Shakopee Real Estate Inventory Low

It seems within the last few weeks the Shakopee real estate inventory has dropped to recent lows. Last time I check all Shakopee MLS statistics there were only 265 Shakopee homes for sale. Typically the Shakopee MLS seems to generally support 300-325 Shakopee homes for sale on average, but I would attribute the low Shakopee real estate inventory due to less forecloses coming on the market and also a lot of sellers that may not NEED to sell, just staying put for the time being.  I am hearing from many buyers being frustrating with the lack of good quality Shakopee homes for sale on the market. It seems there is either a lot of unrealistically high homes on the Shakopee MLS for sale or there is a lot of plain junk homes out there. Banks keep saying they will be “releasing” more inventory, but I have heard that since the first of the year. Although we may be in a buyers market overall where many properties sit on the market, I have also seen many Shakopee real estate transactions with multiples offers. Make sure when looking on the Shakopee MLS you contact Shakopee real estate agents to find out if the home has any contingencies. Many buyers run into this frustrating situation and feel they are being lied to because many homes that are for sale on the Shakopee MLS can actually have contracts on the, but still show as active listings. My advice if you are looking to buy a home for sale in Shakopee is to be patient, act fast and be realistic. You Shakopee real estate agents know the market and can help put together a market analysis to advise you what a good price may be to come in at. Sometime even going over list price may be needed to get your offer accepted.

Handicap Accessible MN Townhomes For Sale

Finding a handicap accessible MN townhome is not an easy task. Many MN townhomes are just are not made to be 100% handicap accessible. Sure, even if you look at the MN MLS you might search using terms such as one level living or all living facilities on one level, but that doe not necessarily make the MN townhomes for sale handicap accessible. To me a true handicap accessible MN townhome will have switches accessible, wider door ways that are accessible via wheelchair, wider hallways and one large detail, NO STAIRS outside. So many “one level townhomes” have a stair or two to get in. I recently had a conversation with someone about how hard this can be if you are in a wheelchair.

If you are considering looking at MN townhomes and need a good, quality built true handicap accessible townhome, we have the perfect place for you. We will be listing a Shakopee townhome this week that has everything I said above and is such a good neighborhood with such wonderful people there. I may be a bit partial being my Mother used to live in the neighborhood before she passed away. Anyway feel free to give me a call on the home, it is at 1935 Boulder Pt in Shakopee and we will be listing the townhome soon for $175,000. This handicap accessible townhome is a 2 bedroom, 2 bathroom one level MN townhome with about 1400 sqft. It includes a two car garage, sunroom, gas fireplace and a nice layout. Feel free to contact me if you would like to set up a showing.

New Federal Program available for Homeowners on the Brink of Foreclosure

                On the brink of foreclosure?  The federal government has issued a new program that would give up to $50,000 dollars in “interest-free, forgivable loans” secured by liens against the existing home.  The loans would only be available to those in danger of foreclosure due to unemployment, underemployment or medical issues.  For all that apply, only 1,405 Minnesotan homeowners will be chosen from the pool of eligible applicants.  Applications will only be accepted through July 22, 2011.

                This program is supposed to reduce the number of foreclosures in the state by 5% or more, which is a step in the right direction considering the 25,673 foreclosures last year in Minnesota.  This will help current Minnesotans in foreclosure, but it is too late for people who have had difficulties from 2007-2010.  The program was created by HUD, which allocated over $50 million to use in Minnesota over the next two years.

                The main purpose of this new program is to help homeowners weather the downturn in the economy, but the program does reserve the right to cut off funding if a recipient’s income returns to original levels made two years prior.  Loans given to property owners will be forgiven by 20% every year, making the loans completely curable in five years.  However, government has set forth certain qualifiers to become eligible.  These qualifiers include:

  • Being unable to make mortgage payments for the past three months or longer.
  • Living in the house.
  • Have faced an income decline of at least 15% because of unemployment, underemployment, or medical issues.
  • Households of four within the Twin Cities must make less than $100,800 annually.

Once the July 22 application deadline is reached, applicants will undergo a more thorough screening process to become eligible for one of the 1,405 chances to receive a loan.  Given the unique nature of this program, many believe it is a one-time opportunity, so make sure to apply if you are an eligible homeowner!

If you would like to discuss your options, Tom Scott of Remax Advantage Plus and the Twin City Real Estate Team work with local attornys that would offer a free consultation and legal advice. Depending on your situation, the attorney may choose to work with you at no additional cost as they are also compensated by the bank during a short sale if you elect that as an option.

You can reach us at 612-384-2178 or TomScott@Remax.net

Shakopee Foreclosures? Use the FHA 203k loan program

Like many other MN Homes, Shakopee foreclosures are just as prevelant. To  purchase some of those detressed foreclosure properties you need a LOT of $$$$ to repair the MN homes to bring them up to par, because the banks won’t lend the money to buy the house until the repairs are complete. I recenlty had a client use a great program for Shakopee foreclosures. The program is called the FHA 203k loan program and I used Wells Fargo in Shakopee to do the MN FHA 203k loan program we just closed on. There are a few other companies that do the MN FHA 203k loan program, but not all loan officers do, so make sure to check if you are looking in a price range that may need repairs.

More MN FHA 203k Loan Program Information

  •  The downpayment requirement for an owner-occupant (or a nonprofit organization or government agency) is only 3.5% of the purchase price and repair costs of the property.

The MN FHA 203k loan includes the following steps:
A potential homebuyer locates a fixer-upper and executes a sales contract after doing a feasibility analysis of the property with their real estate professional. The contract should state that the buyer is seeking a 203(k) loan and that the contract is contingent on loan approval based on additional required repairs by the FHA or the lender.

Find an approved MN FHA 203k loan officer

-Submit repair bids from A LICENSED CONTRACTOR, if you are not licensed, you CAN NOT do the work.

The appraisal is performed to determine the value of the property after all repairs are completed, they don’t need to be completed prior to closing, but they do the appraisal as if those repairs were completed.

If the borrower is approved through the loan officers underwriting , the loan closes for an amount that will cover the purchase or refinance cost of the property, the remodeling costs and the allowable closing costs. The amount of the loan will also include a reserve of 10% to 20% of the total remodeling costs and is used to cover any extra work not included in the original proposal.

At closing, the seller of the property is paid off and the remaining funds are put in an escrow account to pay for the repairs and improvements during the rehabilitation period.

The remodeling can begin after closing.

Escrowed funds with the title company on MN homes are released to the contractor during construction through a series of draw requests for completed work. To ensure completion of the job, 10% of each draw is held back; this money is paid after the lender determines their will be no liens on the property.

If you would like more information about the FHA 203k loan program, a good loan officer familiar with the process or Shakopee foreclosure list make sure to contact me.

Search all Shakopee Foreclosure Listings

Smaller Shakopee Homes and Real Estate For Sale

Smaller Shakopee homes for and real estate for sale should be a consideration especially after the economy that we went through and still are in. Although you may long for a nice large piece of Shakopee real estate or one of those new construction two story Shakopee homes for sale with lots of square footage, that may not necessarliy be the best option depending on you and your family. If you have a larger family, you may want or NEED that space to have at least some of your “own. Most empty nesters tend to downsize and many other people are getting a smaller Shakopee homes for sale. Even with Shakopee new construction the builders have tapered down the massive 5000 sqft Shakopee homes for sale. There are some advantages when you downsize and there’s nothing wrong with getting a home on the Shakopee real estate market that is smaller. We at Remax Advantage Plus in Shakopee and the Twin City Real Estate have a list of reasons why this is a good option.

Increased Cash Flow

 If you’re spending less on your monthly mortgage payment, you are likely to have money leftover every month to reallocate for other investments, hobbies or desires. Maybe with less of a mortgage payment you can save for a fun family vacation!

More Time For You

Save another bill and getting rid of the in home cleaning service if you are too busy to clean.Having less fewer rooms and smaller spaces cuts down on the time  needed to clean and maintain your Shakopee home. Smaller Shakopee homes can reduce the time spent on housework and busy tasks, leaving more time in the day to do something else more enjoyable and fun.

Lower Utility Bills

 It costs a lot less to heat  and air condition a smaller Shakopee home than larger home with more square footage. Typically in spacer homes you don’t see vaulted ceilings which have a lot of dead air to heat to cool.Less square footage decreases the amount of energy expended. Reducing energy is better for the environment and helps to keep your home green.  Having a smaller Shakopee homes also make it less expensive when replacing air conditioning units and furnaces.

Taxes

Typically having a smaller Shakopee homes for sale have less taxes amounts. Imagine if you have a large Shakopee home with taxes of $4,500 per year instead of a smaller Shakopee homes with taxes of only $1,800 per year. Over a ten year period of time that adds up to $27,000! If you compound that with an 8% interest per year compound it would almost add to $41,500!

Reduced Consumption

Want to be green? If there is no place to put it, you’re much less likely to buy it. That means less money is spent on clothing, food and other goods.

 Minimized Stress

 My favorite is less stress! Having that large nut to crack every month can make life a lot easier. Less responsibility, less taxes, less housework, increased cash flow and greater flexibility to do the things you want to do equalall reduce stress. Shakopee home owners who have successfully downsized sometimes appear happier when they’re no longer overwhelmed by the demands of a larger Shakopee home.