Greetings, and welcome to Vacationpropertyloans.com. It’s been an interesting summer up north—some people wonder if we even had one.
There was a joke going around that said, “I sure hope summer comes on a weekend this year.” It really has been a cool one, though we have seen a few warm days and they did come on weekends.
Speaking of weekends, we have seen positive indicators in the market as a whole for vacation property and it’s been a long time coming. We would all like to see more, but any upward movement is a good thing. Though inventory seems to be balancing out in most areas of Minnesota and Wisconsin, there are a few areas where inventory is a little shy and others where inventory is as much as three and a half years.
North Dakota’s booming economy is still very relevant and those in the western and central regions have been able to capitalize on that. The Northwest Minnesota Association of Realtors is reporting an 8.4% increase in sales for July with a 14.6% decrease in the median sales price. We have spoken with many in the industry who have seen the need for price concessions, but properties priced well tend to move quickly.
The rebound in the vacation home market is certainly being aided by the low interest rate environment we are still in. No one has a crystal ball and knows exactly when that will change, only that it eventually will. Many buyers seem to have forgotten just how good rates are, and it never hurts to remind them.
Market conditions do matter, but not nearly as much as your commitment to your real estate business. Always remember to make a plan and focus on the desired result. Babe Ruth was once asked by a reporter, “How is it that you can always come through in the clutch? How is it that you can come up to bat in the bottom of the ninth in a key game with the score tied, with thousands of fans screaming in the stadium, with millions listening on the radio, the entire game on the line, and deliver the game-winning hit?” The Babe’s answer? “I don’t know. I just keep my eye on the ball.”
And so it is with life. Whether you are a realtor needing to hit a goal, a baseball player needing a hit, or a buyer trying to fulfill a lifelong dream, never take your eye off the ball.
President, Northview Bank