Minnesota is the 5th Best State to Live In – US News and World Report

July 14, 2023July 14, 2023 MaryLeave a comment

We all love a list and Minnesotans LOVE to rank on a list!

US News and World Report has ranked MN as the 5th best state in the US in which to live.

Coming in first would obviously be better and the transplanted Minnesotan in me doesn’t even want to look at who beat us (it’s UTAH?!?! WHUT?), I just want to join my fellow North Star state residents in the chest thumping a bit.

If you’re thinking about moving to the 5th best state in the US (according to US NEWS I’m surprised there isn’t an uprising of Minnesotans protesting this ranking) I do have a free relocation guide you can download, just click that link.

What inspired them to rank MN so highly? (but not high enough!) The rankings are based on criteria like the economy, education, fiscal stability, health care, infrastructure, natural environment and opportunity.

I’m going to hit these in order and give some context around what US News decided and why they may need to re-evaluate in the future.

three people sitting beside table — Photo by Pixabay on Pexels.com

The economy includes things like job growth, unemployment rate, and labor force participation as well as the business environment. Minnesota ranked 15th in the nation by this metric.

I don’t know when they did that ranking but I just checked the unemployment rate here and we are at 2.8%, so Minnesota is HIRING. If you’re looking for job opportunities this is a good place to look. We are also the HQ for 12 Fortune 500 companies and I believe that is the highest number for a mid-sized city. We are lucky in that our economy is very diverse and we aren’t tied to the fortunes of any one industry.

boy in green shirt — Photo by CDC on Pexels.com

Education: We ranked 21st for education and I am actually surprised by this ranking! MN prides itself on it’s educational system. This ranking takes into account k-12 and higher ed. For k-12 It measures state performance across the life cycle of a young person’s education, encompassing preschool enrollment, standardized test scores among eighth-graders, high school graduation rate and college readiness.

The higher education subcategory comprises metrics reflecting the share of citizens in each state holding college degrees, as well as college graduation rates, the cost of in-state tuition and fees, and the burden of debt that college graduates carry. Minnesota actually ranks #2 behind Massachusetts when you look at the number of residents aged 22-54 that have a college degree – 54% of people have one per the MN office of Higher Ed.

The state legislature JUST passed a 2.2 BILLION dollar funding bill in support of k-12 education in MN. A big component of this bill is a change in the way that education is funded, it ties funding to inflation so that education funding stays somewhat more current. It will be interesting to see how these changes affect the student outcomes and if it translates in the rankings later on.

Fiscal Stability

Again – a curious ranking at 21! We had a budget surplus of 17.5 BILLION dollars. The rankings looked at the ability of a state to meet their short and long term fiscal obligations. One thing we may have gotten dinged on was that a bonding bill at the super low interest rates last year did not pass.

three person looking at x ray result — Photo by EVG Kowalievska on Pexels.com

Health Care

We ranked 15th for health care. U.S. News examined metrics reflecting health care access, health care quality and public health outcomes. We ranked very well on mental health, we have low infant mortality, low obesity, low smoking rate, low mortality rates and a low suicide rate.

black and silver solar panels — Photo by Pixabay on Pexels.com

Infrastructure

We ranked #1 for infrastructure! We’re number 1, we’re number 1! This metric takes into account metrics such as a state’s use of renewable energy, the quality of its roads and bridges, and its residents’ access to high-speed internet. The state of MN is focused on renewable energy and providing high speed internet access to everyone in the state. The legislature just passed major investments in both and the state has set the goal of

establishing a standard to achieve 100% carbon-free electricity and 55% renewable electricity by 2040.
adapting our grid through transmission upgrades to enable greater reliability and renewable energy access and integration.
improving building codes and standards so that all new commercial and large multi-family buildings produce net-zero greenhouse gas emissions by 2036.

calm river — Photo by Anne Barca on Pexels.com

We ranked #7 for natural environment.

This takes into account air and water pollution. Not bad for an overall ranking, MN is trying to mitigate this and there are ongoing disputes about mining in Northern MN and what it does to the water.

woman draw a light bulb in white board — Photo by Andrea Piacquadio on Pexels.com

We ranked #9 for Opportunity.

The opportunity category encompasses metrics reflecting economic opportunity, affordability and equality within a state. This category focuses on gender and racial equity and access to education, the ability to achieve equal pay and the ability to access adequate housing.

When they look at these as a whole we end up at #5 in the nation! I’ll take it! Will you? If you have questions about anything related to living in or moving to MN, reach out. I love talking to people who meet me on YouTube or the blog!

Real Life Relocation

True tales of a move from TEXAS to Minnesota

April 14, 2023April 14, 2023 MaryLeave a comment

Every once in a while I am able to convince one of my clients that YES! They REALLY want to be featured on my YouTube Channel and let everyone know about their experiences moving to MN and if they have major REGRETS or if this was the right move.

My client Susanna and her family are one of many families that I have helped move up to the Twin Cities from Texas over the past couple of years and I convinced her to sit down for a conversation about how they managed their move and what it was like to live here through their first winter. One that was particularly tough and made even native Minnesotans question their sanity.

I did add chapters to this video, so if we are discussing a topic that isn’t hitting your question, you can look in the description box below the video and find the chapter that maybe answers the question you have. If you have other questions, I’d love to hear what they are! That helps me a lot to know what kinds of things people are curious about.

Living in Minneapolis · Neighborhood Tours

The Armatage Neighborhood in SW Minneapolis!

June 11, 2022 MaryLeave a comment

I’m sticking closer to home today and taking you on a tour of the Armatage neighborhood in Southwest Minneapolis! If you want to see what the homes and area look like – watch this video!

Homes in the Armatage neighborhood began to be built in the 1940s, and by 1960 most of the neighborhood was established. The homes in the area really reflect the time period, a lot of post-war (WWII!) bungalows and as the construction reached the ’60’s they began putting up what Minnesotans call “ramblers” and the rest of the country calls “ranch” homes. You still see some 1 car garages, and most garages are accessed off the alley which gives the street and yard areas of the homes a really beautiful feel because they aren’t broken up with driveways, cars and trashcans.

Prices

I did a comparison of median home prices for Armatage and the surrounding areas including Edina which is the suburb which borders the neighborhood on the west, the Kenny neighborhood to the east and the city of Minneapolis over all. You can see where Armatage stacks up and how it compares to prices in the city overall.

The highest priced home on the market in Armatage today is a house that was originally built in 1948, but has since undergone a complete renovation and has had a second floor added. It was priced at $799,900. It has 5 bedrooms, 5 baths, a 4 car garage and nearly 3,000 sf. This is not a typical home in the area, but we have seen a lot of homes pop upward like this as people try to stay in the neighborhood but want more living space than the 1940’s or 1950’s bungalows provide.

A more typical house for sale right now is a bungalow priced near the median at $445K, built in 1951 and still reflecting the character of the day. It has about 2000 sf and has 3 beds, 3 baths and a 2 car garage. The lowest priced home I saw currently listed is at $285, a 3 bed, 1 bath home that has been used as a rental and can probably use a bit of TLC.

Neighborhood association

Armatage has a very active neighborhood association and they hold several events throughout the year including a chili cook off, a holiday light display competition, free movies in the park in summer, a fire-on-ice winter celebration with bonfires and ice skating at the park rink, food truck nights and a summer festival. If you have children the park district has after school programs through community education at Armatage Park Community Center and they also have all day programming there throughout the summer.

children s team building on green grassland — Photo by Lukas on Pexels.com

In addition to the focus on kids, the community center also hosts events like “Tech Help for Seniors” and a community garden tool swap.

Schools

Children in the neighborhood are currently zoned for Armatage Elementary (formerly a Montessori magnet school) In 1952, the Armatage Community School was built, children move on to Susan B Anthony Middle School which is International Baccalaureate School, and then Southwest High School.

Neighborhood Amenities

Armatage has a close community feel and has the benefit of easily accessible local favorites for restaurants including Pizzeria Lola, Red Wagon Pizza, Book Club, Colita, & Cafe Ceres. It’s a quick ride to shopping to Edina for Southdale Mall or any of the surrounding shops and restaurants including the Galleria for more upscale shopping. Groceries are easy to find at nearby Lunds and Byerly’s or Kowalskis, or if you’re just down the street in Edina you can hit Whole Foods or Trader Joes. Costco people will find the St. Louis Park location the closest – but in my opinion it’s also the craziest one – always mobbed and worth it to drive to Eagan or Eden Prairie instead.

cup of aromatic cappuccino on table in cafe — Photo by Maria Orlova on Pexels.com

In addition to the large community park, Armatage is well located to reach the paths around Lake Harriet or Minnehaha Creek. As with all areas of Minneapolis, there is a large focus on bicycling and public streets have bike lanes which are heavily used. The city of Minneapolis also has sidewalks lining both sides of the street so you’ll be safe if you decide to walk up to the lake or creek as well.

white bicycle road sign — Photo by Cristiana Raluca on Pexels.com

If you’re curious about other area of the city or suburbs, check out my playlist on YouTube! I cover a bunch of them and I’m always adding more, if there is an area that you’re interested in and you don’t see a video – reach out and I may add it to the list, but can at least answer questions.

Home Buying · home selling · market updates

Minneapolis Real Estate Market Update Feb 2022

February 28, 2022 MaryLeave a comment

A month goes by in a hurry it seems, so here we are! Did a month make a difference with the real estate market? YES. It is notably busier!

Click here to watch. 🙂

I don’t think I’m telling you anything you don’t already know, but the real estate market is on fire. Someone hit the gas pedal on the housing market in February and they have a lead foot. What does this mean specifically? Let’s look at the twin cities housing market as of Feb 18 2022.

signages for real property selling — Photo by RODNAE Productions on Pexels.com

If you are a seller – LIST NOW and you’ll be partying all the way to the bank.

Just about every listing is getting multiple offers in the first couple of days. The supply of buyers is so great and the supply of homes is so low right now – 15% fewer listings on the market than last year at this point!

Why are sellers hesitating? I assume that it’s because they are worried about finding THEIR next home. As an agent that represents a lot of buyers, I can tell you that sellers can not only command great prices for their homes they can still get a closing date that suits their needs. For example, if a seller is considering putting their home on the market, but are worried it will be gone in a blink, there is a great likelihood that the seller can ask for and receive a 60 close, flexible closing, or recently I’ve seen them asking for a seller’s home purchase contingency or lastly a rent back situation after closing remembering that most conventional loans require the transaction to close in 60 days on the buy side so no long term rentals this way! but this way the seller will have cash in hand and be able to buy while also have a roof over their heads while they wait for their next home to be available.

One of the things that I really like about real estate is that EVERYTHING is negotiable – as long as the parties work it out (within the law!) and get it in a signed contract, the parties can work together to find a solution that works for everyone. Do you have a creative way to structure a contract that lets everyone get what they need? Bring it up and there may be a way to make it work out!

This past week we had offer acceptance rates at 15%, which means that sellers are receiving 6-7 offers on average. But the average for the month is hovering around 35% according to Home Free Transaction Coordinators. I’ll give you more info on what they see in a successful offer after I take you through current market conditions.

Absorption rate

It’s a seller’s market, but to what degree? In the past I’ve explained that the way that we determine this is based on the absorption rate or how many months worth of housing inventory we have at a given time if nothing new were added to the market. 5-6 months is considered balanced, more than that is a buyer’s market and less is a seller’s market. Obviously the more extreme the number the more it favors one or the other. That obviously varies by housing type.

Single family homes have a .56 months (about 17 days) supply now as compared to one year ago when they were at .62 (about 19 days). We have started this year off with available inventory down by 21% year over year. New listings this month are down by 15% from last year.

I was looking for a bright spot and looked at new construction. Builders are responding to the need for houses and have started increasing their production too.

This image shows the big dip and now the increase starting in single family new builds between $400 & $600K. Its not dramatic, but any amount helps – if you have 50 more houses that’s 50 buyers that have found something.

If you have been thinking about selling and are curious about what your home is worth today, let me know. I’ll give you a free estimate of what your home is worth today – absolutely no obligation, just for your information if you want to know – just send me an email. We need homes and now is definitely the time to get the maximum amount of money out of your sale! mschumann@kw.com if you’re curious. I’m happy to do it.

Townhouse/ Condo properties are at .97 months (29 days) vs 1.13 a year ago (34 days). Prices on Townhouses are at a median of $267,000 which is UP 12.2%. Average days on market for a townhouse is down 26% to 14.

Condo prices are at a median of $195,000 up 6.6% from last year and are on the market for about 30 days. If you are a first time buyer or someone that likes condo living, this is the softest spot in the market today and your biggest opportunity.

Single family homes in the 14 county metro area have a median price of $370,000, a gain of 12.1% year over year. They are on the market for NINE DAYS. Only about half of what we saw a year ago. And don’t fool yourself thinking you have 9 days to think about it, this is a listing going live on a Thursday, showing through the weekend, closing offers on Sunday and allowing a 5 day inspection period before heading to pending.

The combined absorption rate (all property types) is at .67 months or 20 days of inventory as opposed to one year ago when we had a whopping .75 months or 22 days of inventory.

What can you do if you’re a buyer?

Here are my suggestions and strategies:

1.my office posts properties to agents internally that are off market and that sellers are willing to part with before going onto the MLS, so having that network available helps a lot!

2. make sure you see what is available in “coming soon” and get in there quickly

3. even better if you have the nerve- offer “sight unseen” while in this status. if the seller will do it, you can usually negotiate an inspection this way and if there is something wrong with the property get out of the contract without losing your earnest money, this does require a good offer out the gate. It’s not a way to get a bargain, but is a way to quit losing in multiples.

4. make your offer more appealing are to offer appraisal gap coverage. This means that if you are financing you are stating that you have the ability to make a larger downpayment in order to cover the gap between your offer and what the bank is willing to loan you, having cash is a very important piece of the puzzle in this environment. You can offer any amount of appraisal gap coverage – it doesn’t have to be 100% of the difference!

5 Look at “wallflowers” these are properties that have been on the market for longer than 4 days. This means they have made it through a weekend without getting an offer and may be more willing to negotiate or look at a reasonable but not extreme offer. These can be homes that a buyer got cold feet on, that their financing fell through or other scenarios.

6. Don’t ignore properties that need work! You can get a home loan that rolls a remodel into it. Not everyone can look past a dirty unfinished basement but it’s rarely a bad investment to add finished square footage to a house – especially in an in demand neighborhood.

7. Do you have time? Offer on new construction. You eliminate multiple offers and choose your finishes. Just be aware that contracts allow builders to cancel your contract if the price of materials goes up and you can’t cover the increase. Don’t get yourself in too deep.

8. There aren’t a ton of these available but spec houses are a good option. They may be completed new builds OR they may be nearly completed with an estimated move in date already.

9. my last option coming to mind to look at loans that allow you to offer as if you’re offering CASH – without a financing contingency. This seems like a HUH??! moment, but in my video next week I’ll interview a lender with a program like this that may give you a leg up and I’ll post it here, of course!

Accepted offers

OK – lets look at what’s been going on with offers per HFTC:

Buyers are waiving inspection 46% of the time, this is a lot, but that also means that 54% of the time they are getting an inspection.

Off market sales are at 12% – this is the “private listing network” that I mentioned where agents that have upcoming listings market them internally first.

Sales Contingent on the sale of the buyer’s home is down to 5% of the time.

Average sale to list price is 103.2%. I don’t know where these are happening because my buyers have been offering at 15% over and losing… We would be happy with 103%!

Cash is at 17% of offers, Conventional at 69%, FHA has ticked up to 5%, VA is at 0.

Hey! I would love to hear from you in a comment or an email or a smoke signal … reach out if you have questions!

Living in Minneapolis

Is MN affordable? Cost of Living update Minneapolis 2022

February 6, 2022February 7, 2022 MaryLeave a comment

A lot of people say that they choose to move to Minneapolis because it’s a nice sized city with an affordable cost of living. Most of the people that I work with are moving to Minnesota from out of state and are often coming from more expensive parts of the country. But not everyone is! Today I want to take a look at the cost of living in the Twin Cities and how it compares to some other areas that I see people coming from as well as other cities in the Midwest.

How is Cost of Living determined?

“Cost of living” is a term used by economists and it’s actually an INDEX, so every place in the US is compared to the national average, which is considered 100%. If a city has a cost of living lower than the national average, it will be expressed as some percentage less than 100 and a higher than the national average cost of living will be a number that expresses HOW MUCH higher than the national average it is as in 100+ x%.

Cost of living in Minneapolis

The magic number for Minneapolis is close to 103% of the national average. This index is broken down into segments like housing, transportation, food, and entertainment and then the number given is the one that consolidates all of these.

Having a cost of living index of 103% of the national average is really a comforting number if you’re looking for an affordable city! I’m going to give you the current COL #’s for other cities in the US as well as cities specifically in the Midwest so you can see how we stack up. Remember that this is looking at ALL areas of the country and typically urban areas are much more expensive.

Housing

black handled key on key hole — Photo by PhotoMIX Company on Pexels.com

Housing is the most expensive part of nearly everyone’s budget. Minneapolis is at 117% of the national average. If you’ve ever seen one of my market update videos you’ll understand what drives that, but its a combination of low housing supply, low interest rates and a big bubble of first time buyers that are hitting the market right now.

Food

Here in Minneapolis we are right near the national average for food pricing, sitting at 101% of the national average.

Transportation

For transportation costs, Minneapolis sits higher than the national average at 108%. This includes an average of cost of gasoline, car insurance and maintenance expenses, and mass transit fare for the area. I was a little surprised by this one because I just returned from a trip to NE Ohio and gas prices were consistently higher than what I have paid in MN everywhere east of us. According to AAA, auto fuel prices in MN are LOWER than the national average.

Healthcare

computer desk laptop stethoscope — Photo by Negative Space on Pexels.com

Healthcare is at a wonderful 75% of the national average! The past couple of years have shown us all how important this piece is for everyone, and not only are our costs lower here, but we also have access to some of the best healthcare in the world with the Mayo Clinic being located within easy driving distance of Minneapolis and many high quality hospital systems within the twin cities area itself.

Micellaneous Costs

people in concert — Photo by Sebastian Ervi on Pexels.com

Miscellaneous costs come in at 108% these include those goods and services not included in the other cost of living categories, including clothing, restaurants, repairs, entertainment, and other services.

Compared to other large metros across the US

If we compare Minneapolis to large metro areas like New York, San Diego, or Chicago we see that, no surprise, it’s more affordable here.

Housing in NYC is 441% HIGHER than Minneapolis, and cost of living there is 141% higher, San Diego is 35% higher overall with housing 110% higher, and Chicago – where I came from – is 15% higher overall but housing in particular is 54% higher than Minneapolis.

Housing is the biggest driver of whether an area is affordable or not – we all need a roof over our heads!

Coming from Texas

I see a lot of people coming to Minneapolis from Texas, most commonly the Austin area, but definitely from all over and Austin is actually coming in at 4% less expensive than Minneapolis. Rents are higher in Austin, but median price to purchase a home is slightly lower there.

Other Midwestern Cities

Looking closer to home, at smaller cities in the Midwest, Madison WI is actually MORE expensive to live in than Minneapolis – housing is 8% higher, food 3% more expensive and healthcare a whopping 19% more expensive.

Minnesotans will definitely question why anyone would pay MORE to live in Wisconsin. I mean. It just doesn’t make sense.

Milwaukee WI (if you love your Pabst!) is the bargain area with overall costs being 2% less, but still getting you where it hurts if you need to go to the dr.

Bargain Cities of the Midwest

Saint Louis has a 17% lower cost of living index than Minneapolis. Everything from housing, transportation, entertainment is lower – they do come in slightly higher on food and Des Moines Iowa is also a bargain, coming in with a lower cost of living on every metric and the net saving is 24%!

grey arc building under blue sky — Photo by Brittany Moore on Pexels.com

If you have questions about living in or moving to Minneapolis or the twin cities reach out! I’m happy to help! If you’re curious about different neighborhoods or suburbs, check out my playlist on my YouTube channel where I talk about exactly that!

Home Buying · home selling · market updates

Twin Cities Real Estate Market Update – Fall 2021

November 5, 2021November 5, 2021 MaryLeave a comment

Let’s talk about the Real Estate Market in the twin cities! It’s been a little bit since I’ve done one of these updates, and typically there is some seasonality to the real estate market, with a big slow down in the fall as holidays approach and things picking up in the early spring. Is that the case this year? Let’s find out!

So, how’s the market? If there is one question every agent hears all the time, this is IT! And I think everyone knows the market has been GREAT for sellers and really rough for buyers, so the question is has that changed? The information I’ll give you here applies to the 7 county metro area, but you should know that every neighborhood has its own micro market and behaves a bit independently from the whole, this information is just a snapshot of the general market behavior right now, if you’re curious about your own little niche – let me know and I get you more specific #’s that apply to your specific area in the metro – just send me an email about that and I’m happy to help.

I was able to get a look at some historical data comparing this year to 10 years ago and one of the things that stood out were that the # of active listings that are available to be sold has continually decreased to nearly HALF of what we had then – we had 10,229 homes to choose from in 2016 and now have only 5,692. This isn’t sudden, it’s a distinct trend line going down over the past 10 years. The inventory issue did not sneak up on us and it isn’t going anywhere.

If it’s prices that are freaking you out they peaked in summer and we are now seeing the fall dip. So this could be the time to get a better deal on a home than getting into the scrum with everyone else during peak season.

If you remember from other updates, I like to reference the “absorption rate” how many months would it take for the market to sell or absorb all the homes for sale on the market if no others were listed?

5-7 months worth of housing inventory is considered “balanced” and any number of months less than that indicates a sellers market and a number HIGHER than that is a buyers market.

Right now we have 1.03 mo supply of single family homes, 1.34 mo supply or condos and townhomes, and 1.12 combined mo supply of homes total. A very distinct sellers market! STILL! but better in some degree than earlier this summer when it was less than one month – somewhere around 2-3 weeks, and that takes into consideration days on market and active contingencies like inspection. Reality was that things were sold in a couple of days. And that is STILL the reality depending the price point, condition and the location of the home.

Pricing Trends

Let’s look at what sellers are deeming a good offer right now:

Offer Acceptance Rate: 62% -this has been as low as about 33% this year
Inspections Waived: 31% which is down from the highs over 50%. I am still seeing this come up a lot in multiple offer situations, and if people are bidding on a competitive house getting an inspection can still be a sticking point.
Pre-MLS Sales: 2.74% – this is lower than it’s been for most of this year – we have seen these off market properties make up around 5% of sales over most of the summer
Average Purchase to List Price: sellers are getting of their asking price 100.67% – great news for buyers and not awful news for sellers. You’ll probably get your asking price.

I will say that this is much MORE likely if it is a single family home as condos and townhomes are still soft spots.

The most recent 3 transactions that I have had have ALL had multiple offers, (7-9 offers), one had an accepted offer at 10% over list price, one at nearly 6% over list and the last I don’t know the outcome because we didn’t get it but we offered (and lost) at 10% over list and were told they accepted a cash offer with NO contingencies (no inspection!).

All of these homes were in the tightest price bracket of $300-$500K. No matter what the statistics say this continues to be an area of really fierce competition when it comes to homes that are in high demand areas and in good condition.

Financing Types:

Cash 14%, – if you have the means to make this kind of offer it can really give you an edge. I am aware of some mortgage products that allow you to make a cash offer so if you’re in a competitive price point, and feel like this might be the answer, know that there are options out there and I give help you find out about this.

Conventional loans are still the big dog at 74% of loans.
FHA represented 10% of the accepted offers which is a nice bump up! This is great to see for people that may be first time buyers and need the extra room that an FHA loan grants them. It’s just been difficult to get an FHA loan accepted in this market when you’re being outbid by people that can guarantee appraisal gaps or provide other financial incentives (like cash purchases!).
VA 1% still a tough spot to be in , if you’re not familiar with VA loans, they are a zero down loan. This is a really tough spot when appraisal gap coverage is needed, so if you’re in a position to take any other type of loan, that would probably be beneficial to your offer.
USDA 0% – these are typically on land or rural purchases, seeing a low number here for a metro area is not surprising.
Other = 1%.
Seller Paid Closing Costs: 31% – this keeps going up!
Home Warranties: were included 9.6% – another statistic on the rise – so these indicators all show a very slight softening from the harsh days of early summer for buyers
Contingent Upon the Sale of the Buyer’s Property: 7.5% A little lower than we’ve seen in other months, but present!

Thanks for stopping by! If you’re interested in learning more about the different neighborhoods and suburbs around the twin cities, check out some of my videos highlighting those! I have a playlist dedicated to this with lots of good information if you’re thinking about making a move.

Uncategorized

Savage MN – a bit of a secret on the south side…

September 21, 2021September 21, 2021 MaryLeave a comment

Check out my video if you want an “in-person” look…

The city of Savage wasn’t named for anything terrifying – it’s actually named after Marion Willis Savage. Marion Savage owned the champion race horse “Dan Patch” in the early 1900’s and if you live in or move to MN you will likely hear that name from time to time. If you know the origins you’ll be ahead of nearly 90% of the people that live there! You’re welcome!

There is a street on the State Fair grounds named after the horse and Prior Lake HS (which serves kids from Savage) named their football stadium after the horse as well.

Savage is what I would consider a bedroom community (if you haven’t heard that term before it simply means a place that people live but don’t work there).

I stopped into the library to check it out and while I was in there I spoke with the librarian to see if I was missing something – a central downtown that I had somehow overlooked?? The librarian agreed with me that Savage is really a community that just grew up in the farm fields as the area near Minneapolis developed rather than growing up around a central downtown.

“City center”

So Savage is by definition, NOT a walkable community, cars will be a major part of your life in Savage.

Instead of a downtown area, there is one central point that I would consider the “civic center” of Savage. You’ll find the Savage library (which is large, modern and pretty – it seems like an enjoyable place to spend some time), the town hall, the post office,& the police and fire stations all in this one area.

A bonus that I noticed when looking at their web site, the city offers free notary services to residents. That could be your tipping point when weighing your options!

Housing

Before I ventured out to Savage I looked at the homes listed in the MLS to get a sense of the range and what types were available for sale right now – there are some really beautiful townhomes that are in the low to mid $200’s, and prices go up to the mid $700’s for homes. The most expensive listing right now in Savage is for the remnants of a farm and will likely be sold for land development at close to $1M.

Single family home prices in Savage Sept 2021

Median price for townhomes in Savage September 2021

I added this because I think there is good value in moderately sized homes.

Shopping

Shopping in Savage is limited to a few smaller shopping centers as compared to nearby Burnsville which has an abundance of stores, shopping centers, chain restaurants and a mall. If you live in Savage you’re likely to get your groceries at the Super Target, the HyVee or Cub Foods. If you like Costco like I like Costco, rest assured that there is one Savage adjacent in Burnsville.

Schools

Savage is served by 3 different school districts, so again, this is a case where if you have a preference for a particular school district you should verify the school boundaries and that your home lies within the district that you want to have. The three districts that serve Savage are:

Prior Lake – Savage district 719
Burnsville-Eagan-Savage district 191
Shakopee District 720.

There are 6 elementary schools, 2 middle schools, and 1 high school serving Savage. In addition, Savage has a Spanish immersion school, an alternative school, and 2 early learner schools.

Parks

black and brown miniature schnauzer lying on green grass field — Photo by Sebastian Coman Travel on Pexels.com

Savage does have a few parks, and I think that there are often play lots for kids in the subdivisions, but they may lean heavily on the regional park that borders the south side of the city – Murphy-Hanrehan Park.

It’s a very large park and it made me think a bit of my other favorite regional Park – Lebanon Hills in Eagan. The Park offers a LOT of activities – Boating, Camping, Single Track Mountain Biking, Fishing, Hiking, Snowshoeing, Snow Mobiling, x-ctry Ski Trails, and 2 off leash dog parks – you can buy a day or an annual pass for the dog parks. One of the dog parks at Cleary Lake allows the pups to go for a swim. Savage does have one other dog park (I believe this one is part of the Savage Park district rather than the regional park, but it is Free.

Unlike other suburbs, Savage doesn’t have an aquatic center or anything like that, but they have a partnership with LifeTime Fitness for use of their indoor and outdoor pools.

Property Taxes

For this one I will defer to the Scott County MN web site because property taxes in Savage vary by which school district the home is in and the value of the home. So you can get an estimated rate quite easily on their site if you are curious as to how they vary.

Fences, Chickens and BEES

And to answer my always asked questions: YES you CAN have a fence! The city regulates the type, workmanship and height depending on where it will be on your property, so you’ll have to check that out. Also – YES – you can have YARD BIRDS. Chickens and BEEKEEPING are allowed.

Savage is a great place to consider if you want a quieter lifestyle & don’t particularly care if the city provides a bunch of amenities which you may be able to easily access in nearby communities. If you want a relatively easy commute to either Minneapolis or St. Paul, or need to be able to get to the airport without a lot of hassle, this is a good option. Home prices in Savage are more affordable in pockets than they are in other parts of the metro and may be a good place to look if you are a first time buyer or if you just don’t have thee budget to live in other more expensive areas of the city.

Home Buying

Reasons you should RENT and not BUY… PLUS a resource if this is you.

September 5, 2021September 5, 2021 MaryLeave a comment

Sometimes RENTING is the way to go. If you are moving to (or within) Minneapolis I’ll give you some reasons why you may want to choose RENTING a house or an apartment vs buying one.

I see people juggling this decision about where to live daily. A lot of people WANT to buy, but certain circumstances may mean that renting is actually the best choice, at least for now.
The number one reason people that I speak with most often are looking for a rental is that they are moving to the Minneapolis area from out of state. Not everyone is ready to buy sight unseen (but if you are I have a video about how I help people do that!). In this tight market, if you can possibly avoid having a home sale contingency on your offer you are FAR better off and that means there will be a period of time where you may be without a permanent home and need a place to rent.

A lot of my clients move to Minneapolis because they have been freed from having to work in an office and now work remotely and can live where they choose. This means that they have a LOT of options – that’s both a good thing AND a bad thing. Having the flexibility to explore without committing to a particular neighborhood is a great reason to rent! If this is YOU, let me know – I put together a list of rental options specifically with this in mind, you can email me and I’ll send it to you.

Most often people I work with that are relocating to Minneapolis may be looking for a short term rental to use as a base while they house hunt. I do not work in rentals for several reasons, but I am happy to email you a list of resources that I have recently compiled of places to start your search.

When you don’t have to eliminate any particular area because the commute is too long, it means that you have a lot to choose from and likely want to choose carefully based on what kind of lifestyle you want to live.

Do you want to live downtown in highrise condo overlooking the famous stone arch bridge and the Mississippi River? Taking advantage of easy access to all of the wonderful restaurants, clubs and outdoor spaces?

Or do you see yourself in a quiet suburban neighborhood with a cul de sac and playgrounds for the kids? Is being close to a large park to pursue outdoor activities important to you?
Maybe you want to be convenient to shopping or find a single level floor plan? You may need time to explore and figure out where the things that are most important to you are.

man standing beside his wife teaching their child how to ride bicycle — Photo by Agung Pandit Wiguna on Pexels.com

Juggling a move from one part of the country to the other will necessarily have some uncomfortable times – it’s emotionally stressful and often physically a bit uncomfortable too as you adjust to temporary housing and figuring out your way around the cities. Having a home base to operate out of even for a short time can ease that pain.

Another thing to mention – because rentals are in high demand if you need to sublet because you found a permanent place to live you’ll likely have an easy time finding a taker – just make sure that the landlord on your rental is ok with that before you sign.

Not everyone wants to or should be a home owner! Do you need to move often? Buying a home has a lot of associated expenses and they are typically not easily recouped in a short period of time.

If you want and need the flexibility to move without all of the expenses associated with buying or selling a home, then you should definitely rent. Renting can be an option for any type of home or area in the Twin Cities – there are a lot of downtown condos available if you want to be in the heart of it all as well as options reaching out to the single family homes or townhouses in the suburbs. Most single family homes are rented by owner, and not listed with an agent or a property management company.

Another reason to rent is that you are saving up for a downpayment on a home because you DO want to become a homeowner eventually. The rental market in the twin cities is very tight, so this may not be the money saving option that you hope for unless you’re able to split the rent with roommates or somehow find something that will be well under your budget.

Rents vary across the metro area but Average Rents in Minneapolis are:

Minneapolis studio apartment is $1,297
Minneapolis 1-bedroom apartment is $1,541
Minneapolis 2-bedroom apartment is $2,432
Minneapolis 3-bedroom apartment is $2,960

How much do you need to save in order to buy? Probably not as much as you think! There is a commonly held myth that you need to have 20% of the price of the home for a downpayment. This is just not true. You can get a conventional loan with as little as 3% down. Having more cash saved IS better, because you will want to have a cushion available when making offers in this environment.

If you’ve seen any of my videos this year about how tough of a market it is for buyers, you’ll know that having the option to offer over list or to cover an appraisal gap is going to be very helpful for you in getting an offer accepted. Even if you do not need to use all of your cash for a downpayment, moving into a home naturally leads to you to want to change a few things and make it your own so you should also plan to have some cash on hand in the event that you have something to change or fix. When you own your own home, there is no landlord and if the AC unit or water heater break that is now your problem, so try not to make your budget too tight.

For comparison to rental costs take a look at these estimated numbers by Nerdwallet. $380,000 is the median price of a single family in the Twin Cities as of August 2021. We currently have exceptionally low interest rates if your credit is good – 3%! and even if you have to pay for private mortgage insurance (PMI) because you did not have a 20% down payment you are still in a good position relative to renting IF buying is your preference.

There are some other benefits to buying, including tax benefits and property value appreciation over time, so if you DO buy you’ll likely come out of it better off than when you purchased. People talk about “generational wealth” or having something to pass down to help the next generation and home ownership is a fundamental element of that. The National Association of Realtors said that prices appreciated by 22.9% in the past year – this is the result of a very tight supply of homes. If you had purchased a home last year you actually may have been able to make some money selling it this year, but this is NOT the norm. Prices rise and fall but the overall trend in values is UP. Add this to the fact that you’ve built equity by paying your mortgage down over time and a home could be a spring board to other opportunities.

Another reason you may want to rent – if you do not want to be the one responsible for the maintenance on a house – either by paying someone to fix it or putting on that toolbelt and fixing it yourself, stick to renting and leave the headache to the landlord. The fact of the matter is that houses are nearly constantly in need of something and they are the biggest asset that most people own, so keeping them in good shape is important to your comfort AND your bottom line.

Let me know if you want that list of places to start looking for a rental home, or if you’re wondering about how you can STOP renting and buy your own home – I’m here to help either way.

Neighborhood Tours

Hopkins MN

July 30, 2021July 30, 2021 MaryLeave a comment

Want that small town, walkable feel without a major commute? Think about Hopkins!

If you like a small town feel, with easy access to all of the things that the city has to offer – as well as access to the joys of the more rural areas outside of the immediate metro, Hopkins may be for you!

Hopkins MN seems to fly under the radar – it has a tendency to be overlooked, it’s a bit of a small town tucked into a 4 square mile pocket surrounded by the larger, more well known suburbs of Minnetonka, St. Louis Park and Edina. Hopkins sits just west of Minneapolis, it’s a small suburb with only about 18,000 people and it’s part of in Hennepin County MN.

A little bit of Hopkins history – By the 1920s, growing raspberries had become a big business for Hopkins area farmers. It is estimated that at one time the Hopkins area had over 800 acres planted in raspberries! Most were used for fresh market consumption. It became known as the “Raspberry Capital of the World.” Hopkins still celebrates this although now it’s is far from being a farming community – the street signs have a raspberry logo on them and they still hold a festival every year.

I have done a LOT of videos highlighting different suburbs in the twin cities metro – some of them are circled here, but you should check out my neighborhoods and suburbs playlist on YouTube for more.

Commute times and other profiled suburbs

Commute times are easy by car – it is only 3 miles to the border of Minneapolis as it is, but driving to downtown takes approximately 20 minutes via 394, or about 24 minutes to MSP airport via 494.

One of the main things I love about Hopkins is the adorable downtown area. It still has a historic feel, it’s a walkable city with sidewalks in the city center as well as throughout the neighborhoods which have a lot of pretty, older homes in neighborhoods branching out from the main street area. Main street is lined with shops and restaurants, the local library, post office and city hall are in the town center, as well as the Hopkins Center for the Arts.

Hopkins has a nice mix of housing – including single family homes, and newer condos that are close to downtown and transportation. Speaking of transportation – Hopkins Station is right on what will be the newly expanded light rail line. Lots of construction around that and the southern portion of the Cedar Lake Trail which runs along side it right now, but once this is completed it should be a real asset to people that live in Hopkins and want to get downtown to to the airport without driving.

All this charm and convenience and it comes at an affordable price compared to many suburbs in the Twin cities metro area as a whole. Currently (july 2021) Hopkins Median price for a single family home is $353,100 which is just slightly higher than that of the twin cities as a whole. Property tax in Hopkins is a little higher than in some of the other ‘burbs that I have profiled. The effective tax rate is 1.41%

current month’s supply of homes (July 2021) – Seller’s Market

While there is a market in the city of Hopkins it isn’t a giant SUPER market – so if you want to do a bigger shop or have a preference for one of the larger chain super markets like Lunds and Byerlys or Cub, or if you want to get to a whole foods, you’ll have to do it outside of the city of Hopkins – but the surrounding suburbs are very close and you probably won’t be inconvenienced much at all to drive to a neighboring town for groceries.

low angle photography of brown wooden dock at golden house — Photo by Heiner on Pexels.com

It’s not just groceries that require a trip to a neighboring town – Because of it’s small size and easy proximity to it’s neighbors, Hopkins residents share a lot of the amenities offered by the nearby suburbs.

For example, residents of Hopkins use and get resident discounts at Shady Oak Beach and park in Minnetonka. I stopped over there and I was so impressed – it looks like a great place to spend the day playing in the water (they have an inflatable obstacle course that looks like SO much fun!) and if you have little kids there is a playground and areas geared that way as well. In addition to the beach and lake there is a really nice outdoor dining area so you can come and have fun and pack a picnic or order food at the concession stand and stay all day, You can pay by the day or buy a season pass.

Other nearby parks include Lone Lake Park which has tennis & pickle ball courts, a playground, sports fields, picnic area, basketball courts and trails. It is also a part of Minnetonka.

road nature man summer — Photo by Pack2Ride on Pexels.com

Hopkins has several regional trails running through it, so if you enjoy biking, roller blading or walking you’re in luck. There are 4 rail trail connections in Hopkins including the 2 branches of the Cedar Lake Trail, the Lake Minnetonka regional trail (just did an out an back bike ride on this one a couple of weeks ago – 30 relatively flat miles past some gorgeous lake views and through some of the most affluent areas of the Twin Cities Metro) and lastly the Minnesota Bluffs Trail an approximately 10 mile section of aggregate trail that runs south of Lake Minnetonka out to Chanhassen and Chaska.

If you live in Bloomington or just want to bike the south section of the metro you can get on the 9 mile creek regional trail which is both segregated bike trail and some lanes on streets, but it connects from Bloomington (and possibly further east) through Richfield, Edina, Minnetonka and up to Hopkins. I have ridden this one before as well and there are points that I found less than well marked so it’s good to have your phone with you for GPS. The official tally on this one is about 14.6 miles each way, but if you get lost and wander you can really up your mileage. Good times when you’re tired … not.

Hopkins schools are ranked highly on Niche.com with an A+ rating, but as I always mention, make sure you do your own homework and meet with the administrators and make sure that the schools are right for YOUR child. Everyone is different.

Even though Hopkins is smaller, the district boundaries kind of weave their their way through several of the neighboring suburbs and there are some kids that live in pockets of Plymouth, Edina, Eden Prairie, St. Louis Park, and Minnetonka that may attend Hopkins schools. I also did a video on open enrollment in schools in MN, it’s kind of a nice thing to have if you want to send your kid out of district to another school. Not guaranteed, but an option!

This post would not be complete if I didn’t let you know where you can get your eye candy – aka books!

Hopkins has a great library and it is right downtown where you can easily bike or walk to it. It is a part of the Hennepin County Library system, and is one of the 41 branches. If you want a book, they can get it for you! Hennepin county library has a really impressive budget for books – Ive been looking for the actual number but I can’t find it today! I just remember my jaw hitting the floor followed by green with envy feelings and then realizing that I can read any of those books! The HCL system has recently done completely away with fines too! YAY!!

Alright – chickens. I always need to end with chickens and fences.

Chickens are recently permitted in Hopkins – as of August 2020. And fences are allowed – heights vary by where the fence is placed – typically 4′ in front, 6 in back.

Final recommendation: the Hopkins web site is a very nice source of information for just about any question you can think of regarding the day to day details of living in Hopkins.

If Hopkins is in the running for you I strongly recommend check it out!

Neighborhood Tours

New Hope!

July 16, 2021 MaryLeave a comment

Another surprising community! Today I’ll show you around New Hope MN and give you all the reasons you may want to consider living there.

Lately I’ve been working with several first time buyers, and if you remember buying your first home you probably didn’t have a massive pile of money for a down payment as many people who may have equity from a sale do, so you have to look for a starter house in a more affordable neighborhood.

That’s where New Hope comes in! A quick look at what is on the market right now illustrates my point – there are 30 active homes in New Hope ranging from a 1 bed 1 bath condo for $115,000 to only a few homes in the mid-upper $500’s with MOST homes being single family homes in the upper $200,000’s to mid $300,000’s. The MEDIAN price in New Hope is at $309,000 whereas the Twin Cities Median is at $380,000.

If you’re an investor and want to rent out a residential property you must register the property with the city.

In addition to single family homes and people just starting out in life, New Hope makes senior living a priority as well. They have 3 long term care facilities, some assisted living complexes and senior citizen apartment homes.

elderly couple holding bouquet of flowers while holding hands — Photo by RODNAE Productions on Pexels.com

Let’s talk Property taxes… New Hope is in Hennepin County, the effective property tax rate in New Hope is 1.35%. Hennepin County’s portion is 1.28%, the effective tax rate for the state of MN is 1.08%. Sales taxes since I looked this up as well – MN has a sales tax rate of 6.88% on everything except (I believe!) food, prescriptions and clothing, and the sales tax rate in New Hope is 7.13%.

tax return form and notebooks on the table — Photo by Nataliya Vaitkevich on Pexels.com

The beauty of New Hope is not only the affordable home prices, but that New Hope is actually a really lovely community and it has a lot to offer.

New Hope is an easy commute to downtown or the airport. It’s only about 20 minutes by car to downtown. and Because I’m such a fan of our regional parks I also want to point out how close New Hope is to the beautiful Theodore Wirth Park. I touched on this park in my Golden Valley video (which you can watch next!) but Theodore Wirth really has it all. It’s just gorgeous, and can keep you busy outside no matter what season we’re in.

If you are leaving town or going to fetch a visitor, it’s about 26 minutes to MSP airport and while you’re down there you can stop by the Mall of America and get your shopping done or amuse the kids on the roller coasters. I was a major skeptic because I am not really a “mall person”, but I like “The Mall”! It has so many great stores that you don’t see everywhere else, some nice food options and my kid and I had fun doing some of the rides the first time we stopped in. Being close to it is nice because it can just be something you do for an hour or two and you don’t have to feel like you need to spend all day there since you can go back any time. The Ikea is right next to the mall as well, so if you like. Swedish Meatballs and cryptic assembly instructions for affordable furniture that utilize allen wrenches – you’ll be in heaven!

New Hope does NOT have it’s own school district, all schools in New Hope are part of the Robbinsdale Schools aka ISD 281. It’s a pretty big district with 10 k-5 elementary schools, 2 middle and 2 high schools. I always recommend that you do your research and see if the school district that your home is in is one that you will be happy with. You can check out Niche.com or GreatSchools, but another option is to actually VISIT the schools and talk to the administration and see things for yourself.

Speaking of brain food… New Hope residents have convenient use of 3 branches of the Hennepin County Library system. They can easily access Brookdale Library in Brooklyn Center, Golden Valley’s adorable little library, or the Rockford Library in Crystal.
One of my favorite topics when giving community profiles is the park systems. I just think green space improves the quality of life for everyone. New Hope agrees! They are a small city (only about 21,000 residents) but they have 18 city parks and several other venues offering all kinds of recreational activities including:

the new Hope aquatic center which is a community pool and water slide
2 off leash dog parksa 9 hole public golf course
disc golf course
ball fields
a skate park
tennis / pickleball courts
Community gyms with basketball courts that can be rented out for the day
and 3 outdoor skating rinks that are open in season.

sunflowers on rack with price tag near orange canopy tent — Photo by Daria Shevtsova on Pexels.com

The city hosts a Farmers Market on Saturdays from the middle of June through the middle of October at City Hall.

Lastly – Pets & fencing. Everyone’s favorite topics!

winking black and brown puppy — Photo by Dominika Roseclay on Pexels.com

New Hope allows for a LOT of pets – 3 dogs, 3 cats and 3 “other” household pets, as well as 3 “fowl”, This is not restricted to actual chickens – if you want ducks instead – go crazy!
All dogs, cats and ferrets need to be licensed and vaccinated for rabies.

Fencing – IS ALLOWED! 🙂

OK – that is ALL I HAVE on New Hope! It’s a lovely community that I feel lucky to have worked in lately. It offers a lot of great options to people that may be priced out of other areas of the city. It’s 100% worth considering if you’re wondering where to live in the twin cities metro.
If you like this kind of content – I have an entire playlist of neighborhoods/suburbs on my YouTube Channel that you can look at to see what feels right for you.

Thanks for stopping by!