September 6, 2010

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Market Trends for July 2010: Avg Price Per Sq Ft

September 4, 2010 By seattlesavvy Leave a Comment

Here is our first update of four market trends we’ll be posting each month.  Data spans an 18 month period in efforts to avoid presenting a false trends based on activity of the the current season.

Mentions:

  • Resale properties reached it’s all time low in 18 months at $383/sq. ft.
  • New construction reached it’s all time high in 18 months at $756/sq. ft.
  • As an average, price were it’s lowest in August ’09.
dyerware


All reports presented are based on data supplied by the NWMLS. Neither the Association nor its MLS guarantees or is in anyway responsible for its accuracy. Data maintained by the Association or its MLS may not reflect all real estate activities in the market. Information deemed reliable but not guaranteed.

Filed Under: Featured, Market Trends: Price Per Sq Ft, Neighborhoods/Condos, Sales

Two new BIG neighbors to Mosler Lofts coming to Belltown

August 16, 2010 By seattlesavvy Leave a Comment

I love reading the Dept. of Planning and Developments “Land use Information Bulletin” in the morning. Not because it’s as dry as toast and goes well with coffee but because it provides me with exciting news for me to pass along to you, my loyal readers…..and I’ve got a doozy of a scoop for you today!

There will be TWO new high-rise apartments buildings going up soon in the northend of Belltown. A 19-story at 2625 3rd Avenue and a 17-story at 311 Cedar Street. The good news is they will bring more retail space and I’m hoping for some good Teriyaki and a Jelly Belly shop. There will be commercial space as well and I trust they’ve got tenants lined up. The best news are all the rental units available to make up for the loss of the unlucky McGuire building.

What’s the bad news? Just ask the homeowners at Mosler Lofts and Seattle Heights. They’ve just gotten the awful reminder that an open view is never guaranteed. Each complex will have some of its Association members unhappy with the loss of a portion of their view….and there’s nothing they can do about it.

We have a height restriction chart on our site (Seattle Height Restrictions) providing you with a guideline of what COULD happen around town. It shows the maximum height a new building can be anywhere within the colored coded zone. You know why we spent time creating it….to remind us all that nothing stays the same. New opportunities will bring progress and Seattle Savvy doesn’t want some brand new big building stuck in front of your window to come as a shocking surprise.

As a resident of the Montreux, I often marvel at the view of the skyline from our pretty fabulous rooftop deck.  Dave and I stand up there and “ooh n’ ahh” about the golden color reflecting off the 27-story Grandview Condos as it towers over every other building within two blocks. Dave likes the fact that every unit has a great view. I take a big slurp of my cherry coke and point out the  west side of the Cosmopolitan. “Those buyers thought they had a great view too.” I say in a somber tone. Dave’s naturally pale completion bursts into a red hue as he begins a long diatribe on how “somebody” should write a post about how nothing is guaranteed and that it’s our job to help buyers perform the due diligence needed to make the best buying decisions of their lives.

After all, no one wants to share their morning coffee and toast with a neighbor living only a short alleys distance away.

With love….Somebody.

Filed Under: Architecture/Design, Belltown, Buyer 101, Denny Triangle, Featured, Gradview, Land Use Bulletin, Mosler Lofts, Seattle Heights Tagged With: 2625 3rd Ave, 311 Cedar St, Cotterpin, Doozers, Fraggle Rock

4.5% is the new 6.0% 30-year fixed mortgage

August 12, 2010 By seattlesavvy Leave a Comment

For years working behind the scenes with real estate agents and mortgage lenders there is no doubt more hand written information about “real estate” by real estate agents than there is by lenders.  For the most part, mortgage lenders just don’t market to the general public.  For the most part, the general public uses a mortgage lender based on the referrals from real estate agents.  For every part, as being someone who accepts the responsibility in entrusting golden rule-style business based on the reputation of your word, it’s important to refer the general public to someone you yourself have great admiration for.  lol  That’s right.  I have a bromance.  I’ve never known this guy to not have a genuine interest in doing the right thing when it comes to just being a good person.

continue, or click here to spare yourself from more of a salty intro.

The reason I start with such a dramatic intro is because I think it’s very cool to get a hand written uncanned mortgage lender market update type information to share on our site after asking, “After 14-years of being a lender, if you could give me anything to say about mortgage, right now, after all this, what would you say?”

The title of the email when he shot it over was, “4.5% Is The New 6.0% 30yr Fixed Mortgage.”

Naturally, I loved the sticky title.  It made me want to click.  But, before I actually read it, I emailed back asking if he was sure this is what he wanted to say.  We’ve all had a few surprises over the last couple years haven’t we?  In one way or another, these surprises have affected each and every one of us whether it’s directly, or indirectly with a loved one.  I mean nobody can really claim that they saw such a life changing impact on our lives other than shouts us locals have seen from Tim Ellis, who I think was an award winner for the best Seattle real estate blog.

No matter what, I’m flattered that this guy took the time to say something that supports what we love to do and that is hand over keys!  Gene is saying don’t be shy, go ahead and buy.  But, not necessarily because interest rates are low, but I think what he’s saying by sending this as his first contribution is, rates are good.

Mortgages are at an all time low historically despite the housing crisis.  The reason for this low is due to our weak economy and the Fed supporting low rates to help spur the housing market out of it’s crisis.  For the longest time, 6.0% was the target rate of choice.  I recall in 2001 when the 30yr Fixed Rate reached 5.75% for one summer day, it was a moment to be remembered.  In 2009, 5.25% was all the rage and yet a very low percentage of borrowers could actually qualify for a mortgage due to stringent Underwriting guidelines and decreased real estate values.  Now in 2010, there are many more that can qualify at a lower payment at 4.5% for purchases and for those looking to refinance despite the decline in home values.

It is not uncommon to obtain a 4.5% 30yr Fixed Refinance at NO COST, if you have decent credit and equity in your home.  There are new programs that are accommodating higher LTV’s (Loan To Value) to relieve the drop in real estate values.  The Fed announced recently that they will not be changing rates in the near future.  This does not necessarily mean that rates will get lower because you have to consider that with rates this low, it is not as profitable for banks to be lending at this rate.  This seems to be the floor for now with seemingly more pressure to rise as we move towards the end of the year.  Currently, lenders are giving great incentives for homeowners to refinance at this low rate which is the main reason why you can obtain a No Cost Refi from very reliable sources.

The Mortgage Market is starting to become flooded with Refinances at these low rates which can mean upward pressure to raise rates as a matter of supply and demand.  If you are in the market to purchase a home or have a higher interest rate mortgage, I recommend taking advantage of this market while you can it’s not a bad time.

Gene: “at NO COST, if you have decent credit and equity in your home”

What if that isn’t you?

[Read more...]

Filed Under: Featured, Mortgage

What to consider during your 5-10 day inspection period

August 5, 2010 By seattlesavvy Leave a Comment

There’s a period of between 5-10 calendar days after you’ve received mutual acceptance on your sales contract that you have the opportunity to check and recheck all that pertains to the condition of your potential purchase. Most buyers think this is only the responsibility of a licensed ASHI Home Inspector who you hire to find all the problems with your future home.

This is in fact not the case.

This vendor is good at performing tests on systems and the proper functionality on all items included in the sale. They are excellent at following CSI style clues of past water leaks and pest infestations. They even love to teach you about past upgrades, additions and remodels that they’ve discovered. However, beyond those details, they perform only a visual inspection!  Especially with condominiums, we can’t expect an entire building to be inspected upon.  This is something you must entrust to your agent.

There are a mirage of other issues that you might want to make yourself aware of as the future home owner. We always suggest to to buyers to take this “inspection period” to verify to the best of your ability the following information: square footage of the home (and lot if single-family home), neighborhood conditions (crime, future development, and especially potential loss of views), HOA concerns, past or future lawsuits, title disputes, disclosure form issues, lead-based paint presence, insurance claim histories, oil tank decommissioning (SF), sewer pipe inspection (SF), water drainage performance, utility usage and the estimated costs to make the improvements you have in mind to name just a few.

This is your best chance to stop the purchase process and have your earnest money refunded so get proactive. Ask questions, hire additional vendors and get educated. Go the extra mile to make sure you know what you’re buying. If you don’t like what you find you’ve given yourself two great options:

  1. Get out now while the gettin’ is good or,
  2. Thoroughly know what it is you’re buying.

Both options can be VERY liberating!

Filed Under: Buyer 101, Featured, Neighborhoods/Condos Tagged With: ashi, inspections

What buyers should know when shopping for a new condo

July 26, 2010 By seattlesavvy Leave a Comment

The list is varied and, depending upon the specific buyer, potentially long. This blog will be dedicated to educating all future buyers about the details of a real estate transaction. From your agency relationship, to earnest money and to possession. I plan to itemize each topic and share what I can…..within reason.

I’ll also discuss pre/post purchase topics such as options for making improvements to your new property. I’ll outline a history of the housing crash, the issues that lead to losing a property, short sales, foreclosures and bank owned sales. Even investors will get some attention since that marketplace is increasing dramatically as we continue the debate of whether or not our market has hit bottom.

Every month there will be a review of sales statistics and what it means to a buyer. I’ll try to make my charts and graphs user friendly but mainly a useful guide to help steer a direction. Since real estate is all about location I’ll send time familiarizing you with the ten neighborhoods that make up “Downtown Seattle.” They have their own personality and I’ll make a stab at describing each.

In all I have 52 topics to pass on weekly. I hope you’ll stay tuned!  To do so, enter your email address to the top right of our site and future blog posts will be emailed to you automatically.

Filed Under: Featured, Tips/Advice
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