Before you put your house on the market, or consider buying another home, you need to find out how much homes are selling for in today's market, so you can make your plans based on the most up-to-date information available --
JUST SOLD! Bank-owned Freddie Mac "AS IS" home is partially repaired and eligible for the Freddie Mac First Look Initiative. Four levels, sunroom off dinette, newly refurbished lower level, almost complete. Huge corner fenced lot. 1812 Rio Loma Lane.
For the week ending February 12, there were 710 signed purchase agreements, a meager drop of 0.1 percent from the same week last year. Although we fully expect to be down in year-over-year comparisons for the next three months due to last year's tax credit incentive, this is still interesting because it marks the first time we've had more than 700 Pending Sales since May 2010. Think about that. More sales activity in mid-February 2011 than mid-June 2010.
Similar to the week prior, there were 1,324 New Listings for the week, representing a decline of 24.9 percent from a year ago. Active Listings increased slightly from the week before to 21,553, just a 3.2 percent decline from last year.
As we work our way through these next three months of apples-to-oranges comparisons to last year, we will be looking back at 2009 and 2008 for further market understanding. This week's 710 Pending Sales compare well to the 714 for the same week in 2009 and 635 in 2008.
How much of this week's reported pendings can be attributed to unseasonably warm weather? Looking at 15-plus inches of fresh snowfall today, we're certain to find out in a couple of weeks.
Thank you to all of you who attended the planning commission meeting last week and spoke on behalf of our community. While the planning commission voted 6-1 NOT to change the zoning, our city council members will have the final vote at the meeting next February 22nd. PLEASE PLAN TO ATTEND THIS FINAL MEETING!
Also, please email each member of the City Council to voice your opposition and ask them to follow the planning commission recommendations NOT to change the zoning. It is imperative that your voice is heard by the voting members of our council.
Attorney Jim Susag did a phenomenal job representing us last night and is a HUGE reason we were successful with the planning Commission. We are in dire need of support for Jim’s services up to this point, and to help finish the job. Even if you have supported the cause already, we implore you to dig deep to help support in any way you deem financially able. Neighbors who have not contributed are strongly encouraged to do so. I think we would all agree after hearing Jim speak, this is money well spent on a cause dear to all of us.
Please send your payment to:
Larkin HoffmanAttn: Thomas Oppold, 1500 Wells Fargo Plaza, 7900 Xerxes Avenue South, Bloomington, MN 55431 MEMO: NW SAVAGE ALLIANCE
Email each city council member ASAP
Attend the final meeting Februrary 22nd
Contribute payment to Larkin Hoffman for Jim Susag’s valuable services
This Clete Link-built twinhome offers one-level living at its finest. Located on a quiet, cul de sac street, this home offers a vaulted kitchen with sunny bay window, 36" raised panel cabinetry, tidy cul de sac, the community features a perfect arrangement for quiet living. The kitchen offers raised panel cabinetry with pull-out shelves, window above the sink and accent lighting. The dinette is roomy enough for a hutch and large table. The sunroom is vaulted and offers deck access. The sunroom and deck face Lions Park, which has a pool.
Just down the hall lies two bedrooms, including a Master bedroom with enormous walk-in closet, bathroom with dual-sink vanity and shower, linen closet and tile floors. An addtional full bathroom, the laundry and additional closets lies on the main floor.
The walkout lower level offers a large family room with three-sided fireplace, den/game room, large bedroom, and a large tile bathroom with linen cabinet. A 14x12 unfinished room makes a great hobby space. Additonally, the lower level offers a storage/utility room and a covered patio.
This home includes such amenities as Andersen windows, five ceiling fans, new water heater (2010), and new carpet (2010). The home features extra-wide hallways and doors. The concrete driveway has no cracks, has enough room to park four cars, and leads to a double, extra deep insulated garage. The home is tucked into a cul de sac facing Lions Park, and feels private. Absolutely spotless!
Inventory in West Savage is still low, sitting at about 55% of normal spring/summer levels. There is no question that the Bank of America foreclosure moratorium has impacted foreclosure inventory, as many homes expected to hit the market as bank-owned have been postponed indefinitely.
Buyers have been hitting the streets early this year: A slight bump in interest rates created some urgency. Metrowide, pending sales are up 3.7% for January 2011 in a year-over-year comparison. Even though a larger percentage of home sales have been foreclosure and short sale inventory (compared to traditional,) the traditional seller saw a median sales price increase. Even with all this, home affordability is soaring. Interest rates are still low and pricing very competitive.
Speaking of affordability, the Freddie Mac First Look Initiative is a new program in which buyers searching for their primary residence have up to 15 days to buy a home without competition from investors. Many of these homes come with a two-year home warranty, and in many cases the banks have done many repairs and cosmetic updates (e.g. new carpet.) This initiative makes buying a bank-owned home very attractive for some.
A hot topic in West Savage has been the Workforce Housing proposal, regarding the 14 acre parcel of land behind Rainbow Foods. On February 10 the Savage Planning Commission voted against changing the zoning from Commercial to Mixed Use. On February 22, the City Council revisits this issue, and may uphold the zoning change. More updates will follow on WestSavageBlog.com after the meeting.
Single family/townhome inventory in Savage and Scott County as a whole is down. Our West Savage absorption rate is 10.5. That means if zero new homes come on the market, it will take 10.5 months to sell our existing inventory.
Minneapolis, Minnesota (February 11, 2011) – Pending sales increased 3.7 percent from January 2010 to land at 2,838 for January 2011. That's the first year-over-year increase since the tax-credit salad days of April 2010.
Prices slid during January 2011, as the median sales price decreased a heavy 10.8 percent from January 2010 to $140,000. A larger share of homes sold this January were foreclosures and short sales compared to a year ago, which explains part of the decline. Traditional, nondistressed properties actually saw their Median Sales Price increase by 1.9 percent from a year ago to $201,500.
"Distressed homes made up more than half of the homes sold locally in January," said Brad Fisher, President of the Minneapolis Area Association of REALTORS®. "Buyers tend to shop for value during the winter months, equating to lower prices, while traditional sales begin to warm up with the spring thaw."
Challenging conditions for sellers are evident in growing market times and stronger price reductions before sale. The Average Days on Market Until Sale of 146 in January 2011 is a 9.4 percent increase from January 2010, and the Percent of Original List Price Received of 87.9 is the lowest number on record.
With interest rates remaining low and prices showing no signs of rapid rise, affordability is soaring. The Housing Affordability Index for January of 241 is a new record and indicates extremely favorable conditions for buyers.
The supply of homes is growing. Inventory increased 14.0 percent from a year ago to 23,880 units, which amounts to 7.6 months of supply. This is in the face of a 15.6 percent decline in the number of new listings coming on the market. The slowed sales seen in the second half of 2010 have led to short-term increases in supply.
"The economy remains the elephant in the room, and housing is not immune to market dynamics," said Cari Linn, President-Elect of the Minneapolis Area Association of REALTORS®. "Nevertheless, we're encouraged by the sales bump in January and look forward to a strong spring."
All information is according to the Minneapolis Area Association of REALTORS® (MAAR) based on data from the Regional Multiple Listing Service of Minnesota, Inc. MAAR is the leading regional advocate and provider of information services and research on the real estate industry for brokers, real estate professionals and the public. MAAR serves the Twin Cities 13-county metro area and western Wisconsin.
Tonight at 10.35pm, the Savage Planning Commission denied Ron Clark's application for rezoning the 14-acre parcel behind Rainbow Foods from commerical to mixed use. The ruling was 6-1 in favor of denying the application. Those who denied the rezoning quoted not wanting to give up the last parcel of commercial land in Savage, making us a pass-through community.
This issue is not yet over. The City still needs to vote on the zoning issue on February 22. If the City Council approves the zoning, the issue goes back to the Planning Commission for discussion.
More information on this issue will continue on West Savage Blog.