Have you always dreamed of living on Lake Minnetonka? Lakeshore, boats, sunset cruises, water activities, and winter fun. Does it sound like a fit? If so, here’s a high-level overview of the steps you’ll need to undertake to make your dream of Lake Minnetonka life a reality!
Your realtor will know a number of good lenders who can help you through the preapproval process. You cannot make an offer without a preapproval, and understanding what you can spend, and what it’s going to cost you monthly, is the most important step after selecting a Realtor. It will guide you in all phases of the search and offer process.
#3 Start Shopping
You and your realtor will discuss your needs and wants as it relates to Lake Minnetonka as part of steps one and two. You and your agent will then begin viewing homes. Your Realtor must also be well networked and will have access to ‘pocket’ listings. These are lakeshore homes that are not available to the general public. For more about pocket listings, click out TI article here, Pocket Listings in the Lake Minnetonka area.
#4 Writing an Offer
Your Realtor will share comparable properties that have sold, an offer price perspective, and other key considerations as you consider your offer strategy. Your Realtor will also advise on the best approach to making an attractive offer that is likely to secure the home while also protecting your interests. Listen to your realtor. They are the expert. Also know that there may be competition for the home and your Realtor will push you to put your BEST foot forward. Make sure you do. There is nothing worse than knowing you could have done more but you missed the opportunity. In multiples you often get one shot for your best offer. Make it count!
#5 Closing Day
Break out the champagne, it’s time to celebrate! You’ve achieved your dream of owning lakeshore on Lake Minnetonka. One final tip; if you liked your agent and they did a good job for you recommend them to everyone you know, Lake Minnetonka or otherwise. Your agent will forever be indebted to you!
Key Considerations
Make sure your agent understands what key drivers influence your housing decision on Lake Minnetonka. Do you want to fish? Are water sports critically important? Do you swim or plan to? How many boats do you want to have? All of this is critical in selecting the right bay and shoreline length.
-Submitted by Art Hays, Lakes Sotheby’s International Realty. Art is a top producer who ranks in the top 1% of realtors nationally and the top quarter of a percent in Minnesota. Art can help you buy or sell anywhere in Minnesota, anywhere in the United States, and anywhere in the world. Call him at 612.805.5929 or email .
Investment properties can prove beneficial given their penchant for income production, tax benefits, and long-term value growth over time. They also are not for the faint of heart as managing them can present challenges like collecting rents, eviction of non-paying tenants, upkeep, and specific rules by municipality around how information and money must be handled.
The below gives you a general overview of how to approach investment properties from an acquisition perspective. Be sure to pay close attention to the CAP Rate portion. A CAP Rate of between 5% and 10% is considered good for real estate investments, the higher the better.
If you’re considering investment properties on Lake Minnetonka make sure you also understand rental rules and restrictions. Your realtor should be able to tell you and if they can’t call an agent who can.
#1 Choosing a Realtor.
Take a look at a recent article about Choosing a Realtor in the Lake Minnetonka area. This is the single most important decision you’ll make. You want someone who’s well networked, knows the Lake Minnetonka area, and most importantly can help you identify the best housing fit based on your needs today and how they may change over time.
Have a conversation with your realtor about where you want to be, why, and what are the “must” have versus the “nice” to have attributes of your new home.
If you don’t know the communities around the lake ask your realtor to take you on a tour. They’ll be able to explain each community, discuss proximity to key areas locally and across the metro, and help you better understand the nuances of each area.
#2 Pick a Lender
Your realtor will know a number of good lenders who can help you through the preapproval process. You cannot make an offer without a preapproval, and understanding what you can spend, and what it’s going to cost you monthly, is the most important step after selecting a Realtor. It will guide you in all phases of the search and offer process.
#3 Start Shopping
You and your realtor will discuss your needs and wants as it relates to Lake Minnetonka as part of steps one and two. You and your agent will then begin viewing homes. Your Realtor must also be well networked and will have access to ‘pocket’ listings. These are lakeshore homes that are not available to the general public. For more about pocket listings, click out TI article here, Pocket Listings in the Lake Minnetonka area.
#4 Calculate the CAP Rate
The capitalization rate (also known as cap rate) is used in the world of real estate to indicate the rate of return that is expected to be generated on a real estate investment property.
This measure is computed based on the net income which the property is expected to generate and is calculated by dividing net operating income by property asset value and is expressed as a percentage. It is used to estimate the investor’s potential return on their investment in the real estate market.
#5 Writing an Offer
Your Realtor will share comparable properties that have sold, an offer price perspective, and other key considerations as you consider your offer strategy. Your Realtor will also advise on the best approach to making an attractive offer that is likely to secure the home while also protecting your interests. Listen to your realtor. They are the expert. Also know that there may be competition for the home and your Realtor will push you to put your BEST foot forward. Make sure you do. There is nothing worse than knowing you could have done more but you missed the opportunity. In multiples you often get one shot for your best offer. Make it count!
#6 Closing Day
Break out the champagne, it’s time to celebrate! You’ve achieved your dream of owning lakeshore on Lake Minnetonka. One final tip; if you liked your agent and they did a good job for you recommend them to everyone you know, Lake Minnetonka or otherwise. Your agent will forever be indebted to you!
-Submitted by Art Hays, Lakes Sotheby’s International Realty. Art is a top producer who ranks in the top 1% of realtors nationally and the top quarter of a percent in Minnesota. Art can help you buy or sell anywhere in Minnesota, anywhere in the United States, and anywhere in the world. Call him at 612.805.5929 or email .
Selling a home in the Lake Minnetonka area isn’t any different than selling a home anywhere. If it’s on the lake there are more nuances, but in general the success or failure of selling comes down to three things; price, location, and condition. The more alignment there is between these three the more successful you will be. Two of the three still will yield a solid result. One of the three and it will be a long sale process.
Talk to your realtor. Be candid with them and expect them to be candid with you. Communication is the single most important element of a successful transaction. Always. If you elect to ask your realtor for referrals, ask those people if the agent was a strong communicator. If the answer is yes you’re in business. If the answer is no seller beware, no matter what the agent says.
Here are a few other things to consider when you’re getting ready to sell a home in or on Lake Minnetonka.
#1 Choose a listing agent
Check out this guide about Choosing a Realtor in the Lake Minnetonka area. Don’t be fooled by the notion that you need an agent who’s got name recognition on the lake. What you need is an agent who knows how to successfully sell homes in the upper bracket, who knows the lake, and who is well-networked.
A majority of the homes sold on Lake Minnetonka trade off-market and also trade to buyers from across the metro and from outside Minnesota. Being locally networked around Lake Minnetonka is great, being networked across Minnesota, nationally across the U.S. and internationally around the world is even more beneficial.
#2 Determine a list price
Your Realtor is the expert so do yourself a favor and trust them. They’ll present you with comps and other relevant data in order to arrive at a recommended list price. You may also discuss different approaches based on the marketing plans. If you want to attempt to sell “off-market” you may approach your list price differently than if you’re going straight to MLS.
A good realtor is going to ask you about your selling motivation. What matters to you first? Is it time (as in speed), convenience (as in make it easy) or price (I want every last dollar). Keep in mind you can’t have all three. Unfortunately, they do not align that way. Understanding your motivation is key to pricing your home.
Finally, understand your carrying costs. Mortgage payments are due the 1st – 5th of each month. Then you pay for any lawn service. And utilities. And docks/pool service. These costs come at all separate times of the month. So, while your mortgage may be $4,800/month, your true costs monthly may be $7,900. Knowing this and factoring it into how you price your home for sale is critical. Misplay this and you’ll cost yourself significant money. Sometimes in the hundreds of thousands!
#3 Discuss and align on the marketing plan
What is the marketing plan? Open houses, broker opens, invite only opens? What assets will be collected and used? Drone video, professional photography, video tours, professional measuring? When will this take place?
Simply put, a good agent will give you a calendar and schedule for all things related to the sale of your home. You should NEVER wonder what is happening and when. You, the client, being informed at all stages is critical to a great experience.
#4 Preparing your house for sale
Check out TI’s article about Staging your Lake Minnetonka home. A good agent will pay for a staging consultation. This is when a professional stager will come in and walk through your home, take notes, and provide guidance on how best to curate your home for the buyer pool.
Just like your realtor is the expert on buying and selling homes, the Stager is the expert on how best to present your home in a compelling manner for the masses. Follow the stager’s advice. Following it, combined with your realtors’ marketing and pricing strategy, will get you the best sale result in the shortest time possible with as little inconvenience as necessary.
#5 Get ready for showings
Make sure the house looks great prior to all showings. Here are five steps to follow in preparation for showings.
Vacuum all carpets throughout the home.
Turn on all lights even if it is a sunny day. The more light the better.
Open all blinds to allow natural light in.
Make sure everything is clean and orderly (no dishes in sink, bathroom counters picked-up).
Make sure all pets are caged in a non-common area (so not in the kitchen, in the mud or laundry room is OK) or out of the house.
#6 Negotiate
When an offer is received your agent will discuss options with you revolving around three primary paths; accept, counter, decline without a counter.
As a general rule of thumb your best offer is your first. It may be great; it may not be what you hoped for. Your agent has no control over what someone offers but a good agent can get to the root of why the offer is what it is, and then advise you on opportunities to find common ground.
If you come to terms you’re headed towards closing. If you don’t then your realtor will discuss how best to move forward and together you’ll continue to work on the plan with a goal of realizing a sale that brings you the result you desire.
#7 Closing Time
Closing day. Congratulations! Make sure your house is clean and ready for the new owners. Hand it off the way you would hope to receive it if you were buying it.
You may choose to pre-sign or sign the day of. Your agent can walk you through the benefits of both.
Consider meeting your home’s new owners and walking them through how things work. They will appreciate it forever.
Finally, if you were happy with your agent and the work they did for you be sure to refer them. They’ll be forever indebted to you for recommending them. It’s the nicest compliment a realtor can receive.
-Submitted by Art Hays, Lakes Sotheby’s International Realty. Art is a top producer who ranks in the top 1% of realtors nationally and the top quarter of a percent in Minnesota. Art can help you buy or sell anywhere in Minnesota, anywhere in the United States, and anywhere in the world. Call him at 612.805.5929 or email .
While Lake Minnetonka is arguably the most desired living location in the Minneapolis-St. Paul metro area, it’s also one of the most expensive in terms of price per square foot and thus overall cost. So while Lake Minnetonka lakeshore doesn’t necessarily qualify as affordable, there are options in the area that do!
Electing to live by Lake Minnetonka is a great alternative as you often can find charming homes, you can be close enough to walk to lake centric communities like Excelsior, Wayzata, Mound, and others, and you can even consider a boat slip within walking distance of your home in the Lake Minnetonka area.
The best part of being in the Lake Minnetonka area without being ON Lake Minnetonka; no lake taxes! Here are a few things to consider if you’re shopping for a new home in the Lake Minnetonka area.
#1 Choose a Realtor
Take a look at a recent article about Choosing a Realtor in the Lake Minnetonka area. This is the single most important decision you’ll make. You want someone who’s well networked, knows the Lake Minnetonka area, and most importantly can help you identify the best housing fit based on your needs today and how they may change over time.
Have a conversation with your realtor about where you want to be, why, and what are the “must” have versus the “nice” to have attributes of your new home.
If you don’t know the communities around the lake, ask your realtor to take you on a tour. They’ll be able to explain each community, discuss proximity to key areas locally and across the metro, and help you better understand the nuances of each area.
#2 Pick a Lender
Your realtor will know a number of good lenders who can help you through the preapproval process. You cannot make an offer without preapproval, and understanding what you can spend, and what it’s going to cost you monthly, is the most important step after selecting a Realtor. It will guide you in all phases of the search and offer process.
#3 Start Shopping
Your Realtor will help to find you the best homes in the Lake Minnetonka area that meet or exceed the criteria you discussed as part of Step #1 (Choosing a Realtor).
A good Realtor will also keep an eye out for ‘pocket’ listings for you. These are homes that are not available to the public. Through networking and contacts, your Realtor will search for homes that only a very limited number of buyers have access to. For more about pocket listings, click out TI article here, Pocket Listings in the Lake Minnetonka area.
#4 Writing an Offer
Your Realtor will share comparable properties that have sold, an offer price perspective, and other key considerations as you consider your offer strategy. Your Realtor will also advise on the best approach to making an attractive offer that is likely to secure the home while also protecting your interests. Listen to your realtor. They are the expert. Also know that there may be competition for the home and your Realtor will push you to put your BEST foot forward. Make sure you do. There’s nothing worse than knowing you could have done more but you missed the opportunity. In multiples you often get one shot for your best offer. Make it count!
#5 Closing Day
Break out the champagne, it’s time to celebrate! You’ve achieved your dream of owning lakeshore on Lake Minnetonka. One final tip; if you liked your agent and they did a good job for you recommend them to everyone you know, Lake Minnetonka or otherwise. Your agent will forever be indebted to you!
-Submitted by Art Hays, Lakes Sotheby’s International Realty. Art is a top producer who ranks in the top 1% of realtors nationally and the top quarter of a percent in Minnesota. Art can help you buy or sell anywhere in Minnesota, anywhere in the United States, and anywhere in the world. Call him at 612-805-5929 or email .
