Pete Rondello Sr

The “bottom” of the market seems like it just passed us by. The phones are busier; people are looking for property (and bargains), and the overall attitude of buyers has been getting somewhat positive. Team Rondello has four closings set for the month of May, with several new listings being added at competitive prices. Our outlook is positive, though we have a long way to go to catch up to the heydays of 2005 – 2006. Mortgage rates are very attractive, and selection remains strong. Business and commercial property remains the exception; buyers and mortgage money are both super-scarce. As of this writing, 2009 activity in the two counties we serve has started to improve over what we were seeing last year, and that’s the first time I’ve been able to report that in two years.

1^st quarter 2009 MLS sales figures have been compiled and the news is about what I’d expect. Coldwell Banker Mulleady Inc., our Minocqua office, leads the MLS at 6.9 million in sold volume through the first three months of 2009. The second place brokerage is at 6.8 million, and third place is 3 million +. This volume is approximately 25% below the same period in 2008, and certainly far below the levels of the peak years 2004 – 2006. Of the 500 + agents in our board, more than 200 have not yet had a real estate closing in 2009. (Team Rondello has closed 4 sales, with three more scheduled) We have a long way to go, but inquiries are slowly getting more numerous, as are showings and offers tendered. With all investments still questionable, real estate offers the best opportunity. Interest rates are 4.75 – 5.125%. Inventory and selection are excellent. As news of regional market warming continues to reach our customers’ ears, we’re confident the same warming will soon come to our market.

Winter continues to hang on with it's last breath here in the Northwoods. We are expecting 4 - 10" of fresh wet snow in the next 48 hours, and our lakes are still three weeks or better from the "ice out" opening.

The next seven days forecast shows nothing above 45 degrees, with night temperatures in the teens. Brrrr. It's been a long warm-up.

The real estate market warm-up is also very slow. Waterfront home sales in Oneida County -vs- 2008 for the 1st quarter of 2009 are down 24%; selling prices are down 22% for this same period. Vilas County, to the north, faired some better, with nearly indentical sales figures this year compared with last. Combined, the two counties are still looking for brighter days.

As history goes in our market, this is a prime time to acquire property of any kind. We're seeing interest rates available in this market in the 4.5% - 5.0% range. Inventory is strong, and sellers are motivated in many cases, and will consider offers that wouldn't have had a chance 3 years ago.

As investments go, property Up North remains one of the best places to put your money. While other investment vehicles have lost 40% and upwards, our overall values have seen only a modest decline; on average 12 - 15% since their peak in 2005. And, you can ENJOY this purchase - sit on the dock; listen to the loons, and watch the sunset. Impossible to do that with a stock certificate.

New listings are coming in at a typical rate for the season; most sellers have realistic expectations, and we are doing our part to make sure that these properties present themselves well as good values in the market.

Each day is a new opportunity to meet someone, establish relationships, try new marketing ideas, and work towards recovery. It is our focus and goal.

Jo Dresen and I are having coffee this morning. Jo is a broker in the Wausau, WI area, and we've done some business together over the years. Jo wants to see how this whole Active Rain / Blog thing works, so here we are at Starbucks, working on a project.

This is the key in our business. The person-to-person connections really are the most important. Sure, we could have done this with a series of e-mails, but it is much more fun to see Jo and share a coffee, and talk about business, etc.

And do you know what? Yesterday, I got a call from a client who now lives in Wausau, and she needs to hire a good agent to sell her home. The stars lined up, and Jo is going to call her and work on that listing.

Maria Mastrolonardo is in Naperville, and if I ever get there, I'll have coffee with her too, and we'll do some business. I "met" Maria here on Active Rain.

E-mail is ok, phone call some better, but a face-to-face meeting is best.

Make new friends, but keep the old ...

The Milwaukee Journal / Sentinel Sport Show is now two weeks "in the books", and I have spent most of that time sick with the "post sport show flu". I guess that's what you get when you meet and greet a few THOUSAND of SE Wisconsin's cabin-fever-starved folks.

Turnout was very good, and in fact, a new 1 day record was set at the show on March 7th.

Attitudes of the participants and the exhibitors was mostly upbeat. Those that came to our booth were certainly looking for bargains, and for advice on pricing in our market. But, the good news - THEY WERE THERE AND TALKING AND LOOKING.

I wasn't sure how the show would come off this year, and I am still not sure if we will write any business directly off the show, but it's possible, and likely we will.

After the show, I am optimistic that we are turning the corner. People still see the value of owning real property in our area as a wise investment, and the allure of the Northwoods as a vacation destination is still strong.

My appointment book is beginning to fill up for the Spring. Let's hope for positive days ahead for all.