Houses Selling Out From Under Buyers

Twice this week I have had buyers preparing to write an offer on a home they had seen in the last few days and we find out that an offer was just accepted.  In both cases we knew these houses were awesome values the second we stepped in to them.  Yup, the Spring Market is quickly coming upon us and that means more buyers going after those few choice properties.

While it is next to impossible for us to sell as many homes in the next few months as we did this time last year (when the tax credit was just about to expire), there are signs that showing activity is picking up nicely and that the housing market activity is finally recovering from the enormous hangover we had after the tax credit expired last year.

In my case I have two buyers that are quite disappointed but also now much more prepared to act quickly the next time they find a truly awesome house.  Let this be a warning to the rest of you: be prepared and be decisive!

Twin Cities Buyer Activity Still Down 40% Vs. Last Year

Twin Cities home buyer activity is still substantially lagging last year at this time.  For the last 5 consecutive months we’ve seen home showing activity down approximately 40% versus the same time last year.

Twin Cities Showing Activity
Twin Cities Showing Appointments

How well do showing appointments correlate with sales?  Very, very, very well.

Since showings happen before offers (usually!), they provide us a little bit of a leading indicator into future sales activity.  Pending homes sales have been down about 40% each week since mid-May and showing activity really slowed the last week of April, which suggests about a 3 week lag time before the Pending numbers reflected the diminished showings.  Since most properties are only Pended after inspections have been completed and the listing agent turns in all the paperwork, this lag time seems reasonable.

Twin Cities Pending Sales

What does all this mean for us?  Well it looks like the coming weeks will continue to see Pending Sales down significantly from last year.  What I find a little comforting is that while buyer activity is down significantly, it has been very consistently hovering at the same level for the last 5 months… to me that suggests we are at a fundamental level of home sales activity…  before a market can climb it has to hit bottom, right?!?!

Twin Cities July 17 2010 Storm Photos/Video

I took a few photos of the weather after the storms had passed.  I will hopefully be adding to this list in the next day or two.  These photos were not retouched.

(more photos on the post page)

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A Perfect Minnesota Sunset

I was driving home last night and saw one of the best sunsets I’ve seen in a long time.  Luckily I had my SLR in the car and was able to stop at Medicine Lake in Plymouth and took close to 200 pictures.  Below is my favorite shot of the night.  In fact, this is a total of 16 camera positions with 3 exposures each, for a total of 48 images that were blended and stiched together into an HDR image.  I will update this post with a few other photos as I have time to process them but couldn’t wait to show this one to you:

Medicine Lake in Plymouth MN

Click on the picture for a larger version.

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TwinCitiesRealEstateBlog.com is not a Multiple Listing Service MLS, nor does it offer MLS access.
This website is a service of Aaron Dickinson of Edina Realty, a broker Participant of the Regional Multiple Listing Service of Minnesota, Inc.