Category Archives: Buying a Home

Are we in a Balanced Real Estate Market?

Balanced Real Estate Market | Real Estate Blog | Matt Engen Group

We’ve experienced quite a few years of a strong sellers market here in the Minneapolis/St. Paul metro area but the tides seem to be shifting back towards a balanced real estate market. We think that’s a good thing. What are we seeing to make us think a shift is coming? Well let me explain. We typically see a bit of a slow down in the fall and winter months but we’re seeing more and more listings than previous years and they’re staying on the market a little longer than a day. Buyers in the entry level price point where multiple offers and homes selling over list price can finally breathe because the listing inventory is rising which translates to more houses to choose from.

On the sellers side we’re seeing more and more price reductions on currently listed homes. This means that the price of homes isn’t growing as quickly as it had been, it’s balancing out, bringing us back to a balanced real estate market.

And finally interest rates are rising, they’re currently around 5% for a 30 year fixed loan and while this may feel high for some of us, this is still historically low. Unemployment is low and the economy is doing well so despite how you may feel when you hear the current interest rate this a normal and healthy practice.

So don’t panic when you hear about the market shifting because a balanced real estate market is not a bad thing, it’s just different from what we’re used to. Now really is a good time to buy and sell a home. We understand that there are pros and cons to every situation but if you’ve been considering making a move now may be a really good time for you to sit down and evaluate your goals and consider making that move sooner rather than later.

 

Moving: Research the neighborhood

You can change the paint color,  you can get a new front door, heck you can even remodel the kitchen but you can’t change the location of your new home or your neighbors. So before you put in an offer please take a closer look at the neighborhood. Here’s what I suggest.

  1. Google your neighborhood. When I google the Kenny neighborhood of Minneapolis the first thing that comes up is the neighborhood website. And it’s filled with all kinds of useful information about the community, upcoming neighborhood events, groups I can join and helpful links. Check to see if the neighborhood has a Facebook or Twitter page.
  2. Take a walk. That’s right. Walk around the neighborhood, what do you see, who do you meet? If you’d walk around my neighborhood you’d see people out walking the dog, running or riding their bikes and kids are often playing in the front yards.
  3. Check out the neighborhood hot spot, coffee shop and schools. You can find this info by checking Foursquare, Yelp, and Google Local for reviews and recommendations.
  4. Get in your car and drive to work. Even better do it at your usual ‘go to’ work time. How long does it take you? Be honest with yourself, you are going to be making this commute multiple times a day, 5 days a week.
  5. Take a close look at your neighbors front and back yard. Do you like what you see. If their lawn ornaments are driving you nuts now just wait.
  6. And finally talk to as many people as you can about the neighborhood. Who do you know that lives there, what do they like, what don’t they like?

House Hunting Etiquette

When house hunting there aren’t a lot of rules you will be asked to follow but there is such a thing as house hunting etiquette. Here are 6 things you can do to make this process enjoyable for everyone involved.

Remove your shoes, even if there isn’t a sign. It’s just the nice thing to do, especially if it’s raining or snowing. A quick tip when house hunting wear shoes that you can easily slip on and off.

If you have to bring the kids make sure they are in your sight at all times. This is not a playground, this is someones home.

Leave your pets at home. As much as we love our pets not everyone does. Some people may even be allergic.

Leave the food and the drink in the car. As much as I love my Starbucks it’s not a good idea to bring it in to someones home. If it spills it will most likely stain.

Please do not sit on the furniture. Would you want someone sitting on your bed? Plus it may be staged, air mattresses and paint cans make lovely beds in a pinch. But they are not very sturdy. Trust me.

And under no circumstances should you use the bathroom. Unless it’s an extreme emergency, after all life sometimes just happens.

And there you have it. Simply following these easy tips will ensure your house hunting experience is a positive experience for everyone, including the sellers.

House Hunting Etiquette | Real Estate Blog | Matt Engen Group

#househunting #homebuying #househuntingtips #mattengengroup

Making an offer on a home

Once you’ve selected a home, it’s time to make an offer. We’ll help you draft the purchase agreement to protect your interests in the property. We present the offer along with your pre-approval letter and earnest money check to begin negotiations.

To put a purchase agreement together we’ll need the following information;

  1. Your full legal names. How the names appear on the purchase agreement is how they will appear on title. You can change this later but you will need to make an amendment to the purchase agreement to do that.
  2. How much earnest money will you put down? This is money paid at the time you write the purchase agreement to confirm a contract. This is typically done with a check made payable to the listing broker. Or if you live here in Minneapolis you can use a fairly new electronic system called TrustFunds.
  3. Purchase Price. How much will you be offering.
  4. Close Date. When do you want to take possession of the house and how quickly can all the involved parties, your lender and the title company make that happen. In Minneapolis the close date is typically 45-60 days from the day you write the offer. The close date does need to happen on a Monday-Friday. Title companies are not open on the weekend.
  5. Do you want to get your home inspected? We highly recommend this one but it is your choice and it is included on the purchase agreement so you do need to decide. You also need to figure out how quickly you can get all the right people in to do the inspection. Again in Minneapolis and the surrounding area’s this can usually be done within 7-10 days.

There are a few additional forms that you will need to read and understand that are included with the purchase agreement but this is the information needed to put an offer together.

 

You’ve decided to buy a home!

Congratulations you’ve decided to buy a home! We believe this is a good decision. The key is finding the right home.  And lucky for you we’re here to help you do just that. We’ve lived and worked in Minneapolis and the surrounding area for over 20 years. Developing a strong understanding of the neighborhoods and the local housing market.

But before you get to far along one of the very first steps you need to take after making the decision to buy is to secure financing. You need to know what you can afford before you start looking at homes. Looking at homes outside of your price range is a waste of time if you’re a serious buyer and can lead to severe disappointment.

Once we know how much you can afford to buy we’ll help you pinpoint homes that meet your specific needs. We’ll do that by setting up a MLS search that’s unique to you so you can check out homes online. And we’ll start talking to our network to identify pocket listings or homes that aren’t quite on the market yet. Once you identify a few you’d like to see, it’s time to get out there an actually start looking at homes to buy.

Looking for a home to buy

We’re currently working with multiple buyers who are looking for a home to buy. They are pre-approved and ready to make an offer. If only we could find a house. The current inventory levels (homes that are currently for sale) in Minnesota are low. This isn’t new news, they’ve been steadily declining in recent years. On top of that the Twin Cities population is increasing and more and more baby boomers are aging in place. As a result the competition is extremely competitive for first time home buyers. Houses are once again selling quickly. Many in multiple offers. Consequently frustrating even the most patient home buyers. Our advice, understand the market, manage your expectations, buy what you can afford and most of all be patient. The right house is out there. We promise.

Looking for a home to buy | Real Estate Blog | Matt Engen Group

#firsttimehomebuyer #lookingforahometobuy #realestate #realtors #mattengengroup #remaxresults

2018 New Home Goals

Is buying a home your goal for the new year?  If you’re nodding your head yes, you’ll want to be ready to go, don’t delay and take these steps today.

  1. Talk to the Matt Engen Group. Because we have a strong understanding of the local housing market and can often help provide referrals or direction if you’re not sure what to do.
  2. Consult a Lender. This is an important step and the quicker you do this the easier it will to plan and prepare your budget for the new year. Your lender will help you answer questions like; How much will I need for a down payment? What are closing costs? How much will my monthly payments be? And then you can decide if they’re inline with your 2018 goals.
  3. Decide where you want to live. Visit the neighborhoods you’re considering, walk the streets and visit the local establishments. Plan your commute to work and actually drive it, during rush hour. And if you have kids you’ll want to check out the neighborhood schools.
  4. Start looking at homes online. And I’m not talking about the popular Real Estate sites like Zillow or Trulia. Have our team set up an MLS search, this is a great way to get an idea of what is available in the neighborhoods you’ve selected in your price range. MLS is the most up to date and accurate information you can find.
  5. Finally, consider starting sooner than later. You’ll have less competition and more ability to negotiate.

Buying your first home is exciting, and we believe it’s a good decision but there’s a lot to think about before you start looking so it’s a good thing we’re here to help. If you’re ready to get started or just have a few questions contact our team we’re happy to help.

2018 New Home Goals | Real Estate Blog | Matt Engen Group

#mattengengroup #REALTORS #buyingahome #newhomegoals #2018

Fall Housing Market

We hear so much about the Spring market. Everyone wants to sell when the housing market is at it’s peak. We get phone calls every day, I’m considering selling my home but I’m wondering if we should wait for the Spring market. Yes home sales typically peak in the Spring, slowing down in July, right in time for the 4th and pick back up again right after school starts and then things slow down for the November and December holidays. I’m sure you see where I’m going with this. Yes Spring is a good time to sell your home but the Fall market is good too. People buy and sell houses all year long. We really have listed and sold homes in December and January. We’ve found that buyers who are willing to brave our Minnesota minus zero temps are motivated. You as a seller or a buyer really can benefit from buying and selling real estate in the Fall market. If you’ve prepped your home and it’s ready to go, the baby is on the way or your lease is up waiting for the Spring market isn’t always the right answer the Fall market just may be the best time for you. We’re here to help if you’d like to learn more.

#fallmarket #springmarket #minnesotahomes #mattengengroup #remaxresults

Twin Cities Real Estate Market

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Due to record low inventory homes are selling quickly and sellers are cheering. But if you find yourself on the other side of the market ready to buy your first home, low inventory, or lack of homes to see may have you feeling a little differently. The process may be a little frustrating but don’t be discouraged or let this news detour you from starting your home search. The right home is out there, you just need a little patience and the right REALTOR on your side.

http://minnesota.cbslocal.com/2017/02/16/twin-cities-homes-buying-selling-inventory/amp/

#minneapolisrealtors #minneapolishomes #minneapolisrealestate #buy #sell

2017 Market Update

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Only 5 more days till the new year! 2017 is expected to be another good year for housing. Buyers and Sellers can expect modest growth in home prices, low inventory and low interest rates.

Listing levels are predicted to rise as home owners start to gain equity in their homes. If you’re considering selling your home now is a good time to familiarize yourself with what today’s homebuyers are looking for; updated kitchens and bathrooms, open floor plans and hardwood floors. Homes that are move in ready move faster than homes that are not.

If you’re considering buying or selling in 2017 don’t delay. January is often a forgotten but good month in Minneapolis. There will be less inventory, which means fewer houses to look at but the buyers who are braving the freezing cold to look for a home are typically serious buyers.

#buying #selling #2017 #minneapolisrealtors #mattengengroup