Julie Sells Dreams in Wisconsin's beautiful Northwood's: Julie Paez GRI, CHMS (Coldwell Banker Mulleady)

Bank Owned Statistics for Northern WI Year End 2011

Just going over some year end numbers and - again - I get the most questions on info regarding bank owned and distressed sale properties. There was a news broadcast last week regarding this topic and I wanted to share some info I found with you - esp since I think it tells a very different story - bank owned sales do not appear to be on the rise from what I see in northern WI.

Looking back to 2009 when this market really started out we say roughly 82 bank owned sales in the entire MLS by the two biggest companies that house the listings; in 2010 there were approximately 139 and in 2011 roughly 120. Again, these numbers are pulled by looking at the number of homes sold by the top 2 leading bank owned sales offices in our MLS. It is NOT exact but I feel a "fair' estimate of the overall market.

Now regarding average price; in 2009 the average sale price was 103,193 : in 2010 the average sale price was 100,375 and in 2011 the average sale price was 82,908. The list to sell ratios are also declining, In 2009 the average list to sell ratio was 86%, in 2010 it was 76% and in 2011 it dropped to 73%. This is an average of all sales and I would expect the waterfront homes to be on the high end while the off water and vacant land sales will be on the lower end of those ratios. If I have time I may extract that info in the future but the KEY is to negotiate on your own and not in competition with another buyer.

I love this challenge and what it means not only in my life BUT my business and my world overall!

When I looked up the definition of trust the one I found that felt the most accurate and on target for me was the following:

Confident expectation of something: hope.

This is a solid reflection on my faith, my family and my business. I have hope.  In the current world we live in I think this is the one thing many people have lost sight of and the one thing that many people do not have. It is also the one thing that I try to give every buyer and every seller in my life because if I can get them to trust me I can give them hope.

As REALTORS we see everyday the lack of hope in so many peoples eyes.. 

• That Seller you are soliciting after having been on the market since 2005 who fears they will NEVER get the home sold so they can move on with their lives.  They want a signs of hope that yes they will sell and no they will not have to feel run over again by yet another agent.
• That Buyer that is sooo afraid they will miss the opportunity to cash in on this market, while fearing they will over pay. They want hope that they will buy in a savvy fashion and they will not see another 20% drop after their purchase.

And then for me the hope that I will be able to make my customer/clients feel good about their decisions in this market so they can sleep with ease at night and trust that they are doing the right thing. I still feel that home ownership is the bedrock of our society and when people start to feel that hope again and that it is an attainable goal for them they will begin to trust our economy. 

Love this topic and love this contest!

This post is a submission to the ActiveRain / Adobe EchoSign Trust Contest. I could possibly win a prize. You can find out about the contest by clicking here

Amazing Waterfront Parcel on Dam Lake of the Sggar Camp Chain of Lakes in Northern WI

Opportunity SELDOM knocks like this! 22.45 acres of high - dry privacy on the 5 lake Sugar Camp WI chain of Lakes and OVER 1040 feet of gorgeous sandy frontage on the main body of Dam Lake.  

This is a privacy dream in a location perfect for anyone!  Priced below Fair market Value AND BELOW Recent Appraised Value this is a MUST see parcel for the "real" buyer.

This is a HUGE OPPORTUNITY to have it all and then subdivide if you want! This uniquely private parcel is one of a kind in this market AND on this Chain! Located on Dam Lake of the 5 lake Sugar Camp Chain the land is all high, dry and wooded so this parcel is special!. You can build anywhere and the lake views will be stunning from any spot here. Located in Sugar Camp between Rhinelander and Eagle River the setting could not be better and the Sugar Camp Chain is known for privacy and EXCELLENT FISHING! Currently there is an old three season cottage with no septic on site and a small garage that can hold the boat while you decide where to build your dream home!

For MORE information on this unique Buy visit my website at www.EagleRiverHomeFinder.com for additional pictures

Again let's recap this unique piece:

• Over 22 acres of high, dry, wooded  privacy
• OVER 1040 feet of gorgeous frontage
• Off of Hwy D just down from the camp and betweem Eagle River and Rhinelander
• Seller believes it can be subdivided
• Priced below BOTH Fair Market Value and Appraised value

December 2011 results for the Northern WI counties of Vilas and Oneida!

After a better than expected October and November, December was slightly disappointing.  Home sales dropped to 78 units in Vilas and Oneida Counties for the last month of the 2011 year.  That compares with 92 units in December of 2010.  However, we only sold 67 units in December of 2009.  I can offer little in the way of an explanation for the lackluster results as December sales represent the lowest volume since May’s volume of 74 units.  My thoughts are that it could be a reflection of the current economic environment BUT - again - if you look at the last quarter OVERALL we ended up in numbers and this, to me, is a far better indicator and shows a better reflection of the year overall. Sales units in my market segment are up!!

There is one very interesting point to be made.  I cannot recall a point where we had more homes being listed than sold.  In December, only 85 homes were listed.  We almost had more homes sell than were listed!  The chart above shows this and you can see where those lines almost overlap in December.... Sellers obviously do not have a great deal of confidence in the market.  I have first-hand experience with this as I have had to tell many sellers that I cannot sell their homes for what they believe to be a fair value.  The market appears to be working as the reduced number of sellers entering the market will reduce supply and in theory, will put upward pressure on prices.  Less Supply EQUALS greater demand!!!  I will watch this trend as we head into the New Year.  For more information or to watch my video blog check out my website www.EagleRiverHomeFinder.com.

We have good snow cover and plenty of ice.  The trails are marked and in good shape.  We hope that you have the opportunity to come up and see our winter wonderland!  Best wishes for the New Year!

Copyright©by Julie Paez, All Rights Reserved,  "Market statistics for December of 2011 in Vilas and Oneida Counties." 

Bank Owned/Short Sales and how they affect the Vilas and Oneida WI Real Estate Markets as of 11-16-2011

The BIGGEST question I am asked by Buyer’s is: “How can you help me find that great bank owned purchase?” The biggest question I am asked by Seller’s is: “How are bank owned sales affecting my market niche?”

There is always a lot of interest about foreclosures and short sales especially when it comes to our water front market.  The fact of the matter is that there simply are not that many lake homes that get foreclosed.  The chart above shows non-bank owned vs. bank owned sales for the Northwoods MLS.  The total numbers are this:  Thus far, there have been 975 unit sales in Vilas and Oneida Counties.  Of those, 117 were foreclosures or short sales (12% of the market).  Of those 117, only 25 were on water (2.5%).  Further breaking that number down, only 5 sold for above $250K.  I call this the premium lake home market and these 5 units represent 0.5% of the market.

When I look at the total year of 2010, I saw 1144 total unit sales with 123 bank and short sales (10.7%).  There were 25 units sold in 2010 that were on water (2.1%) and 11 homes sold for above $250K (0.9%).

What does this all mean?  It looks as if the number of foreclosures is increasing as a percentage of sales.  The reality is that the raw number of sales appears to be more of the problem (975 vs. 1144).  We still have 45 days left in CY2011 so we may make up the 169 unit shortfall in unit sales.  The number of foreclosures seems to be rather steady.  We certainly are not seeing a spike up or down in the number of foreclosures and short sales.

If you are looking for a “steal” on water, they do exist.  They simply are not ALWAYS bank owned properties.  There are many sellers out there that are highly motivated and those are the homes that are moving at this time.  This is great news for buyers.  It is not the best of news for sellers.  So, again get your ducks in a row and be prepared to pull the trigger so to speak when something becomes available or is REDUCED into your price range because when they do become available they are often highly sought after:)

Bank Owned/Short Sales and how they affect the Vilas and Oneida WI Real Estate Markets as of 11-16-2011.

Julie Paez - REALTOR -  Coldwell Banker Mulleady REALTORS, October 7, 2011 Market Statistic for Vilas and Oneida Counties in Northern Wisconsin

In a repeat performance to last month’s sales figures; it isn’t terrific but it is a nice trend.  The red line represents the number of homes sold by month in Vilas and Oneida Counties.  In September, there were 90 homes sold in Oneida and Vilas Counties.  In 2010, 93 homes sold and in September of 2009, 78 homes sold.  In August, there were 96 homes sold.  That compares with 94 homes sold in 2010 and 84 homes sold in 2009.  These numbers are not super but the red line is becoming a bit more consistent and I believe we are on track to have a better October than last year.

Another trend we are seeing is the reduced number of listings.  In 2007 and 2008, there really was a lot of inventory.  We sold a lot of homes but the rate at which we sell homes (called the saturation rate) was quite poor.  We still are far from healthy but we appear to be heading in the right direction and Seller’s that really have no motivation to sell are slowly not returning their homes to the market.

What can one do as a Seller in a market so heavily favoring the Buyer? 

• The most obvious is to reduce the asking price.  I know how painful that can be and it is not always the best solution.  I am always telling you that “it’s a price war and a beauty contest and you have to win both”. 
• If you are already priced competitively (I would suggest actually visiting competitive listings) or allowing me to set up a manual search for you so you can actively see your competition and what they are doing with pricing daily. You will get listings like a Buyer does and this really keeps you up to date with the current market. 
• Next, you can consider how you look to the Buyer… or staging.  Staging is something that is commonly done in more urban markets.  It is not very common here at this time but there are people who can help.  Stagers can make suggestions from paint and decorating tips all the way to bringing in pieces of furniture to present your home in the best possible light.  I have taken several staging classes and am always ready to provide additional homework for my SellersJ

Mother Nature has blessed us again with spectacular color.  The fall season never disappoints here in the Northwood’s!  Come up and enjoy th colors in the beautiful northern Wisconsin counties of Vilas and Oneida!

                    The chart below shows Historic Mortgage Rates and Historic recessions and it is a great example of why we should be buying real estate in today's market.    

I said before that these are extraordinary times. This chart shows the bellweather since 1970 and there are several points I would like to make.  

• First I wish to show here is how low the rate is relative to history!  It is under 4% at present!  Why aren’t people buying!  The chart also shows that technically we are not in a recession (gray areas).  The Federal Reserve Economic Data of St. Louis provided the chart and surely they know if we are in a recession or not.

• Second-   It shows the recession of 2008-2009 and the post 9-11 reccession.  It shows the mortgage rate peaks of 1982 that were over 17%.  Those were tough times to be selling real estate.  It also shows the oil embargo induced recession of 1974.

Considering that mortgage money is available and is at historic lows and that there are many motivated sellers out there right now, why are there not more buyers?  Many people are out of work or are underemployed and in no position to be buyers.  However, there are many who are economically sound and who could be making huge potential investment gains by buying real estate at this time.  I truly believe that many buyers are convinced by the never ending negative press that real estate is horrible and why would anyone ever consider purchasing real estate at this time.  Traditional news channels have not been kind to real estate or any type of investment to speak of.  They badger the government because we are running out of Medicare yet offer no real long term investment plan for the average citizen.  This chart and the current state of the real estate market – in my opinion – offer’s a fantastic investment plan: purchase real estate for rental purposes and diversify your portfolio.  Any good account can tell you the tax advantages and any good REALTOR can get you set up on a search for rental potentials.

If you tire with renting then simply follow the other old rule:  buy low and sell high.  There is no simpler axiom and one that holds true no matter what sort of economy we are in.  

Real estate has always recovered.  It is not a matter of if.  It is a matter of when.  So, the truth about the market is, that it is the absolute ideal time to be a buyer.  I think the more positive people can be about real estate, the better off we all will be. As always – call me with ANY questions, check out my website at www.eagleriverhomefinder.com, my blogsite at www.juliesellswisconsin.com and feel free to pass this on!

Real es             The chart below shows Historic Mortgage Rates and Historic recessions and it is a great example of why we should be buying real estate in today's market.    

What's happening in the Northern WI markets of Vilas and Oneida County?  Well, we are half way in and this is what is happening so far or here are the Market Statistics for the first HALF of the year in the Northern WI real estate markets of Vilas and Oneida County.

First - let's look at Vilas:

• In the single family market there are currently overall 923 active listings out there in Vilas County and up to June 30^th ; 121 single family homes have sold with an average sales price of $223,445.  Of those 121 sold 61 were ON water with an average sales price of $329837 ( last year 58 homes sold with an average price of $299844 )  and 60 were off water with an average sales price of $115220 ( last year 78 off water homes had sold but the average price was $115690 but remember last year had the first time home buyers stimulus)
• In the vacant lot market Vilas County currently has 886 vacant lots listed ( 563 Off water and 323 On water )  Of those lots 28 on water lots have sold and the average price is $94042 ( versus 20 sales last year with an average price of $167000).   And 24 off water lots have sold with an average price of $30460 and an average of 4 acres per lot ( versus 32 sales last year with an average price of $60000 with an average acreage of 20acres )
• Lastly the condo market: Vilas County currently has 175 active condo’s for sale.  There have been 27 sold with an average price of $139406. Last year there were 22 that sold with an average price of $213416

Now for Oneida County  :

• In the single family market there are currently overall 972 active listings out there in Oneida and up to June 30^th 174 single family homes have sold with an average sales price of $167330  Of those 174 sold 51 were ON water with an average sales price of $301751 ( last year 68 homes sold with an average price of $292203 )  and 123 were off water with an average sales price of $111595 ( last year 149 off water homes had sold but the average price was $116844  -but remember last year had the first time home buyers stimulus)
• In the vacant lot market Oneida County currently has 838 vacant lots listed ( 433 Off water and 405 On water )  Of those lots 20 on water lots have sold and the average price is $107891 ( versus 26 sales last year with an average price of $132236).   And 48 off water lots have sold with an average price of $51873 and an average of 19 acres per lot ( versus 52 sales last year with an average price of $159000 with an average acreage of 119 acres )
• Lastly the condo market: Oneida County currently has 143 active condo’s for sale.  There have been 12 sold with an average price of $225500. Last year there were 16 condo’s sold with an average price of $176200

Overall, the off-water singlefamily market has not moved much in the past few years other than the burst last year with the stimulus.  Vilas County dropped some and this could be due to a number of lower priced residential condos in Eagle River that sold in 2011.  Most of these condos sold for under $80,000.

The on-water market is a different story.  Vilas County average waterfront home sold for $419K in 2008.  Thus far, the average waterfront home sold for $329K in 2011.  That works out to be about 24% down.  The average Oneida County waterfront home sold for $390K in 2008.  The average waterfront home sold for $301K in 2011.  That is about 24% down.  Perhaps Northwoods waterfront was overpriced in the mid 2000’s.  Maybe the lakefront buyer does not have the money that they once had.  I would also add that the lakefront seller may be distressed and they are reluctantly accepting lower offers.

The volume of on-water sales is rising ever so slightly.  Hopefully, that will take some pressure off of waterfront home sellers.  Any sort of growth in the private sector would really help the recreational real estate market

So, as you can see there are some markets up and some down.  The other interesting item I noted is regarding the higher end plus 750k market.  Last year at this tie there had only been one home sold by June 30, 2010 in that price point BUT this year there have been 8 with an average sales price of $1000300. So, while there has been a lot of heavy negotiating in this segment there are sales which I believe is a great sign of market confidence. 

We also need to remember that we did get off to a VERY cold spring/summer so we could still be behind several weeks and I will watch what happens as we start to head for fall.  If you have any questions about a different market up here or want to break down a different segemnt of this market  please check out my website www.eagleriverhomefinder.com or my blogsite www.juliesellswisconsin.com for more information. That is were we are at for Market Stats for the first HALF of 2011 in the Northern WI markets of Vilas and Oneida County.

This Northern WI custom log lake home located near Eagle River WI has the feeling of Colorado Ski Lodge! It is a must see for the discrimiating Buyer!

Lac Vieux Desert Dream!  This unique property is truly in a league of it’s own. It is reminiscent of a Colorado ski Lodge and offers both the charm and warmth of that setting coupled with ease of use and privacy. This is a must see property for the discriminating Buyer. The 900 foot winding drive leads you into this spacious full post and beam log construction home that is filled with so many unique building features that you will be delighted for years to come.

• The  custom log home's great room has the most stunning soaring ceiling that I have ever seen with sky lights and a fireplace that encompassed not only the great room but also the master suite and the exterior deck.  
• Meant for entertaining some of its’ unique features include a split bedroom floor plan w/stunning lakeside master that has a huge walk in closet, fantastic block glass shower, and a claw foot bath tub. 

• It also offers lake views and a deck entry way.  The great room not only boasts vaulted ceilings but it is meant to be used as you can tell by it’s designer kitchen.  It has a JennAire 6 top range, a double oven, Bosch appliances, a butcher block island and granite counter tops long enough to accommodate a seating of 8. Truly meant for entertaining this home is set up for ease of use with its dining area, pantry and copper topped bar right in the heart of all of the action.

• This level of the home also offers you a screened in porch, a second bedroom and bath and a stunning wall of windows that leads right out to your lake side deck which covers the length of this sprawling home. 
• The upper level has an additional 2 bedrooms (one being about 23 feet long that accommodates 6 custom log beds)) and another bath. 

• The lower level, which is almost compleletly finished, offers another 2 bedrooms a fantastic workout room wired with surround sound and a large luxurious bathroom with mosaic inserts and a full stone shower.  The walk out is stunning and again the lake views spill over into the home. 

• There are also 2 storage places tucked downstairs and an entry into the garage from the lower level for your ease of use. This property also offers a delightful guest /in-law suite with it’s own private entrance. It offers 1 bedroom and 1 bath,  it’s own natural gas stove,  full laundry facilities, a full kitchen and it’s own deck.

• The grounds here are stunning and the lot offers a perfect beach, stunning sunsets, over 4 acres of privacy and a level slope to fantastic Lac Vieux Desert.  This lake offers OVER 4200 acres of boating pleasure and it straddled the Wisconsin/Michigan border and is known for excellent fishing! 
• Add to all of this a 3 car attached oversized heated garage with built ins and a snowmobile door and this is truly an amazing property that you have to see to appreciate. 
• This unique estate has been loved and maintained by this family for years and it has truly been their getaway for all 4 seasons of recreation: from boating in the summer to snowmobiling in the winter. They have slept OVER 20 people at a time in this home quite comfortably and it has been the gathering place for making a tremendous amount of memories.  It is ready for new owners and new memories so come and take a look and see what is waiting for you on Lac Vieux Desert!  

Again - This Northern WI Custom Log Lake Home near Eagle River, WI!   is a wonderful property that truly must be seen to be believed!  Please visit www.LacVieuxDesertDream.com for more information about this property.

Copyright©by Julie Paez, All Rights Reserved, " Northern WI Cusstom Log Lake Home near Eagle River, WI "

What effect are Bank Owned Properties having in the real estate markets in the Northern WI counties of Vilas and Oneida?

I often get asked about bank owned properties and "What effect are Bank Owned Properties having in the real estate markets in the Northern WI counties of Vilas and Oneida?" .  They do present tantalizing values and they do have an effect on Northwoods’ real estate.  The good and bad news is that we have not had the number of foreclosures that they have had in Florida, Arizona or Nevada.  The above chart shows homes sold in Vilas and Oneida Counties, non-bank owned, bank-owned waterfront and bank-owned off-water in 2010.  Of the 755 homes sold in Vilas and Oneida Counties, 103 homes were owned by a financial institution.  Of those 103 bank-owned homes, 33 were waterfront homes.  Of those 103 homes, 6 were purchased above $300,000. 

This works out to the following.  Of the 755 homes sold in Vilas and Oneida Counties in 2010, 13.6% were bank owned.  Of those 755 homes sold, 4.3% were waterfront homes owned by financial institutions.  And of those 755 homes sold, 0.8% were premium priced lake home foreclosures.

It is always hard to draw conclusions but I will make my best effort.  It appears that the higher priced homes have less of a chance to be foreclosed.  Or if they are in trouble, they find a different means to get themselves out of trouble.  As far as the effect on the market, it is spotty.  If a bank-owned home sells for thousands less than comparable homes on the lake or in the neighborhood, it will bring those neighboring homes’ values down along with it.  Some good news here is that the supply of foreclosures may be dropping in 2012.

The weather is warming but we still have lots of ice.  We are hopeful that warmer temperatures will also heat up the Northwoods real estate market.  The chart below is a graph of the overall effect these properties havein our MLS overall.

Please contact me or visit my website for video updates or to search current active listings at www.eagleriverhomefinder.com for specific properties in this market that are bank owned call me at 715-891-1236 or see my blog at : www.juliesellswisconsin.com for additional information about today's market in Northern WI.

Copyright©by Julie Paez, All Rights Reserved, " What effect are Bank Owned Properties having in the real estate markets in the Northern WI counties of Vilas and Oneida?"