Lack of Real Estate Inventory

Yes, you heard me correct, but what I should state is that there is a lack of GOOD inventory. Sure there are plenty of homes currently on the market, but many are short sale which can take months to complete, beat up foreclosures that could take thousands of dollars to make livable and many overpriced sellers still stuck in 2004 prices and thinking the market will turn around in the next year. Unfortunately for sellers I think it will take a lot longer for the current real estate market to rebound. Many agents state they can not wait for a “normal” real estate market to return, but I think this will be normal for the next few years. If you are buying now you are buying for a number of reasons, foremost, you need some stability and somewhere to live. You are also buying because housing prices have declined and you will be obtaining an interest rate only dreamed of even at the height of the market in 2004-2006.

If you are looking from new construction in Shakopee orare looking at purchasing aShakopee townhome you may be getting frustrated. I have had many buyers looking for all different kinds of homes and townhomes that I have worked with for the past few months that just are not finding that “perfect house”. I can’t blame them because I think I have stated to not buy a houses fivetimes more than I encourage my clients to go forth an purchase.  Regardless of Shakopee townhomes, single family , acreage or one level living we need more solid inventory. That is good new if you are a seller. Sellers with home priced well that show well are selling quickly and usually netting close to asking or in some case even above asking price.

 It seems the few homes out there worth buying sell in multiple offers because banks are trying to move homes quickly to move through their inventory and reduce their liabilities.  I do feel though that as we progress this spring we will see a flood of homes that will be coming to the market in what previously was known as “shadow inventory”that banks were holding on to. Fannie Mae will be releasing homepath properties later this year that buyers will only need to being 3% rather than the minimum 3.5% down payment and those home will also have waived appraisal saving buyer $425 in appraisal costs as well as no mortgage insurance saving buyers hundreds of dollars per month. For more information about those properties make sure you talk to a qualified Shakopee Realtor or Loan officer. Be patient and you will find the perfect home for you and your family. Do not let a pushy saleperson force you into something you are uncomfortable with, ultimately you will be the one living there and making the payments!