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Solus Real Estate Group


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Check out our Links!

by Solus Real Estate Group

Good Morning to you all! And a wet one it is going to be. Be happy that we did not get the 2-4 feet that Denver got yesterday! We need this moisture!

We want to make you life easier today, let’s give you an idea of some things that you will find on our web site when you check it out. Check out our Links Tab on our web site.  The one thing that our friends and clients tell us that they use the most is our Preferred Providers pages, there you will find someone to fix your lawn sprinklers system, someone to do some landscaping for you and a couple ideas for Handyman or painters or cleaning people.

When you go to the actual page for all the links Real Estate in Sioux Falls and in general, you will see this first section, included in there is a buying vs. renting calculator,

The 2nd section is on Sioux Falls Interest, The first link is Sioux Falls Road Construction that will give you the most up to date construction projects, Did you know that 22nd street at Minnesota is going to be closed? There was also an interesting interactive map that you can check out construction that is scheduled for your areas!  

Do you wonder what the Outdoor Campus has available for programs, Check out the Sports & Recreation section.

What does EROS have to offer for Satellite Imagery? Try it out! Lot of ideas in the South Dakota Points of Interest.

Do you ever wonder How your FICO Scores work or Check out The Instructables Page for video ideas of how to make costumes, snacks, planters, how to lay Pavers and easy lint fire starters? Do you want the white house to send personal greeting for a special day? You will find these ideas and many more in the last section “General Information”

We hope you will find some great and useful links on our Links Pages,

March Statistics

by Solus Real Estate Group

 Sioux Falls City Council put the finishing touches on a New Boulevard Landscaping Ordinance; check out the Argus Leader article.  There are some links in that article also with even more details.  There are some guidelines of what you will and will not be able to do in your boulevard.

The March Statistics have arrived so here are some ideas on what is happening in our market currently:



March  2015

March 2016

% Change

YTD 2015

YTD 2016

% Change

New Listings







Pending Sales







Closed Sales







Median Sales Price







% of Original List Price Received







Days on Market







Inventory of Homes for Sale







Month’s Supply of Homes for Sale




5.1 Months

3.4 Months




For the last 12 month period pending sales were up 21.8% overall, the price range with the largest gain was the $200,000 to $300,000 price range where they increased 47.6%.  When you look at the numbers above the pending sales are up 28% but the home for sale are down 18.3%.  Supply and demand tells us that the market is strong right now with fastest sales in the $100,000-$150,000 range at 74 days and the price range of above $300,000 is the slowest at 121 days.  If you have any thought about making a change, this is really a fantastic time to do it!  When interest rates increase, this market will probably change substantially.  Current 30 year mortgages are still in the 3.5% and the 15 year is around 2.75%!


Multiple Offers, What to offer, What to look for in the Winner Offer

by Solus Real Estate Group

The market is strong in many places in the country. A fellow realtor in California has a really hot market with 10 offers on a property, his offer was 37% above list price and there were higher offers that were for all cash and no contingencies. We have a good market but not anywhere that hot. We are experiencing many multiple offers of properties; there are many ways to make your offer stand out in the crowd besides just offering the best price. We have the experience to help you win, let us show you how. It really pays to work with the agents that have experience right now if you are buying or selling. 

If you are the seller, you need to know what to look at besides just the price such as does the buyer have an Experienced Local Lender that all the agents can talk to when there are questions or problems? Other things for the seller to consider include the type of loan the buyer is getting. Where does the lender do their underwriting, is it local, out of state, or is it outsourced out of the country? What inspections are being required? How long are they going to take to do those inspections, so how long are they going to hold your house off the market? Is there going to be a minimum $ amount before they ask for any repairs? Is your house ready to sell? Need some work done? Go to our Solus Group Preferred Providers to find someone we trust to do the work. 

One of the other problems with the market being strong is the property has to appraise for the sales price. It seems that if you have a buyer willing to pay the price that you are asking that all should be well. Not true, the bank doing the buyers loan needs to be assured that the value is there so they will order an appraisal. If the house does not appraise, not only does the buyer not have to buy but the seller does not have to sell and the lender may not make the loan. Sometimes the agents are allowed to submit other comparable properties for the appraiser to consider. If that does not work, can the buyer come up with some more cash, will the seller consider something less, are there other terms that could be acceptable to all the parties including the lender?

As you can see with the market being strong, it is more important than ever to work with someone has had success and experience to trust with your real estate needs.


by Solus Real Estate Group

Leverage gives the user a maximum advantage whether it is physically lifting a large object or rapidly building equity in a home. In the case of the home, the high loan-to-value mortgage allows the profits made to be greater than simply the cash invested.

A $250,000 home can be purchased on a FHA loan with a 3.5% down payment of $8,750. If the home appreciates at 2% a year, in seven years the equity will grow to $75,920 due to the appreciation and the amortization of the mortgage. That would be a remarkable 36.2% rate of return.

It is estimated that homeowners have a 45 times higher net worth than renters. Since the obvious difference is that renters don’t own a home, owning a home is a distinct advantage. The leverage that allows a borrower to control a much larger asset with a small down payment gives them a return on the much bigger asset than on just the down payment.

Another interesting contribution is the forced savings that occurs with each payment made on the mortgage. A portion of the payment is applied to principal so that the loan will be paid in full by the end of the term, usually 30 years. The amortization on the 4% mortgage example from above has approximately $4,300.00 paid in the first year to reduce the principal which increases the owner’s equity in the home.

For people who have the necessary funds for the down payment and good credit, buying a home can be a financially stabilizing event. While research on the Internet can provide valuable information, there is no substitute for having a face-to-face meeting with a trusted professional to determine your specific facts.

You might pass this information on to someone that should consider buying their first home, Let them see some of the benefits of owning a home.

Suppy and Demand from December 15 to March 15, 2016

by Solus Real Estate Group


December 15, 2015 to March 15, 2016

This shows how many months supply of houses are on the market.  We have taken how many sold
during the past three months and then divided it by the number of homes currently on the market.                                                                                        

Price Range

Months Supply

Last Months Supply

Supply 3 Months Ago


3.8 Months

2.4 Months

2.0 Months


2.4 Months

2.4 Months

2.2 Months


3.0 Months

2.7 Months

1.9 Months


4.7 Months

3.7 Months

2.1 Months


4.8 Months

4.0 Months

3.7 Months


6.5 Months

7.0 Months

3.0 Months


8.4 Months

9.9 Months

4.5 Months


20.4 Months

16.6 Months

18.0 Months


18.8 Months

13.4 Months

12.0 Months

The market is changing again; six price ranges the supply increased and 2 price ranges the supply decreased. Balanced market is a 4 to 6 month supply of homes. Below $200,000, we continue to have a shortage of supply of Listings but above $300,000, we have an oversupply. The interest for mortgages has stayed close the same as last month with a slight increase in some of the products.

Conventional Fixed rates (45 day lock-5% down) the 30 years rate is 3.625%, the 20 years rate is 3.4% and the 15 years is 2.875%.  The SD Housing SDHDA FHA/RD/VA (fixed rate-1% fee) is 2.75%, SDHDA FHA/RD/VA (fixed rate plus) is 3.375%, SDHDA Conventional (1% fee) is 3.125% and the SDHDA Conventional (fixed rate plus) is 3.875%.  VA/FHA/RD- Minnehaha & Lincoln counties 30 years is 3.25% (RD 3.25%) and 15 years (RD not available) is 2.625%.  Rates by First Bank & Trust - Brian Spaans                                                                  

Yes, it is a great time to buy and sell!

The Solus Real Estate Group is here to serve you in all of your Real Estate needs.  Give us a call to see how these low mortgage rates could benefit you!!



mark youngberg-

Erika Boen –

Ameri/Star Real Estate


Itemized Tax Deductions Available to a Homeowner

by Solus Real Estate Group

Home ownership has always been the "great American dream". Here is an article from "Realty Times” that talks about some real monetary advantages from home ownership. I learned something new in the section labeled Points. There is some good information here.

To foster and encourage this dream, Congress has consistently enacted tax legislation which favors homeowners. Indeed, much has been written that our tax laws discriminate against renters, by giving unfair and unequal tax benefits to those who own homes.

Every four years, some candidate for high political office tries to focus our attention on equalizing the tax laws, and repealing the homeowner benefits, but these arguments have consistently fallen on deaf ears. And this coming election year is no different.

For those of us who own homes, here is a list of the itemized tax deductions available to the average homeowner. Every year, you are permitted to deduct the following expenses:

 Taxes. Real property taxes, both state and local, can be deducted. However, it should be noted that real estate taxes are only deductible in the year they are actually paid to the government. Thus, if in year 2015, your lender held in escrow moneys for taxes due in 2016, you cannot take a deduction for these taxes when you file your 2015 tax return.

Mortgage lenders are required to send an annual statement to borrowers by the end of January of each year, reflecting the amount of mortgage interest and real estate taxes the homeowner paid during the previous year.

 Mortgage Interest. Interest on mortgage loans on a first or second home is fully deductible, subject to the following limitations: acquisition loans up to $1 million, and home equity loans up to $100,000. If you are married, but file separately, these limits are split in half.

You must understand the concept of an acquisition loan. To qualify for such a loan, you must buy, construct or substantially improve your home. If you refinance for more than the outstanding indebtedness, the excess amount does not qualify as an acquisition loan unless you use all of the excess to improve your home. However, any other excess may qualify as a home equity loan.

Let us look at this example: Several years ago, you purchased your house for $150,000 and obtained a mortgage in the amount of $100,000. Last year, your mortgage indebtedness had been reduced to $95,000, but your house was worth $300,000.

Because rates were low last year, you refinanced and were able to get a new mortgage of $175,000. Your acquisition indebtedness is $95,000. The additional $80,000 that you took out of your equity does not qualify as acquisition indebtedness, but since it is under $100,000, it qualifies as if it was a home equity loan.

Several years ago, the Internal Revenue Service ruled that one does not have to take out a separate home equity loan to qualify for this aspect of the tax deduction. However, if you had borrowed $200,000, you would only be able to deduct interest on $195,000 of your loan -- the $95,000 acquisition indebtedness, plus the $100,000 home equity.

The remaining interest is treated as personal interest, and is not deductible.

Points. When you obtain a mortgage loan, some lenders will allow you to pay one or more points to get that loan. The more points you pay, the lower your mortgage interest rate should be. Whether referred to as "loan origination fees," "premium charges," or "discounts," these are still points. Each point is one percent of the amount borrowed; if you obtain a loan of $170,000, each point will cost you $1,700.

The IRS has also ruled that even if points are paid by sellers, they are still deductible by the home buyer. Points paid to a lender when you refinance your current mortgage are not fully deductible in the year they are paid; you have to allocate the amount over the life of the loan. For example, you paid $1700 in points for a 30 year loan. Each year you are permitted to deduct only $56.66 ($1700 divided by 30); however, when you pay off this new loan, any remaining portions of the points you have not deducted are then deductible in full.

Needless to say, if you have any questions about these tax benefits, discuss them with your financial and legal adviser.

Year End Numbers

by Solus Real Estate Group

We have the end of the year numbers in so we can share them with you:


Dec 2014

Dec  2015

% Change

YTD 2014

YTD 2015

% Change

New Listings







Pending Sales







Closed Sales







Median Sales Price







% of Original List Price Received







Days on Market







Inventory of Homes for Sale







Month’s Supply of Homes for Sale







So this is how we are ending the year. I observe that the YTD Listings are up slightly, however the pending sales and the closed sales are both up significantly! It also shows us that inventory or supply of homes is down significantly. Now the check point is that the median sales price (median point of all sales) is only up slightly. Homes are selling but they are not bringing major price increases at this point.

Now if you want to see how your price ranges or the price range you want to move up to is doing, check out our Supply of Homes report on our web site.  Remember when looking there that we consider a 4-6 month supply of homes to be healthy. Six price ranges are below that, 1 is in it, 2 price ranges are significantly above that. Be informed, check it out.

If you find this report informative and think someone else would enjoy seeing it, please feel free to share it.



by Solus Real Estate Group

One thing that you can depend on is that the Real Estate Market that you see today is most likely not going to be the same one that you see a month from now and so on.  The environment for first time home buyers has been the exception as of late, but it is most likely due for a change.  The following is an article from Realty Times that explains why first time home buyers need to act now!

With some of life's milestones, there may not be a picture-perfect time to take the plunge. But when it comes to buying your first home, the combination of good market conditions and your own financial situation can dictate timing. If you've got the credit and down payment, you'd be crazy not to buy now. Want to know why?

Rates are still low

The Federal Reserve did raise rates slightly here at the end of 2015. So what does that mean for buyers? It is not much at this point but if they continue to raise rates it will have a significant impact especially on Millennials.

"If mortgage rates hit 6%, a third of millennial (people younger than 35 years old) wouldn't be able to afford homes as they're currently listed, according to an analysis by HouseCanary, a housing-data analytic company," said Money magazine. "Mortgages are huge loans, so a seemingly small shift in interest rates can change a borrower's monthly payment by hundreds of dollars (though going from the current 4.08% rate to 6% is in no way a small shift)."

Investopedia's example using a $215,000 home with 20 percent down (leaving a $172,000, 30-year mortgage) figures a monthly payment of $821.15 at an interest rate of four percent and $923.33 at five percent. Is that $100 a month enough to get you moving?

New low down payment loans

First-time buyers have typically gravitated toward FHA loans for their low credit score requirements and down payments of just three and one-half percent. But new loans from Fannie Mae require as little as three percent. Known as the 97% LTV (Loan to Value) loan or Conventional 97, it can be more affordable for first-time buyers because "the Conventional 97 program does not require an upfront mortgage insurance premium, and because it’s annual mortgage insurance rates are cheaper, too," said The Mortgage Reports.

Rising rents

In many market, home prices are up significantly from their lowest levels several years ago, but are still within range of many buyers. Rents, on the other hand, continue to go up, pushing household spending to new, uncomfortable, heights.

"Payments on a mortgage used to purchase a three-bedroom home were more affordable than paying rent on a similar home in 66 percent of the counties recently analyzed by RealtyTrac," said Mortgage News Daily. "Across all 285 counties analyzed, the average percentage of median household income needed to rent was 29.96 percent while the average percentage of median household income needed to buy was 29.00 percent."

Tax deductions

When you pay rent, the entirety of your payment goes to the landlord or property owner, and all you get in return is a temporary place to stay. When you own your home, the government essentially pays you money back for your investment.

"Your biggest tax break is reflected in the house payment you make each month since, for most homeowners, the bulk of that check goes toward interest," said Bankrate. "And all that interest is deductible, unless your loan is more than $1 million."

Any points you paid on your loan are also deductible the year you paid them, as are your property taxes. "These taxes will be an annual deduction as long as you own your home," said Bankrate. "But if this is your first tax year in your house, dig out the settlement sheet you got at closing to find additional tax payment data. When the property was transferred from the seller to you, the year's tax payments were divided so that each of you paid the taxes for that portion of the tax year during which you owned the home. Your share of these taxes is fully deductible."

Lower PMI

First-time home buyers who put less than 20 percent down on an FHA loan will have to pay Private Mortgage Insurance (PMI). It's one of the drags of having limited cash. For the past several years, those payments have cost buyers an annual premium of 1.35% of the loan balance, but a recent change dropped the premium to 0.85%.

"This change is expected to save more than 2 million FHA homeowners about $900 a year and allow about 250,000 consumers to buy their first homes in the next three years," said

Remember also that your PMI may also be tax deductible, subject to a few restrictions (and remind yourself again what portion of your rent is deductible: none).

If you want to see what houses in a particular area are currently pricing at, check out our Search for Homes on our web site. Or if you want to start by talking to a lender, check out our Preferred Lenders; just remember to tell them where they received their name so they can give you The Solus Group Preferred treatment.
Or give us a call anytime on our Solus Group Hotline 605-336-9600.

Some Ideas to Upgrade the Condition of your Home!

by Solus Real Estate Group

Even during this time of a strong Real Estate market in the Sioux Falls area, there are homes that hit the market and fail to sell.  The primary reason for homes not selling in any market is pricing.  Homes that are priced above their competition will sit and be looked at, but may not get offers and typically will not sell.  

One of the other primary factors that affect the value of a home is its condition.  Here are some ideas as to how to upgrade the condition of your home to get a higher sales price.

When it comes to looking at houses, we do tend to judge a book by its cover. That’s why it’s so important to make sure your home looks as appealing as possible, both inside and out, if you want to get top dollar when you sell. U.S. News & World Report talked to real estate experts, who said these home improvements will help boost your selling price.

Improve your landscape. Keep your lawn neat, trim the bushes, clear out any old or tired-looking shrubbery and replace with new ones, add color with potted plants or garden beds, and top everything off with a fresh layer of mulch or rock. In the winter months like we have now, keep the walks and driveway not just open but cleared off completely.

Spruce up your entryway. Paint the front door or replace it, and update your house numbers and mailbox. If they are brass colored, consider painting them black.

Change out light fixtures and plumbing fixtures. Replacing outdated fixtures with more modern ones gives your house an instant lift.

Return rooms to their original uses. If you use the extra bedroom as an office, turn it back into a bedroom.

Replace dirty or worn carpet. Prospective buyers can tell the difference between new carpet and cleaned carpet, and often, cleaning it just isn’t enough. If you have hardwood floors underneath the carpet, your best bet might be to refinish them and forego carpet completely.

Remove window treatments, unless they are current and high-end. Your window treatments probably won’t match a prospective buyer’s décor, so you’re better off removing them. Plus, uncovered windows let in more light.

Depersonalize. House hunters want to imagine themselves in your home, so remove obvious and identifying personal items, like photos and knick-knacks.

Clean thoroughly. Make every inch of the house sparkle and shine by deep cleaning it. And then think about hiring a house-cleaning service to do it, too.

Paint every room. A fresh coat of paint in a neutral color appeals to everyone. It freshens up the house, making it look newer and more modern.

These are a short list, for a complete list for your home call us, We can help you even if you are not planning on selling for a while, let us give you ideas for your personal home to make it sell faster and for better money.

November Statistics

by Solus Real Estate Group

Welcome to December!  Enjoy the warm weather while you can! Have a Christmas attitude and think of why we really celebrate this season.

Our November statistics came to us just today, so we can share them with you.


Nov. 2014

Nov.  2015

% Change

YTD 2014

YTD 2015

% Change

New Listings







Pending Sales







Closed Sales







Median Sales Price







% of Original List Price Received







Days on Market







Inventory of Homes for Sale







Month’s Supply of Homes for Sale

5.2 Months

3.3 Months





 We have reason to celebrate in the Real Estate market. We have had better sales than last year (pending & closed) and the number of Listings is better than last year. It appears prices are going up very moderately. The supply of homes is basically balanced as a whole with the overall month’s supply.

If you want to see how a particular price range is doing go to our Supply of Homes on the Market Report under the News Tab (which gives you a report on National Existing Homes Sales).

Have a Fantastic day and remember to celebrate Jesus is the reason for our season.

Displaying blog entries 1-10 of 139




Contact Information

Photo of Solus Real Estate Group Real Estate
Solus Real Estate Group
Ameri/Star Real Estate
5900 S Western Ave
Sioux Falls SD 57108
(605) 274-7273
Fax: (605) 336-7749

Solus Real Estate Group Specializes in Selling or

Buying Homes and other Real Estate or Property in the Sioux Falls, South Dakota Region.