1st Open Sunday!

South Tyrol Hills Sleeper!

Where: 1340 Fairlawn Way, in Golden Valley's South Tyrol Hills neighborhood
What: Sprawling 4 BR/3 Bath Mid-Century Split-Entry with almost 3,600 finished square feet -- including a 600 (!) sq. ft. Great Room.
How much: $444,900
When: market time -- 3 days
Who: listed by Ross Kaplan, Edina Realty - City Lakes

If you're looking for a dynamite, well-built family home in a close-in location, please come by my open house this Sunday from 1:30 to 3:30 p.m.

The highlight of the home?

The huge Great Room, featuring vaulted ceilings, an (Italian) granite Fireplace, and skylights.

A great family home -- and a great value!

(If you don't know the area, South Tyrol Hills is south of 394 and east of 100).

Deep Discount in South Tyrol Hills

50% Off Original Ask

There may be another home in the Twin Cities that's been on the market longer, or has been discounted more from its original asking price than this one.

But if so, I'm not aware of it.

Originally listed at $1.395M in September, 2007 (yes, that's 32 months ago!), this postcard-pretty 1937 home -- located in Golden Valley's South Tyrol Hills neighborhood -- is now asking $699.5k.

Now that's patience (or stubbornness).

So, is it finally a bargain?

Who wants to know??

South Tyrol Open House -- Stop By!

Where: 1340 Fairlawn Way in Golden Valley's South Tyrol Hills
What: 4 BR/3BA mid-century split level with almost 3,600 FSF
Who: listed (and hosted) by . . . yours truly
When: 1 p.m to 3 p.m today
How much: list price -- $444,900

This is a lot of house, in a great neighborhood.

I hate to use the term, "not a drive by," but . . . it isn't.

(Realtors use the term when the curb appeal doesn't do the interior justice.)

"An Inconvenient [Housing Market) Truth"

Framing the Choices

In politics, it's often said that "whoever defines the terms of debate, wins."

The equivalent in real estate appraising would be, "whoever decides the geographic area for choosing the comp's, defines home values."

What does that mean?

One of the challenges choosing and analyzing "comparable sold properties" (comp's) is coming up with three, similar properties nearby that have sold recently. Traditionally, Realtors and bank appraisers look back no more than six months; lately, there is a preference for three months or even less.

Unfortunately, that requirement bumps up against what might be called an "inconvenient housing market truth": there are many, many small neighborhoods in the Twin Cities -- some with as few as 100 homes -- that have their own distinct character and identity -- and not a lot of turnover.

If you want to intelligently price a home in one of these smaller neighborhoods, you have to consult previous neighborhood sales. However, because the neighborhoods are so small, there may not be 3 good comp's. In fact, it's not unusual to have to go back a year or even longer to find a similar, nearby sale.

But then, by definition, the previous sale is no longer a comp.

Comparing (Honey Crisp) Apples to (Cortland) Apples

What then?

You have to go farther afield.

Just to illustrate the challenges, consider the Lion's Park neighborhood in Golden Valley.

Lion's Park is located between 169 on the west, 394 on the south, Hiway 100 on the east, and Hiway 55 on the north. Built mainly in the '50's and '60's (with a sprinkling of recent tear-down's), the neighborhood includes perhaps 100 homes that encompass a surprising range of styles and sizes.

So, if you're trying to price a Lion's Park home, the odds are good you'll have to go outside of Lion's Park to find one or more comp's.

But which direction?

Northern Golden Valley, just to the north across Highway 55, borders Crystal and New Hope and is perhaps 20% less expensive than Lion's Park.

Meanwhile, North Tyrol Hills, just to the east of Lion's Park (across Highway 100) is perhaps 20% more expensive.

My guess is that a majority of the time, when a home doesn't appraise, it's because the appraiser is doing the equivalent of pulling comp's from the equivalent of Northern Golden Valley rather than the counterpart to Tyrol Hills.

Open House Today(!), 2:45 p.m. to 3:45 p.m.

2:45 p.m. to 3:45 p.m.??

Where: 1340 Fairlawn, in Golden Valley's South Tyrol Hills neighborhood
What: 4 BR/3 Bath '50's split-level with almost 3,600 FSF; built like a tank and very quiet! Set on a pretty, .33 acre lot.
How (much): $387,500
Who: listed by Ross Kaplan; broker is is Edina Realty
When: 2:45 p.m. to 3:45 p.m., Thursday, Sept. 2

What gives with the odd time?

That's when the Minneapolis Jewish Day School -- just down the street from Fairlawn -- lets out.

Not coincidentally, that's when about 300 cars go past on Cedar Lake Rd, just to the south.

This well-maintained home is a great candidate for families who send their kids to the school, and want a shorter commute.

Or anyone who wants a great deal on a well-built, family-sized home in a terrific, close-in neighborhood (about 8 minutes to Downtown Minneapolis; less to the Lakes).

P.S.: And no, holding an open between 7:45 a.m. and 8:30 a.m. (the school's drop-off window) didn't seem very appealing.

Unseasonal Photos

"That Was Some October Snowstorm!"

Where: 14xx June Ave. South

What: 4 BR/5 Bath home with over 6,000 FSF in Golden Valley's South Tyrol Hills neighborhood

How (much): $1.139M ($10k price cut today)

Who: listed with RE/MAX Results

It's certainly possible that the photo above was taken at the height of the October snowstorm we had about a week ago.

Or . . . it was taken prior to when the home was first listed, for $1.679M, last March.

The marketing verbiage indicates that the home is a short sale -- which pretty much clinches it.

Psst!! Want a Short Commute?

Open This Sunday 3:00 - 4:30 p.m.

Where: 1340 Fairlawn Way in Golden Valley's South Tyrol Hills

What: 4 BR/3BA '50's split level with almost 3,600 FSF; rock-solid, nicely updated!

Who: listed (and hosted) by . . . yours truly

When: 3 p.m to 4:30 p.m. this Sunday (4/11)

How much: list price -- $434,900

This is a lot of house, in a great neighborhood. And for anyone stuck in the maw of the Crosstown Project's daily gridlock -- a blissfully short commute to downtown Minneapolis (about 7 minutes, tops).

I hate to use the term, "not a drive by," but . . . it isn't. (Realtors use the term when the curb appeal doesn't do the interior justice.)

In particular, the almost-600 square foot Great Room features a Fireplace with granite surround, skylights, and a vaulted ceiling.

Hope to see you Sunday!

Dramatic Price Cut! Open Today

Deceptive Curb Appeal

Where: 1340 Fairlawn Way in Golden Valley's South Tyrol Hills
What: 4 BR/3BA '50's split level with almost 3,600 FSF; rock-solid, nicely updated!
Who: listed (and hosted) by . . . yours truly
When: 12:30 p.m to 2:30 p.m. this Sunday (4/18)
How much: list price -- $411,500 (just reduced from $434,900)

This is a lot of house, in a great neighborhood. And for anyone stuck in the maw of the Crosstown Project's daily gridlock -- a blissfully short commute to downtown Minneapolis (about 7 minutes, tops).

I hate to use the term, "not a drive by," but . . . it isn't. (Realtors use the term when the curb appeal doesn't do the interior justice.)

In particular, the almost-600 square foot Great Room (pictured above) features a Fireplace with granite surround, skylights, and a vaulted ceiling.

Hope to see you!

Revisting 1415 June Ave.

Want to Sell This One?
Help Defray Property Taxes

I originally posted about 1415 June Ave. -- in Golden Valley's South Tyrol Hills neighborhood -- last Summer ("$700k Below Tax Value").

At the time, the asking price was $799,900 -- against a tax assessed value of $1.504 million.

Thanks to that latter number, the home carries an almost $24,000 annual property tax bill.

Which likely explains why it's still unsold almost six months later -- and the asking price is now $784,900.

Unsolicited Advice

You'd certainly expect the property tax bill to drop dramatically once the home sells so far below its assessed value.

However, it's not a slam dunk.

That's because tax assessors consider foreclosures to be distress sales (true), and therefore not necessarily reflective of fair market value (patently false).

Put it this way: if anyone thought 1415 June was worth more than $784,900 . . . . they've now had almost two years to snatch it up (the home originally came on the market in March, 2009, at an asking price of $1.679 million).

To entice Buyers who can afford the home but not the attendant property taxes, here's my advice to the bank-owner: pick up some or all of the property tax bill for a period of time.

Sellers now routinely pay up to 3% of Buyer's closing costs.

In this case, what the Buyer really needs help with -- at least temporarily -- are the property taxes.

$700k Below Tax Value

Not $700k -- $700k Below Tax Assessed Value

Where: 1415 June Ave., South Tyrol Hills in Golden Valley

What: 4 BR/5BA home built in 2002 with almost 5,400 finished square feet.

How much: $799,900 asking price; tax assessed value: $1.504M

When: originally listed for $1.679 million in March, 2009

Who: Listed with RE/MAX Results

Well, 1415 June Ave. (pictured above) certainly looks like a deal.

So what's the story?

I haven't been in, so that's a big caveat.

However, the combination of lender approval (it's a short sale), needed repairs, and a hefty tax bill (almost $24k annually, but certain to come down) aren't helping.

Still, I'm not aware of a home sporting a bigger discount from tax assessed value currently on the market in the Twin Cities.