Friday fun

Books – Beat the Heat

Posted on July 26, 2024by Teresa Boardman

It is Friday and Fridays are for fun. There will be some summer-like weather in the Twin Cities this weekend. My favorite way to beat the heat is to stay inside and read a book. There are zillions of books in the St. Paul libraries. If you don’t want to go to the library you can borrow electronic books to read on your computer, iPad, Phone, or Kindle. They have audiobooks too.

My daughter and I are keeping track of how many books we read in 2024. We often recommend books to each other. I’ll complete my 55th book for the year this weekend. I am not including the “how to” books and cookbooks I have borrowed from the library this year.

For Home buyers

It has to be in writing

Posted on July 25, 2024July 25, 2024by Teresa Boardman

Getting it in writing sounds so obvious but sometimes home buyers have questions and real estate agents “guess” at the answer or make assumptions.

For example: A real estate agent thought there was parking included with a condo and told the buyer the same. There was something in writing from the association that plainly stated parking was not included and that there would be an extra charge for parking but that a parking spot wasn’t guaranteed.

In another situation, the agent who said that there was a storage unit with the condo was mistaken. Condo documents did not include a storage unit.

Even if it is in writing it may not be true. Information in the Northstar MLS is deemed reliable but not guaranteed. Room dimensions are rarely exact. Buyers should bring a ruler along. I have seen some mistakes too. Like one in a half-story houses that are listed as two-story.

Also, understand the difference between real estate and personal property. Appliances that are not built in are considered personal property and may not be included in the sale. Buyers need to specifically ask for those appliances in writing.

Buying a home isn’t always easy which is why home buyers often choose to work with experienced, knowledgable real estate agents.

General

Back to school sales aren’t just for students

Posted on July 24, 2024July 24, 2024by Teresa Boardman

Yes, it is already that time of year for back-to-school sales. This is a great time of year to buy office supplies and equipment for the home office. Some small appliances like coffee makers and microwave ovens will also be on sale.

Yesterday I bought a new rug for my office and last week I bought a new printer and some paper.

It is time to take advantage of back-to-school savings.

General
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- Mortgage & Finance

A special anniversary

Posted on July 23, 2024July 23, 2024by Teresa Boardman

It was ten years ago this month that we made our last mortgage payment. It was a joyous occasion.

By the numbers: 30.9% of Twin Cities metro-area homes were owned outright in 2022, up from 27.7% in 2017, according to the latest census data. The number of people who own homes free and clear is on the rise probably because older people are more likely to have the mortgage paid off.

I have read a lot of advice that says having a mortgage is a good thing. Yes, mortgage interest may be tax deductible but only for those who itemize. Those deductions work the best for the wealthy. In fact, if you are wealthy, buy real estate.

If you managed to pay off your mortgage congratulations! Don’t let anyone tell you that it was a mistake to pay it off.

General Real Estate News

Big changes are coming for home buyers

Posted on July 22, 2024July 22, 2024by Teresa Boardman

Starting this August, commissions for buyer’s agents will no longer be posted in the MLS. Up to now most of the time when I have worked with buyers I have been paid by the seller. The payment was listed in the MLS (Multiple Listing Service) and guaranteed.

In fact, for many years we could not list a home in the MLS without including some payment for buyer’s agents. The MLS is a property database that belongs to Realtors and is the source of homes for sale. The data is fed to real estate company websites and large national real estate websites.

Home sellers may continue to pay out commissions to buyers agents or maybe not. Advertising the buyer’s agent commissions in the MLS was a huge incentive for buyer’s agents.

When buyers sign a contract with their agent agreeing to pay that agent X amount they need to make sure they have the funds to pay that agent. Before signing a buyer representation contract know where the money to pay your buyer’s agent will come from.

Look for an alternative to paying a commission based on a percentage of the value of a house. Be prepared to negotiate with your agent. Be open to the idea of paying for individual services up front rather than paying for full service when the purchase closes. There will be more about this in the coming months.

Local Market Conditions & home prices

June 2024 Home sales – Minnesota

Posted on July 18, 2024July 17, 2024by Teresa Boardman

Numbers fresh from Minnesota Realtors Association for June 2024:

June Year-Over-Year Summary of Key Market Indicators:

Closed sales: 6,713 (down 17.6%)
Median sales price: $355,000 (up 1.4%)
Average sales price: $420,886 (up 3.8%)
New listings: 9,230 (down 9.2%)
Pending sales: 6,541 (down 13.2%)
Days on the market: 33 (up 10%)
Homes for sale: 14,648 (up 11%)

“Both buyer and seller activity were down compared to last June, while median home prices and market times rose. The housing market is being held back by inflation and mortgage rates.”