St. Cloud, MN - Real Estate Blog

I would like to thank the St Cloud Real Estate Investors Association (REIA) for allowing me to come and speak to them about the state of the real estate market in St Cloud MN last week.  I had a wonderful time and there were a lot of good questions being asked about what to expect with real estate, when will the bottom hit, and what to expect with property taxes in upcoming years.  For those of you who don't know me, I always enjoy the opportunity to stand on my "soap box" and preach about real estate.

If you would like to learn more about the new chapter of the REIA, you can take in one of their meetings on the 4th Thursday of every month at the Great River Regional Library.  If you have other questions, give me an e-mail at jason@stcloudedina.com and I will get you in touch with one of the group's members.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud MN.

http://StCloudEdina.com - Try the e-Market Analysis (free home value estimator).

http://JasonTangen.EdinaRealty.com - Search homes for sale in Sartell, MN.

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Posted by Jason Tangen at 01:35 PM | Permalink | Comments (0)

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With the recent high water marks being set by the Red River by Fargo, Little Rock Lake, the Mississippi and Sauk Rivers near St Cloud, and in many other areas a lot of people are asking me the question, "What do people do if their home is in the path of these Rivers?

Good question.  One of the greatest things about local government is their ability to help in times of disaster.  That is why we pay them taxes, isn't it?  To serve and protect?

Stearns County has stepped up to the plate by adding a ton of valuable information on their website for residents to view.  The specific page is http://www.co.stearns.mn.us/7064.htm.  They have everything from river crest information, where sandbag help is needed, and how to protect your health in cases of flooding.  If you have other questions or concerns, check out the Stearns County Website or post your questions here and I will track down any answers.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud.

http://StCloudEdina.com - Home of the e-Market Analysis (free home value estimator).

http://JasonTangen.EdinaRealty.com - Search homes for sale in St Cloud MN.

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Posted by Jason Tangen at 12:10 PM | Permalink | Comments (0)

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I pulled together a stat today for an investment group that was just crazy.

Here's the set-up: Single family homes sold between 1/1 and 3/23 in St Joseph, Sauk Rapids, Sartell, Waite Park, and St Cloud.

Here's the numbers:

30% of all homes sold in 2008 during this time frame were bank owned.

59% of all homes sold in 2009 during this time frame were bank owned! 

A seller asked me some time ago - "Where have all the buyer's gone?"  The better question might likely be "What are buyers looking for in a home?"

It looks like by these numbers that the answer is price.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud.

http://StCloudEdina.com - Get a free list of the bank owned properties on the St Cloud MLS.

http://JasonTangen.EdinaRealty.com - Search homes for sale in Waite Park, MN.

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Posted by Jason Tangen at 08:25 PM | Permalink | Comments (0)

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I have a plea that I would like to put out to all first time home buyers who are real excited about getting a ton of money by buying and fixing up a foreclosed property.  Before you decide to make that purchase, look real hard at your situation and the whole picture involved in buying distressed properties.

First thought - If you don't have the money for closing costs and down payment, then you obviously will not have the money to do repairs.

Second thought - I know that everyone in your family is a licensed contractor (listen to the sarcasm there), but do they have a lot of free time that they want to devote to you.

Third thought - How much spare time do you have in your day to tinker around on a house?  If you work 10 hrs a day, while it might be fun at first, when the novelty wears off you aren't going to want to tinker with Sheetrock at the end of a long day.

I bring these thoughts up because I have seen way too many people (mainly first time home buyers) go out and buy a foreclosure with some grand plans for repair.  Only to find out that they lack both the time and the money to actually repair anything in the home.  Don't get me wrong, sometimes buying a bank owned home is exactly what a person should do.  But there are other times when a person might be better served looking at some smaller, better maintained homes to start with.  Remember, as a first time home buyer you are looking to buy a "starter" home.  Make sure you are getting off to a good start.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud MN

http://StCloudEdina.com - Get a free list of the bank owned properties listed on the St Cloud MLS.

http://JasonTangen.EdinaRealty.com - Home of the e-Market Analysis on-line home value estimator.

Best on the Internet for Real Estate St Cloud MN

Posted by Jason Tangen at 06:36 AM | Permalink | Comments (0)

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So, as I had posted earlier, I am doing a little trimming from my budget and taking a little closer look at some of the frivolous things that I spend my money on from day to day.  My goal - to shave $100/mo off my home/work budget.

Step #1 - Removed cable.  While many people are going out to buy high-definition TVs and other fancy electronics, I don't use mine enough.  For all intensive purposes, the only TV that I watch is on the major networks (FOX, NBC, ABC, and CBS).  Further research shows that you can get most of their television programming on-line, just one day later.  Savings - $50/mo.

Step #2 - Stopped drinking Coke (and all soda in general).  I really love me a good Coke, but I have stopped buying them.  I went through approximately 2 - 12 packs every week.  Savings - $33/mo.

Step #3 - Meet for coffee instead of lunch.  I am a notorious "I will get it, you get the next one" kind of guy.  I usually meet at least one person for lunch every week and the bill is generally right around $25 when you add in the tip.  Instead, I am now going to meet over coffee (roughly $10 with tip).  Savings - $64/mo.

So far I am at a savings of $147/mo.  To be honest, I think I can do more.  New goal - find an additional $53 in savings and shave a full $200/mo off my budget.

It's scary, but this is kind of fun.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud MN

http://StCloudEdina.com - Home of the e-Market Analysis (free on-line home value estimator).

http://JasonTangen.EdinaRealty.com - Search homes for sale in Foley, MN.

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Posted by Jason Tangen at 07:43 AM | Permalink | Comments (0)

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I obtained these figures from Page 19 of the Spring 2009 issue of USAA magazine.  They have their source listed as the National Association of Home Builders (NAHB).

We know that construction costs havegone up in recent years, but how much??  I looked over some of these numbers and it really puts into perspective the problem that many home builders are facing in our current economic climate.

Framing and Trusses:

•    2002: $27,887
•    2007: $34,600

Insulation:

•    2002: $2.387
•    2007: $3,471

Drywall:

•    2002: $8,047
•    2007: $11,185

Tiles and Carpet:

•    2002: $6,506
•    2007: $11,058

Plumbing:

•    2002: $8,229
•    2007: $11,753

Siding:

•    2002: $6,411
•    2007: $12,476

Exterior Door:

•    2002: $1,143
•    2007: $2,080

Foundation:

•    2002: $10,512
•    2007: $15,249

Cabinets and Countertops:

•    2002: $6,568
•    2007: $12,477

Electrical Wiring:

•    2002: $5,011
•    2007: $8,457

Windows:

•    2002: $4,966
•    2007: $6,322

Roof Shingles:

•    2002: $3,941
•    2007: $7,070

Stairs:

•    2002: $863
•    2007: $1,674

TOTAL CONSTRUCTION COSTS - EXCLUDING LABOR:

•    2002: $151,671
•    2007: $219,015

It is very easy to understand why builders are not putting up that many spec homes in the area.  As the values keep declining (to a point where we are similar to 2002 median prices on homes) and construction costs keep rising it is impossible to compete with a new home.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud

http://StCloudEdina.com - Home of the e-Market Analysis (on-line home value estimator)

http://JasonTangen.EdinaRealty.com - Search Open Houses in Sauk Rapids MN

Best on the Internet for Real Estate in St Cloud MN

Posted by Jason Tangen at 05:32 AM | Permalink | Comments (0)

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I had the chance to work at the Central Minnesota Builders Association's (CMBA) "Home Show" on Friday and spent a good portion of the afternoon on Saturday walking around the show to see what was available.  There was definitely a lot more people there this year as compared to last year.  What a great sign for some of the home builders who have been struggling in recent times.

I am always impressed with the great show that the CMBA puts together every year.  They always find a way to pack the St Cloud Civic center to the rafters with some phenomenal exhibits.

If you want to check out the Home Show, today is your last chance.  Tickets are available at the door for $5/adult (kids 12 and under are free).

To find out more about the CMBA's Home Show or the upcoming Tour of Homes, visit their website at http://CMBAOnline.org.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud MN

http://StCloudEdina.com - Home of the e-Market Analysis (on line home value estimator).

http://JasonTangen.EdinaRealty.com - Search homes for sale in St Cloud MN.

Best on the Internet for Real Estate in St Cloud MN

Posted by Jason Tangen at 06:43 AM | Permalink | Comments (0)

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I was pulling some statistics yesterday, and was really intrigued at how similar some of the Sold-to-List ratios were in both bank owned properties and the homes that people are trying to sell (not bank owned).  For easy reference, we will call them foreclosures and non-foreclosures.

Here is what I found*:

Foreclosures:

   Days on Market:  75

   Sold Price/List Price:  95.8%

   Sold Price/Original List Price:  85.6%

Non-Foreclosures:

   Days on Market:  143

   Sold Price/List Price:  95.4%

   Sold Price/Original List Price:  88.2%

What can I conclude from this data?  I can conclude that both foreclosed and non-foreclosed property owners are on average "wheeling and dealing" about 5% from their current MLS list prices.  It would seem that the banks are doing a much better job of dropping their prices more quickly to get their homes sold twice as fast.

If you are thinking about quoting any of these statistics for any work, please give me a call at (320) 492-2667 first.  While I am able to pull stats for just about everything from the St Cloud MLS, it is in fact the property of the St Cloud Association of REALTORS.  I just want to verify that the St Cloud Area Association of REALTORS knows how and where their information is being presented.  Thank you.

*Statistics from information obtained on the St Cloud MLS on March 10th, 2009.  This information is pertaining to the residential properties listed on the St Cloud MLS that have sold from the time frame of Jan. 1st, 2009 - Mar. 10th, 2009.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud MN

http://StCloudEdina.com - Get a free list of the bank owned properties on the St Cloud MLS

http://JasonTangen.EdinaRealty.com - Search homes for sale in St Cloud MN

Posted by Jason Tangen at 06:39 AM | Permalink | Comments (0)

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I am frequently reminded by my wife to be aware of the "little things" that I spend money on.  I always respond the same way: "What do you mean??  I don't spend any money."

For the next month, I suggest that we all take a little extra time to analyze our entire budget.  This includes the little pack of gum here and there, the extra quick purchases at the grocery store (I am so guilty of this one - I just bought at least $50 of extra stuff that wasn't needed while grocery shopping today), the soda at work, or that cup of much needed coffee in the morning.

Here is my goal:  Even though I don't think I spend a whole lot of extra money, I will have a plan in place at the end of the month that will save me at least $100/mo before summer.  I'll get back to you and tell you what I have decided to cut out.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud MN

http://StCloudEdina.com - Home of the e-Market Analysis (free home value estimator).

http://JasonTangen.EdinaRealty.com - Search open houses in Sauk Rapids, MN.

Posted by Jason Tangen at 10:02 AM | Permalink | Comments (0)

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I would like to say a quick thank you to "Cowboy" Dave Faust, owner of the Law of Attraction Center in St Cloud, MN.

I have known Dave for several years through church, the St Cloud Area Chamber of Commerce, and working with his lovely wife Pam during my days with Coldwell Banker Herges Realty in St Cloud.

Because of the recent state of the real estate market and the amount of bad vibes that come to real estate professionals, I asked Dave to stop by and do a quick pick-me-up for some of the agents in our office.  For those of you who aren't aware of the Law of Attraction or haven't read or seen "The Secret," give Dave a call.  He'd be glad to get you on board with his brand of thinking.

Dave came out and did over an hour presentation for what was really a very fair price (especially considering what you pay most motivational speakers).  He went into everything from which wolf you decide to feed within you (once again, you'll have to ask Dave) to simple steps on how to release the bad things that happen to us during the day.  We all know that it is better to release vs. bottling up our emotions, but how??  Ask Dave.

I couldn't thank Dave more for agreeing to speak with us and I know that all of the agents truly enjoyed his presentation.  More importantly, they all took something away from his presentation that will help them in their work and home life.  That's what matters; not that it makes you feel good but rather that it teaches you something.

If you would like to learn more about "Cowboy" Dave Faust and the Law of Attraction Center in St Cloud MN, give him a call at (320) 251-6112 or visit his website at http://www.LawOfAttractionCenter.com.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud MN

http://JasonTangen.EdinaRealty.com - Search open houses in Minnesota.

http://StCloudEdina.com/blog - REAL ANSWERS for REAL ESTATE in St Cloud MN

Posted by Jason Tangen at 11:12 AM | Permalink | Comments (0)

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I would like to question USBank's recent home equity line of credit ad campaign that I will affectionately call "...with your house."  For those of you who are not AM radio dwellers in the car or at work (like me), you can catch these ads on AM 1240 WJON and 1390 The Fan.  They go something like this:

With rates at historic lows there may never be a better time to pull out an equity line against your home.  Then they proceed to go into everything that you could potentially do with this money.  For example you could buy a car... with your home, consolidate debt... with your home, etc.

Does anyone else find this sort of ad irresponsible at this time or am I alone?  President Obama is looking to have a $70+ billion dollar housing package aimed at helping homeowners refinance to lower rates because they have NO EQUITY IN THEIR HOME!  Why are we trying to encourage other people in good standing to join them?

Ultimately, it's your money.  You can do with it whatever you like.  Maybe it is a good thing to have people pulling more credit and start buying cars and boats.  We can jump start the economy with money we don't have.

Or maybe we should be trying to save some money??

As always, your thoughts on this matter are greatly appreciated.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud MN

http://JasonTangen.EdinaRealty.com - Search homes for sale in Stearns County MN

http://StCloudEdina.com - Home of the e-Market Analysis (free home value estimator)

Posted by Jason Tangen at 10:49 AM | Permalink | Comments (0)

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Here are the numbers of total residential homes that were sold in each area during last month.

North St Cloud - 14

South St Cloud - 8

East St Cloud - 1

West St Cloud - 8

Sauk Rapids - 7

Sartell - 6

Waite Park - 3

St Joseph - 1

If you would like more data for real estate sales in central Minnesota, give me a call at (320) 492-2667 or post your requests here.  I can pull together just about any real estate related data that you would like from specific office sales to average sales prices and more.

Jason Tangen, GRI - Real Estate Broker Associate with Edina Realty in St Cloud MN

http://StCloudEdina.com - Home of the e-Market Analysis (free home value estimator).

http://JasonTangen.EdinaRealty.com - Search real estate in St Cloud MN.

Posted by Jason Tangen at 10:39 AM | Permalink | Comments (0)

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I would like to take the time to personally thank Jill Sieben for the gifts that she has been able to get me over the past few years from Cutco Cutlery.  With everything from regular cutlery to hunting knives and even ice cream scoops (don't laugh - my ice cream scoop is better than yours, guaranteed!) Jill will be able to help you with some of the toughest people on your shopping lists.

I met Jill through the St Cloud Area Chamber of Commerce's Friday morning "Chamber Connection" meetings.  Give her a call at (320) 260-5517 to learn more about her and Cutco Cutlery in the Central Minnesota area.

Jason Tangen - GRI, e-PRO - Real Estate Broker Associate with Edina Realty in St Cloud, MN

http://StCloudEdina.com - Home of the e-Market Analysis (Free home value estimator)

http://JasonTangen.EdinaRealty.com - Search homes for sale in Sartell, MN

Posted by Jason Tangen at 12:22 PM | Permalink | Comments (0)

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