While New Listings are at about the same levels as last year, Pending sales (homes that have an accepted offer but have not yet closed) are still trailing last year by about 15%. In the last six months we've seen seller activity (new listings) find an equilibrium but buyer activity (pending sales) has been trailing during that time as well.  March 2007 housing supply sits at 7 months, up 56% from March 2006's 4.4 months.  A 7 month housing supply means that it would take 7 months of no new inventory to sell … [Read more...]

In the last few months I've been hearing more remarks from agents about being in multiple offers with their buyers or having multiple buyers bidding on their listings. In no way is this a large portion of our current market, but I've heard more about them in the last few months than I did nearly all of last year. What's bringing about this change? I think that a few things are coming into play this year: Buyers are taking longer to make decisions, meaning that they may really, really, really like a house for … [Read more...]

In practically every purchase agreement written by a Minnesota REALTOR you will find an addendum regarding the option for all parties to agree to binding arbitration to settle any disputes that may arise regarding the transaction. While many people understand what the spirit of arbitration is, few fully understand the process and specifically how it relates to the real estate transaction in Minnesota. The Minnesota Association of REALTORS has put together a brochure that explains the arbitration process and can … [Read more...]

Over the last couple weeks I've done showings with several different buyers in different price points and areas of the Twin Cities and the one common thing I'm seeing is that anywhere from 10% to as high as 30% of the houses my buyers want to see are "sold subject to inspection" by the time we call to set up the showing.  Granted, many of these houses have been on for quite some time, but the sheer number of houses with accepted offers on them is a very encouraging sign for the coming months. Houses priced right … [Read more...]