Weekly Market Activity Report from MAAR

Low mortgage rates, high affordability and government programs designed to encourage home purchases are continuing to spur home sales this spring despite an iffy economy. The week ending April 18 was the fourth consecutive week of pending sales activity that was more than 20 percent higher than during the same week in 2008. There were 1,083 pending sales for the week, up 21.3 percent from this time last year. It was also the third consecutive week of 1,000-plus unit sales, a first-time occurrence since 2006.

All these sales are quickly whisking inventory off the market at a time when new listing inventory is not growing at its typically robust spring rate. The number of total homes for sale is down 18.4 percent from a year ago at 26,318. As a result, the gap between this year's supply of homes and that of previous years continues to grow.

Weekly Market Activity Report from MAAR

Hopeful signs of a Twin Cities housing market recovery carry on thanks to a combination of no growth in the spring supply of homes for sale and still-improving sales figures.

Helping to keep inventory down is slow new listing activity, a metric that has been sluggish all year. For the week ending April 11, there were 20.7 percent fewer new listings than there were during the same week in 2008. Pending sales are still trending in the opposite direction, up 21.9 percent in year-over-year numbers to 1,046 for the week. That's only the second week of 1,000-plus pending sales or more since May 2007. If these two metrics persist, the market could be in for some serious re-balancing.

With the Housing Affordability Index reaching 218—an increase of 40.8 percent over last year—it seems to be an awfully good time for buyers to get off the wall and on the dance floor...being mindful that 29.1 percent of the dance partners are lender-mediated.

CLEAR OUT THE CLUTTER

Spring is here and over the past few weekends I have noticed all the people cleaning out their garages and homes. Trash bins are overflowing with all the unused and cast off items that gathered dust all winter.

Are you one of these people? If so, instead of tossing out all that stuff come and visit us at the Annual Coldwell Banker Burnet for Bridging Event on Saturday April 25th, 2009 from 10-2.

Bridging is a non-profit organization that offers free household items and furniture for families in transition.

Tax receipts for donations are available.

Call us for more information! 952.470.2575

Open Houses for Sunday, April 19th, 2009

Stafford Family Realtors are excited to announce our open houses for this upcoming Sunday. If you miss the ads in the Star Tribune, here is more information.


8500 Cedar Court, Victoria Open: 12-2
$349,900
4 Bedroom / 3 Bath / 3 Car Garage

Our newest listing! This beautiful custom built home from Sondegaard Forcier is finished with Pottery Barn touches. Freshly painted and newly enameled Kitchen accent the spacious open Great Room Floor plan. Featuring a Main Floor Office and large back yard.


606 Carver Bluffs Parkway, Carver Open: 12-2
$459,000
4 Bedroom / 4 Bath / 3 Car Garage

Sighted on the breath taking Carver Bluffs, this former Hans Hagen Model home is loaded with all the high-end amenities. Stainless Steel Appliances, Quartz Counters, Hardwood Floors, 2 Stone Front Fireplaces, custom stained built-ins on every floor and a Two Story Dining area.


3120 Shores Boulevard, Minnetonka Open 12-2
$215,000
3 Bedroom / 1 Bath / 33 Car Garage

Just steps from Lake Minnetonka and two neighborhood parks, this newly remodeled home features new everything! New windows, sliding glass patio door, Hardi Plank siding, new floors throughout, new kitchen, new appliances, new mechanicals, new bathroom, NEW, NEW, NEW!


9108 Overlook Circle, Chanhassen Open: 2:30-4:30
$520,000
5 Bedroom / 4 Bathroom / 3 Car Garage

Located in demand Springfield of Chanhassen, walk to Lake Riley, Bandimere Park or any of the many walking trails. The new Hwy 212 extension offers easy access to the entire metro area. Upgrades include a Gourmet Kitchen with Granite, Great Room floor plan and a loft that can be converted to a 4th bedroom on the second floor.

We look forward to seeing you on Sunday. For more information, please contact Stafford Family Realtors at 952.470.2575 or visit www.StaffordFamilyRealtors.com for more information on these or any of our other listings.

Weekly Market Activity Report from MAAR

It's becoming a wild and active spring for the Twin Cities housing market. First, pending sales ought to give REALTORS® some joy in their Easter baskets, with 1,004 reported for the week ending April 4—a 28.7 percent increase over last year and the best single week since May 2007. New listings went skyward compared to last week with 2,055 for the week ending April 4, but they remain 11.2 percent behind the same week a year ago.

The recent jump in sales is bringing the supply of available homes down even further. There are currently 26,085 homes on the market in the region—17.5 percent below this time last year and good for 7.7 months of supply.

Finally, like Warren Robinett in Adventure, this week's WMAR has its own Easter egg tucked away. The Housing Affordability Index for April has grown to 218, which means the median family income is 218 percent of what's necessary to qualify for the median priced home. For those of you scoring at home, that's a 40.8 percent increase over where we stood last year at this time and is 77.3 percent over our low point of 123 in July 2006. We have to bear in mind that increased lender-mediated activity makes that number supernaturally high.

All in all, dropping prices, low mortgage rates and government incentive programs for home buyers are making this a spring to remember.

Two Great New Listings!!!!

We are pleased to announce two great new listings brought to you by Stafford Family Realtors.

8500 Cedar Court, Victoria MLS# 3668083
$349,900
4 Bedroom / 3 Bath / 3 Car Garage
Pottery Barn beautiful, this home has been freshly painted and shows wonderfully. Newly Enameled kitchen cabinets. Main Floor Office can be used as a separate formal Dining Room or Bedroom. This home features amazing living spaces including a Great Room, Master Suite with private Bath and a Large Eat-in Kitchen.

6461 Oriole Avenue, Chanhassen MLS# 3667982
$259,000
4 Bedroom / 2 Bath / 2 Car Garage
This one won’t last long! Priced to sell, this home is NOT a short sale or foreclosure. Sited on a large lot with mature trees, just steps to Lake Minnewashta, schools, shopping and parks. Amenities include an updated Kitchen, beautiful hardwood floors under carpet in Dining/ Family Room, 3 Wood burning Fireplaces, 2 Full Baths and much more to see.

For more information on these or any of our other listings, please visit StaffordFamilyRealtors.com or call for a private showing to day.

952.470.2575

FIRST ANNUAL MOVIE EVENT

First off, we would like to thank all of our Friends and Clients who came and supported our FIRST ANNUAL STAFFORD FAMILY REALTORS MOVIE EVENT.

With your generous support, we were able to collect over 370 Pounds of food for the CAP Agency Food Shelf.

We had a great time watching Monsters vs. Aliens with all of you and cannot wait for next year when we will try to top our numbers!

THANKS AGAIN!!!

Open Houses for April 5th

We have some great homes open this Sunday!

1340 Alpine Pass in Golden Valley.
1-3:00 PM

We recently received a $20k Price Reduction on this Beautiful Condo Alternative in Tyrol Hills. Situated on a double lot, this home features a Gourmet Kitchen, beautiful Wood Floors and a totally remodeled Bathroom.

910 Anthony Way, Victoria
12-2:00 PM

Just Listed! This twin home lives large. Built from the specs of the model, you will find Granite, Custom Stained mill work and much more. This is main level living at its best!

6605 Mulberry Circle East, Chanhassen
1-3:00 PM

Pottery Barn finishes accentuate this home in award winning Minnetonka Schools. This is a great opportunity.

Please visit StaffordFamilyRealtors.com for more information or call 952.470.2575.

Top 10 Most Heavily Taxed States

It’s April, so people’s thoughts are turning to taxes, and where they live makes a big difference in how much they pay.

Here are the 10 states with the highest taxes, including property, individual income, sales, alcoholic beverages, tobacco, motor vehicles, hunting and fishing, motor fuels, death and gift taxes, as well as insurance premiums. The per capita tax was derived by adding up all the taxes and dividing the total by the number of citizens.

1. Vermont, $3,861
2. Hawaii, $3,856
3. Connecticut, $3,596
4. Minnesota, $3,203
5. New Jersey, $3,024
6. New York, $3,019
7. Massachusetts, $2,953
8. Washington, $2,553
9. Wyoming, $2,357
10. Pennsylvania, $2,223

Source: Forbes, Matt Woolsey (03/30/2009)

Weekly Market Activity Report from MAAR

With mortgage rates plunging downward in recent weeks in response to actions taken by the Federal Reserve, home buying activity remains strong.

For the week ending March 21, pending sales in the Twin Cities were 13.0 percent higher than the same week last year, while the number of new listings on the market was basically flat. Over the last three months, there have been approximately 1,200 more signed purchase agreements than there were a year ago and 3,000 fewer new listings. During this time, 58.1 percent of pending sales have been lender-mediated foreclosures and short sales, while 37.1 percent of new listings have been lender-mediated. The fact that the share of lender-mediated sales easily exceeds the share of new lender-mediated listings is a hopeful sign.

New buyers entering this market will be met with strong affordability but will have less to choose from compared to previous years. There are currently 26,064 homes for sale in the metro area, which is down 15.7 percent and 4,840 units from this time in 2008.

Open Houses for March 29th

Come and visit us at one of our great open houses this upcoming Sunday!

First time open!
3120 Shores Blvd. 12-2
Minnetonka, MN
$215,000

This home is cute as a cupcake! Totally remodeled and loaded with new everything. New Appliances, New Windows, New Roof, New Siding, New Garage, New New New!

9108 Overlook Court 12-2
Chanhassen
$520,000

Located in the family friendly neighborhood of Springfield, this single family home has been beautifully upgraded and features a lower level walk out basement, great for entertaining.

6605 Pointe Lake Lucy 2:30-4:30
Chanhassen
$899,900

A Masterpiece in Minnetonka School District. This home has so many great features, the only way to believe it is to see it.

For more information on these open houses or any other Stafford Listings, please visit StaffordFamliyRealtors.com or call 952.470.2575.

Weekly Market Activity Report from MAAR

Has everyone remembered to "spring" forward? It looks like the Twin Cities Housing Market certainly has, as the new season has brought in an uptick in sales along with the warm weather. The market can only hope that "spring" fever is more than just a figure of speech.

Speaking of pending sales, while they have tapered off during the week ending March 14, there is no denying that since the new year began pending sales have steadily outperformed last year’s numbers. In fact, even with almost no increase in pending sales activity the 870 pending sales for the week are still 14.9 percent higher than last March at this time.

Total active listings are another story. While new listings for this period are only 13.9 percent lower than last year, active listings are down nearly 14.7 percent. This can be looked at in a positive light, however if you consider that pending sales, decreasing inventory and higher HAI (Housing Affordability Index) are all helping to get more people into homes throughout the new spring season. This coupled with the federal government’s tax credit efforts could give the Twin Cities housing market the added boost it needs to awaken and to realize the potential that is out there.

There are many other events that coincide with spring: spring training, spring fever, spring boards… ok, that last one isn't technically associated with the season. But with the Month’s Supply of Inventory for March down 15.2 percent over last year, agents across the Twin Cities can assist buyers in diving right into the market now that conditions are beginning to warm.

Weekly Market Activity Report from MAAR

Weekly Market Activity Report
Ah, spring: that festive season when a young home buyer's fancy turns to thoughts of warm weather, green grass, new flooring, breakfast nooks and purchase agreements.

Pending sales continue to outperform last year, posting 869 for the week ending March 7—good for a 24.7 percent increase. Of these signed purchase agreements, 56.6 percent were for lender-mediated foreclosures and short sales.

New listings for the same time period comparison dropped by 12.6 percent, continuing a months-long trend of fewer home sellers. Increased sales has combined with decreased new listings to draw down the total inventory of homes for sale. The number of active listings for sale is down 14.9 percent from this time last year to 25,901.

Overall, that twitterpated feeling some may be experiencing now is not uncommon. The snow is finally melting, the sun is shining, and home sales all over the Twin Cities have been growing in strength for nine consecutive months

Open Houses for March 15th

We have three great properties that we will be hosting open houses at. Two new listings, their first time on the market are located in the Springfield Neighborhood in Chanhassen and we will be holding a tandem open.

550 Summerfield Drive, Chanhassen
Open 12-2 PM

9108 Overlook Court, Chanhassen
Open 12-3 PM

Both beautiful properties have just been listed on the MLS and have been upgraded with all the amenities. You'll love these homes!

6557 Bartlett Boulevard, Mound
Open 1-3 PM

Come and visit us this weekend.
For more information on these or our other listings, visit StaffordFamliyRealtors.com or call 952.221.7751.

$15K PRICE REDUCTION

Big News! We have recently reduced the price of a beautiful one-owner home in Chaska's Bellavista neighborhood.

1632 Isabella Parkway
Chaska, MN 55318

is now being offered at $535,000. This is a great deal in a rarely available neighborhood n the award winning Chaska Town Course.

Visit StaffordFamilyRealtors.com for more information on this listing or call us at 952.221.7751.

Pricing Disagreement: What is a Home Worth?

Homebuyers and the real estate professionals they choose to sell their homes don't always agree over what the property is worth, and many buyers think both of them are setting prices too high, according to a survey by HomeGain.com Inc.

The survey found that 63 percent of homeowners believe the price their practitioner recommended is too low. About 45 percent of sellers think prices should be 20 percent to 30 percent higher, while 14 percent believe their home should be priced a whopping 30 percent higher.

Meanwhile, 21 percent of homebuyers say the homes they are considering are overpriced by up to 10 percent; 32 percent say prices are 10 percent to 20 percent too high; and 6 percent say homes are more than 21 percent over priced. Only 18 percent believe homes are priced fairly.

“Homeowners know that prices have fallen, but that somehow doesn’t apply to them because they have ‘upgraded vinyl’” or something, Pamela Frey-Primiani of Keller Williams Realty in Sicklerville, N.J., says. “Sellers have got to be realistic in their expectations. An overpriced home in these times does nothing — no showings, no offers, just whining from sellers that it’s all someone else’s fault that the home hasn’t sold.”

Source: HomeGain.com Inc. (03/05/2009)

Weekly Market Activity Report from MAAR

As we approach St. Patrick's Day, there's reason to take advantage of our Blarney Stone kisses and impart some eloquence (or "gift of gab" if you prefer). New listings continue to trail year-over-year numbers in our local housing market, coming in at 1,628 for the week ending February 28, which is 19.2 percent behind this week last year. Total active listings are roughly 5,000 below this time in 2008. In an oversupplied market, this is cause for celebration. Continued growth in home sales adds to the festive spirit, with pending sales showing a healthy 12.1 percent increase over the doldrumish numbers of last February.

There are several important monthly indicators to look at in this week's report. Days on Market Until Sale in February stood at 157 days, down 4.8 percent from last February. This is the third consecutive month of downward year-over-year movement. The Housing Affordability Index (HAI) continues its yearlong improvement with a March 2009 HAI of 206—31.2 percent ahead of its March 2008 mark of 157. Months Supply of Inventory is holding relatively steady at 7.8 months, down 15.2 percent from the mark of 9.2 months we saw a year ago.

According to John Tucillo, one of the foremost real estate economists in the U.S. and former Chief Economist for NAR, there are three necessary phases that must occur for the housing recovery to launch:

1) a decline in new listing activity

2) a decline in days on market

3) an increase in sale price to list price ratio

The first phase came about last summer and the second phase began in the fourth quarter of 2008. Hopefully the third phase will occur sometime this year. Strong affordability, improving chances for a housing recovery and a federal tax credit for first-time buyers equates to a welcome home-buying environment—a little Irish luck for real estate.

Weekly Market Activity Report from MAAR

Brr! Did the last snowstorm convince you that winter has not loosened its icy grip on the Twin Cities quite yet? It seems assured that March will lion in and lamb out, but the Twin Cities housing market is not expected to show the same pattern, as sales continue to climb upward when compared to last year's numbers.

Since December 2008, pending sales for the Twin Cities housing market have continued to outperform the same week for the prior year. For the week ending February 21, pending sales are up 12.4 percent vs. last year at this time. Deep freeze or not, buyers are showing a willingness to brave the temperatures for a deal.

New listings checked in at 1,558, which is 15 percent below 2008. Active listings are off from last year by about 4,000 (or 13.7 percent fewer) homes. Warmer weather tends to coincide with more activity, so we'll be watching new and active listings with much interest over the next few months.

Another number to watch is the Supply-Demand Ratio (SDR). This figure, representing how many homes are available per buyer, is down 21.8 percent to 6.38 homes per buyer compared to last year. That's now nine months in a row of lowered year-over-year SDR. With fewer active listings and a shrinking SDR, sellers may begin to feel some easement from the buyer's market wedge. It's too early to tell, but as many of our REALTOR® members are telling us, the increase in foot traffic is palpable.

Weekly Market Activity Report from MAAR

One. That's the number of times over the last 33 weeks that we've had fewer pending sales this year than we did a year ago. And the week in question was Thanksgiving—a week where making an offer on a home is typically ignored in favor of turkey and afternoon naps during another loss by the Detroit Lions.

The buying party continued for the week ending February 14, as there were 731 pending sales in the Twin Cities—up 17.1 percent. Over the last three months, there have been almost 1,200 more pending sales than there were last year. During this time period, 60.3 percent of sales were lender-mediated foreclosures or short sales.

Increased sales means increased absorption of inventory means less houses for sale. There are approximately 4,000 fewer houses for sale right now than there were at this time last year, a drop of nearly 14 percent. New listings remain sluggish as well. The most recent reporting week saw a 9.5 percent year-over-year drop.

Here’s a warning for potential borrowers: Nervous lenders have tough new rules and are paperwork crazy.

"Borrowers are going to have to prove they are the borrower they say they are," says Keith Gumbinger, vice president of HSH Associates, a mortgage-industry publisher in Pompton Plains, N.J.

Gumbinger says homebuyers should consider these things before they apply for a loan.

1. Down payments are critical. Borrowers should expect to put down at least 10 percent for a “conforming loan” – a mortgage that Fannie Mae and Freddie Mac will purchase.

2. Credit scores count. A 720 on the 850-point FICO rating scale will get a borrower access to the best rates. Rich Bira, branch manager of FCM Direct Lender in Chicago, says: "A score between 720 and 739 gets 0.125 percent added to the rate, a score between 700 and 719 gets 0.375 percent added to the rate, and a score between 680 and 699 gets 0.5 percent added to the rate.”

3. Consider VA and FHA. Borrowers without down payments or with less than stellar credit scores should consider these government-insured loans offered through the Federal Housing Administration of the Veterans Administration. 4. Unearth the records. Before applying, borrowers should organize tax, banking and other records that prove income, savings and debts. They should also expect to be patient about what may seem to be endless requests for information.5. Get rid of debts. Limiting debts, including what borrowers expect to pay for the mortgage, to less than 43 percent of gross income is important.

Source: Chicago Tribune, Mary Umberger (02/15/09)