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Low Inventory: Buyer Considerations

3/11/2022

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As promised, we want to address your questions around the issue of low inventory; and we need to look at both seller and buyer considerations. As a seller, you have the opportunity to be in the driver's seat when low inventory markets arise. Most of our sellers, however, will also be buyers in the same "low inventory market." Let's talk about some things you might want to start thinking about, as you plan for your move.
  1. First... Do you understand "List Price?" Many markets offer the opportunity to bargain with sellers or request closing costs to help with the final figures at closing; however, in most cases, a low inventory market does not afford us this opportunity. The list price is always a data-based suggestion and is not often the final sale price. Low inventory markets place high demand on well-priced and well-marketed properties and, as a buyer, you must be able to wrap your mind around "the art" of offering. As we face many multiple offer situations in a market like this one, we must be ready to offer over the list price in order to win the home.
  2. Next... Do you have some extra cash? Many buyers have employed the tactic of offering an appraisal gap clause to their purchase agreement, especially when in multiple offer situations. This means that the buyer is offering a price that may be found to be over the appraised value and they win the home by ensuring that they will bring extra cash to the table to cover the spread between the offer price and the appraised value. There are many considerations in this tactic, so we can discuss them as you progress in your process!
  3. Finally... How flexible are you? Remember, sellers may be getting 3-20 offers from eager buyers who need to find a home. Consider whether you can be flexible on closing date, inspection (yes/no?), earnest money amount, rent back agreements, and many other variables that a purchase may entail? What are you comfortable with and how creative can we be, as we endeavor to win?

​These are just a few of the biggies, as we explore buyer considerations in a low inventory market. Do you have questions as you prepare to jump into this market? Call me, and let's chat about your unique situation and how we can position you to win the home you love!

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Back to Basics

1/20/2022

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​Well, it’s that time of year again, when I start receiving calls from clients and friends who are intending to make a move this year. What do I do to prepare for a smooth move? How can I prepare my home to realize the greatest gain when I sell? How am I going to find my next home; what options are even out there right now? Never fear! I am here to help and my team is ready to help you in 2022! This month, we will discuss top tips for listing prep and we will get to your other questions over the next two newsletters (or you are welcome to give me a call to discuss, if you are anxious to get rolling!).

​Top Tips for Prepping Your Home for Sale:

1) You know it… declutter! This is the least costly and most impactful improvement you can make. packing up items you don’t need right now (especially small knickknack items and antiques), putting away anything "extra," and removing extra furniture is a way to make your spaces look bigger and avoid distracting potential buyers.

2) Next… De-Home! Do your best to "de-home the home" by simplifying décor (think Pottery Barn). Take your personal style out as much as possible unless you have a very neutral style (again, think Pottery Barn). If you need help with artwork or rearranging ideas, just give me a call and we can work together to get you prepped and ready!

3) Super important… Call me and let’s do a preliminary listing conversation. I am happy to answer all of your questions and make sure that your listing process is simple, smooth and profitable. Don’t hesitate to reach out today and let’s get started.

We will chat next month about buying options and what the market outlook is for 2022. I guarantee you; if you decide to move, we will find a wonderful home for you and your family. In the meantime, let us know what you need when you need it; we are happy to help!

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Some Thoughts At Christmas time...

12/13/2021

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Wow! I think I say this every year, but WOW! I cannot believe we are on the precipice of another new year. As we enjoy the Christmas Season, our thoughts often turn to all of the things we have to do and all the presents we have to buy. But I wonder... maybe this year, we could allow our thoughts to turn to all of the people we care about?

As I open Christmas Greetings from family and friend and see posts and photos on social media with all of the people that are dear to me, I am hoping that this year I can take just a moment or two to consider the gift that those people are to me. I don't know about you, but for me, this requires a purposeful pause. As I look at this year's family photos (I love the "family photo Christmas Card", by the way!), I would like to pause, thank God for each one in those photos, and consider the ways they have contributed to my life.

I have much to be grateful for: A wonderful husband, the love of family and friends, amazing team members that I could not do this without, the BEST clients, prayerful ministry partners, and the Word that became flesh and dwelt among us. I could go on and on, but I won't. Suffice it to say, I am grateful everyday (even on my crabby days) and you are part of what I am grateful for.

​This Christmas Season, my wish for you is that you would also purposefully pause... and consider those who mean the most to you. Spend a few minutes here and there (as you check off those to-do's) considering the people who bless your life. Merry Christmas and many blessings to you in the 2022!

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Thankful

11/17/2021

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Isn’t it wonderful that we have a time of year that calls us to be thankful on purpose? We just automatically think of gratitude around this time of year. And what better place for our hearts to be than in a state of gratitude? With all of the strife in the world today and all of the items on our to-do lists that beckon us each day, we are gifted with a reminder to be grateful.
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So what are you grateful for and who are you grateful to today? We have a unique opportunity each and every day (not just during the “Thanksgiving Season”) to set our hearts right and begin our days with gratitude. And doesn’t that just frame your whole day in a different way?

Well, as you may know, our team is very grateful for each of you; not only at this time of year, but all year ‘round. We love working with you to realize your homeownership dreams. We find great joy in partnering with you to achieve the goals you have in mind. We love to be your resource for information, your guide through the process, and your sounding board as you make big decisions and want to recap the details and organize your thoughts.

As you consider gratitude today and into the future, you can remember that we are here for you, and we are grateful to know you and to be connected with you. Don’t ever hesitate to reach out when you need something we can help with, or just to say "hi."

​With gratitude, Angela, Eli, Lori, and Eri

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How Can We Help You Make More Money?

8/23/2021

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This crazy market continues to keep us on our toes! As we watch the trends in order to bring the very BEST marketing strategies to our clients, we notice that the Angels Sadat Group is consistently helping our clients to achieve the very BEST results in the sale of their homes. Every home we have listed this year has sold within the first week and all have sold well over list price. So, how can we do the same for YOU and make YOU more money on your sale? Here are just a few things that set us apart:
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  1. Marketing Strategy: Our goal is to make your home shine and stand out in the eyes of the buyer. By professionally preparing the home, highlighting all of the most important details and communicating effectively to the potential buyers and their agents, we are able to create momentum even before the listing goes live, which results in lots of eyes on your home, lots of showings scheduled and lots of buyers interested in writing offers!
  2. Negotiation Experience: When it comes to getting the best results, experience matters. After 18+ years in our local market, we have seen it all! Negotiation begins well before we receive offers. The messaging to agents and buyers is important and this is where our commitment to customized analysis of your unique property helps us to net you more money!
  3. Commitment to Excellence: We never take a good market for granted… our goals and strategies for our clients are constantly changing just as the market does. In a good market where most homes sell, our job is to focus on getting you the BEST buyer and the BEST price, as well as ensuring a smooth process to closing.
We are always working to make your moving experience fun (less stress) and fruitful (awesome results). Let us know how we can help you-we are happy to help!

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Writing To WIN!

7/23/2021

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It’s true. The market remains a "challenge" for buyers at all price points, and yet the market ebbs and flows each month, each week, each day. So, can serious buyers still secure superior properties as they compete in the multiple offer madness? Absolutely! I always like to discuss and analyze the unique buying power of each of my clients, and every situation is different. Overall, we want to write the cleanest offer possible. We write to win! So what does "clean" look like in today’s market? Here are just a few things we discuss:
  • Money talks! Many homes are selling over list price, so be prepared to put your best foot forward. If you have cash to cover an appraisal gap and a large down payment, you look even better to sellers, and just may have a leg up on your competition. 
  • Home to sell? Let’s find a way for you to be non-contingent. Creative financing options exist and you don’t know until you explore every option. Let’s chat! 
  • Inspection Contingency? Some buyers are forgoing this contingency, which sellers love. Other buyers choose to do a “Peace of Mind" inspection or they write a clause stating that they will not be asking for repairs.
  • Flexible close date? Excellent! Sellers are often suggesting their preferred closing timeframe and if you can work around that, you just might win!
This is just a sampling of what our buyers are writing in order to win. If you are wondering what you can do to win in this market and need help planning for success, don’t hesitate to reach out. We are happy to help!
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Does Marketing Matter in a Hot Market?

6/22/2021

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Many of our clients call us with questions that relate to the current market conditions and what they should be doing to prepare for a successful sale. With the lack of inventory, it seems you can literally "throw" your house on the market and expect an offer. However, is it merely and offer that you're looking for? Or is it the very BEST offer that you're looking for? 
 
I maintain that although it is true that our inventory problem has caused the rapidity of receiving offers to increase substantially; it is still in our clients' best interest to prepare well. And we are here to help! 
 
We are not merely looking for an offer. We would like to procure the very BEST offer with the very best terms and the absolute highest net dollar to our clients. To this end, we are still committed to doing the work that is necessary to achieve the very BEST results. We are committed to helping you prepare your home, to marketing your property with the same results-oriented and aggressive marketing we have always excelled in, and to strategically negotiate the very best terms and price for you... even in a hot market. 
 
Again, we're not looking for AN offer; we're looking to get you the BEST offer. Is this the type of commitment you're looking for when you move? We are here to help. Give us a call or reach out by text or email. We will give you peace of mind in your listing process because you can be certain that you're getting the best of the best at every step! 

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Why Is Inventory So Low?

4/26/2021

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There is a lot of confusion in our marketplace right now and our clients are wondering: Why is the inventory so low?? This question begs another question: When will this end?
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Well, these are great questions and there are several answers. Let’s talk about a few.
  1. Birth Rate: If we look at birth rates in the mid-1980’s and the increase from “Generation X” (55 million births) to “Millennials” (66 million), and that our Millennials are entering their mid-30’s right now (average home buying age), there is a clear correlation to the surge in buyer activity.
  2. COVID-19: The pause in materials production and builder activity that occurred at the onset of the pandemic, as well as continued interruption in production as well as supply chain interruption has also contributed to a lack of new homes in the marketplace. New homes help us to “create” inventory and fill the gaps in the existing market. With prices on lumber nearly tripling over the last year, builders are having a hard time keeping up with pricing, and some have even halted sales for periods of time in order to stabilize their process and projections.
  3. Large Investors: Investors see the opportunity that residential real estate offers. Commercial real estate has been a bit unstable, due to less demand in many areas; therefore, investors are invading residential. Many homes don’t even make it to market, as they are bought up by investors before they even list.
These are just a few factors, and they speak to the fact that this new normal in our market is not likely to go away anytime soon (if ever). As investors continue to jump into our market, we are finding that many of our first time homebuyers will have to remain renters, if they don’t secure a property soon. As pricing increases, more and more home buyers are being edged out of their opportunity.

As uncomfortable as this market can be, we are encouraging our clients more than ever, that if moving is on your horizon, sooner is better. I’m not saying we are becoming California, but we might be becoming California. As investor penetration increases in major cities, they find themselves in a predicament where homeownership just can’t make sense financially for much of the population.
 
Want to discuss how this affects you? Let’s chat. Call, text or email anytime to set up a quick consult. Facing reality helps us to navigate our options and set a plan for success!

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Success Stories!

3/23/2021

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We love helping our clients with their moving complexities. Sometimes the prospect of a move, with all of the “moving” parts, can seem overwhelming; and yet, we come along side to help to make the process as smooth as it can possibly be. We have been very successful in helping so many to achieve their goals, that I thought you might want to hear about it! Here are just a few of the complex situations we have been able to help with.
  • One family needed to sell their home before they bought, as they needed the proceeds from their current home to buy the next. We sold the home in under a week, secured their new home, and coordinated the closing dates to be the same day. We closed one in the morning and the other right after. The movers waited with their belongings during the second closing, and they moved in right after!
  • One client had a home in MN but lived in another state. They thought they’d have to come back to MN to deal with the renters and prep the home. Instead, our team was able to deal with all of those details here in MN and the client was able to entrust the entire process to us and relax. We coordinated repairs and cleaning, staged the home and got it sold, all within a couple of weeks of the renters vacating the property!
  • One client needed lots of advice regarding how to get a home sold that had not sold in over 6 months with another broker. We consulted on many details and made a plan to do some staging to highlight the unique floor plan and make it feel like home. We sold this extraordinary home in just a couple of weeks, by finding a buyer who loved its character!
Your situation is unique to you, and we are happy to work with you to make your move a reality, in the easiest way possible. The market is challenging right now, so there is no more important time to hire a team who has the experience and tenacity to navigate the new normal we find ourselves in. Call us today and let us help you with your plan for success!

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Sellers Needed

2/18/2021

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​Well, you have probably heard by now... "Unprecedented lack of available inventory" is the song we are singing in the real estate realm. Most of our cities are under 2 months of inventory and buyers are looking for homes! Many are looking for changes in floor plan and more space, to accommodate working from home and schooling from home. We also have lots of clients looking to move from their traditional 2 story home into a one level home. And yet, many are hesitant to list their homes, because they will then have to find a home to BUY... And that's the challenge. 
 
Never fear! We know that more inventory will come each month, and there will be homes to buy... for serious buyers. This is not a time to dabble in real estate; this is a market for serious buyers. When your motivation is there, the home shows up. I have experienced this hundreds of times and it never fails. Whether existing or new construction, somehow our buyers always find a great home when they're truly ready. 
 
Are you ready? Do you want to discuss your options to find out if you're ready? Please reach out! I'm happy to chat about your unique situation and help you to make a plan for your move. Whether you're ready to move tomorrow or in 2 years (or more!), we are always here and happy to help! 

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Woodbury, MN Buyers
Woodbury, MN Sellers
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Keller William Premier Realty
Angela Sadat Group
651-246-2739 Contact
angela@sadatsells.com
635 Bielenberg Dr #100, Woodbury, MN 55125
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