FIVE things to do before you move

Moving is stressful! Even when planned, it can be chaotic at times and hard work for sure. What can you do to minimize the stress and chaos and just enjoy the moments?

1.  PLAN AHEAD. Do the easy stuff first. Get on the phone and transfer the utilities into your name; schedule the cable installer, and arrange for garbage pick up. It doesn't take much time and you will feel like you have really accomplished something.

2.  BOXES - BOXES - BOXES.  You need boxes! Lots of boxes! If you are hiring movers; great. They will bring boxes with them. Or you may have agreed to pack everything and the movers are carrying everything. Start collecting boxes. Look on www.craigslist.org and check if anyone if giving away moving boxes. Or you could purchase from a local U-Haul.

3.  DONATE. Take the packing opportunity to clear out unused items. Kids can donate toys they don't use anymore to a local charity. Clothes can go to the Salvation Army or the Goodwill who actually pick items up at your home.  

4.  ASSIGN DUTIES. Give everyone in the the family a job and a deadline. For example, each child has to pack his/her own room. Give them the boxes and a marker for labeling. If they are too young to pack alone, let an older sibling help. List each family member's job and deadline and give a reward when it is completed on time.

5.  EXPLORE THE NEW NEIGHBORHOOD.  Take a Saturday or Sunday morning and drive to the new neighborhood and explore. What restaurants are there? Any parks that look like fun? Where is the movie theater? Get the family excited about trying new things. Take pictures and print them out so the kids can show their friends their new home. If the new home is too far away for a drive, google it. Explore on the web all the great places. You can even use Google Earth for a look at parks.

What have you done to make moving less stressful?

Five Things to Expect From the Housing Market in 2013

Happy New Year and a joyful and prosperous 2013 is wished for all. What can we expect to see in 2013 from the Housing market?

1.  TRENDING UP! Last year we began to crawl out of the deep hole that housing has been in since 2008. It is a long way out but at least we are moving up. In 2012 prices began to trend up while inventory of homes for sale trended down. Nationally, housing hit bottom in October 2011 and home values have risen 5.3% since then. A survey of expert economists predict that home values will rise 3.1% in 2013. Homeowners can be assured that if they sell in 2013 they won't be selling at the bottom of the market.

2.  REAL ESTATE IS LOCAL.  Buying beats renting in almost every market. Here in the Twin Cities buying a home will give you a lower monthly payment than renting in many markets. I have clients who were paying $1200/month rent in Champlin for a 2 bedroom apartment. They purchased a three bedroom townhome and now their payment (including mortgage, property taxes and Homeowner's Dues) is $1100/month. They have more space, nicer amenities, similar area, tax deductions and a lower monthly housing payment. If you want to live in a condo in downtown Minneapolis or in a home on Lake Minnetonka this may not be the case but most areas in the Twin Cities it makes sense to buy a home.

3.  LOW MORTGAGE RATES.  Interest rates continue to be historically low. Combine the low rates with low housing prices and your dollar goes a lot further than it did four or more years ago.

4.  SHORT SALES? When the recession hit the housing market was impacted the most. Homes lost value and many homeowners owed more than the amount their home was worth. This meant they could not sell if they wanted or had to unless they brought money to closing or their lender approved a 'short sale'. For the first time since 2008 the number of 'underwater' homeowners has fallen below 30% nationally. This is a great sign for those who are looking for the housing market to recover. Still 28.2% of homeowners are still underwater which means people who want to sell cannot. Inventory is still low so buyers are fighting over homes on the market. Here in the Twin Cities the majority of homes on the market are receiving multiple offers. If you want to and can sell, now is a great time. Whatever you lose in your sale you will make up in your new purchase.

5.  MORTGAGE INTEREST DEDUCTION.  As our government decides how to cut spending and increase revenue one of the items that is often discussed is the mortgage interest deduction. It is likely that if anything is done with this deduction it will affect the high end (homes with values over $500,000) and second homes. Real estate lobbying groups continue to fight against changes to tax laws allowing for the mortgage interest deduction. Unless you are buying a home with a 1/2 million dollar price tag or more the impact of changes to the mortgage interest deduction will be muted.

Check back for updates as the year progresses. What trends are you watching?

Andover's Most Expensive House

During the last month a lot of homes have sold in Andover, Minnesota; 31 to be exact. The most expensive - a four bedroom, four bath home on the Rum River sold for $434,000. It was listed for $460,000 and was on the market about two months before receiving an offer. With 471' for river frontage and 3,608 interior finished square feet and sitting on 6.86 acres this home was a great deal. It was totally rebuilt in 2002 and has great river views.

Beautiful home! Watch this space for next month's most expensive home sold.

Real Estate is Coming Back

Are you out there trying to find a home to buy? You did your homework, got pre-approved for a mortgage, looked at homes on line, then found a Realtor and begin your search? Then you found the perfect home and made an offer? It was a good offer and you were looking forward to finishing the process and moving in a few months. BUT - your Realtor called and told you there were multiple offers on the home you wanted and you had to submit your 'highest and best' offer within the next 24 hours. So you checked comparables and made the best offer possible. After waiting three days your Realtor called to tell you the seller accepted another offer.

If this sounds familiar, you have been trying to buy a home during the last four months. The market has changed a lot. Home prices are up in the Twin Cities 12% over the last year. Inventory is low and there are so many buyers it is very difficult for anyone to find a home. A few weeks ago I showed a town home and called to check availability. I was told that there were 49 offers on the home.

This turnaround began about 4-5 months ago and is finally being reported by the media. This is GOOD news for sellers. The price you couldn't get for your home a year ago may be possible today. And you will be able to sell your home faster than you could a year ago. With interest rates still so low a seller who only dreamed of moving up a year ago could do it today.

Things, they are Changing!

For the first time since January 2004 housing prices in the Twin Cities area have increased. After experiencing the housing crisis and the years of decline since, this news is the best that we have heard in a very long time.

Median sales price increased 12.4% in April 2012 over April 2011. Inventory of homes for sale has decreased. Many homes on the market are receiving multiple offers and buyers are having a difficult time finding a home. The number of closed sales increased 7.1% and pending sales rose 26.4% compared to April 2011.

The percentage of distressed sales is down and the percentage of traditional sales are up. As long as this trend continues, increased pricing will continue. This is great news for sellers who have been waiting to sell. With interest rates still at record lows, homeowners who have been waiting to sell so they could move to a larger home or a different area or complete the downsize they have been planning, will find that they may be able to do it now.

Many sellers are learning that they will be able to sell. They may not sell for as much as they want but they will make it up on the home they buy and the interest rate they will get on their new mortgage.

Want to know what your home will sell for in this market? Contact me for a no obligation Comparable Market Analysis.