Real Estate Market July 5th
Real Estate Market July 5th
WEEKLY ACTIVITY REPORT
Here is our Real Estate Market July 5th, 2020 real estate update. We are now in our summer real estate market. And it is summer that none of us has seen before. We have coronavirus concerns for our country and the Twin Cities. And how does that impact real estate? For COVID19 our industry is more one on one and not a business that has crowds or large groups. So, we are an “essential service” and we continue to do business in Minnesota regardless of shelter in place. Buyers are now driving separately to showings and sellers are sanitizing their homes before and after showings. Also, many meetings are happening with facetime with agents and lenders and their clients. Real estate closings have also changed. The buyers and sellers are in separate rooms. And only those essential to the transaction can attend. The title companies are also sanitizing before and after closings. We use virtual tours and lots of photos and that helps determine if buyers want to see the home. Limited open houses, if any.
WE REVIEW REAL ESTATE FACTS AND TRENDS
THE TRENDS
This time of year, the buyer pool should be growing dramatically. While we have seen that take place, the COVID19 and social unrest is limiting that growth to some degree, but still multiple offers are the norm not the exception. Our inventory of homes has yet to experience our spring increase. Our first-time home buyer market is active in most areas with small inventories of homes. That price range is $175,000 to $300,000 in Minneapolis, St. Paul, and area suburbs. So, what does that mean to you? Even in these times demand is high, and you need a good agent to guide you!
THE FACTS
Facts are wonderful since they give us insight into analyzing the trends. Still, it is up to us to interpret them. Our current affordability Index is 148, compared to 141 last year at this time. So, the higher the number means greater affordability. Currently, our inventory of available homes is 9,871. In comparison, we had 12,781 in 2019. In other words, the inventory of homes for sale is down 22.8% since last year. In contrast, in 2008 we had almost 36,000 homes for sale in the Twin Cities. Lastly, our pending sales, which is those sold but not closed, is 1,594. As opposed to 1,542 pending sales last year. As a result, we have 3.4% more pending sales than last year. Our monthly supply of home is at 2.1 Compared to 2.5 last year at this time.
MORE FACTS
We all benefit as sellers when values continue to raise. In so a median sales price increase 3.5% is a positive number. And $294,900 is the median sales price in the Twin Cities area. I have found a powerful market indicator is the comparison of our sales price to original list price. Our average sale to list price is 99.6%. This compares to 100% last year. Equally important indicator of market strength is days on the market. Therefore, 41 average days on the market reflects a healthy real estate market.
OUR CURRENT INTEREST RATES IN THE TWIN CITIES
Interest rates increase the affordability of your home purchase. Consequently, low interest rates are a real benefit to real estate market in Minnesota. In fact, mortgage companies love to provide mortgages to Minnesota. Because of our low delinquency and employment rates. But most importantly our low mortgage risk. Accordingly, we have some of the best mortgage rates in the United States in the Twin Cities. Our mortgage interest rates are about the same as last week. The rates are 2.25% for VA, 2.5% for FHA and 2.625% for conventional. Contact me if you want to talk to a lender with that program and rates.
MY OPINION OF FUTURE REAL ESTATE TRENDS
We have seen many types of markets and trends in the last 30 years. But with the coronavirus concerns makes this an unusual market to predict. So, it is my opinion that we will have 4-5% appreciation in 2020. In addition, I predict the inventory of first-time homebuyer homes will not be insufficient to match demand. Also, the areas with an abundance of new construction will have longer marketing times for existing homes. Finally, interest rates will continue to be historically low for at least until the November election.
Visit 7 Vines Vineyard – Fun thing to do
This wonderful destination started when Ron & Arlie Peltier approached Gertrude Ffolliott to buy her grandfathers land. Her grandfather was the railroad baron James J Hill. At first, they were not ready to sell, so the Peltier’s patiently waited. When the estate went into a trust the Peltier’s purchased the land. The vine planting began in 2012. Next was the construction of the winery building. The number 7 was Ron’s hockey jersey number.
Located in the city of Dellwood. Just 20 miles northeast of the Twin Cities. It features acres of rolling vines and a state-of-the-art winery.
You are welcome to explore the grape vine process and enjoy the handcrafted wines from the great State of Minnesota!
For more information visit www.7vinesvineyard.com.
The wine bar will be open for guests starting July 8th. Reservations preferred through Open Table. Current releases include a 2018 Marquette. A 2017 Marquette. A 2017 Cabernet Sauvignon that was given a silver Medal at the 2019 San Fran International Wine Competition. A 2018 True North Blanc Blend. A 2017 Frontenac Blanc. A 2017 Chardonnay. A 2017 Marquette Whole Cluster. A 2017 Riesling. A Frontenac Gris. And lastly, a 2017 Frontenac Rose’. These can be ordered online at https://www.7vinesvineyard.com/wines#cheese
This venue also has weddings, family gatherings and corporate events. See how lovely the setting can be for those events click here for private events.
Minnesota has so much to offer. If you need any additional ideas of special places to visit or things to do…just reach out to us for lots of great ideas. Plan an outing and visit 7 Vines Vineyard Minnesota today!
We love Minnesota!
City of Shoreview Minnesota
The History of Shoreview
Shoreview is in Ramsey County, Minnesota. The city of Shoreview is part of the Twin Cities metropolitan area. Shoreview is a second-ring suburb. The Dakota and Ojibwe are the original inhabitants of the area. It was first settled in 1850. In the 1800’s the railroad lines expanded to include Shoreview. That started the expansion of Shoreview.
Is Shoreview rated as a good place to live?
Niche.com rated Shoreview the highest rating of an A+ https://www.niche.com/places-to-live/shoreview-ramsey-mn/. Gave it A’s for public schools, outdoor activities, health & fitness, health & Fitness, good for families, housing, and jobs.
Some general information I have found about Shoreview
Shoreview has nine city parks and three county parks. It has seven lakes. Shoreview has a commute time to Saint Paul of only 13 minutes. And only 17 minutes to Minneapolis. Next, it has a population of 26,432 The unemployment rate is only 2.3%. And the median home price is $293,900. Meanwhile the median age is 45.1. Lastly, the median income is $79,485.
How are the schools in Shoreview?
Shoreview has three highly rated Public-School Districts.
Mounds View Public School District # 832.
For more information on Mounds View visit www.mnschools.com
Roseville Public School District #623.
For more information on Roseville Public School District.
And Centennial Public-School District #12.
For more information on Centennial Public Schools visit www.mnschools.com.
My conclusion
To summarize, I have found Shoreview to be an extremely popular city. Importantly, it features a wonderful school system, convenient location, and is highly rated in my categories. It is a highest rated city with an A+ rating. In short, I strongly suggest considering Shoreview if you are planning on moving to the Twin Cities of Minnesota.
For your convenience I have included a link to search all homes for sale in Shoreview
CLICK HERE – All homes for sales in Shoreview
Contact us
I hope you have enjoyed my summary on Shoreview, Minnesota. Please reach out to Jeff Anderson and The Anderson Team if you require more information. Or would care to see some of the homes in this wonderful city in the Twin Cities area of Minnesota.
