Longfellow Nokomis Real Estate Guide

Minneapolis Neighborhood Associations

On snowy days like this, I just want to hibernate! Yes, I'm a native Minnesotan, but that doesn't mean I have to like being out on cold, windy, snowy days! So today, I hibernate.

Tucked inside, at my desk catching up on some web surfing and reading; I received an email from Rita Ulrich, Executive Director for the Nokomis East Neighborhood Association (NENA). Rita often sends out emails on upcoming town hall meetings, updates from the Minneapolis Police Department, and general neighborhood news. Taking a few minutes to periodically check on your neighborhood association's website is a great way to stay in touch and see what's going on in your backyard.  Afterall, you have to take a break from shoveling sooner or later! 

More Resources:

The Nokomis East Neighborhood Association Website 

The Longfellow Community Council

Live in a different Minneapolis Neighborhood? Check out the Minneapolis Association Directory

Search for homes in Nokomis

Statistics- I love 'em!

Here's a quick update on the Longfellow and Nokomis Minneapolis Neighborhoods.

LONGFELLOW: 

In 2008 there were 606 listings.  In 2009 there were 538 listings, a drop of 11.2%.

In 2008 there were 351 closed sales. In 2009 there were 382 closed sales an increase of 8.8%.

In 2008 the median sales price was $188,500. In 2009 the median sales price was $171,500, a drop of 9%.

 

NOKOMIS:

In 2008 there were 1196 listings. In 2009 there were 1327 listings, an increase of 11%.

In 2008 there were 678 closed sales. In 2009 there were 840 closed sales, an increase of 23.9%.

In 2008 the median sales price was $208,000. In 2009 the median sales price was $189,950, a decrease of 8.7%.

For both Nokomis and Longfellow the percentage of the sale price received compared to the list price is above 95%, among the top in the entire city.

MY TWO CENTS:

While there are fewer listings on the market, there are more sales. We had a great 4th quarter in 2009, and I expect we'll see a great first quarter in 2010. The extended tax credit is a great motivator! 

 

Market is Back Up and Running

First,  sorry Blog.  I moved this summer into a wonderful large home that needs lots of work.  So I've been distracted with all that work.  Plus I was crazy busy until the first weeks of November.

Yes last fall was crazy.  Buyers were motivated to take advantage of the first time home buyer tax credit, and I was involved in multiple offers on a weekly basis.  This all stopped when the government passed an extension for the credit.  The sense of urgency went away and everyone seemed to take a breather for the holidays.

Second, the holidays are over and the market is back up and running.  New listings are coming on at a fast pace and showings are up too.  My buyer clients had no choice but to take the holidays off as there were no new homes to see.  But now they are eager and ready to see all the new listings as they hit the market.

If you are considering selling in the near future, you might want to make that near future nearer.  Buyers are motivated to find a place before April 30th to claim their tax credit.  And if you've owned for more than 5 years, you can get your own tax credit if you sell and buy and new place.  $6500!  Not too shabby!  If you are asking, "Should I sell now or later?" The answer is:  NOW!

New Homebuyer Tax Credit Bill To Be Signed Today!

What are the specifics?  Well you'll be able to use the $8000 on contracts through April with some expanded income qualifications.  And you'll be able to qualify for up to $6500 even if you're NOT a first-time buyer.  You will have to have owned your current home for 5 years.  This leaves some people out who could really use the $6500, but hopefully it will lead to better inventory for all the first-time buyers.

Check out this news brief from the National Association of Realtors for a break down of changes from the old bill:  http://www.mnrealtor.com/AM/CM/ContentDisplay.cfm?ContentFileID=2950&MicrositeID=0&FusePreview=Yes

Minneapolis Parks Celebrate Halloween

For the kids - dare to visit a MPRB rec center and have a howling good time this Halloween…..HAVE FUN AND BE SAFE! 

Keewaydin Park, 3030E. 53rd St.
Saturday, Oct. 31, 6-8 p.m. – Haunting Fun welcomes ghosts, goblins, witches and every other haunter come for some tricks and treats, a coloring contest, crafts and more. Free; no pre-registration required. Call 612-370-4956 for more information.

McRae Park, 906 E. 47th St.
Saturday, Oct. 31, 6-8 p.m. – Spooky Fun at McRae Park features games, treat bags and more. Open to everyone, but especially the younger goblins. Free; no pre-registration required. Call 612-370-4909 for more information.

Minnehaha Falls Park, 4801 S. Minnehaha Park Dr.
Saturday, Oct. 31, 2-4 p.m. – Minne-ha-ha Falls of Fun Halloween is a family event with kid-friendly musical entertainment, hayrides, creepy crawly creatures to check out (courtesy of the Park Board Naturalist Program) fortune-telling, marshmallow roasting, and a trail full of costumed characters for trick-or-treat. $2 per person; pre-register online at any south Minneapolis park, at www.minneapolisparks.org, or pay the day of the event. Call 612-370-4923 for more information.

Pearl Park 414 E. Diamond Lake Rd.
Friday, October 30, 10:30 a.m.-12:30 p.m. – Preschool Halloween Party featuring a western-style ghost town. Come dressed in costumes for a tour of the “I Spy” room, craft project, games and concessions (small fee), all set up like the Wild, Wild West. Join the costume parade at 12:15 p.m. $2 per person; pre-registration is required at www.minneapolisparks.org – Recreation Centers – Pearl Park. Call 612-370-4906 for more information.

Sibley Park, 1900 E. 40th St.
 Friday, Oct. 30, 4-5:30 p.m. – Rec Plus Halloween Party for 12-year-olds and under with plenty of tricks and treats. Free; no pre-registration required. Call 612-370-4954 for more information.

City of Minneapolis Owes Those that Protect

Photo from Flickr

City Pages ran this story yesterday:

Minneapolis government knew there was a problem with the pension for retired police officers and fire fighter in 2004, but have just now put a plan into place. The shortfall of 22.7 million dollars (gulp) is from the pensions closing, and back when these contracts where negotiated, the city agreed to make up the shortfall. Whoever made that decision should be the one to cough up the money.

The plan, as it stands, is to raise our property taxes 11.3 percent next year, 61 percent of which will go toward the firefighter and policmen's pensions. If your property taxes are currently about $2500 per year, you'll be paying an additional $282.50 next year. Really over a year this isn't terrible. What makes me so angry is the rest of our budget that is already in the red, and this is money that could have gone for education or infrastructure.

It's one of those complicated situations where you know the men and women that have served the city deserve their pensions. You and I, who didn't have anything to do with the horrible contract that was put in place by the Ryback administration are the ones who will have to pay, and pay, and pay.

Minneapolis neighborhoods Nokomis and Longfellow market update

As we witness the harsh turn of the weather that has taken even the heartiest of Minnesotans by surprise, us real estate agents are typically turning the page and looking toward next year. Our year is coming to a close and our sales are typically winding down. Wow, not this year. Thank you $8000 tax credit!

If you're a first time home buyer that's already been in the market I'm going to tell you what you already know. We don't start to see trendsin statistics until the same numbers recurover a period of 30-60 days. Then, it takes another 30 days to digest them. So, these statistics reflect what we've already been seeing this summer in Longfellow and Nokomis.

It's a feeding frenzy out there!

 You've likely watched your email with anticipation just waiting for the next new listing to hit the market. As soon as you saw it listed, you called your agent to see it. You've left early from work, snuck out during lunch, and paid the babysitter overtime so you could be one of the first to see it, only to find out there was already an offer on it. It's the Cash for Clunkers dynamic infecting real estate.

 At least you know it's not just you!

The Minneapolis Association of REALTORS (r) has posted two interesting reports that show a successful summer for both Longfellow and Nokomis real estate. In fact, these reports show a relative shortage of inventory (homes on the market) for both Longfellow and Nokomis. Photo by Brenda Starr

Lender Mediated Sales

Longfellow has a 2.4 month supply of homes marked as "short-sale" or "foreclosed" in the MLS, and Nokomis has 2.6 month supply. We tend to think of a 5-6 month supply of homes as a balanced market. More inventory means it's a buyer's market, less inventory means it's a seller's market.

Traditional Home Sales

Longfellow was number one on the list (which means it has the shortest supply of homes) with a 2.7 month supply of homes being placed for sale by the homeowner (not a short sale of foreclosure), and Nokomis (4th on the list) has a 4.3 month supply. MLS Districts that have more than the 6 month supply of homes include: Fridley, Columbia Heights, Saint Louis Park, Spring Lake Park, New Brighton, Roseville, Daytons Bluff, Southeast St. Paul, and Phalen.

This means very good things for homeowners in Longfellow and Nokomis. Our neighborhood is in high demand. Basic economics tells us a shortage of supply and an increase in demand will drive up prices. If you're a buyer, it means you have to be quick on the draw, and don't hesitate when you find a home you like.

Blink, and you could find yourself in multiple offers, paying more for a home than you would have if you hadn't hesitated.

Photo by D Sharon Pruitt

$8000 Tax Credit Helps Sellers Too!

Hurry!  Your time is almost up.  The $8000 tax credit is only for first-time home buyers who close before December 1st.  Do the math...  If it takes 45 days to close after finalizing negotiations on a purchase agreement, that means you need to be in a contract by October 16th.  That's just fine if you are actively looking, but if you are still procrastinating meeting with a lender...uh...hurry? 

Should everyone run out and do this?  Well, probably not.  Don't make long term decisions like buying a home just to get your $8000.  Don't buy a home that you will out grow in two years.  Don't buy a home that you can't afford.  Don't buy a home if you might be moving to Washington D.C.

However, if it makes sense for you to buy a home in the next year, then I'm talking to you.  HURRY UP!  You might not find a home.  You might decide not to buy after meeting with a lender or real estate agent (I know a good one by the way).  But if you want to have the option, ACT NOW, or the decision will be made for you.

And if you're a seller, the time-line is even tighter.  Do you want the buyers rushing to find a home before the deadline to have your home to choose from?  Or do you want to miss the boat? 

Not sure what your home is worth (who is anymore?)?  Not sure if your home is in the price range first time buyers are looking in?  Not sure if you should replace that shag carpet and flocked wallpaper?  It's time to figure it out.  Call your agent this week.  Did I mention I know a good one?

Three Cheers for 3 Tiers!

This would be the obvious headline.  But the jury is still out on 3 Tiers. 

I made a stop in the new East Nokomis bakery and bought a half dozen treats to share and try. The most impressive thing I had was a mini key-lime pie tart with three fresh raspberries on top.  Tasty combination.  The key lime was especially tart, and the raspberries were especially sweet.  The least impressive was the lemon bar.  It tasted like sugar more than lemon. 

I really want them to succeed and offer another treat for those of us in East Nokomis, and another reason for people to travel to this side of the lake.  The atmosphere was lovely.  Crisp, clean, minimalist.  The sharp edges on the perfect shaped cakes assured you that the decor was intentionally sparse, and not just "yet to be determined."  And there were many treats yet to try.  The sign reads, Cakes, Truffles, and Tortes, and I did not try any cakes or truffles.

Any one else have an experience to share?

Too Busy to Blog

Dear Blog,

I'm soooo sorry.  This Spring has been crazy busy, and you've paid the price.  Good homes in popular neighborhoods are being snapped up like it's 1999.  But really Blog, it's not my fault.  If more people with good starter homes would put their homes on the market at appropriate prices, then I could get my buyers into those homes and have more free time to spend with you.  We could blog about which businesses haves closed (Firefly, Isabel's, Re Gifts) and which have opened (Nokomis Yoga, Nokomis Pet Clinic, Pizza Joe's).  We could post pictures of the first blossoms of Spring.  But alas, more of my Nokomis and Longfellow neighbors will need to take advantage of this market first.