Consumer Psychology and the Too-Precise Price When you see an oddly-priced “For Sale” home, there are two possible explanations (at least in my experience selling residential real estate): One. Drawing Attention. The way to stand out from homes listed at $389,900, $399,900, etc. is to price at $398,731 or some such (I haven’t seen a home...Read More
Don’t Call it a “Traditional” Sale — It’s a “Long” Sale [Note: for the uninitiated, a “short sale” is when the homeowner’s mortgage(s) exceed the home’s fair market value — a condition referred to as being “underwater.” Depending on the specific housing market, short sales have receded from more than 50% of all sales five...Read More
Explaining Why There’s Nothing for Sale: A Theory Just when Twin Cities Realtors and brokers thought local housing inventory couldn’t get any tighter . . . it did. As of this week, there are barely over 10,000 units for sale in the entire 13-county metro area. That compares with more than 30,000 units for sale...Read More
Test your knowledge of residential real estate, and take a crack at this multiple choice question. What are possible explanations for a home being “TNAS” (Temporarily Not Available for Showing”) on MLS: A. A pipe burst, and the owner is cleaning up the mess; B. The owner is out-of-town for a few days, and doesn’t...Read More
Twin Cities Short Sales, Foreclosures Fall to 7% The general public may not be aware, but local Realtors certainly are: the percentage of distressed sales in the Twin Cities is now about 7%. That’s a far cry from the +50% level breached just four years ago. Amongst other benign effects on the local housing market:...Read More
Standard for Buyer’s Walk-Through Inspection “I know it when I see it.” –United States Supreme Court Justice Potter Stewart’s threshold test for defining obscenity. What’s fair game for raising issues during the Buyer’s walk-through inspection? (typically, conducted within 48 hours of closing). At least in Minnesota, any changes to the home since the Buyer’s inspection that substantially alter its...Read More
