Key insights

• The waterfront area is the key to selling the property. When staging, be sure to start at the dock and work your way in.
• Kitschy items are a lake cabin staple, but you want to be sure you’re not distracting from the home’s best features.
• Stand out from other local sellers. Show off how the home can accommodate guests and share your favorite things about the area.

Even if you live on the most gorgeous lake in the state, it's still important to stage your waterfront property for potential buyers. Follow these tips to showcase the best qualities of your lakeshore property as you list it for sale.

Staging the water and outdoor areas

Lake home buyers are usually most interested in the water, so that’s where you should begin the staging process.

Start at the docks:

• Replace any broken or aging boards.
• Paint or stain the dock to give it a little more appeal.
• Make sure docked boats are sparkling clean and properly secured in an aesthetically pleasing way.

Then, make your way to your beach area:

• Get rid of any weeds in the shallow areas of the water and the shore in accordance with local regulations.
• Rake your sand before every showing where permitted.
• Durable items like kayaks or canoes can help stage the beach area, but items that may deflate (like big rafts) should be put away in a shed before a showing.
• If beach toys are in good condition, you can arrange them to show how much fun kiddos can have on the beach; if they’re old and faded, they should be put into a storage container out of the way.
• Finish it off with some beach chairs and sun umbrellas for a relaxing vibe.

Last, head toward the house:

• Whether you have a gorgeous wrap-around deck or a low-key fire pit and grilling area, make sure your outdoor entertaining areas shine.
• Rearrange lawn and deck furniture into small groupings so it looks more intentional.
• Create a festive feel with throw pillows, lanterns and outdoor potted plants.

Stage the interior

Once you have finished staging your lakeshore area, move indoors:

• Follow our basic home staging tips to ensure the interior of your home is looking sharp.
• Go a step further to emphasize any and all views of the water.
• Wash all the windows and keep the curtains open during showings.
• If you’re thinking of selling in the winter, print and frame large photos of what the lakeshore area looks like in its prime summer months.

What to do about your cabin kitsch

When staging a traditional home, your REALTOR® will usually recommend you remove family photos and other personal items. In a lake home or cabin setting, this may be less about family photos and more about removing lake kitsch:

• Look around your property and determine which knick-knacks are adding to the charm, and which are distracting from it.
• Go from room to room, looking at the items that first draw your attention. Whether it’s your uncle’s attempt at carving a grizzly bear or 40-year-old watercolor art that’s long faded in the sun, you may want to consider removing some artifacts before you try to sell your lakeshore property.

Keep in mind what kind of property you are trying to sell:

• While all properties should be impeccably clean, you can likely get away with more kitsch and clutter in a smaller lake cabin than you could in a luxury lakefront home.
• If your cabin is used primarily as a hunting or fishing cabin, the decor may not be as important as the property’s location. (In other words, the kitchen antlers can stay!)

Show off its guest potential

Many lake home buyers are interested in hosting family and friends, so you want to be sure you show off your property’s potential for accommodating guests:

• Let your REALTOR advise you on the best tips for your space.
• Add bunk beds, pull-out couches and pop-up cots to larger rooms.
• If you have creatively hosted many guests at once, you can also print a floor plan flyer showing how you managed to “sleep 10” in a 1,200-square-foot cabin! You may also share how the outdoor space accommodates tents, campers, and trailers for overnight guests.

Share local insights

Think about what a buyer would want to know about the area:

• In the main entrance, place an overhead map of the lake with your property circled so they can get a better indication of the layout of the area.
• Include additional brochures or information about the nearest town, including directions or mileage to nearby grocery stores, shops and other local attractions.
• People who are purchasing a waterfront property are often prioritizing leisure — give them an indication of the lifestyle they’d enjoy if they purchased your home.

Ready to sell your lakeshore home?

Stage your waterfront property to sell quickly and for top dollar. Reach out to get personalized staging tips for your lake home or cabin.

Scott Teece, Vice President of Sales, Edina Realty Insurance, talks about recent changes in roof replacement coverage and what they mean for homebuyers in this “Ask an expert” article.

Key insights

• Roof replacement coverage requirements have been retired.
• Buyers now have more flexibility and can elect lesser roof insurance coverage.
• Fewer obstacles and delays are expected when securing roof insurance and closing on a home.

There’s good news in the home insurance world — a welcome change in the recent narrative. Fannie Mae and Freddie Mac have eliminated the conventional loan requirement for full roof replacement coverage at closing.

This is a change insurance brokers have been waiting for for years. Now that it’s here, it’s important that buyers understand what it means and how they can benefit.

What were the roof coverage requirements, and how have they changed?

Prior to this change, conventional loan underwriting required all home insurance policies to have replacement cost coverage on the roof. This impacted a large portion of the market, as 80–85% of all home loans are conventional.

Four or five years ago, homes with roofs over 10 years old were often denied coverage. This made it difficult for buyers to secure the insurance needed to meet mortgage requirements on a conventional loan and close on a home. It created strain for buyers and lenders alike and frequently caused delays as buyers worked to obtain additional coverage.

That requirement is now gone, giving buyers more roof insurance options.

What does this mean for buyers?

With the roof coverage requirement now obsolete, insurance companies can write a wider range of policies for different roof types and ages. For buyers, this means there may be:

• More options and flexibility
• Lower cost coverage options
• Potentially lower premiums
• Roof coverage that will likely not affect loan approval
• Fewer delays in closing due to insurance issues

What does this mean for sellers?

While this is especially beneficial for buyers, sellers also stand to gain. Sellers are now less likely to be asked for roof replacements or concessions.

That said, roof age verification remains important. Sellers should keep documentation of when the roof was replaced to help streamline the transaction.

What options are now available to buyers?

With the previous requirement removed, buyers can choose from three different types of roof coverage without impacting loan approval or delaying closing.

There are three primary coverage options:

1. Replacement cost coverage
   • Covers the full cost of materials and labor needed to replace the roof.
   • This was the only coverage accepted under prior mortgage requirements.
2. Actual cash value
   • Also known as depreciated value, this coverage pays the replacement cost minus depreciation based on the roof’s age and condition.
   • For example, if your roof is 10 years old and you file a claim, the payout reflects the replacement cost minus 10 years of depreciation (calculated at the time of loss).
3. Scheduled value
   • The insurance carrier predetermines the payout based on the roof’s age using a schedule that decreases annually.
   • For example, coverage may be 100% up to 10 years, then decrease each year thereafter (e.g., 96% at year 11).
   • In many cases, scheduled value payouts are higher than actual cash value payouts.

Let’s look at an example of how these three coverage types compare.

12-year-old roof, 30-year shingles

• Deductible = $2,500
• New Roof cost = $30,000

As you can see, the type of coverage you choose can lead to significantly different outcomes. While insurance costs matter, so does the potential cost of replacing a roof. (Note the chart above is not a quote or guarantee. Actual policies vary.)

Always consult a professional

Insurance may not be exciting, but it’s critical to understand your options and potential out-of-pocket costs.

Unlike a car, which can be replaced with a similar used vehicle at a depreciated value, you can’t replace a roof with a “used” one. Coverage decisions matter.

Meet with your insurance provider to review your options and determine the best fit. It’s also wise to get a quote early once you’ve chosen a home, giving you time to evaluate coverage scales and make an informed decision.

For transaction-related guidance on roof-related negotiations, feel free to drop a line anytime.

Key insights

• Create plenty of storage both inside and out.
• Use easy-to-clean materials for flooring and countertops.
• Invest in durable siding and decking to minimize maintenance.

A “low-effort” lake home is all about minimizing maintenance, simplifying access and making it easy to enjoy the water without constant upkeep. The best ones feel almost turnkey — arrive, relax, repeat. Here are the features that make that possible:

Design your interior for easy living and cleaning

Entry “round-up” station
Keep baskets and rugs available by the front door to quickly corral wet towels and muddy shoes before they cause chaos.

Hidden storage
Invest in storage, especially those that work double-duty. A storage bench by the front or a pull-out bed in the living room adds extra space for when you need it and function for when you don’t.

Smart features for remote control
Wi-Fi thermostats, security cameras and smart locks let you manage the home even when you’re not there.

Four-season usability
If you plan to use it year-round, good insulation, efficient heating and a mudroom for boots and gear make winter lake life much easier.

Main-level living
Having a bedroom, bathroom, kitchen and laundry all on one level means less hauling up and down stairs — especially helpful when you’re carrying coolers, towels or groceries. If that’s not possible, try to group areas together, like laundry and rooms on one level.

Open floor plan and indoor/outdoor flow
A lakeside deck or a screened porch make it easy to move between inside and outside without a lot of setup. Larger doorways like big sliding doors make it easy to move extra furniture in and out for outdoor lunches and

Durable, easy-clean interiors
Think luxury vinyl plank flooring, tile and washable surfaces. Lake life can mean wet feet, sand and sunscreen, so pick materials that clean up quickly. Add removable rugs for comfort and door mats to help stop debris from coming in and floors from becoming slippery.

When it comes to exteriors, think low-maintenance

Wash-off area
Utilize a hose and some pavers to create a “wash off” station to get the sand and muck off feet and paws before heading indoors.

Low-maintenance exterior and deck
Look for durable siding like fiber cement, engineered wood or composite materials instead of high-maintenance wood. Metal roofing is especially popular on lake homes because it often holds up well to weather and generally requires less upkeep.

Minimal landscaping
Natural landscaping or native plants often reduces mowing, watering and erosion. Bonus if the property is designed to manage runoff well — less mud, fewer shoreline issues.

Good storage solutions
Dedicated storage for lake gear (life jackets, paddles, cushions, fishing gear) keeps clutter out of the house. A shed near the water or built-in benches at the dock can make a huge difference.

Good parking and access
A flat driveway, plenty of parking and easy turnaround space make hosting and unloading painless. Bonus if the road is well-maintained year-round.

Boat lift and canopy
A lift keeps your boat out of the water (often less maintenance), and a canopy protects it from the elements can save time and money.

Enjoy your summer

Lake life is meant to be easy — sleeping in, lying by the lake, roasting marshmallows by the fire — no one wants to waste any of their precious summer time cleaning and updating their cabin. By investing in the right home features, you’ll spend less time cleaning and updating and more time in the sun.

Let’s find your perfect lakeshore getaway now!

Key Insights

• Attracting multiple offers on your home can help you sell it for top dollar.
• A REALTOR can work with you to optimize the timing and list price of your property.
• There are steps you can take to make your home more appealing to potential buyers.

Getting an offer on your home can be exhilarating, and attracting multiple offers increases your chances of selling it at or above your asking price. Here are six things to shoot for if you’re hoping to encourage competitive buyer interest in your home.

1. Turn-key homes sell best

If you want to attract buyers, give them what they want: a home that’s in good condition and staged to perfection. If someone can imagine themselves living in your house, they are more likely to buy it. And with so many home design shows and influencers, there’s no shortage of inspiration when it comes to making your home attractive to buyers by taking basic steps like decluttering, neutralizing your space and putting fresh paint on the walls.

You should also make necessary repairs and identify some of the top things buyers are looking for, including projects with the best ROI, like garage doors, stone veneers and more.

2. Curb appeal for the win

While your first showing often happens online, your second happens at the curb. Maximize your home’s curb appeal with landscaping, upgraded exterior lighting and fixes to trim, fences, decks and porches. Pay close attention to exterior fixtures like doorbells, house numbers, mailboxes and light fixtures to ensure they complement one another and look intentional. If you’re looking to add a finishing touch, consider a vibrant paint color for the front door!

During the warmer months, a focus on landscaping, a well-manicured lawn and trees, fresh mulch, flowers and even outdoor seating can invite buyers in.

3. Share home updates

Making apparent what you did to show your home love through improvements, renovations and more can be a great way to entice buyers. While a newish roof or fresh attic insulation may not be readily apparent from the roadside, they will go a long way towards selling the value of your home when a buyer takes a closer look.

Pro tip: Have a record or log available to showcase the home improvements you’ve made, which might include room renovations, HVAC system upgrades, new appliances, regular preventative maintenance and more.

4. Price it right from the start

Many sellers believe that pricing their home high as a starting point will attract buyers who will negotiate the price down, but the opposite is true. The first two weeks or so after your home is listed for sale are the most critical for exposure and interest (online and in-person showings), and if buyers see something outside their price range, they will exclude it from their list of options.

Similarly, if you price it too low or end up dropping your price, buyers will wonder what’s wrong with the property, and they may be less likely to bring their highest and best offer to the table. Having a REALTOR^Ⓡ perform a comparative market analysis on your home is the key to finding the optimal price — and attracting multiple offers.

5. Consider getting a seller's pre-listing home inspection

Getting a pre-listing home inspection done as a seller can uncover any potential issues for you to address before you list, so you can avoid surprises during a buyer’s inspection or a buyer negotiating a lower price based on issues uncovered. Plus, having a clean inspection report — or demonstrating that flagged items have already been addressed — can offer peace of mind to cash-strapped buyers who know your home is well-maintained and ready to go! This will automatically make your home more attractive compared to others on the market!

6. Partner with an expert

When it comes to selling your home and positioning it for success, having the right partner can make all the difference. When you hire a professional REALTOR, you’re getting someone who:

• Understands market dynamics in your area
• Can do a comparative market analysis on your home to increase the likelihood of strong offers to attract top dollar
• Has a large network of agents and potential buyers
• Understands how to attract buyers and effectively market your property
• Can make recommendations about what appeals to buyers and what home improvements you should consider making
• Can help you through the process — from listing to closing — to protect your interests
• Can expertly negotiate on your behalf, including whether to accept or reject an incoming offer, and what to counter
• Is there for you after the sale as an ongoing resource

Ready to sell?

Spring market is here, and buyers are eager for high-quality listings! Connect today and learn how you can attract multiple offers and a higher closing price.

Key insights:

• Many first-time homebuyers have student loan debt when purchasing a house.
• When buying a home, your debt-to-income ratio is more important than the total amount you owe.
• A variety of mortgage options exist for homebuyers with student loan debt.

If you’re ready to plant roots in a community or your dream home is on the market, student loans don’t have to hold you back. Here’s how to move forward and responsibly purchase a home, even with existing debt.

I want to buy a house, but I have debt…

If you’re wondering whether you can own a home despite debt, the answer is… yes — you can, with some careful planning! According to the 2025 Profile of Buyers and Sellers report from the National Association of REALTORS®*, 36% of buyers said that student loan debt made it difficult to save for a down payment. If you have student loan debt, you may want to take a closer look at your finances before buying.

Homebuyers spend a median of four years paying down debt before they purchase a property. During this time, potential buyers also save up for these two home-related costs:

• Down payment
• Monthly mortgage payments

One of the first costs associated with buying a home is the down payment, which is the cost paid upfront toward the total price of the home. Down payments vary widely and can range up to 20% (or more) of the home sale price, depending on the loan program and lender requirements.

Because this payment is paid as a lump sum, some buyers find saving for a down payment to be challenging. Of the homebuyers who reported difficulties saving for a down payment, 36% said that student loan debt delayed their ability to save.

Keep in mind that after you make a down payment and purchase your house, you’ll have to begin sending in monthly mortgage payments as a homeowner. So when determining how much you can afford when buying a home, you’ll want to take a look at your debt-to-income ratio.

Why your debt-to-income ratio matters

If your goal is to own a house but you have student loan debt, know that nearly 25% of all homeowners and 37% of first-time buyers are making mortgage payments while also paying off their student debt. So, buying a home with debt is possible — and it can be done responsibly. One of the most important factors to consider is your debt-to-income ratio. Lenders often look at debt-to-income ratios when evaluating mortgage applications.

The percentage of your income that you pay to debt each month equals your debt-to-income ratio. This number, rather than the total amount of debt you owe, is what lenders will primarily pay attention to when determining your loan eligibility.

That’s because when lenders assess your debt-to-income ratio, they’re making sure that your potential housing costs and other financial responsibilities won’t cost you too much of your overall income.

Lenders typically take these factors into account when gauging your debt-to-income ratio:

• Student loan debt
• Credit card payments
• Housing costs
• Car loans
• Child support
• standard monthly bills

If possible, you’ll want to minimize your debt-to-income ratio by:

• Minimizing unnecessary expenses
• Paying down credit card debt
• Increasing your monthly payments toward your debt

How to get a home mortgage—even with student loan debt

If you have student loan debt contributing to your debt-to-income ratio, you can still apply for a mortgage. Here are three common mortgage options for buyers with student loan debt:

• FHA loans
• Mortgage gift funds
• Down payment assistance programs

1. FHA Loans
The Federal Housing Administration (FHA) insures loans that are designed to meet the needs of first-time homebuyers; these are called FHA Loans. This type of loan could be a smart decision for someone with a less-than-perfect credit score or for a buyer with a down payment budget under the 20% mark. For this reason, FHA loans are commonly referred to as “helper loans.”

2. Mortgage gift funds
Gift funds are another way for buyers to get help when applying for a mortgage. Close family or friends may offer to contribute to the down payment on your home through a mortgage gift fund. If you are fortunate enough to receive this type of assistance, be sure to go through the necessary steps to document the gift.

3. Down payment assistance programs
Down payment assistance may be another option to help homebuyers with down payments and closing costs on home purchases. These programs have specific qualification requirements depending on:

• Income
• Assets
• Credit
• Occupancy
• Location
• Availability
• Lender participation

Each down payment assistance program will have different eligibility requirements. Be sure to take a look at assistance programs in Minnesota and Wisconsin if you’re hoping to get extra support toward your home purchase. Keep in mind that not all lenders accept these programs. Check with your mortgage consultant to see what options are currently available.

Next steps to buy a home

Don’t let student loans hold you back from purchasing your dream home. Whether you want a space to raise a family or are ready to make monthly payments toward a home that you can call yours (instead of your landlord’s), it’s possible! Reach out and move forward with your home search and purchase.

Key Insights

• Estate planning protects your heirs from unexpected hassles.
• There are things you can do now to avoid the time and expenses of probate.
• The Transfer on Death Deed could be a useful tool in your estate planning.

Dear Edina Realty Legal,
I am a homeowner. As I get older, I start to worry about what will happen to my home when I die. Is there anything I should be thinking about in that regard?

Edina Realty Legal:
It can be hard to plan for what happens when you die. But it is important to prevent your heirs from some unexpected hassles in dealing with your real property (your home and other land). We see issues arise all the time when there isn’t proper planning.

In Minnesota, Wisconsin and many other states, if your estate (which is all the property and items you own when you die) contains real property, the estate will have to go through probate. Probate is a process that occurs in the courts where your heirs ask for court approval to deal with your estate.

Normally, people who inherit a home don’t intend to live there, but rather end up selling it. We often see delays and complications in getting a home sold when it needs to go through probate.

There are a number of ways to avoid probate, including:

• Joint tenancy: If you hold property in what’s called joint tenancy with someone else, the property passes to them immediately upon your death. It is common for a married couple to own their home as joint tenants.
• A trust: Sometimes, people create a trust to hold their real estate. That way, their estate never owns the property.
• Life estate: In the past, a technique to avoid probate was to deed your property — maybe to your children — and then retain what is called a life estate, giving the holder a right to the property until death.

It’s important to note: Naming an heir of the property in your will DOES NOT avoid probate when real estate is involved.

Because some of these ways to avoid probate caused problems or perhaps were complicated, some legislatures have created a method of documentation that allows an estate to bypass probate when it comes to real estate. The method is called a Transfer on Death Deed, and it’s available in many states, including Minnesota and Wisconsin.

Here’s how the Transfer on Death Deed works:

1. You sign and record a deed of your property to a person or persons of your choosing.
2. The deed has no effect on, and the recipient has no interest in, your property until you die.
3. Upon death, the deed becomes effective, and the property passes to the recipient. To finalize the process, the recipient will just need to file some simple paperwork with the county.
4. You can change your mind and revoke the deed at any time prior to your death.

The Transfer on Death Deed could be a useful tool to help in your estate planning – and it may protect your heirs or property recipients from a complex probate process. If this sounds like something you are interested in, you should contact a local attorney.

The Edina Realty Legal Department serves as in-house counsel for Edina Realty and does not represent private clients. The insights included here are not intended to provide legal advice.

Key insights

• When selling, it’s important not to burden the new owners by leaving behind items they didn’t ask for.
• Some items, like manuals, warranties and spare parts, can be left behind as a convenience to the new owners.
• When in doubt about what to leave behind, consult your REALTOR® for their expert opinion.

Your home’s headed off the market and you’re headed to the closing table. As you pack up your belongings, you may wonder how tidy you should leave the property — and what you can leave behind as you pack up for good.

Here are tips to ensure a no-drama handoff to your home’s new owners.

Don’t leave anything behind without asking

After years in one place, some items can feel like they belong in a certain room or space — but they really just belong to you. Consider the fabric laundry room cubbies that fit just so on the shelves, the stand-up toilet paper dispenser in the basement bathroom, the twinkly lights you hung in the backyard a few summers ago.

If you haven’t specifically received notice that the buyers want to keep those items, you should take special care to remove them. In Minnesota and Wisconsin real estate contracts, you are typically required to remove all debris and personal property. When you aren’t sure if an item counts as a fixture to the property or should be removed, ask your REALTOR for their opinion.

To ensure you don’t miss anything, as a best practice:

• Look through cabinets, drawers and closets in every room.
• Remember to check the attic, basement and overhead garage storage.
• Have 2-3 people check each room before it’s given the final signoff.

Leave behind device- and repair-specific extras

Unless you have explicit instructions from the buyer, you can usually leave behind device- or repair-specific items, including:

• Manuals and warranties for appliances and systems
• Extra filters for your furnace or central air system
• Leftover bathroom, kitchen or roofing tiles
• Light bulbs that fit certain light fixtures
• Extra cabinet hardware

The idea behind leaving these items is that they will be a help, not a burden, to the new buyer. While a few spare paver stones are a nice offering to a buyer who may someday need to repair a cracking patio, a pile of 200 paver stones you didn’t want to dispose of is not. Use your best judgment when you are leaving any items behind.

What to do with extra paint cans

It’s hard to know if a homebuyer is planning to keep the paint color that you used for the home’s exterior or interior. But because paint samples often must be properly disposed of, you don’t want to burden the new owner with paint samples they don’t plan to use.

If you have extra paint cans, ask in advance (via their agent) if they’d like them to remain in the house. If you don’t have extra paint, but you do have a reference of the brands and colors used throughout your home, it can be kind to leave behind that guide so the new owner can touch up certain rooms or areas.

The final cleanup and lawn etiquette

Most purchase agreements — and generally all of them in the state of Wisconsin — require that the home be left in “broom-clean condition.” This phrase can have varying interpretations, but in general, it’s considered best to pass on a home that doesn’t need to be cleaned from top to bottom upon move-in.

Minimally, you’ll want to:

• Sweep and vacuum all floors, including inside closets and smaller storage spaces.
• Wipe down all cabinets and counters, inside and out.
• Clean kitchen appliances, including the tops and inside of the refrigerator, freezer, oven and microwave.
• Clean the bathrooms, including the shower, bathtub, toilet, sink and vanity.
• Remove any signs of pets — including fur, stains and odors.
• Sweep the garage floor to remove all debris.

In the winter, consider plowing the driveway and sidewalks one final time before closing. In warmer months, mow your lawn in the days before closing so the new owner doesn’t have to trudge through tall grass during move-in.

Ready to move on?

If you’re hoping to sell your home, get you on your way by reaching out for assistance on selling, moving and finding what’s next.

Key insights:

• Homebuyers and sellers need to fill out specific forms for their taxes.
• When in doubt, don’t throw it out! Keep a file of receipts from your home transaction.
• Your REALTOR® can help you locate tax documents.

Buying or selling a home is likely one of the largest financial transactions you’ll make in your lifetime. While it’s easy to get swept up in the emotions and excitement of a move, you’ll also want to consider the logistical components of your purchase. The paperwork you sign will become especially important around tax time.

If you bought or sold a home last year, you’ll need specific documents for tax preparation. Here are some details of each of these home-related tax documents:

• Form 1098
• Form 1040
• Form 1099-S
• Closing Disclosure

Keep in mind that this is general advice, and you should work with a tax or accounting expert to ensure you accurately fill out any tax forms and otherwise prepare your taxes.

What tax documents do homebuyers need?

If you’re a new homebuyer, look out for Form 1098. This document, also called the Mortgage Interest Statement, will be sent to you if you’ve paid mortgage interest totaling $600 or more in the last tax year.

This form helps new homeowners identify the total amount of interest they’ve paid over the course of the year, which can then be used to calculate potential mortgage interest deductions. Keep in mind that there are requirements to qualify for mortgage interest deductions on your annual tax return. If the following applies to you, you may be eligible for the deduction, and we encourage you to speak with a tax professional to determine whether you qualify.

• You’ve paid mortgage interest totaling $600 or more in the last year.
• You are actively contributing payments to the loan.

If, however, you’ve contributed less than $600 to home mortgage interest, you will not get Form 1098 in the mail from your lender. Either way, you may need to fill out the optional Schedule A attachment accompanying Form 1040 to claim any itemized deductions, including a mortgage interest deduction.

What tax documents do home sellers need?

If you’ve sold a piece of real estate for a sale price of at least $250,000, you should receive and report Form 1099-S, also known as the Proceeds from Real Estate Transactions form. This document indicates that you’ve sold a home and is used to calculate whether you need to pay capital gains tax.

If you’re required to report your sale, the 1099-S document will be provided to you at the time you sign your closing documents. The 1099-S is used to report the gross proceeds from the sale of real estate. Receipt of a 1099-S does not automatically mean tax is owed. You should talk to a tax advisor for tax advice.

Everyone should save these papers for taxes

At the time of closing, buyers and sellers will each receive a Closing Disclosure form or an ALTA Settlement Statement, which documents the closing costs associated with the home transaction. It’s important to keep track of this form because it is useful for preparing your taxes. Here is an example of what the form will look like and include.

In general, whether you’re buying or selling a home, it’s best to save all documents related to your homeownership. These will come in handy should you need them for tax purposes or if you ever happen to be audited.

Here are some papers you’ll want to keep track of:

1. Records from your home sale
2. Any mortgage or insurance documents
3. Documents proving your home is your primary residence (voter registration, tax returns, bank statements, utility bills, etc.)
4. Receipts from home improvement projects

Moving forward with your taxes

Taxes can feel daunting, especially the year after you’ve bought or sold a home. While you may want to hire someone to prep your taxes this year, you can also reach out to your agent for assistance in obtaining some of the above documents.

And for more information on tax documents, or to download these forms, check out the Internal Revenue Service (IRS) website and the Consumer Financial Protection Bureau (CFPB) webpage.

Key insights

• Provide shoe covers or a boot drying rack to ensure snow and mud aren’t tracked through your home.
• Institute a new routine to quickly dry out coats, mittens and other items after you return from school and work.
• Pay close attention to your driveway and sidewalks to ensure they are free from snow and ice; add salt or sand to every walkway to ensure no one gets injured.

Selling your home any time of year can be stressful, but when you add snow and ice to the mix, everything gets a bit more complicated. Here are some tips and tricks to help you keep your home show-ready during these harsh winter months.

Focus on your floors

Whether you added lush new carpet or restored 90-year-old hardwood floors, you likely put a lot of work into your home’s flooring before you listed. Don’t waste your efforts by allowing your family members or incoming buyers to track in snow, ice or dirt. Protect your home by:

• Request that your family and friends enter the home through the garage when your home is up for sale.
• Adding a boot rack or boot drying tray to your mudroom or your entrance from the garage.
• Asking that all potential buyers to take their shoes off upon entering your home (add another boot rack inside the front entrance).

If you have a dog, be sure to wipe their paws off every time you let them in from outside.

Create an outerwear plan

Our next tip focuses more on your family than potential buyers. Most families tend to rotate coats, mittens, jackets and scarves, but when you’re selling your home, you have to be more aware of potential clutter. While your home is on the market, make sure that every member of your family sticks to just one heavy jacket, one hat, one scarf, one set of mittens or gloves and one pair of boots.

Then, institute this after-school or after-work routine:

• Put all wet items (except boots and shoes) into the dryer immediately.
• Set a timer for 30 minutes.
• When the timer goes off, remove outerwear from the dryer and hang it in the mudroom or coat closet.

This may seem like overkill, but if a last-minute showing pops up, you’ll have warm and dry outerwear to put on — and buyers won’t be turned off by a musty smell or a wet entryway or mudroom.

Last, add a coat rack to your front entryway so buyers can take off their outerwear before entering the house for a showing.

Clear and light your walkways

Buyers who slip and trip up your driveway will be less likely to appreciate what your home has to offer, so be sure to shovel or plow your driveway and sidewalks every time it snows. If swinging temperatures have created icy walkways, be sure to salt or sand them before every showing. You may also want to salt or sand before you leave home each morning, in case of last-minute showing requests that pop up during the day.

Next, consider lighting. If you didn’t install path lighting before the ground froze, talk with your REALTOR® about your options. At a minimum, keep your front door and garage lights on all night, rather than relying on motion-sensor lights.

Keep a lookout for external issues

Homebuyers are going to be taking a close look at every nook and cranny of your home to see if it meets their needs and if there are any potential pitfalls. In the winter, this can include your roof and gutters to see if there are any indicators of ice dams or other signs of external damage.

There are ways to help prevent and fix ice dams, starting with cleaning your gutters properly. Still, it’s a good idea to watch the weather and keep your eyes peeled for melting snow and snow accumulations. That way, you can address issues as they arise and prevent them from becoming problems.

Prepping to sell?

Buyers are out there, and they’re eager for new homes to go on the market. To discuss your options and the price you may be able to get at closing, get in touch today.

Key insights

• After several slower years, home sales are expected to increase in 2026 as more buyers and sellers re-enter the market.
• Inventory is improving in many areas, but most markets in Minnesota and western Wisconsin are still not truly balanced and tilt in favor of sellers.
• Mortgage interest rates are projected to hover at around or slightly below 6% by the end of 2026.
• Home prices will likely see modest, steady growth (low- to mid-single digits).
• The “lock-in effect” should slowly ease as life changes and slightly lower rates motivate more homeowners to list, creating new opportunities on both the buy and sell sides.

Sharry Schmid, president & CEO, Edina Realty Home Services

As president & CEO of Edina Realty Home Services, Sharry Schmid leads the top brokerage in the market and guides over 2,000 REALTORS® throughout Minnesota, western Wisconsin and southwestern Florida.

One question I hear frequently is: “Will 2026 finally be a better time to move?”

Behind that are a lot of personal questions:

• Can I afford to buy my first home if rates are still around 6%?
• Is it worth giving up my 3% mortgage if I need more space or want to downsize?
• Will I have more choices, or will I still be competing with multiple offers?

My answer, as always, is that it depends on your goals and your situation – but 2026 is expected to offer more opportunities than we’ve seen in recent years.

Let’s take a look at what we’ve just lived through and then look ahead to 2026.

Looking back at 2025

In 2025, the housing market continued to recalibrate after the extremes of the pandemic era and ultra-low interest rates. We saw a mix of challenges and progress, and real estate continued to be, as always, hyper-local and segmented by location and price point.

Minnesota*

• The inventory (supply) of homes for sale increased 1.7% over 2024, but still did not keep pace with buyer demand.
• Prices rose slightly, with median sales prices up 0.9% to $351,000.
• Closed sales activity was up 2.2% over Oct. 2024.
• Average days on market increased 7.1% to 45 days.
• Months supply remained flat at 3.1 months, remaining a seller’s market.

According to US Census data, Minnesota has the highest homeownership rate in the nation (50.80%) for people under 35, and an impressive 71% of households own their homes, which bodes well for wealth building and community stability.

Wisconsin**>/un>

• The inventory (supply) of homes for sale did not keep pace with buyer demand, but it did increase 1.7% over 2024.
• Prices rose, with median sales prices up 6.9% to $331,500.
• YTD home sales were up 3.4% over 2024.
• Average days on market increased 4.4% to 71 days.
• Months supply decreased 2.5% to 3.9 months, remaining a seller’s market.

What will happen in real estate in 2026?

No one has a crystal ball to predict the future, but economists and housing experts are more aligned about 2026 than they’ve been in a while, agreeing that it will likely be a year of increased opportunities.

• The National Association of REALTORS forecasts that existing home sales could rise as much as 14% as mortgage rates ease and pent-up demand is released.
• Fannie Mae’s Economic and Strategic Research Group is slightly less bullish with a forecasted 7.3% increase in sales.

Housing is highly dependent on jobs and interest rates.

• Minnesota’s economy is strong with an unemployment rate of 4.1% (Sept. 2025).
• Wisconsin also has a low unemployment rate at 3.7% (Sept. 2025).
• Many predict that interest rates will hover around 6% for a 30-year fixed-rate conventional loan.

A seller’s market that is slowly moving toward balance

Most of Minnesota and western Wisconsin will likely remain seller-leaning in 2026, but not at the frenzied levels we saw a few years ago.

• Inventory has been ticking up, with more homes for sale than a year ago in both states.
• Months’ supply is gradually growing, but in many areas, it still falls short of the four- to five-month benchmark that signals a balanced market.

For sellers, that means:

• Well-priced, well-prepared homes should still sell – often quickly – especially in popular neighborhoods and price ranges
• Multiple offer scenarios may be less common
• The time a home spends on the market before sale may increase slightly
• Strong equity will continue to offer opportunities to move

For buyers, that means:

• Slightly more inventory and a bit more time to make decisions.
• Competitive offers that include home inspections and fewer contingencies

Mortgage interest rates are easing

After reaching nearly 7% in recent years, average 30-year mortgage rates have been trending down toward the low-6% range heading into 2026.

As I mentioned earlier, forecasters like Fannie Mae are predicting:

• Average 30-year fixed rates will be around 6.2% in early 2026
• The possibility of 5.9% by the end of 2026

Lower rates offer greater purchasing power and give buyers the ability to start building equity and personal wealth. And when you also factor in shelter and the ability to make home improvements without a landlord’s permission, the benefits go well beyond just financial ones.

It’s important to understand that the low rates of recent years (3-4%) were the exception if you look at historical trends. Remember, even when you buy at a higher rate, there are financing opportunities, including the option to buy down interest rate points or to refinance in the future. Talking to a mortgage consultant can help determine what might be right for you.

The lock-in effect loosens its grip

For several years, homeowners with a ~3% interest rate have been reluctant to move because their next loan would come at a higher rate. As we’ve moved further away from the pandemic era, the lock-in effect has softened.

• Life events — what we often refer to as the “Ds” (degrees, diamonds, diapers, divorces, downsizing and deaths) — will continue to drive moves, regardless of rates.
• As time passes and more people buy or refinance at higher rates, a growing share of homeowners will no longer be locked into ultra-low mortgages. In fact, according to data from Fannie Mae Mortgage Database, about 20.4% of current mortgage holders still have a sub-3% rate, while 19.7% have a 6%+ rate. This gap continues to close as more and more sellers and buyers enter the market.
• With rates easing slightly, the payment difference between “staying put” and “moving up or down” will narrow for some owners, making a move more feasible.

The result? We’re likely to see more new listings in 2026 than in recent years, which should help create additional opportunities for buyers while still supporting solid prices for sellers.

Moving forward: Your 2026 outlook

Ultimately, whether 2026 is the “right time” to buy or sell depends less on headlines and more on your goals, your finances and what you need from your home in the next stage of your life.

What I can say with confidence is this:

• The market is healthier and more balanced than it has been in several years, even if we’re not fully back to “normal.”
• We expect more opportunities for both buyers and sellers as inventory improves and rates ease slightly.
• Real estate remains a powerful long-term tool for building wealth and stability.
• Real estate is local, and getting the advice of a professional is always in your best interest.

Edina Realty agents have the deepest local network across Minnesota, western Wisconsin and southwest Florida. They know the subtleties of each neighborhood, understand current pricing and inventory, and have access to homes that may not yet be on the open market.

If you’re wondering whether 2026 is your year to make a move, reach out to your Edina Realty agent today.

*Based on October 2025 data from the multiple listing services for the state of Minnesota, published by the Minnesota Association of Realtors. All percentages are year-over-year.

**Based on the October 2025 Wisconsin Real Estate Report published by the Wisconsin REALTORS Association. All percentages are year-over-year unless otherwise noted.