Interest rates are rising across the country, including in the St. Cloud area real estate market. Craig Ehrlichman of Premier Real Estate Services joins us on his WJON. He said the average sales price on the market is $285,000, closed sales are up 14.1%, and the number of new listings on the market is increasing, with about 98 properties currently for sale. Ehrlichman said sellers receive about 95 to 96 percent of the asking price, which he says is very good. This gives buyers some flexibility in price negotiations, he said.
Ehrlichman suggests that the upcoming spring market is always a good time for both sellers and buyers. Warmer-than-average weather also benefited, he said. Ehrlichman explains that home prices haven't gone down, but their value has been preserved.
I asked Mr. Ehrlichman how the value of the St. Cloud market compares to the value of homes in small towns in the St. Cloud area. He said prices won't differ much because buyers have different priorities and may want to live in a smaller community, and a smaller school district may be a selling point. Ehrlichman notes that while prices may be lower in smaller towns, the difference is not as dramatic as one might think.
Lake properties in the St. Cloud area continue to be highly sought after. Ehrlichman explains that these homes are always popular and sellers of these homes know that potential buyers are less likely to be deterred by high interest rates.
If you would like to listen to our conversation with Craig Ehrlichman, you can watch it below.
