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From My Home To Yours, Happy New Year!
LATE AGAIN: I’m the first to admit that sometimes I’m late for appointments. I’ve even been late once or twice sending out my holiday greeting and calendar for the New Year. But I’ve never this late. Maybe I’m genetically predisposed to lateness. Or suffer from the dilly dally syndrome. Whatever the cause, the result is the same. I’m regrettably late once again. No excuses, just a word of explanation for my tardiness. The calendar itself was printed and ready for mailing by FedEx Kinko’s when left town on December 28th to spend New Year’s in Florida with my family. But, my holiday greeting was only partially started. My plan was to finish it there and email it back to Kinko’s printing and mailing on the 2nd. That didn’t happen. My alternative plan was to finish it as soon as I got back from vacation. That didn’t happen either. When I arrived home on January 3rd, I returned with a cold picked up from a family member (who shall remain anonymous). I had laryngitis the first two days and then developed a sinus and ear infection. Not a great way to begin the New Year, but it can only get better, right? So I find myself today (Jan 11th) picking up the pieces and moving forward. IS THERE A HOUSING BUBBLE? And when will it burst? Inquiring minds want to know. We’ve all read about it in the newspapers or heard the chatter on TV. Did you know that there are housing bubble blogs on the internet, if you want to participate in the dialogue? I’m not an economist, just a real estate professional with some 11 years of experience in the Twin Cities housing market. So here’s my opinion. The housing bubble may not have burst (yet), but someone or something is letting out the air. Homes here are staying on the market longer, prices are coming down, and everyone is asking “Where have all the buyer’s gone?” While lower prices and high inventory is good news for Buyers, Seller’s are not so happy. In 2005, I had four listings expire without selling. Thankfully, the Sellers have not blamed me and will re-list with me in the spring. There’s only so much us realtors can do to market properties for sale. Patience is needed. Praying is helpful. Proper pricing and home presentation are crucial. AVERAGE SALES PRICES: Excerpt from the Minnesota Housing Report, Second Quarter 2005, Shenehon Center for Real Estate, University of St. Thomas: Housing prices over the time period from 1998 to 2003 grew nearly 5 times faster than inflation. Inflation increased approximately 13% over this period, whereas housing prices increased 62%. In the 18 month period covering 2004 and early 2005, inflation increased about 5% and housing prices have risen approximately 8%. Although housing price increases are still out-stripping inflation, housing prices have “cooled” somewhat to more steady rates over the past few years. Even over the period 1998 to 2003, housing price increases were greatest in the period 1998 to 2001 (an average increase of about 12% per year) and then fell off to an average 8% increase per year over the period 2002 (10% increase) to 2003 (6% increase). This trend has continued to be relatively stable in the most recent period. As can be seen below, the Twin Cities Metro area had the highest average sales prices (approximately 36% higher than the Non-Metro regions of the State). Of the Non-Metro regions, the West region had the highest average prices and the Southeast region had the lowest prices.
SALES PERFORMANCE RESULTS: I was pretty darn busy the first half of 2005 and had a record number of closings in July. But my business started to cool off in late summer. I had expected to reach my goal of 30 transactions in 2005. Instead I ended the year with only 20. As can be seen below, my total sales volume in 2005 was less than in 2000, when I had 33 transactions. My data underscores the inflation in housing prices we’ve witnessed in the Twin Cities Metro area since 1998.
INTERESTING CLIENT DEMOGRAPHICS: While your handy dandy 2006 Calendar puts a face on my 2005 statistics above, here’s a brief synopsis of my 2005 client demographics, including Who I served and What and Where they bought or sold:
I’m happy to report that in 2005, all my clients choose exclusive representation (Seller’s Agent or Buyer’s Agent contracts). I have only rarely engaged in Dual Agency, a matter of personal choice. HIGHLIGHTS FROM 2005:
YOUR 2006 CALENDAR: Your complimentary 2006 calendar is enclosed. This year’s cover features my own backyard winter wonderland. Inside pages are filled with photos of the people I helped in 2005 (plus two from Dec 2004) and photos of the homes they bought or sold. Also featured is the story of Sarah’s Stained Glass Windows (see Feb 2006) along with photos of my Thomas Ave Duplex Remodeling Project (see Nov 2006). When I purchased this duplex in 2003, I remodeled the upper level unit. This past summer, I remodeled the main floor unit and also replaced the single car garage with a new two-car garage. Above the 2007 calendar on the back page, you’ll find my family photo album highlighting my trip in April to London (column 1) and Barcelona (columns 2 and 3) with my sister Joan and mother Elsie in celebration of her upcoming 90th birthday, plus photos from the BIG birthday bash on April 25th in Virginia Beach (column 4), and photos from our Thanksgiving Holiday together in Virginia Beach (column 5). I’m also enclosing “Got My Life,” a song that I wrote at the tender old age of 23. It pretty much sums up my outlook on life, now and then. On the back of the song, you’ll find samples from my newest ad campaign, the Sod House series. Don’t worry; it won’t replace my ever popular Real Estate Fairy and Baby Ann ads.I hope you are doing just fine and that we’ll get to see more of each other in 2006! Wishing you hope, peace and equality this holiday season and throughout the New Year, Ann Leviton Ann Leviton (aka the real estate fairy) Got My Life
By Ann Leviton (1972) Got my life, got my friends Got myself, which I can give Got my dreams that need be shared Made a promise, I try to keep © 1993. Spiritwood Music Inc |
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2105 Southview Blvd. South St. Paul, MN 55075 |
Broker/Owner Mobile Phone 612-270-5722 Office 651-457-3369 Fax 651-457-9533 |
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