2011 Market Summary

For a PDF version, click here

The most popular question we are asked as Realtors^® is “How’s the Market?” - we LOVE it because we think people should know what’s happening in real estate in their own area.  We’ve broken down information by areas in our market.  If you want information on your specific neighborhood or if you have any questions, please ask your favorite Park Co. Realtor^® and he or she can get that information for you! 

Did Sellers Get Their Asking Price?
From our experience, we can say that 2005 & 2006 were the rare years when we saw sellers get their full asking price.  The truth in real estate is buyers determine a home’s value.  Our goal is to help our sellers competitively price their home so that they get as close to 100% of their asking price as possible.

Hot Areas: West Fargo, South Fargo, South Moorhead & Dilworth. West Fargo had several homes that did receive full asking price during the year. New construction activity is fueling that market area.

How Long Were Homes on the Market?
For the entire market, the average days on the market (ADOM) was 113 days or just under four months. As you can see there is quite a difference between areas and it can simply be chalked up to supply and demand.  As we continue to see growth, demand grows and there is less supply to meet the demand.

Hot Areas: West Fargo, Horace, Rural ND & South Fargo. Areas in Rural North Dakota and Horace typically have fewer homes for sale than other areas, this is why we see the shorter ADOM in these areas.  

What Are Homes Selling For?
The average sales price for the entire Fargo-Moorhead area market rose 2.58% to $165,960 in 2011. Much of that rise is due to an 11% increase in sales in homes priced $200,000-$500,000+.  If we haven’t said it before we’ll say it again - “WE ARE SO FORTUNATE TO LIVE IN THIS AREA!” We hear from my colleagues around the country whose markets are struggling and here we are with 2.5% appreciation! 

Hot Areas: Let’s just say the whole thing! Home styles and location have a lot to do with average sales price and no matter how you stack the cookies a cute 1950s rambler isn’t going to have the same value as a 2011 2-story.  New areas continue to evolve and older areas are being revitalized.  We have to credit the people here that take care of their homes, physically & financially and that is the KEY to our healthy housing market!

*Barnesville info is also included in Rural MN, but is broken out to highlight their specific numbers.

Source: Fargo Moorhead Area Association of Realtors compiled by Park Co. Realtors. Information is deemed to be reliable, but is not guaranteed.

Agency Options: What a Seller's Agent Can Do...

As it obviously states, the seller's agent represents the seller in a real estate transaction. 

If you are a buyer, the agent for a seller, is obligated to keep the seller's confidences, especially those having to do with price, term and motivation. (The seller's agent is always required to give you complete information about the property including warning you about any problems they know about or suspect.) 

The seller's agent is also obligated to tell the seller anything they know about your motivation or negotiating strategy.  If you do not to share this information with the seller, you would discuss it with the person buying the house with you, but you would not discuss it with me.  For example, you would not say to the seller's agent, "We'd like to make an offer of $100,000, but if necessary we would pay as much as $110,000." This is the kind of information the seller's agent would have to tell the seller.

As you can see, it's very important to keep your cards "hidden" until you understand your agency options.  

Later this week, we will cover buyer's agency, dual agency, appointed agency and non-agent or facilitator.

August 2011 Market Update

Park Co.'s Associates of the Month, Vicky Sunde & Scott Breidenbach offer their insight into the Fargo-Moorhead area real estate market.

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