Author: tony@tonyratchford.com

Real Estate in the Sioux Empire is as strong as it been since the mid-1980’s; and it is real. This is not because of governmental manipulation, as it was in the early 2000’s, but with real buyers and real money. It is Free Market activity as it should be where buyers and sellers are establishing true market value without outside stimulus.

Fiscal and monetary policies, along with fewer regulations and solid employment, are working together to drive the economy. Seldom do we see a strong economy without seeing solid growth in new construction and a high level of real estate activity. One might argue which one comes first; but we know it takes employment and income plus consumer confidence for a real estate market to excel. 

A curious question to ask is, how long will this last? Real estate sales today are up about 8% over last year and prices are up 5%. It appears this pace can continue for some time; providing present government policies and low mortgage rates stay in place.

Covid-19 mandates have disrupted the market to some degree throughout the world, but thankfully most businesses stayed open in Sioux Falls, people kept their jobs, and consumers are spending money. The powerful economic engine that started a few years ago was going strong before the Covid-19 pandemic, and it has remained on solid ground here.

People’s desire to live a normal life appears to be driving a need for quicker solutions. Masks are now accepted as the saving grace for many businesses. Therapeutic discoveries are at hand, and vaccines are not too far off. We are learning how to cope with change and adversity.

According to the National CDC website, Covid-19 cases are up substantially; which is understandable as people are more engaged with life, but the weekly death rate has been dropping consistently since April 25^th. This surely is a good indicator we are on a good path.     

Mortgage rates have been in the 2.25% range for a 15 year loan, and 2.75% rate for a 30 year loan, and rates aren’t going up for a long time; this will continue to drive real estate ownership and equity for the foreseeable future.

This is a great market for both sellers and buyers. Sellers are getting more money for their house, and buyers are getting greater buying power with lower rates. It’s a win-win scenario for everyone; which doesn’t happen often enough.

We wish you a beautiful summer season, and invite you to call or text 605.359.4100.

Tony Ratchford, The Ratchford Group, KW Realty Sioux Falls

Most of us have read all or part of The Declaration of Independence and the United States Constitution at some time in our life, but how many of us truly understand the history of how and why they were written?

It began in 1776 when an idea for the 13 Colonies ‘need not be under the rule of the Royal Crown’ anymore, was introduced in the Second Continental Congress. Five members were appointed to draft a Declaration of Independence. Ben Franklin, Robert Livingston, Roger Sherman, John Adams, and Thomas Jefferson in a collective effort presented their work to the entire 55 member Congress for review and edit. A popular summation of their grievances was perfectly stated.

We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain Unalienable Rights, that among these are Life, Liberty and the Pursuit of Happiness.

Later, the foundation for the Constitution was based on this principle as well as six additional fundamentals noted in the preamble; Secure the Blessings of Liberty, Promote the General Welfare, Insure Domestic Tranquility, Establish Justice, Provide for Common Defense, and to Form a More Perfect Union.

Many years have passed, and one must wonder if we have ever achieved these goals. Today, there appears much work to be done.

The basis for this Declaration was primarily about Freedom, or lack of; that’s why most traveled to the new world to start with, to escape dictators and unequal rule of law.

The Founding Fathers had different backgrounds and belief systems. They were well-schooled and experienced in world history. They understood why and how societies failed and what pieces succeeded. They used this knowledge and it took over ten years, with much discussion and debate, to complete the process.

The original immigrants to this country were rugged individuals and fiercely independent. They expected freedom, not just for themselves, but for others as well.

During the ten years of ratification, in order to further understanding for the content of The Constitution, The Federalist Papers were published. Guided under the name of Publius, from the Roman Empire, and authored by Alexander Hamilton, John Jay, and James Madison. These 85 articles attempted to explain the meaning and to provide vision for the future. The Anti-Federalists wanted as little government as possible, which was originally reflected in the Articles of Confederation, but a need for a little more central government was conclusively acknowledged.

The final arguments created three branches of government, our present United States of America Constitution, and ten amendments known as the Bill of Rights; completed in 1787 and ratified by all Colonies in 1790. It established the rule of law, a system for changes to the constitution, and guidelines for continuation of a more perfect union.

It’s natural for us to want others to think and act like us, and in the past, people respected others beliefs and actions as long as it didn’t harm others.

One has to wonder how we deviated so far from this thought? We hear the word ‘divisiveness’ too often and we put labels on everyone. Labeling in itself is dividing and inherit in its meaning is to separate one from another. If this is true, we need to stop putting labels on people and treating others as different from us. If we are equal, then no one is special and no one should expect to be; doing so is simply divisive.

We can have a conversation about what our economic system should look like; whether we continue with Capitalism and more freedom, or move closer to Socialism and dependency. This is a discussion of how we want to live, but it isn’t about who we are. History is well written about these subjects and it is an important read for all those who want to have a discussion on individual or collective rights.

Everyone should have permission to choose their path, providing they don’t harm another person or property; this is if we want the Preamble to unfold. I’m curious, why do we think it’s all right for one person to project their belief on another, shame them if they don’t go along, and why do we, as individuals or as a country, accept that behavior?

And, when did the Rule of Law become an option? Law and Order is the only thing that separates us from anarchy and totalitarianism. It must apply to everyone, all the time, and without exception. It is our foundational principle.

In order for us to be a more perfect Union and a Civilized World, we must strive to create an environment for everyone to experience Life, Liberty and the Pursuit of Happiness as they chose. Perhaps we could revive the word Respect; this is for all individuals, for our Country, for our history, and for us in our personal lives.

With that said, may I remind you that homeownership is the greatest of all freedoms; nowhere in the world does it exist as it does here in the USA.

Tony Ratchford, The Ratchford Group, KW Realty Sioux Falls

The most frequently asked question today is how has the Covid pandemic affected real estate? The answer is a mixed bag. Nationally, sales fell off, mostly in the states that shuttered down, but in South Dakota it’s a different story.

There were people already in the process of selling and buying when the pandemic scare hit, those people continued with caution. Many others saw an opportunity with low mortgage rates and hoping to find an anxious seller willing to accept less for their home than normal, and there have been sellers wise enough to see a short supply of homes for sell to take advantage of a sellers’ market.

All in all, home sales are greater than last year. Prices in the lower bracket have increased, held steady in the mid ranges, but have lost ground in the upper bracket during the past few months.

Interesting how some agents and consumers were creative in their approach for showing their house and looking for a house. Some forecasters are stating the internet has truly arrived at taking real estate agents further out of the equation. Some think the historic method of physically viewing a home has or will be replaced with virtual walking tours. In Arizona, people are negotiating and buying homes unseen in person; once a purchase agreement is accepted, the buyer views the home for final approval of the property the day after; albeit, with a very large fallout rate.

It’s hard to believe many people will buy a home simply by watching a scripted and scrubbed video; certainly, it’s a time saving way to narrow a list of potential homes for the buyer plus save time and inconvenience for the seller. Ultimately, the new homeowner will want to make sure they see all of the house, it’s true condition, yard, and neighborhood before they solidify it satisfies their desires and develop a satisfactory dollar value.

There is no doubt new ideas for marketing will emerge and more convenience developed for both buyers and sellers. In addition, the real estate agent will become even more important if they provide greater value with marketing techniques for the seller, and more knowledge of homes and helping a buyer clarify what’s most important to them and the market value of the house. Not to mention the complicated process surrounding paperwork, negotiations, inspections, title, and the closing process.

Real estate continues to be a terrific investment as well as a place to enhance your lifestyle for years to come. The economy has taken a little hit, but it will rebound quickly and steady over the next year as jobs are replenished. Mortgage rates will stay low and we’ll see strong growth factors abound.

The Ratchford Group has a proven process to help you maximize your dollars, save you valuable time, and give you peace of mind you are doing the right thing at the right time.

Tony Ratchford, The Ratchford Group, KW Realty Sioux Falls

What we hear, what we speak, and what we read is planted deep in our minds.

The brain seldom knows the difference between reality and what we tell it. Whether we are listening, reading, or speaking; our brain thinks it is true and we act accordingly. Words control the direction we take; thus the reason for affirmation, prayer, meditation, written goals, and stated vows of commitment. The idea is to bring good energy to our actions.

Lately, it’s common to hear people speak about their fears surrounding Covid-19; and given the world pandemic we should be concerned. Fear is a good thing if it stops us from getting into trouble; yet, we should not be too afraid to live. One thing is certain, the world has always been scary, and our options are to either hide or move into the unknown with caution.

Balancing risk is a constant exercise in life. Ideally, we weigh the anticipated payoff of an action with any potential downside to our mental, spiritual, financial, and physical health. Regardless of one’s decision, life insists we engage.   

There are basically two types of people; those who live with full expectation of a good outcome, and those who hold back as they see potential danger ahead. Both thoughts are important; although, those who are optimistic usually accomplish more, and perhaps enjoy life more as they expect to win and their focus is to look for opportunities that make it so. The optimist will take action, when the pessimist may avoid or deter action whenever possible.

We see this with real estate ownership. It is one of the best barometers in testing the mood of consumers. When people feel confident about their future, they act with enthusiasm; and when they become fearful, they put things on hold. But, life continues on, and this is when our thought and talk determines our direction.

We know, especially today, the more comfort we have in our home the easier it is to deal with adversity and enjoy daily living. Now, could be a great time to analyze your lifestyle and where you live. Do they match well, or are there pieces in the home that are missing or unneeded?

The market today is healthy. Prices are steady, mortgage rates are low, and its obvious people are feeling good about the future as sales are up 18% over last year. If you are thinking about moving within the next year or two, perhaps an investigation sooner might offer you a better opportunity than later, or at least, help develop a more clear plan for the future.  

When deciding to move or not can be sorted out simply by looking at what you gain, compared to what you give up. Is the payoff big enough by moving to a new place, or is it better to stay put? Fortunately, we have a proven process to help you find the answers.

We invite you to call or text 605.359.4100

Tony Ratchford, The Ratchford Group 

Years ago I heard a famous motivational trainer, Tony Robbins, speak about how we accept or reject events. Most of us, when given positive or negative news, react accordingly. For example, someone gives us bad news, we automatically think of negative consequences, and the opposite is also true. But what we seldom do is think about the other side of the event.

The story he told went something like this:

There once was an old man in a small village and was the envy of the villagers because he owned a beautiful white stallion. When approached by his fellow villagers about his good fortunate, the old man would simply reply ‘ah, maybe.’

As luck would have it, the horse ran off one day and the villagers commented on how unlucky the old man became; the old man only replied with ‘ah, maybe.’ A few days passed, and the stallion returned with three wild female horses. The villagers couldn’t believe his good luck; he had a valuable horse that ran off, and now when the stallion returned, he has four horses instead of just one. The old man again replied to this event as he always did with ‘ah, maybe.’

The old man had a son, who had a desire to tame the wild horses. Unfortunately the only thing he broke was his legs. Now the villagers spoke about the old man’s misfortune. The old man continued with his statement of ‘ah, maybe.’

Shortly thereafter, the local village engaged in war with a distant village; all of the young men went off to battle except the old man’s son who was unable to fight due to his broken legs. When the elders said to the old man how lucky he was, he simply paused and said, ‘yes, maybe.’ And, the story continues.

The moral of the story is we never know what an event has in store for us. The old adage ‘there is a silver lining behind every cloud’ can be true. Although, when we are deep in the pain of trauma, it could be a lot harder to see a potential benefit. Generally speaking, it’s mostly our attitude that holds us back. Perhaps its fear or anger, but those who get to the other side successfully usually do so because they looked for opportunity and goodness that might come out of a tough situation.

Today, we are faced with a lot of questions. How we get to the other side will depend on our courage and resilience. We wish all of you good health, and when the time is right for you to pursue a different home, we will be here for you. Call or text 605.359.4100

Tony Ratchford, The Ratchford Group, KW Realty Sioux Falls

“Action is the foundational key to all success.” Pablo Picasso The end of a year is an interesting psychological time, it feels similar to reading a book and as we finish the last chapter, we close the book and look forward to another. This new book is ours to write. The beginning of a new year can be powerful as we celebrate our accomplishments. Unfortunately, our thought is often drawn to what we didn’t accomplish, more so than what we did. It’s an odd occurrence and it destroys our confidence. It’s better to spend energy working on improvement, rather than wasting time talking and thinking on things that don’t help us move forward. It’s a new year and time to set a new path toward new goals and desires.    So, what’s on that ‘bucket-list’ you’d like to do? Is there something you put off last year, or the year before? I heard a song the other day by Lee Ann Womack; she sang about giving her children advice on life, and how she hoped they would dance when the opportunity would arise, rather than sit it out. How many times have we said no, when we could have said yes? How often do we pass on opportunity, when it was just as easy to embrace it? In our world of real estate, we believe the house a person lives in should match their lifestyle. This we know offers the best opportunity to enjoy not only their home, but life itself. Yet, we see too many people hold on to something that doesn’t work as well as it could. We suspect there are many reasons, but the primary reason is fear of the unknown plus the inability to see clearly their desires and the path it takes to go from here to there. Those of us at The Ratchford Group use a trademarked and proven process, The Dream Home Vision, to help people find great clarity about the things that are most important to them, and discover solutions to improve their joy of homeownership. It also lets them maximize their dollars, minimize inconveniences, save valuable time, and gives them greater peace of mind knowing they are doing the right thing at the right time. The economy is as good as it’s been since the 1980’s, and it will continue as it did through the 1990’s. The key has been jobs. Household annual income is up 10% over the past two years, with the bottom income brackets performing better than the average. This drives consumer spending and capital investment by corporations creating demand for more workers and higher wages. Today, low mortgage rates, home values rising, high employment and increasing wages leads us to an ideal market for people wanting to sell and purchase homes. Time continues to pass by, leaving us less than we had before. We hope you’ll grab ahold of an exciting era of high prosperity and opportunity; find that new house which fits your lifestyle better and ultimately makes your life more enjoyable. Tony Ratchford, Broker for KW Realty Sioux Falls, CRS, ABR, SRES, Luxury Homes Institute Member