programmable Thermostat - $115 initial cost, $180 annual savings.  Paid off in 7 months New Shower Heads - $180 initial cost, $200 annual savings. Paid off in 11 months Heating System Tune Up - $200 initial cost, $180 annual savings. Paid off in 13 months Insulated Walls - $750 initial cost, $300 annual savings. Paid off in 2 years Low-E Windows - $700 initial cost, $300 annual savings. Paid off in 2 years Insulated Ducts … (3 comments)

buyers: Minneapolis Advantage $10,000 Down Payment Assistance Program - 04/10/09 08:49 AM
Well, it has been a busy last few weeks, a little lax on the blogs lately, but here is some information that might be useful to many.  One thing I would like to mention as I get asked a lot is about down payment grant programs.
One program recently revealed is called the Minneapolis Advantage.  They offer a $10,000 zero-percent interest loan that is forgiven at the end of five years. The loan is available to qualified home buyers purchasing an eligible home in which they will live in an approved neighborhood.Applications will be available from April 2nd on a 1st-come, … (1 comments)