| February 11, 2010 | ||
| 6:30 PM | to | 8:00 PM |
Have aging parents and have some questions about what steps to take to secure their future and give yourself some peace of mind? Then you may consider attending this wonderful seminar put on by agents and partners of the MN Real Estate Team.
Thurs. February 11th, 6:30 PM to 8:00 PM at Cornerstone Mortgage.
Contact me for details and to sign in for this FREE seminar.
So you live in a wonderful single family home in Eagan, MN and you are very comfortable in your house, however that white stuff is continuing to pile up on your drive. So, many people who find themselves being empty nesters in a larger family home with a large drive, sidewalk, deck or patio and during the recent snowfall, have noticed that there is a lot of snow this particular year. It dropped another foot of snow over the past couple of days.
As a REALTOR in the Eagan area, I hear the comment all the time that like minded empty nesters would like to down size and move into a town home where they don’t have to worry about the snow/lawn care anymore. Or maybe you are worried about your parents who are aging and possibly you feel it would be good to move them to a place where they do not need the chores of shoveling snow, mowing lawn, raking leaves, etc etc. So maybe we should sell that home, and buy a town home where the snow/lawn care is taking care of for the residents of those properties.
In Eagan, MN and the surrounding area there are many Common Interest Communities – CIC that operate through a mandatory home owner’s association (HOA). The residents pay a monthly fee to the HOA and that association board, which is made up of your fellow residents, may or may not elect to have professional management company that make decisions concerning the details of providing for several home ownership chores such as snow/lawn care, building exterior maintenance, hazard insurance, common areas of the community, etc. etc. With each individual HOA there are different sets of rules and bylaws that are set up when the HOA is Incorporated, and as amended by HOA as time passes.
Just a bit a information about purchasing a property that has a mandatory HOA and then we will return to the problem of removing the snow. Those homes that are subject to the Minnesota Common Interest Act (MCIOA) are required by MN Statue to provide disclosure to a buyer of the rules and regulations that govern the HOA. If you are interested in purchasing a town home, condominium, planned community your real estate professional helping you with that purchase should explain these requirements to you in detail. I always make it a point to use the snow removal as an example of how different those rules and regulations can be from one HOA to the next. The rules and regulations should state when snow/lawn care will be handled. Contact me if you need further info concerning the MN Statues concerning town homes, condos, having a mandatory HOA.
Many of my buyers are surprised that those rules that govern snow/lawn care can be so widely varied. I have found snow removal rules that say the snow removal will be provided if there is more than 1/4″ of snowfall and others that state there will not be any snow removal unless there is more than 1″ of snowfall reported in the past 24 hours. The typical rules about snow removal is usually around 1/2″ of snowfall will trigger the snow removal from the properties. Could it be that you could have 1/2″ of snowfall yesterday, and another 1/2″ today and that will not trigger snow removal? Yes, that can be the case. Another detail of the snow removal that we find is that snow removal is limited to driveways and walkways. The HOA does not provide for snow removal from decks or patios. So you need to read those rules with care and understand their implications.
So what happens after you have made an offer to purchase a town home, and find that the rules governing snow/lawn care is NOT to your approval? What happens then? In a nut shell, the buyer will have a 10 day period to review those rules and regulations and make a decision for themselves concerning the details of the snow removal rules. If before that 10 days have passed the buyer decides they cannot accept those rules or regulations, they can cancel the purchase agreement contract and receive their earnest money returned without any liability to the seller. The buyer is not able to change those rules as a condition of an offer to purchase the property because that is in the hands of the HOA governing body.
Just contact me and I will be happy to help you locate a home for sale in the Eagan area that has snow/lawn care details already set up by their HOA. And when you do receive the documents required by MN State Statutes as a buyer, take some time in reviewing them and understanding the details of those covered services. A good real estate professional should be able to help you with those kinds of details, but in any case you should consult with professional legal help if you need a concrete definition of those rules and regulations.
Well, I need to get out and move some of this snow. It looks like it might actually be ending soon. Have fun shoveling!!
Tags: Eagan Minnesota, Eagan townhomes, HOA, snow/lawn care
| February 16, 2010 | ||
| 6:30 PM | to | 8:00 PM |
Investment property seminar
Everyone wants to know how the market is doing and if it is turning around. Most would say “It’s A Buyer’s Market” and take that to mean that the list prices and subsequent appraisal values of homes to be continuing in the downward march from the recent high market bubble which burst in 2006-2007.
For many sellers that would like to make a move, the feeling that “It’s A Buyer’s Market” evokes visions of weeks and months of market time, and low ball offer after low ball offer; and that ever present feeling of dread that they have lost most of their equity in the recent market adjustments that have led to lower list prices for the same homes. But is that really the definition of a “Buyer’s Market”. Or are the scales just slightly tilted in favor of the Buyer?
Maybe to understand the market we need to take a closer look at some of the details from the time that the market was booming and everyone had the feeling that it was a “Seller’s Market”, a time when the scales were slightly tilted in the favor of the sellers. In 2003-2004 the market was going the way of the seller and the buyers were feeling the pressure. But even at the high mark of this bubble when everyone felt it was the seller’s market, the sellers were seeing higher and higher prices. So did that mean that a seller could just list their property for whatever price they wanted, and the buyers had the dread of losing offer after offer because the sellers did not need to negotiate, there would always be another buyer. Therefore, we would expect in a “Seller’s Market” there were never any listings that left the market without being SOLD?
Let’s take a look at some market history in Eagan homes for sale. According to my search of the MLS records, from Jan 2004 through Dec 2006 there were 2,616 SOLD properties in Eagan that included town homes, condos, single family homes. However, during that “Seller’s Market” there were also 838 CANCELED Listings, and 365 EXPIRED Listings. If you were a buyer during that period of time in Eagan, MN and surrounding areas, you would find it hard to believe that there were that many properties that went off the market and were NOT SOLD. And of course, the sellers would consult with their REALTORS and relist the property at a new adjusted price, or the sellers would hire a new and improved BROKER to handle their property. So many of those canceled or expired listings were eventually SOLD at a lower price. The fact still remains that even in the “Seller’s Market” the sellers could not, and did not, just continue asking and selling for higher and higher prices.
The buyer still needed a workable knowledge about the market values, hopefully with the guidance and advice from an experienced buyer’s agent. What really put pressure on buyers to make a decision and made it a “Seller’s Market” was that the buyer had the pressure of knowing if they were not quick enough to recognize the value, then there were other buyers in the market that would and the first buyer’s opportunity would be gone. So the pressure was on the buyer to be knowledgeable about the market and ready willing and able to buy without taking too much time. But did that mean that the sellers were able to sell their property ABOVE market value? The answer is NO, all the transactions were at or very near market value but the scales were tilted slightly in favor of the seller, i.e. less market time at the market price. But if a property was overpriced, it still went UNSOLD until the sellers adjusted the list price to a market value.
So let’s take a look at the “Buyer’s Market” in Eagan at this time. From Jan 2007 through Dec 2009 there were 2,217 SOLD properties in Eagan that included town homes, condos, and single family homes. Only slightly fewer SOLDS than during a peak period. The average home value in Eagan in 2005 was $263,458 in comparison to the average I found in 2009 of $247,516. However, during that same “Buyer’s Market” there were also 1137 CANCELED Listings and 1251 EXPIRED Listings. As a percent of the market there are even more properties that are on the market and eventually not SOLD by the end of their listing agreement, or they had to adjust their prices to attract that offer. The average market prices in Eagan have adjusted by 6.05% on the average. Not as much market adjustment as other areas of the Twin Cities area. Eagan real estate is still high on the list of many buyers.
The sellers continue to price above market value and many of them are UNSOLD after those listings have run a normal market time. They need to make a price adjustment to find those buyers who find value and their needs and desires. Even in this “Buyer’s Market” buyers need to have the knowledge of market values. If a property is over priced it will continue on the market and be UNSOLD at the end of the listing contract. However, the pressure is still on the buyer when they do find a home that is at market value, and has the magical combination of value and meeting the buyer’s needs and desires. The buyer always has the pressure of making a decision to submit an offer to purchase a property that is at market value. If the buyer waits too long, other buyers will recognize the value of that property and submit their offers, and thus the first buyer may lose their opportunity to purchase the property that fits them and their needs.
The buyers in both markets are the decision makers in submitting an offer. There are only three answers to any offer that come from the seller(s) and that is YES, NO or a COUNTEROFFER. So buyers are always welcome to make an offer, they just need to be prepared to hear the NO answer. That typically means that in the opinion of the seller that the offer is too far for the seller to start a meaningful negotiation. We do hear that answer from sellers even in this “Buyer’s Market”. But the good news is that the buyers have many more options to consider and time would be slightly in favor of the buyer. If that home is above market value there will not be another buyer to make an offer, and the buyer may return to that property at a later time. However, in the “Buyer’s Market” the buyers do usually find another option and seldom return to that first offer.
The buyer is always the one that needs the knowledge and the desire to make a reasonable offer for a property. How does a buyer gain that knowledge? Finding an experienced REALTOR as a buyer’s representative will aid that learning process. I provide all my buyers with up to date information concerning the area market data on other properties that have recently SOLD. I have been living and working in the Eagan helping buyers with this process for the past 7 years. Just pick up the phone and give me a call, I do enjoy helping people find the home that meets their needs and desires.
It is a “Buyer’s Market” in Eagan and the surrounding area. Property values are very good, the Eagan area location is desirable and is likely to stay very high in the future. And let’s not forget the interest rates on mortgages are still very low along with the fact that First Time Home Buyers may qualify for that $8,000 Tax Credit. The scales are tilted in the buyers direction. So have an experienced buyer’s agent help you when purchasing your new home in the Eagan area. I have a good working knowledge of most areas in Dakota County as well, so even if we cannot find a home right in Eagan, we are sure to find one in the immediate area.
If you are a seller, then contact me concerning a free Comparable Market Analysis – CMA. Let us help you market your property and set a market price that will attract the buyers that are in this market. Real estate is selling in the Eagan area and I work hard with my sellers to get that property sold for a market value, and as quickly as possible.
Tags: buyer's market, Eagan Homes for sale, Eagan Minnesota, Eagan Real Estate, seller's market
Welcome to Eagan
I am so fortunate to find myself living and working in Eagan, MN. Everyone certainly has a bit of home town pride and after living and working in Eagan for the past 17 years I have developed a passion and pride about my home town. And as a REALTOR who has the privilege to introduce home buyers and sellers to Eagan, MN it certainly does not take long for my clients to learn from me some of the features and benefits from buying real estate in Eagan or the surrounding area.
Eagan is the fourth largest suburb of the Minneapolis – St Paul metropolitan area located just south of the Minnesota river and within sight of the confluence of the Minnesota and Mississippi rivers. A very modern and growing city, Eagan also has a long and rich history in the foundation of the State of MN. Around 1740, a settlement known as Black Dog Village formed along the Minnesota River near the border of present Eagan/Burnsville boundaries. Those earliest settlers were drawn to this area because of the nearby trading posts, and later the establishment of Fort Snelling which put the Eagan area in a desirable location, close to commerce and government. One interesting tidbit of history I would like to share is the fact that in the late 1800s Eagan was actually known as “The Onion Capital of the United States” with its rich history in farming. So from its earliest time to the present modern day, one attribute of Eagan, MN is its convenient location and easy commute to the centers of commerce and government.
Eagan is very near and an easy commute to, The Mall of America, Minneapolis/St Paul International Airport, Valley Fair, Minnesota Zoo and IMAX Theater and downtown areas of Minneapolis and St Paul. Average commute time to most of these locations from anywhere in Eagan is about 20 minutes. The Metro Transit operates two park and ride terminals in Eagan that operate express buses on regular routes to both cities of Minneapolis & St Paul, and main highways that travel through Eagan provide easy driving to both cities.
The latest census numbers for Eagan are 67,448 residents, 26,561 total housing units. And a very robust economy in Eagan provides many opportunities for employment. Beginning with Eagan’s largest employer, Thompson Reuters (West) that has over 7,000 employees. Followed closely in employment are Blue Cross Blue Shield of MN, Lockheed Martin, Coca Cola Bottling, US Postal Service, and the United Parcel Service operations and sorting centers located in Eagan. All of that employment yeilds a Civilian Labor Force of 42,543. That many people working and living in Eagan creates the need for shopping, services, food and entertainment complexes, all of which Eagan has in abundance.
As for homes for sale in Eagan, the real estate market is very active. At the present time we have over 320 active single family listings on the market. These listings represent about any type of property that you could imagine. Condos, Town Homes, Twin Homes, Single Family Homes for sale at really reasonable prices. The prices range from a $34.9K foreclosure and bank owned condo to the $1.35M, 6,100 finished sqft estate that is a newly built home for sale. The average home price on the market at the time of this blog was $247,516, which is down slightly from the 2005 home market average of $263,458 as listed on the Eagan City website. There is something in this market for everyone! And if you’re looking for an experienced real estate agent to help you with you real estate needs in Eagan, MN, I would certainly be happy to schedule a meeting with you and discuss your real estate needs and desires. I will be sending additional information concerning our market and the homes for sale here in Eagan and the surrounding area in the coming weeks and months.
Eagan is a very desirable place to live and work, and is also served by three excellant Independant School Districts, all of these ranks very high in the state for overall academic, and athletic achievements, to provide your children with their education. ISD 197 serves Eagan – Mendota Heights – West St Paul areas, then there is ISD 196 serves Eagan, Apple Valley, Rosemount areas, and ISD 191 which serves Eagan – Burnsville – Savage areas. There are 10 elementary schools, 2 middle schools, and Eagan High School located in Eagan. You can find in depth details about our school districts, and individual schools at Great Schools Org .
Did I mention anything about Minnesota Nice??? The people in Eagan and the surrounding area are just some of the best people you are going to find. I often marvel at the closeness of the people in our neighborhoods, and the good nature of the people who live in and around Eagan. Not that Eagan has the corner on Minnesota Nice, because it is everywhere in this wonderful state however the people in Eagan certainly do their part in keeping that home town feeling alive and well. With miles of trails, parks and outdoor activities in Eagan, you will certainly have the chance to meet many of these wonderful people. A very nice place to live and work, I certainly hope you check out Eagan, MN in the future. I will be posting local activities and events in the coming months on this blog. So stay in touch.
And if you are looking for a real estate professional so show you some of those Eagan listings, just contact me and put my services to work for you.
Tags: Eagan, Eagan history, Eagan Homes, Eagan Homes for sale, Eagan Minnesota, Eagan Real Estate, MN
