Minnetonka Real Estate-June-2010

Welcome to the Zinn Blog, where I discuss real estate and homes for sale in the Minnetonka Area. 

This last week reminds me of why I live in Minnesota.  The parks, lakes, golf courses and everything the Minnetonka area has to offer sure make this a great spot to live.  Check out this motley bunch Memorial Day on Lighthouse Island.

While the real estate market is tough, prices have improved and there is steady activity.

There continues to be a high inventory of Minnetonka real estate for sale but sales have been steady. 147 homes closed the Month of May in the Minnetonka Area*.  The first-time home buyer credit definitely spurred some activity in the lower price range, but there were also some very strong upper bracket sales.  83 homes closed under 300K, 38 homes closed between 300K-500K, 14 homes closed between 500-1M and 8 homes closed over $1M.  This pace of the market is very similar to the pace in March and April.

*The Minnetonka area includes all Municipalities that have borders on Lake Minnetonka and Chanhassen

This is one of the Case Shiller indexes we use we use to help us track the historical value of real estate.  This is a national composite and a good indicator of prices locally.  Most indexes have the Minneapolis/St. Paul area fairing very well compared to other national markets. 

We have seen an increase in homes on the market and homes sold over the last few weeks in the Minnetonka Area.  It is a great time to buy as there is a lot to chose from and rates have recently gone below 5%.  See our home page for some great listings.

This is one of the worst years ever for ice dams on homes in the Minnetonka area, and the worst is yet to come.  If you are an unlucky victim or you can see a potential issues take steps now.  If you live in Minnetonka or the Minnetonka area give a call.  We would be happy to help.   The Zinns

Real Estate News-

Nationally, we are paying close attention to see what the government is going to do regarding the purchase of mortgage backed securities and the Tax Home Credit.  Ending either of the two programs will affect real estate market activity. 

If the government continues as scheduled to end the purchase of MBS at the end of March, rates will most likely tick up.  The tax credit given to first time home buyers and to some existing home sellers is a great incentive to purchase a home.

Locally, we are seeing increased activity in the market compared to the prior year.  The Spring market is on the horizon and activity has started early.  Inventory in the Minnetonka area has declined significantly from prior years as good homes are selling.  Consistently, the number of homes sold per month is more than the same month in the prior year.   Homes at $500K and under have started to see some price stabilization.  Upper bracket home prices continues to suffer as inventory levels remain high.  Prices on Lake Minnetonka have come down to prices not seen in years. 

We all hear about the next wave of foreclosures coming, but in the Minnetonka Area we continue to see just a steady trickle.  Hopefully the wave will stop at the coasts.  Job growth/cuts will probably play the biggest factor in 2010 regarding the number of foreclosures in the Minnetonka area.  Short Sales will also play a large role this year.

We are looking forward to the Spring Market, which seems to be getting an early start, and helping you with any of your real estate needs. 

The Zinn Family Realtors

New Listings:

5585 Harding Lane–359,900—Two-story on a large lot in the Minnetonka School District.  4bd up and finished lower level.  Great home and location.

Just Reduced

1691 koennen–279,500—Three level split near Excelsior and the Lake Minnetonka Area

Just reduced:

16922 Grays Bay Blvd—749,900—Great home on milfoil free Grays Bay.

Coming soon:

$2M home on Lake Minnetonka in Cottagewood

$600K rambler in Chanhassen

$200K home in Excelsior

2010 Zinn Sold Mine:

5970 Apple—272,500

1180 Tonkawa-1,900,000

5750 Marsh Pointe Drive—625,000

Carl, Max and Hans Zinn with Coldwell Banker Burnet (952) 474 - 4444  CZinn@CBBURNET.com have earned the prestigious Certified Distressed Property Expert (CDPE) designation, having completed extensive training in foreclosure avoidance and short sales. This is invaluable expertise to offer at a time when the area is ravaged by “distressed” homes in the foreclosure process. 

Short sales allow the cash-strapped seller to repay the mortgage at the price that the home sells for, even though it is lower than what is owed on the property. With plummeting property values, this can save many people from foreclosure and even bankruptcy. More and more lenders are willing to consider short sales because they are much less costly than foreclosures.

Hundreds of homes are in danger of foreclosing. It is happening in all price ranges. Local experts say that even high-priced homes are not immune.

“This CDPE designation has been invaluable as I work with sellers and lenders on complicated short sales. It is so rewarding to be able to help sellers save their homes from foreclosure.”

Alex Charfen, founder of the Distressed Property Institute in Boca Raton, Fla., said that Realtors® with the CDPE designation have valuable training in short sales that can offer the homeowner much better alternatives to foreclosure, which virtually destroys the credit rating. These experts also may better understand market conditions and can help sellers through the emotional experience, he said.

The Distressed Property Institute opened in January 2008 and provides training on-site and online. The CDPE is the premier designation for Realtors helping homeowners in distress and handling short sales.

“Our goal is to educate as many people as possible so we can help as many homeowners as possible,” Charfen said.

Carl, Max and Hans Zinn with Coldwell Banker Burnet (952) 474 - 4444  CZinn@CBBURNET.com

The Real Estate Marketplace Glossary: How to Talk the Talk

Buying a home can be exciting. It also can be somewhat daunting, even if you’ve done it before. You will deal with mortgage options, credit reports, loan applications, contracts, points, appraisals, change orders, inspections, warranties, walk-throughs, settlement sheets, escrow accounts, recording fees, insurance, taxes…the list goes on. No doubt you will hear and see words and terms you’ve never heard before. Just what do they all mean? The Federal Trade Commission, the agency that promotes competition and protects consumers, has prepared this glossary to help you better understand the terms commonly used in the real estate and mortgage marketplace.

Click Here for the definitions of the most common real estate terms

Do you have a question about something that is not on the list?  Give me a call!