Market is improving

Another recent article, this time in RISMedia remarks at the improvement in the housing market in the last few months.

“Broadly speaking, the rate of annual decline in home price values continues to improve,” says David M. Blitzer, chairman of the Index Committee at Standard & Poor’s. “The two Composites and 19 of the 20 metro areas showed an improvement in the annual rates of return, as seen through a moderation in their annual declines. Looking at the monthly data, 17 of the MSAs and both Composites saw price increases in August over July. While many of the markets remain down versus this time last year, the relative rate of decline has shown some real improvement. California, in particular, has seen some real positive prints in recent months. We see this general trend whether you look at the as-reported data or the seasonally adjusted figures. Once again, however, we do want to remind people of the upcoming expiration of the Federal First-Time Buyer’s Tax Credit in November and anticipated higher unemployment rates through year-end. Both may have a dampening effect on home prices.”

The good news for our area, Minneapolis and San Francisco reported positive returns greater than +2.0%

Twin Cities is Hot!

According to the Minneapolis Star Tribune, the Twin Cities housing market is hot. Home prices have risen for the fourth month in a row. Home prices are back where they were in August 2001.

Experts warn that with the precarious economy the prices could dip easily. Others hypothesize that prices have gone up as homebuyer try to buy before the colder months. But for today the signs point to a hot market. So what does that mean for the homebuyer? Well, it means housing are going more quickly and prices may be rising. Now might be the time to buy, depending on what you want.

Another contributing factor is the first time homebuyer tax credit, however signs point to an extension for that program.

October's Skinny Report

Limited time offer – it’s a new theme for real estate market. There’s a limited time for the first time home buyer tax credits. And we’ve seen a bump in home sales accordingly. In fact we’re even buying through inventory. Check out the latest The Skinny from Minnesota Realtors for more info.

Housing Supply

Here’s the latest advice from Minneapolis Area Association of Realtors:

If you're buying a home in the price range below $120,000, you'll have to move fast. There's only 2.9 months of supply in that range, which places it in the extreme seller's market category. The reason for the tight inventory picture? There's been a huge upsurge in home buying activity—sales are up 127.5 percent in that category over the last twelve months.

If you’re looking in that market, be sure to get a Home Buyer Agent on your side to help give you the edge in the transaction – remember buyer agents work for you!

Halloween Fun

Yes, it’s been a chilly fall – but that’s no excuse to stay indoors. The leafs are still changing. The sun is warm and often shining. It is a beautiful time to be in Minnesota. Why not spend some time in the great outdoors celebrating Halloween.

Pumpkin Patches is a web site that lists pumpkin patches, corn mazes, hay rides and more all around Minnesota. Check out options in the Twin Cities or use it as an excuse for a weekend getaway.

Haunted House is a web site that tracks – you guesses it – haunted houses in the areas.

KS95 has a web site that focuses on a wide range of Halloween events – from family events to nighttime 21+ parties.

Two Minneapolis Housing Resource Fairs

The City of Minneapolis and Live MSP are hosting two housing resource fairs:

South Minneapolis Housing Resource Fair VIEW PDF FLYER
Tuesday, October 20, 5:00 p.m. – 7:30 p.m.
Park Avenue United Methodist Church, 3400 Park Ave S

North Minneapolis Housing Resource Fair VIEW PDF FLYER
Wednesday, October 21, 5:00 p.m. – 7:30 p.m.Minneapolis Urban League, 2100 Plymouth Ave N

Each event will have information for potential home buyers and current homeowners. If you are looking to purchase a home, you can learn more about downpayment assistance programs, the federal tax credit, and other programs and opportunities. If you are a current homeowner, learn more about low interest renovation loans, energy-efficiency programs, and loan modification and refinancing options to lower your monthly payment.

Meet one-on-one with lenders, real estate agents, and housing and financial educators. The open house events are free and refreshments will be provided. Events are sponsored by Freddie Mac and US Bank.

Help spread the word and feel free to contact Mary Kay Bailey at 651.315.1478 or Cherie Shoquist, City of Minneapolis, at 612.673.5078 or Cherie.Shoquist@ci.minneapolis.mn.us if you would like more information.

Dangerous wallboards

There was an interesting article in the Minneapolis Star Tribune this weekend for homeowner and homebuyers alike. A reader wrote in with the following question:

I've heard about wallboard from China that is causing problems in new houses. How do I know if I might have it?

You’ll have to visit the Strib for the whole answer – but the good news is that this problem isn’t as common in Minnesota as other parts of the US but apparently homes with drywall work done from 2004-2008 should be paying attention. The problem was that the drywall was contaminated with sulfur compounds, causing it to emit sulfur dioxide. Sometimes this emits an odor, but not always.

The bad news is that the way to find out if your wall boards are at risk you need to search for the “mad in china” tag on the back – easier to do with unfinished walls.