Real Estate Market Newsletter

A lot has changed in the market, but if you follow my blog posts, my video trail and other social media postings, you probably already know that we've entered into a 'Balanced Market', which means more negotiating power and marketing will likely be required, in order for Sellers to land the Sale with their Buyer; Win/Win.?

Here's more information on rates for you this morning if you are considering moving in 2025...

Mortgage Interest Rates - National Averages for 1/26/2026

• 30-year Conventional fixed: 6.892% national average interest rate.
• 15-year Conventional fixed: 6.39% national average interest rate.
• 30-year FHA Fixed: 6.39% national average interest rate but Bankrate is also seeing rates down into the high 5%'s.

Most recently one of our banking partners were able to offer one of our buyers ~5% during his closing a few weeks back, so depending on 1) Your Credit, 2) The Loan Type and 3) The Loan Term, the things you can control, our Banking Brokerage Partners may also be able to get you down into the 5% without a buy-down, IF you are ready to make your Move today!

The Home You’re Selling is Stunning—the Best on the Block—but Are Your Prospective Buyers Ready to Close the Deal?

In today’s 'Balanced Market', selling a home comes with unique challenges. As a seller, you need a lot more negotiating power, and your choice of agent or realtor will 100% make all the difference. It’s not enough for your home to shine; your real estate agent must have 'real' real estate marketing expertise and a very large network to find your Top $ buyer and WIN you the Top $ sale you are looking for.

Placing a sign in the yard because the brokerage/agent is cheap, may sell the home eventually, but without locating that real estate marketing expert who really has the network and marketing know-how to find your absolute top $ buyer, means you'll be leaving thousands of dollars on the table, guaranteed.

During a recent sale and within 20 days of each other, I SOLD an STMA home for an additional $130k more than the realtor whom sold a home across the street. The Comprable home to my seller's 'subject', was only 500-TFSF smaller. That other house should have easily fetched another $80k or more, so make sure you find a Realtor or Agent has the experience to bring you in the extra $, and one that will be spending some of that money you are providing them.

"I would much rather select an agent that is 1% more to sell my $500k home for $30k more! Selecting the better agent, realtor or licensed real estate marketing expert would bring me in $25k more when choosing the right expert. Their rate does not matter, it's what I put in your pocket that does, and that's the ROI I would want"

Buyer Approval Issues Are on the Rise

Currently, we’re seeing more buyers struggle to secure pre-approval. Common obstacles include insufficient credit scores, recent financial changes, or unsuitable loan types or durations. Even buyers who make strong offers can fall short of the coveted “Clear to Close” status, often within one or two weeks of the closing date.

The Role of Banks in the Buying Process

Another growing issue is the variability in quality among lending institutions. Some banks lack the resources or efficiency to provide timely approvals. Others have limited hours or poor underwriting processes, which can derail a transaction. Imagine finding a buyer late on a Friday and they're ready to make you an Offer on a home at 4:35pm, only to realize their bank won’t respond until Monday. These delays can be costly and frustrating, for both sides.

Our Solution: Trusted Banking Partners with Real Buying Power

The banking partners we recommend offer robust programs, including ~$15,000–$20,000+ in down-payment assistance to many buyers, and excel in helping buyers secure the financing they need. Their underwriting teams are proactive, and review each borrower on a case-by-case basis, ensuring fewer hurdles along the way. Every buyer has different needs and certainly different circumstances. However, it’s important to note that the buyer(s) that decide to select their Lender without consulting with a Real Estate Professional first, may introduce challenges or unnecessary RISK to their future-state transaction, should they opt for a less reliable institution.

In general, it's our advice to stay away from borrowing from the bank where your checking account is located.

Why Your Agent’s Expertise Matters

A skilled agent doesn’t just market your home—they also vet prospective buyers and their financial standing. Many agents overlook this critical step, failing to call the buyer’s bank, ask the right questions, or assess the buyer’s overall purchasing power. This can result in wasted time, broken contracts, and frustration.

Selecting an agent who understands these complexities is crucial. They’ll help you evaluate whether a buyer’s offer is genuinely solid or just an illusion. After all, the best offer is the one that leads to a successful closing—and that starts with a buyer who’s truly ready and able to seal the deal..

We're Overflowing with Home Buyers Right Now

As January comes to a close, February in Minnesota always brings a surge of buyers eager to find their next home. With mortgage rates adjusting into the 6% range this week—and where they’re expected to hover throughout all of 2025—buyers are already entering the market in droves. Within the next two weeks, we anticipate the market to ramp up significantly, with thousands of additional buyers actively searching for homes.

Yet, I’ve noticed a trend: some homes in STMA have lingered on the market for over 120 days, and Medina reports an average Days on Market (DOM) nearing 140 days—key indicators of a Balanced Market. But at Zane Petersen Real Estate, our approach tells a different story. We have consistently been sell homes in a matter of hours to just a few days, proving the power of targeted strategies and expert execution over marketing and network when done right.

Though home sales will likely slow even more in the coming weeks, we'll continue to focus on the Asking price you desire, then base our marketing to match your request. Maybe you want what only 1% of your buyers will pay, well then we'll market to them. ...or maybe you have a speed of sale requirement and need to sell in just a few weeks. We'll then, we'll also throw our dollars at it, market the right way, and still work to achieve your Goal.

Our Proven Approach to Selling Homes

The key to success lies in preparing your home the right way and leveraging cutting-edge marketing techniques to attract motivated, correctly Pre-Approved buyers. At Zane Petersen Real Estate, we don’t just market locally; our 118+ years of combined expertise, connections to a global network of 900+ syndicates, and partnerships ensure your home sits at the forefront of top syndicate advertiser websites, real estate apps, and social media platforms.

We ALSO understand the value of reaching buyers relocating to Minnesota, especially those considering Minneapolis. While many brokerages and agents overlook this vital step, it’s one of the many unique strategies we employ to secure results. Our tailored marketing solutions go beyond the basics to uncover opportunities others might miss.

When you partner with us, you’re choosing a Real Estate Leader with 25 years in all facets of real estate, dedicated to making your home stand out in a crowded market and delivering the results you deserve. ?

Through Zane Petersen Real Estate - Lake Minnetonka, you find the Marketing Expertise your home needs and that reaches out to find you more buyers, the one we are looking for is the one that will pay much higher than any of your other buyers will, and for Top $. You hire a REALTOR? for one thing, to Sell your home for Top $.?

But I am a Real Estate Marketing Expert, which will help your home be positioned to be seen for sale in more places, higher up on syndicate partner sites and with the use of more major marketing dollars, network and partnership that will promote your Home as #1.? It's just one way we reach more potential buyers, with the Goal of capturing the one with the deepest pockets, willing to pay you the most.? Most agents won't or don't know how to do this, but I will do it for you.

Let's me help you get started Today!? We can either work on this slowly over the next 3 months to ensure major success or I can help you tailor a proprietary and custom solution to help you make your Move immediately while helping find your top $ buyer and/or your next Dream Home.?

I also have some fabulous, Off-market inventory available to you by private sellers if this is something you are interested in looking at.? Reach out anytime, reach out right now if you have a few minutes - 763.843.2905

Best Wishes to you and big Blessings for an Amazing Week This Week,

Zane Petersen (LPS | CLHMS | PMP)

Zane Petersen Luxury Real Estate - Lake Minnetonka

235 Lake Street E. (#100), Wayzata, MN. 55391

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