Cassie Frick Real Estate

For Sale: 4BR/4BA Single Family House in Plymouth, MN, $279,900

2012-01-20T13:07:00.000-06:00

Wow- Amazing new listing today up in Plymouth---- so excited about marketing this one! For Sale: 4BR/4BA Single Family House in Plymouth, MN, $279,900

Inventory vs. Pricing

2012-01-13T09:05:00.000-06:00

Kare11 did a great story today about the local real estate market--- explaining some of the recent market statistics, and giving more insight to what those numbers will mean to consumers. I thought it was great:
Click here to read the full story....

Buy now or wait for a price drop?

2011-12-20T10:54:00.000-06:00

According to the December issue of Money Magazine, it may not pay off to wait for prices to fall on the house of your dreams. Working with a purchase price of $250,000.00 on a conventional loan (20% down payment, 30-year fixed mortgage) two different scenarios are given.

SCENARIO 1: BUY TODAY at a 4.2% interest rate= $978 monthly mortgage payment
SCENARIO 2: WAIT for the home price to drop 5%, but mortgage rates rise 1/2 a point to 4.7%= $985 monthly mortgage payment

As you can see, waiting for home prices to fall isn't necessarily going to save you money, particularly if interest rates creep upwards while you're waiting. Timing this market is tricky, to say the least, and a lot of the time it comes out a wash in the end...
The lesson here? If the perfect house is sitting in front of you today, and you're able to get it for a price that makes sense for you (and for the current market), don't wait---- you may not be saving as much as you think by waiting for the price to drop. Get a good agent who can negotiate a great price for you and take advantage of the low interest rates now.

Edina Realty Pulls Its Real Estate Listings from Third Party Aggregators

2011-11-23T06:13:00.000-06:00

Citing a multitude of reasons that affect both consumers and REALTORS®, Edina Realty leadership decides to pull its real estate listings from third party aggregators Trulia.com and Realtor.com
Edina, Minn. – Nov. 18, 2011 – Edina Realty leadership has decided to pull the company's real estate listings from third party real estate aggregators such as Trulia.com and Realtor.com. Edina Realty will no longer list its properties on Trulia.com starting Nov. 30, and Realtor.com in the "near" future.
"We're confident that our decision to pull our listings from Trulia.com and Realtor.com is the right one for consumers as well as our agents and brokerage," said Bob Peltier, president and CEO of Edina Realty Home Services. "Our clients are number one. And we have an obligation to represent them according to a specific code of ethics and state law. That means we are invested in the integrity of the information we publish on their behalf. The inaccuracies we've seen on third-party aggregator sites give us cause for alarm, and the reality is that we are no longer willing to surrender our business – or the consumer's real estate experience – to third party aggregators, who are not required to operate under the same rules and laws as brokers."
"Furthermore, it's not my concern what other brokers are doing with their listings; they own them. That is why we haven't made a public statement about this until now. I understand that some brokers may not be in a leadership position and able to break ties with national aggregators, but Edina Realty is," he said. The company fully participates in listing information sharing known as broker reciprocity with other brokers in its markets. That means all brokers publish each others listings to their websites to give consumers a full database of properties. "But these other brokers are required to play by the same rules and code of ethics that we are, and they also value the accuracy of their information," Peltier added.
Peltier believes that non-broker sites such as Trulia.com and Realtor.com have created confusion for consumers. Inquiries to these sites are sometimes routed to agents who know nothing about the property and may not even be familiar with the neighborhood. These agents may not have the support, ability or desire to respond to a property inquiry within 30 minutes, whereas Edina Realty has a local, fully-staffed Customer Service team available seven days a week to help customers and support Edina Realty agents. What's more, the property information itself is sometimes even incorrect or outdated on third-party aggregator sites, and consumers may not even be able to tell who the actual listing agent is - the most knowledgeable resource for the property. According to a recent data quality study conducted by Trulia.com and published on Inman.com, 69 percent of errors in online real estate listings information were directly related to third party syndication of information by non-MLS sources.
"We don't rely on national sites for business. We drive our own business, and we have the analytics to prove it," Peltier said. "We already know that edinarealty.com is the most popular real estate website in our region, and we look forward to concentrating our efforts on continuing to maintain our strong presence while providing consumers with accurate information and a superior real estate experience."
Edina Realty, a subsidiary of HomeServices of America, is one of the nation's largest real estate companies with approximately 60 real estate offices throughout Minnesota, North Dakota and western Wisconsin and nearly 2,100 REALTORS®. Edina Realty's family of companies includes Edina Realty, Edina Realty Title, and Edina Realty Mortgage. Edina Realty handled more than 25,000 transactions and $5.3 billion in sales volume in 2010. For more information, visit www.edinarealty.com For more information, visit www.edinarealty.com or find us on Facebook: facebook.com/EdinaRealty; and Twitter: Twitter/Edina_Realty.

For more information, contact:
Gena Henrich, Edina Realty
952-928-5069
genahenrich@edinarealty.com
or
Maria Verven, Verve P.R.
612-990-7328
mariaverven@edinarealty.com

View news release as PDF

The Twin Cities is where it's at!

2011-11-14T10:11:00.000-06:00

From Fox 9 News on November 8th....
Recently released housing numbers have showed that sales prices are down 7 percent in the seven-county metro, despite predictions from real estate experts that rock bottom had already been hit. FOX 9 News spoke with Chris Galler, CEO of the Minnesota Association of Realtors, about the metro housing market's health.
The numbers for September show that median sales dropped from $172,000 to $160,000 in the Twin Cities -- and new building is expected in 2012. Though values are going down, Builders magazine's annual ranking of housing market health put the Twin Cities at number one.
The list was based on projected price appreciation, population growth, income growth, and improving employment picture. According to the numbers, in the Twin Cities, home prices here are expected to rise 8 percent next year, the highest growth projected in the 100 cities analyzed.
A lot of analysts have predicted that 2012 will be the year banks catch up with all the foreclosures that have been hampering the market, but it's still unclear how long it will take for the market to stabilize.

Read more: Realtor Talks Metro Housing Market Health http://www.myfoxtwincities.com/dpp/money/realtor-talks-metro-housing-market-health-nov-8-2011?CMP=201111_emailshare#ixzz1dhFkUGgT

Mortgage Rates....

2011-09-26T12:43:00.000-05:00

For those of you who know me, "pushy" isn't really my style. I've always believed that people decide to buy property based on their own life factors, and me doing a 'hard sell' for real estate isn't necessarily going to make someone buy a property if they weren't already considering it.

Well, today I'm going outside my normal comfort zone to tell you: BUY A HOUSE.... SERIOUSLY, BUY A HOUSE.

I keep thinking that for buyers, things just can't get any better.... And then, they do. Rates again dropped last week, putting a 30-yr fixed rate at 4.0%, and an FHA 5-1 ARM at 2.75%. Seriously, if you don't own a house now, it's time to change that. Prices are down, interest rates are down. Inventory is also down, which (if history & the laws of supply & demand are any indicator) will drive prices upward soon.

If you can swing the monthly payments, and are ready for the responsibility of home ownership, it's truly time.

Dear Home Sellers...

2011-09-06T06:53:00.000-05:00

I'm feeling very frustrated today. Having just sold my own home last summer, I know that when your house is on the market every day feels like a week, and every day that goes by without a showing you begin to wonder, "Will anyone ever look at my house again? Will it EVER sell?"
And each time a showing request comes in you get that little pang, "This could be IT." You scrub, you clean, you deodorize, you stash, you illuminate, you vacate.... You come home to find no footprint marks on your vacuum lines, no business card of the agent who was supposedly showing the house, no lights have been turned off. Did anyone even show up?????
You wonder and you wait...

And then the feedback comes in... sometimes days later. Vague feedback (seriously, were they even in the house?), or sometimes no feedback at all. Even worse, the feedback that says something like, "Buyer doesn't want a house without central air conditioning." Let me tell you something, fellow agents: if a house without central air is a deal-breaker, look it up on MLS before you go out looking at houses. It says right on the listing report whether the house has it. Do you know that my sellers spent all morning cleaning, polishing, wrangling children and dogs, and making cookies for you & your buyers only to have you reject the house for something that you could've very easily seen online?

(Yes, agents...I know, I know... sometimes a buyer doesn't know what he wants---or doesn't want--- until he sees it. That will be an entry topic for another day.)

Ugh. On behalf of all of the decent real estate agents out there, I apologize to you, Home Sellers. Most of us try really hard, most of us give constructive feedback, and most of us know how to turn off a light. Hang in there. Statistics currently show that houses in the Twin Cities are selling after an average of 22 showings, so keep that vacuum handy--- it might take a while, but eventually you'll get just the right buyer with just the right agent and you'll get that SOLD sign up.

Market Update for August...

2011-08-16T20:57:00.000-05:00

Is it possible that we're FINALLY stablizing? The most recent market update would point that direction...
Below is taken from Edina Realty's monthly market update:

This month’s Market Update will be composed in haiku:
Fewer homes for sale
Sales activity rises
Balanced market looms
Okay, so maybe it’s not quite that simple, but sometimes it does help to break things down to their most basic elements. Now let’s do a more thorough analysis of July’s numbers and the impact the recent credit rating downgrade could have on housing.
According to the Minneapolis Area Association of Realtors (MAAR), new listings in the Twin Cities were down by 16.1 percent (a trend true for six of the past seven months), and pending sales were up 42.7 percent. Overall, the inventory of homes for sale has decreased 18.8 percent, which is great news for balancing the market. On that note, absorption rates improved as the months’ supply of inventory came down to 7.6 months, meaning it would take 7.6 months for all of the properties currently on the market to sell at the current rate of sales. A supply of around five to six months is considered a balanced market.
But what does that mean? Well, in real estate, we are always operating in one of three market types: a buyer’s market, a seller’s market, or a balanced market. The buyer’s market favors the buyer and is what we’ve been in for the past six years (sellers tend to make more concessions, cut prices, etc. in a buyer’s market). However, we finally appear to be trending toward a more balanced market where buyers and sellers will find themselves on a more level playing field.
So what about the recent credit rating downgrade’s effect on housing? It remains to be seen. While we don’t expect much of an increase in interest rates in the near future, job growth is still in the driver’s seat when it comes to a full recovery. Since July’s labor market posted strong gains, we’re hopeful it will continue to have a positive impact on our local housing market.
-Reprinted from Edina Realty's Market update...

Another GREAT new listing!

2011-06-23T22:59:00.000-05:00

Another great new listing today--- 12755 Diamond Court, Apple Valley. A fabulous 2-story walkout for $329,000. I'm so grateful for the opportunities that are coming to me this summer. Thank you to all my great sellers for trusting me with your homes!

New Listing--- 16524 Eagle Ridge Drive, Minnetonka

2011-06-22T22:01:00.001-05:00

I feel so lucky to be able to represent this gorgeous listing! 16524 Eagle Ridge Drive, Minnetonka... Coveted Minnetonka schools and Groveland Elemenary. 4 bedrooms, 4 bathrooms, $575,000.

'Tis the season...

2011-06-06T11:19:00.000-05:00

The last month has been insanity for me. Showings, listing appointments, purchase agreements, cancelled purchase agreements, rewritten purchase agreements, calls from clients at all hours, a husband who can't understand why I have to get to the office by 5am, and children who don't seem to remember who I am.
Sigh.

This, however, is what this job is all about. This business is about selling real estate. Handing over the keys to the bright-eyed new owners. Helping the sellers move to something bigger and better... or smaller and less expensive. The last two years have been really tough---- way more "sad" reasons for people moving than happy ones. But it's never been more satisfying. I'll take it. I may have to come show a house to you in my Team Parent Uniform from my 6-year old's T Ball game, but I'll be there and I'll make it happen. My mom told me the other day that she hasn't seen me this energized in years, so I know that all the craziness is actually doing good things for me. Thank goodness.

For Sale: 4BR/2BA Single Family House in Fridley, MN, $159,000

2011-05-02T13:37:00.000-05:00

Great new Fridley listing today. I'm truly amazed at the condition of this fabulous house... Everything is right there for a buyer---- 3 bedrooms on one level, a 2-car attached garage, a fabulous level yard with a great deck, a HUGE finished lower level, easy access to highways and to parkland. It's really a move-in ready property for only $159,000. If you know anyone who wants to be in the northern burbs, please encourage them to take a look! For Sale: 4BR/2BA Single Family House in Fridley, MN, $159,000

And so it begins...

2011-04-12T11:09:00.001-05:00

My front desk typically takes about 140 showing requests per week... In the last two weeks, they've been averaging 275 weekly requests---- practially double a "normal" week. Looks like spring market is finally here, after what feels like a four-year hiatus.
Lately, I've been basically living in my car and office, eating most meals from the microwave, and arriving at my office by 6am just to get caught up. HOORAY! While I miss my family (and I'm pretty sure my kids have forgotten what I look like), I can't tell you how great it feels to be busy.... Really busy.
In spite of what the media continues to report about the slumping housing market, I can speak from experience when I say that things are turning... and turning quickly. Buyers who have been putting off a purchase for the last few years (waiting for the bottom of the market) are starting to realize that things may not go much lower (and if they do, the projected interest-rate hike will probably off-set additional savings). Sellers who have been holding off on selling for the past few years (waiting for the turn-around) are starting to realize that they aren't necessarily going to be able to gain enough equity (via appreciation) in the next few years to warrant waiting any longer.
Let's face it. Most people buy and sell homes because they need to---- they get married, they get divorced, they get new jobs, they lose jobs, they have kids... Those things often necessitate a move that can only be delayed for so long, and I think the pent-up need for people to obtain new space is finally letting loose.
So, don't miss this boat---- if you have a house to sell, take advantage of all the buyers out there right now and get it moved... If you're a buyer, take advantage of the inventory and interest rates. In short, call me and let's get moving!

A good agent...

2011-03-28T10:13:00.001-05:00

A few colleagues and I get together once a week to brainstorm ways that we can improve our business processes. Recently, the discussion turned to the subject of what we were truly "good for..." Why do sellers hire us as agents? Beyond the obvious answer, "to sell their property," what is truly expected of us? We think we know, but I went looking for data to support the real expectations that sellers have for me when they hire me to sell their home. In my searches, I came across a few bits of solid data, but mostly I turned up articles (from non-agents) explaining all the reasons why NOT to hire an agent, and all the areas where my profession falls short.

While my first inclination is to defend my job to no end, the more I thought about it, I realized that it bears some consideration: you can sell your house without a real estate agent. It happens all the time. Similarly, you can do your taxes on your own.. You can write your own will... You can represent yourself in court. There are plenty of things that if you have the time, energy, patience, and knowledge you can absolutely do on your own, and selling your house is one of them. It certainly isn't rocket science, but, like writing your own will and representing yourself in court, the risks might be fairly great if you make an error.

As I read the articles from people who sold their homes themselves and swore that hiring an agent was an utterly unnecessary waste of money, they all had a similar theme---- they'd all had a bad experience with a real estate agent in their past, and decided that "this time around" they were going to do it themselves. The agents that they had worked with brought absolutely no value to the transaction... And I don't just mean 'value' in a monetary sense; the agents that were deemed 'worthless' by the authors of these articles hadn't relieved the sellers' stress, hadn't negotiated the transaction well, hadn't saved the sellers any money, and had (in some cases) actually caused more problems than they solved.

Sadly, not all of us agents are fabulous. Like every profession, we've got the good and we've got the not-so-good. To get a real estate transaction closed successfully, we have a list of 180 line items to complete --- and those are just the bare-bones. A truly good agent will do much, much more...

The good agents out there will not only help you sell your home for more money, but will know just how to get the home into the hands of the right buyers. A good agent won't just take the pictures and put the house on MLS, but will know exactly how to frame the house online to entice the buyers to walk through the door. A good agent will be able to analyze the showing data, the online hits, the virtual tour views, and will know how to tweak each to get the greatest number of prospective buyers into your house. A good agent will know how to weed out the good buyers from the bad, not to mention will know how to interpret feedback from other agents who might come through the house. A good agent will help you get an offer and (if it's not a great offer) will know what to do to turn it into a great offer. A good agent has mastered the art of negotiating the transaction. A good agent has been around the block, and can draw on past experience to think outside the box to keep a deal together when it may be on shaky ground.

I think it also bears mentioning that getting the SOLD sign put up it isn't the end of the job. In fact, that's only about half of it. Once the offer is accepted, a good agent will make sure it actually closes on time and for the agreed-upon amount. A good agent can call bluffs during the inspection phase and will know the lock-tight verbiage to use to make sure that everything is clear and concise with amendments and there are ramifications for default. A good agent will know how to avoid and dissipate potential appraisal issues, and will know how to spot and quickly handle red flags.

Buying or selling a home continues to be ranked as one of the most stressful life events that a person can experience. Many of the people in my research stated that their agents did nothing (in the authors' opinions) to earn their commission... Hiring an agent isn't cheap--- don't hire someone who you don't feel is earning every penny that you're paying them. A good agent works hard for their paycheck and should live up to your expectations.

So... How IS the market????

2011-03-07T13:24:00.001-06:00

I have a good friend who's an actress. She'll occasionally get stopped in the street by fans, and the most recent time I was with her when it happened, I asked, "Doesn't that bug you, having people coming up and commenting on your work all the time?" I thought that maybe she felt it was intrusive. Her honest and immediate answer was, "Why would it ever bug me to have people coming up to me telling me how great I am and how much they love what I do?" Good point, dear friend.

As a real estate agent in 2011, I tend to get people coming up to me all the time, too. So often, in fact, that I should probably have some sort of T-Shirt made with my stock response. But unlike my friend, people who approach me normally do it with trepidation, much like they're about to ask me about the death of one of my loved ones. Their hand gently touches my arm, as they ask with grave concern, "How's the market? How are you doing?" We've all heard it; the market has been challenging (to say the least). My job hasn't been easy these past few years, but it has continued to be the best career choice I could ever imagine for myself. In spite of market challenges, my business has continued to grow 11+% year-over-year since 2007... Not bad for a supposedly horrible market.

So, how IS the market? A vague question, with an equally vague answer: "It depends." How you'll view this market and whether it's time to buy or sell now will depend heavily on your pricepoint and your goals. If you're trying to get the best possible deal, you'll fall into one of these categories:

Entry-level purchase:In the Twin Cities, this would be categorized as houses in the $150K-$300K pricepoint. I believe that pricing in that range has probably bottomed out, although there are areas of the Twin Cities that might see a bit more decline. However, it's important to remember as a buyer trying to get the best deal in this market that your mortgage interest rate also plays a huge factor in how far your dollar will go. Interest rates are poised to rise (a topic I'll tackle another day), and you need to remember that a 1% rise in interest rates equates to about 10% less purchasing power (in other words, if you're buying a $200K home today at a 5% interest rate, you'll pay the same monthly payment on a $180K home if interest rates go up to 6%). So even a moderate price reduction on a property still won't make up for the lost purchasing power if interest rates go up. If you're thinking about getting into home ownership, the one-two punch of affordability and interest rates is a nearly unbeatable combo right now.

Move-up Buyers and Sellers:I categorize this group as the price point of about $350K-$700K (in Minneapolis and the western burbs). Speculation says that prices here could go a touch lower still (driven by pressure of foreclosures and shortsales). Keeping in mind the purchasing power scenario from above, if interest rates were to rise a full point (which, again, they are poised to do), you (as a buyer) end up with the same monthly payment on a $450K house purchased a year from now as you would on a $500K house purchased today. So, if prices in this range drive down another, say, 5%, you're still coming out ahead by purchasing now.

As a seller in this price range, it's also very important to factor in your 'next step' when thinking about whether making a move now is the right thing to do... Assuming you sell and subsequently purchase a home within the same market timeframe, you'll recognize the same percentage "discount" of this market on both sides (in other words, you might sell at a 10% 'discount' over what you could've gotten in our peak market, but you're going to purchase a new home at that same 10% discount). If you're moving up to a more expensive home, you'd be wise to consider making your move now, as the actual money saved will be greater now than when the market bounces back. If you're dowsizing, you might want to consider waiting out a market turn.

Upper bracket:The upper bracket has been hard-hit in the last few years, and I think we have a little more pain to come. Lending restrictions have created a smaller pool of qualified buyers for these properties, and we're still seeing extended market times and an increase in lender-mediated properties in this price range. With pricing in this market poised to drop further (possibly 5%-10% in the next year), this could cancel out any benefit of the lower interest rates of today (vs the speculated 1% rise in the next year), making the timing of this market a probable wash.

As always:
Buying or selling a home isn't just about the financials, and it certainly isn't just about "timing the market." It's about making sound decisions for you and your family's current and future lifestyle and needs. The financial piece certainly has a role to play, but it's definitely not the only thing that should drive your decision.

If you want to talk further about the market, I'm always open to it. You'll be able to find me pretty easily. I'll be wearing the T Shirt that says, "Business is great, thanks!"

Fabulous new listing today.... 3 Mill Road, Hopkins, MN 55305

2011-02-23T12:22:00.000-06:00

Great new listing today --- See below for details! 3 Mill Road, Hopkins, MN Powered by Postlets

Well, whaddyaknow?

2011-02-17T14:40:00.001-06:00

I got an award this week for being one of the top 5% of all real estate agents in North America. I'm honestly not sure how that happened.

Housing Affordability Index?

2011-02-16T15:25:00.001-06:00

Housing what? The pros are constantly tossing around economic acronyms and statistics that can be really confusing---- what does it all mean? Today I'll address the "Housing Affordability Index." This is actually a relatively simple tool that allows us to determine exactly how affordable the median home is for someone with a median income. The baseline for the index is 100. When the index is 100, it means that a household with the current median income will have enough money to make mortgage payments on the median cost of a home.*

As the HAI goes up, it means that the median household can more-than-afford the median house payment.

Data is compiled monthly, and the current HAI in the Twin Cities is 241, according to the Minneapolis Area Association of Realtors. This means a household earning the median family income has 241% of the income necessary to qualify for a conventional loan covering 80 percent of a median-priced existing single-family home. Not a bad time to be a home-buyer!!

*Note that the HAI assumes that the buyer will be putting down 20% of the home's value in cash, thus the mortgage payment will be based on 80% of the purchase price. It also assumes the the mortgage payment (including principal & interest) will not exceed 25% of the household's total income.