Media Discourages Home Buyers with Negative Speculation…

Good grief, everyone! This morning as I lay in bed sick with the flu, my head foggy, my voice crackly and incapable if doing much more than watching the news, I hear more doomsday about the real estate market here in Minneapolis, “Home Prices to Drop 10%-20%”. This gloomy tidbit will more inhibit the market than the reality! Buyers see this and say, “Oh, I should wait until it drops again before I buy.” If I were a buyer, I would probably feel the same way. Mayb there are reasons why to buy now.

However, let’s take a look at a reliable source of information, The National Association of Realtors, gleans information directly from the marketplace itself, as opposed to the personal views of a news station exec that is trying to attract more viewers and further line their own pockets.

Yes, it has slowed down. Yes, it’s tough for sellers to sell unless their homes are priced at the low range of the scale. And yes, the numbers show a decline in some areas of housing.

Why would a buyer not wait for the drop they predict? Here’s why:
1. Interest rates are still in the 6% ranges. (I was in real estate years ago when interest rates climbed to 21% for a short period).
2. 100% financing still available. See Ken Horst, mortgage broker for details.
3. More inventory to choose from than ever.
4. Many anxious sellers willing to offer “extras” with an acceptable offer (personal property, pay points and/or closing costs and flexible closing date).
5. The buyer may need (or want) to move, a simple fact that drives the market at this time.

My last two blog entries have been so serious. Next time, I’ll get back to my CookingUpRealEstate theme; hearth, home, real estate, great food, great recipes.

Be well.

Jessie

Long Time Real Estate Broker – Observations in this Slow Market

After 23 years in real estate, it's been interesting, albeit frustrating, in this odd market. It's as if the masses, a collective group of observers themselves, are waiting for something magical to happen to inspire them to reach into the marketplace and give it a try. They hold their breath in anticipation for the perfect time to make a move. They allow themselves to get sucked in by the media wanting to disbelieve the idle banter about doomsday while they chatter amongst their family, friends and associates glomming onto each tidbit of information that drives them further away.
I ask myself if I were a buyer right now what I'd do. My motives would be a huge factor, my level of risk taking would also be a factor and the cautious guidance of an experienced Realtor® would surely be a contributing factor. All said and done, I'd wait. How long? Not long.
What could happen next? Will it "bottom out?" History tells us nothing stays the same, particularly real estate. If all we did was wait, a new influx of buyers will hit the market; the college grads that got the new job, the baby boomers that want to move into a townhouse, the many immigrants that come here with money to spend anxious to grow roots, the 30-somethings that are tired of paying rent and on and on...
It will change. And for those of us who "hung in there," will our fruitless patience be rewarded? Yes! Will our diminished numbers prove to be the essence of our existence and joyfully send us into a wild tailspin of activity? Yes, please.
So we wait. We promote. We market. We encourage. We hope and...dear friends...we blog.
Thank you for listening.
Jessie
To see what's on the market.

Had a broker open in Eden Prairie, gave away wine!

Yesterday I had a broker open for my listing at 10760 Woodwatch Circle in Eden Prairie, MN priced at an affordable $299,900. Since food and real estate are my passions and I haven't had luck with food at broker opens this season, I used wine as my "enticement" to get agents to come and preview the house. I offered a choice of a bottle of $10-$14 red or white wine to the first 25 agents to walk in the door. Wouldn't you expect that I'd give them all away? Only 2 agents showed in the first 10 minutes as we anxiously awaiting more, to no avail.

My favorite mortgage broker Ken Horst, , hereinafter referred to as MFMB, waited with me, flyers in hand for 100% financing(yes, Ken can do this!) while we yakked up a storm over the state of the Minneapolis real estate market. We had held similar broker open houses in the past month for more of my listings, one at 17176 Padons Drive in Eden Prairie priced at $1,395,000, a fabulous 6100 SF artisan inspired lakeshore home with a 1000+ SF nanny quarters or apartment and another at 3973 Games Drive, priced at $489,900 in Minnetrista, a gorgeous, 2 years old, 3100 +SF two sotry with a double stairway and bonus room.

OK, so the market is not so hot. But, I've had the best spring and summer I've had (amidst all the "bad press") working with buyers, many of whom are from out-of-town. After 23 years as a broker/owner I've been lucky to get many referrals and out-of-town clients who have found me online. But, now it has slowed down and I'm only half as busy as I was 6 weeks ago.

What does an energy infused, enthusiastic, upbeat person like myself do when the market slows down? I work my listings and cook, sharing my tasty tidbits with my clientele and friends. As an example when I heard that Ken Horst, MFMB could join me for the broker open yesterday, I made him a special burrito to heat in the seller's microwave that he said was the "best burrito he ever had!"

As a health nut and cook, its always a challenge to make something very low fat that's loaded with flavor and density, leaving one full but not umcomfortable with the rewarding feeling of just having consummed tons of antioxidants, lean protein and healthy grains. So here you go for the recipe for one:

Jessica's Best Burrito
1 Joseph's Flax, Oat Bran & Whole Wheat Lavash (or any whole wheat large tortilla or roll-up)
3 oz cooked lean ground taco meat (I use the 96/4% fat lean gr. beef using any)
1 roasted green pepper*, sliced
1 roasted red pepper, sliced
1/2 roasted zucchini
1/2 medium roasted onion
2 slices fat free Swiss cheese
2 T. Pace Picante sauce
Shredded lettuce
Salt & pepper to taste

*To roast peppers, onion and zucchini:
Preheat oven to 450 degrees. Wash, clean and slice peppers. Leave skin on zucchini and slice the long way. Clean and slice onion. Spray a piece of tin foil with olive oil spray to cover cookie sheet. Arrange veggies on tin foil, spray once more and season with salt and pepper. Place in oven and roast for 14 minutes, turn over and roast for another 6 minutes. Veggies will be brown but not burned. Shorten or lengthen cooking time based on your oven.

Assemble in following manner: meat, onions, zucchini, peppers, picante, cheese, lettuce. Roll tightly folding over one end. Wrap tighty in plastic wrap. Microwave on hight for 1-2 minutes until warm. If you do Weight Watchers, this entire wrap is only 5 points and a meal in itself.

Roasted peppers and veggies are delicious added to pasta, sandwiches and baked dishes. I usually quadruple this recipe so that I have leftovers to make other wraps during the week when I'm on the run. It's a great way to get your veggie servings each day.

Off I go to a late lunch with a new friend and future client. I'm not only buying lunch but I'm bringing her two pounds of homemade granola, a topic I will discuss soon. Granola and real estate...huh?

If you want to see what's on the market, visit me, Jess Lyman

Happy Day!