Teri Eckholm, REALTOR® Anoka&Washington Counties Acreage & Lakeshore Homes

A foreclosed home is not the proverbial money-pit! Many bank owned properties --especially Minnesota lakeshore and acreage homes--are priced to sell and do not sit on the market forever! People are snapping up deals all over Anoka County on homes that are in great condition and priced right! Some are bank-owned foreclosures but regular traditional sellers are also pricing their homes properly to sell in this changed real estate market. As a buyer, you have to be ready as the good homes are selling FAST even in the WINTER!

Here are a few north Twin Cities metro homes that I noted that sold in DAYS over the holidays:

• East Bethel 1999 built 5BR Rambler on 3.5 acres with an additional garage located on Devils Lake. Sold in 20 days for $236K.
• Lino Lakes home 4BR/4BA/5Car garage built in 1995 on 1 acre Renaushau Lake lot. Previously sold for $675K, bank accepted $535K. Sold in 20 days.
• Linwood vintage 3BR/2BA lakehome built in 1916 on 4.3 Acres with 220ft shoreline. Bank sold for $170K in 7 days.
• Forest Lake/Columbus 1977 built, 2BR/1BA/2 car plus pole barn on 10 acres. Sold AS-IS for $104K sold in 7 days.
• Ham Lake 3BR/2BA/3 Car multi-level built in 1995 on 2.5 Acres with in-ground pool. Bank sold for $189K in 13 days.

This economy has builders and responsible homeowners alike to let amazing properties go back to the bank. Many are still in pristine condition. Some may require a bit of cleanup or a few cosmetic changes but there are many in move in condition too.

There are more deals out there too…Here are a few of the treasures I noted on the Twin Cities MLS in Anoka County today:

• Executive 3BR/5BA 2 Story in Ham Lake on 10 ACRES with 12 Car garage! 4200+ Finished with all bells & whistles. Sold in 2008 for $1.1 million...Bank Listed for $495K
• Lender-owned Linwood 3BR/2BA/2Car for $140,900 on 2 ACRES w/Polebarn…Sold in 2006 for $240K.
• 3BR/3BA/3Car Brick front Rambler on 1/2 acre in East Bethel on Coon Lake needs rehab but bank asking $234K.
• Bankowned 2BR/1BA/2 Car on south side of Coon Lake in Columbus. Tax value at $207K…Bank priced at $124K.

If you are in the market for a great deal on a foreclosed home, get your ducks in a row because homes are being offered at rock bottom prices. Here are a few tips for those considering offering on a foreclosed home.

• Banks LOVE clean offers. Buyers MUST be preapproved with credit checked and employment and funds verified. Documentation must accompany the offer or it won’t be considered.
• Banks will reject lowball offers…no negotiation. They are a business and know the value of the asset they are selling.
• Well priced foreclosed homes get multiple offers. Serious buyers put in their best bid first and quickly.
• Banks sell homes AS-IS. What you see is what you get. In most cases repairs will not be made.
• In most cases a banks will not pay for inspecting the septic system or well. Those will be the buyer’s responsibility along with all other inspections. If you chose to inspect the septic or the county requires a septic compliance test, expect to pay $400-$500 for this inspection. A well test will run around $150. A whole house inspection is $350-$500.
• Personal property is not included as part of the sale. So if the appliances are at the home when you close, they are a bonus. The bank will not remove. But they don’t guarantee will remain at the home or that they are in working order. This means if someone breaks in the home prior to the closing and takes them, the bank will not replace.
• Having your own REALTOR® to represent your interests is essential. The listing agent is under contract to represent the bank. In many cases, the bank will not allow a dual agency so if a buyer contacts the listing agent to write the offer, the buyer does not have representation. This means all of your information goes to the bank…the listing agent is required to tell the bank everything that you say about your financing and the amount you are able or willing to pay. But the agent is not required to tell you anything in return. The agent works only for the bank.

The number of new listings was up for 2011 in Wyoming, Minnesota which is a bit different than the surrounding areas to this southern Chisago County community. Most surrounding communities saw a drop in new listings in 2011 but Wyoming had almost a 10% increase. This is an area where there are many newer starter and town home developments that were hit hard by the foreclosure crisis. There could be many foreclosures and short sales still working their way out of the system in 2011 in Wyoming. The average sales price of a home dropped again this past year by almost 8% and is coming in just over $156K while the price per square foot is running $83/sq ft. This is one of the lowest average per square footage prices in the northeast metro area. A high point to the year is that homes are selling; over 21% more homes sold in Wyoming, Minnesota compared to last year. Sellers appear to be getting just over 92% of their asking price which is in line with several other north east metro communities. It is taking a bit longer to sell a Wyoming home this year as the average days on the market went from 131 in 2010 to 142 in 2011. If you are considering buying a Wyoming home in 2012, this might be a good time look as their still might be a bit more inventory than in other areas to the south.

For additional details on the inventory levels in White Bear Township MN at the end of 2011, Click HERE.

The real estate market in White Bear Township held relatively steady during 2011 compared to 2010. Closed sales were up in White Bear Township, Minnesota in 2009 2011 by almost 13% and there were only a few more homes listed than in the previous year. This northern Ramsey County township saw a drop in days on the market for the second straight year down to 137 DOM. The average home price dropped for the third consecutive year, down another 6 % in 2011 after a 9% drop in 2010 and 15% drop during 2009. However, with the cost per square foot at $100, the White Bear Township market is faring better than other communities in the north and east Twin Cities metro area. The average sales price for a home in White Bear Township is now just under $190,000 and remains an affordable area that is moving toward stabilization.

For additional details on the inventory levels in White Bear Township MN at the end of 2011, Click HERE.

White Bear Lake saw a huge drop in the amount of new homes listed on the market in 2011 compared to 2010 and closed sales shot up by over 22%. In this northern Ramsey County city, inventory is down. Prices didn’t rise though due to the lack of inventory, as the average price of a home sold in the city of White Bear Lake was home sales dropped by 16%. The price per square foot also dropped this past year from $110/sq ft to $98/sq ft. This is still higher than in other parts of the north and east metro area which is good. Most likely the cause of the drop in average sales price is the lack of high end buyers and abundance of short sales/foreclosures. The average days-on-the-market statistic is up substantially in 2011 from 132 days on the market to 173 days to sell on average. Sellers are negotiating a bit more as the percent to original price ratio did decrease by over 2% in 2011. Like last year any homeowner considering a move up in the White Bear area will continue to see opportunities as there is a demand for good starter homes listing and an abundance of higher valued homes to select from.

For additional details on the inventory levels in White Bear Lake MN at the end of 2011, Click HERE.

It's February 1st in Minnesota! So maybe you were expecting photo covered in snow and ice. Well, this winter has been so extremely mild, I figured I'd share a summer photo from the Train/Maroon 5 concert that was held in September at the Minnesota State Fair. Maybe I should be embracing the Winter Carnival events of this week rather than a summer event...but the ice sculptures have melted.

Anyone considering a relocation to the Minneapolis/St. Paul area but are afraid of Minnesota winters can rest assured that we often have some nice warm above freezing days in the dead of winter. Okay...full disclosure here...our temps for the week have been in the mid 30's to mid 40's ABOVE zero. That is not sleeveless weather but warm enough to keep the wool in the closet for a few days!