Our house at 3326 Morgan Ave N is on the market as of yesterday and we have our first showing this morning!  With the quality of construction and the price point we are the best house in the North Minneapolis area right now. What really sets us apart is the huge master suite with walk in closet and master bath.  North Minneapolis boasts some great 1.5 story houses but most of them just have the bedroom part in the half story.

It was hard to determine the price point because right now within a 5 block radius of 3326 Morgan Ave N there are “comparable” houses ranging in price from $109,000 to $174,000.  Some “sold” comparables range from $98,000 to $143,000 with a median price of $125,500.  With a flip / rehab, yes, you want to make money but you also need to determine how quickly you want to sell it.  Many flippers get greedy and try to make as much money as possible but end up pricing too high.   As with any smart business decision, you need to take your time / money ratio into consideration.  The longer the house sits on the market, the less money you make in the long run and most likely you will need to lower your price point which never looks good.  I’m confident that we’ve priced our house correctly and fairly for the market.  If we were willing to wait it out we could maybe go a little higher but there is also a strategy of pricing lower and hoping for multiple offers which could push the price up.

Ultimately, it’s a fine dance between buyers and sellers.  If you provide a good, quality product that you can be proud of at a fair price, everyone wins in the end.

Jen McKinnon

Realtor/Investor

AGENT REFERRAL NETWORK

MN Real Estate Team

612.384.1073

jen[at]mnrealestateteam[dot]com

So we are now 40 days into our North Minneapolis house flip and our tentative finish date is October 19th.  I stopped by our flip house on Friday to take a look at the progress.
I’ve included pictures but here is what has been accomplished so far:
1. All wood floors have been refinished in a beautiful dark wood stain.
2. Carpet has been installed upstairs in the master suite and on the basement stairs.
3. All tile in kitchen, dining and bathroom has been completed.
4. New kitchen cabinets and counter tops installed.
5. All new windows and interior and exterior doors and hardware.
6. New bathroom vanity, mirror and towel bars installed – still waiting on the toilet for the main floor bath and the new countertop and shower door for the master suite bath.
7. New garage roof and door – there were 4 layers of old shingles on the garage!
8. Old shrubs removed, trees trimmed and yard cleaned up along with some concrete work on the stairs and front walk.
9. New light fixtures installed throughout the house.
10. Interior paint is just about complete and exterior scrapping has started.
11. The deck on the back of the house has been repaired.
12. All fascia and eaves have been replaced.
13. Shelving installed in closets.

Here is what we are still waiting on to be completed at our North Minneapolis Flip house before I can list the property for sale:
1. Appliances installed in kitchen and washer / dryer in basement.
2. Finishing of interior paint and all exterior paint on house and garage.
3. Master suite vanity counter top and shower door.
4. Final yard work / clean up.
5. Major Cleaning Throughout The Entire House.

Everything is coming out beautifully and I’m really pleased with the craftsmanship and the appearance of everything so far – this is going to be a great house for whoever buys it. Most likely a first time home buyer.
I’m really hoping that the first time buyer credit gets extended because typically first time buyers utilize FHA financing and with a flip house there is a mandatory 90 day waiting period between the owners closing and a new purchase agreement being written. Technically, you can agree to an offer with an FHA buyer but the title company can not get the agreement (and it needs to be dated) on the 91st day after the owners closing. Then, realistically, it takes about 30 days for the financing, appraisal and title work to be completed. This would put us closing sometime in December.
Anyone with Conventional financing is fine to write an offer and close as normal. I actually just heard about a Conventional program that offers about 3% down payment (with certain restrictions). I have a friend, Alec Grebis at Bell Mortgage who knows all about this.

Contact me with questions or if you know someone who would like a fully remodeled house in a nice neighborhood!

Jen McKinnon
Realtor / Investor
Agent Referral Network
MN Real Estate Team

612.384.1073
jen[at]mnrealestateteam[dot]com