Seattle Eastside Real Estate: The Glass is Half Full, Not Half Empty

by The Beaupain Team

It’s time to accept the reality of the market in Seattle and on Seattle’s eastside. More than likely, it’s going to be the way it is for a few more years, with single digit appreciation after that.

It’s a more realistic market. It doesn’t mean it’s bad. It’s still challenging to sell a home, but it’s not impossible. Homes are selling everyday. There have been many successful sales and there will continue to be successful real estate sales in 2011. On Seattle’s eastside, 7310 homes sold last year. Short sales and foreclosures will still happen. Which, unfortunately, means there will be people who are suffering through these tougher, more realistic times. But the majority of sales on the eastside are not short or distressed sales.

If you are thinking of selling your home, it won’t happen overnight, but it can, and does, happen.

2010: 9,594 homes and condos were pending (received an offer from a buyer). There were 7310 firm sales.
2009: 8,842 homes were pending.
2008: 7419 homes were pending.

Right now in the Seattle area real estate market, most homes are selling in 3-6 months. This is the now the “normal” market time to sell a home. Some homes will sell very quickly depending on the local competition and the price and condition of the home, others will languish and maybe never sell. This will be the typical pattern we’ll see in Seattle area real estate sales for the near future.

Don’t put your home on the market unless you’re clear on the pricing, clear on what the market will bear. This is not a market where you can “try” a price and then come down. If you beat the competition to start, you’ll probably make more money in the long run. Too often, sellers have “tried” a higher price and ended up selling their home for far less.

Is it moving, making a lifestyle change, or the money that’s more important to you right now? If it’s the move that’s more important because you need more space, downsizing, relocating, etc., then plan to move and do it right. Get your home gleaming and ready for the market with a value added sticker price. Your home will need to outshine the competition with a pristine look and a “beat the competition” price. If you price your home right where all your competition is, your home may not stand out.

If more money than the current market will bear is more important, then maybe this isn’t the right time to sell. However, plan on staying put for 5 or even 7 years to realize some significant appreciation in your home’s value. But remember, if there’s only 3% appreciation over 5 years, that’s 15% more. Let’s say you have a home that is worth $500,000 in this market, in 5 years at 3% appreciation, it will be worth $515,000. A 5% increase is $25,000 to $525,000. The increase is nothing to sneeze at, but with 5-7 more years of wear and tear, there’s something that needs to be done with most every house. Any future appreciation should factor in some costs for maintenance and updating.

For those buying, home ownership has gone back to what it always has been, shelter, a place to hang your hat that you enjoy. It’s a lifestyle choice, not a banking machine or something where you can make a “killing.” If you decide to buy, and some of you won’t, then evaluate your home for how it fits your lifestyle. Pick a place to live that matches your wallet and that you enjoy. Pick a place with good access to amenities: schools, shopping, parks, economic centers and easy access to commuting services. When you sell your home in the future, the home will be in a better position, literally and figuratively, to capture any appreciation. The homes located close to conveniences will become increasingly more desirable in this decade.

The glass is “half full” in Seattle area real estate. The media will continue to talk about the “bad” real estate market, but the fact is, the people who need or want to move are still going forward with their plans. Home sellers will not see the appreciation of the past, but home buyers should be able to purchase a good value and a great home. Remember if you’re a seller who’ll be buying another home, you’ll have a great chance of making a great deal on your home purchase.

It wasn’t “perfect’ for buyers back when we all thought the real estate market was great. Many of today’s sellers need to think back to when they bought their home. Buyers often competed for the same home with other buyers and paid full or over full price. Now it’s not perfect for sellers.

Sellers have to be ready to meet the market. Buyers will be looking for the best value out there. That won’t change any time soon. This is our new “normal” market.

This is the “State of Real Estate.” Our glass is “half full” rather than “half empty.” We’re still doing better than most areas here in the Seattle area.

For Homeowners • Home maintenance tips • Real Estate • January 25, 2011

Don't Let Carbon Monoxide Kill You

by The Beaupain Team

A friend of mine from college just died. He died from a gas leak in his home. Apparently some gas had escaped which killed him and sickened others. He was the only one who didn’t make it. This was a sad and needless death.

This was not an isolated incident. I wish it were.

When I told the story about my friend’s death to an acquaintance, she relayed a story about a family who is now brain damaged from exposure to carbon monoxide in their home.

According to the Journal of the American Medical Association, 1,500 Americans die each year from accidental exposure to CO, and there are more than 10,000 injuries each year.

This is serious stuff.

If you do one maintenance item for your home this year, have your furnace inspected.

If you buy one thing for your home, make it a carbon monoxide detector. Hardware stores are a good place to find the detectors.

Some important tips for buying and installing a detector:

Detecting CO

When buying a CO detector, check for the UL approved label.

Digital display models show the CO level, rather than simply beeping.

Install CO detectors in a central area on every floor and near sleeping areas.

Detectors should be placed at least five feet above the ground, as CO rises.

Hard-wired and plug-in models won’t work during a power outage.

Like smoke detectors, batteries need to be replaced each year.

CO detectors lose sensitivity over time and should be replaced every five years.

Source: Consumer Report 2005

Here are some tips from The CDC, The Center for Disease Control:

How can I prevent CO poisoning from my home appliances?

Have your heating system, water heater and any other gas, oil, or coal burning appliances serviced by a qualified technician every year.

Do not use portable flameless chemical heaters (catalytic) indoors. Although these heaters don’t have a flame, they burn gas and can cause CO to build up inside your home, cabin, or camper.

If you smell an odor from your gas refrigerator’s cooling unit have an expert service it. An odor from the cooling unit of your gas refrigerator can mean you have a defect in the cooling unit. It could also be giving off CO.

When purchasing gas equipment, buy only equipment carrying the seal of a national testing agency, such as the American Gas Association or Underwriters’ Laboratories.

Install a battery-operated CO detector in your home and check or replace the battery when you change the time on your clocks each spring and fall.

How do I vent my gas appliances properly?

All gas appliances must be vented so that CO will not build up in your home, cabin, or camper.

Never burn anything in a stove or fireplace that isn’t vented.

Have your chimney checked or cleaned every year. Chimneys can be blocked by debris. This can cause CO to build up inside your home or cabin.

Never patch a vent pipe with tape, gum, or something else. This kind of patch can make CO build up in your home, cabin, or camper.

Horizontal vent pipes to fuel appliances should not be perfectly level. Indoor vent pipes should go up slightly as they go toward outdoors. This helps prevent CO or other gases from leaking if the joints or pipes aren’t fitted tightly.

There are more useful tips on the CDC website for times when the electricity is out, as an example.

Soon, in Washington State homes will be required to have a carbon monoxide detector, but don’t wait until then. You could be playing with your life.

Bellevue Real Estate • Bellevue, WA • For Buyers • For Sellers • Issaquah Real Estate • King County Real Estate • King County, WA • Kirkland • Market Statistics • Real Estate • Redmond • Sammamish, WA • Sammamish, WA Real Estate • Seattle real estate • Woodinville, WA • Woodinville, WA Real Estate • January 13, 2011

Is This The New "Normal" for Seattle Area Real Estate?

by The Beaupain Team

Maybe this is how real estate is going to be in the Seattle area. Maybe we’ll have some local markets where things are “hot” just for the buyer, and, someday again, even for the seller. But maybe the Seattle marketplace will be more balanced (yellow on the map below) between the buyers and the sellers. Maybe this is the new “normal” real estate market. The majority of homes will sell in 3-6 months, some will sell for full price, some homes will sell with a small price reduction, and some will even have multiple offers. Still others will undergo a number of price reductions before selling and some will not even get an offer.

Here’s what I wrote in my November post on the real estate market. I shared similar thoughts then, so I’m wondering if we’re starting to see a pattern here.

Does this mean it’s no longer a challenge to sell a home? Absolutely not. The competition is still very stiff. There are a lot of homes for buyers to buy. A market in which it takes homes 3-6 months to sell is still a challenging, but not a terrible, real estate market. In a balanced market, some homes sell quickly for a good price, others take a lot longer to sell with a steep discount in the the asking price, and still others don’t sell at all. I’m still going to be telling home sellers to have the best home out there and expect a sale to take a long time to happen. Homes that sell have to be a really good value to be the ones that sell. Believe it or not, this is pretty typical of a more balanced, realistic market. A realistic market is not a fast paced real estate market. A realistic market will have some distressed home sellers. Although this is a cause of major concern and I am not minimizing the situation for those who are distressed sellers, the majority of eastside homes are NOT distressed sales.

So maybe this is the new “normal”? What do you think?

The State Of Seattle Area Real Estate in December, 2010

: Seattle Area Real Estate 11-30-10

———————————

What do the 3 digit numbers on the map mean?

The map is divided into the numbered areas as defined by our Northwest Multiple Listing Service (NWMLS). Downtown Bellevue is area 520 and East Bellevue is area 530, as an example.

What do the colors mean?

Red means it’s a sellers’ market, a sellers’ advantage. Homes take less than 3 months to sell.

Yellow means a balanced market between buyers and sellers. Homes on the average take 3-6 months to sell.

Green means it’s a buyers’ market. Homes take longer than 6 months to sell.

If you take each area as shown on the map and look to the area number on the side of the map, it will tell you how long it would take to sell every home currently for sale if no other home came up on the market in that area.

Bellevue Real Estate • Bellevue, WA • For Buyers • For Sellers • Issaquah Real Estate • Issaquah, WA • King County Real Estate • King County, WA • Kirkland • Market Statistics • Real Estate • Redmond • Sammamish, WA • Sammamish, WA Real Estate • Woodinville, WA • Woodinville, WA Real Estate • January 13, 2011

How Many Condos Sold on Seattle's Eastside in Dec 2010 Compared to 2009?

by The Beaupain Team

Seattle Eastside Condo Sales from 2009 through 2010

December, 2010 beat out December, 2009 by 35 sales. Over 30% more Seattle-eastside condos sold in 2010 than in December, 2009.

(The absorption rate, the percentage of condos selling, is the number of condos for sale in any given month divided by the actual number of condos sold that month. So if the absorption rate or chance of selling is 10% that means out of 100 condos for sale, 10 received offers and sold.)

December, 2010 1084 condos for sale 135 condos sold 12.5% odds of selling.

November, 2010 1191 condos for sale 138 (was 150) condos sold 11.5% (was 12.5%) odds of selling

December, 2009 1174 condos for sale 100 condos sold 8.5% odds of selling.

*Adjusted from previous month’s original numbers to reflect the actual number of condos sold and closed. Some of the sales originally reported last month failed and did not close. Some of the reasons sales fail are the buyer and seller don’t agree on the building inspection, the condo does not appraise for the sales price or the buyer’s financing does not come through.

Other than the spring when the tax credit was in place, December was one of the best months to sell a condo last year. Partly because there were fewer condos for sale, 31% fewer than the peak of 1552 in July. Competition fell off so much by the end of the year, the odds of selling increased. It will still be a challenge this year, but condos will sell.

If you plan to sell your condo in the next year or so, feel free to contact me if you have questions about what you need to do to get ready to sell. Most every seller has to do a few things before putting a home on the market for the world to see. If your home is in the best possible condition before going on the market, there’s a better chance your home will be one of those 9-12% of homes that gets the offer. The number seems a little scary because it still is low, but if your home is positioned properly, it can be one of the lucky few to get an offer.

Bellevue Real Estate • Bellevue, WA • For Buyers • For Homeowners • For Sellers • Issaquah Real Estate • Issaquah, WA • King County Real Estate • King County, WA • Kirkland • Market Statistics • Real Estate • Redmond • Sammamish, WA • Sammamish, WA Real Estate • Seattle real estate • Woodinville, WA • Woodinville, WA Real Estate • January 12, 2011

How Many Real Estate Sales Were on Seattle's Eastside in Dec 2010 Compared to 2009?

by The Beaupain Team

[googlemaps http://maps.google.com/maps?f=q&source=s_q&hl=en&geocode=&q=Bellevue,+WA&sll=37.0625,-95.677068&sspn=23.403932,58.271484&ie=UTF8&hq=&hnear=Bellevue,+King,+Washington&ll=47.610377,-122.200679&spn=0.310148,0.910492&z=10&output=embed&w=425&h=350]

Sales were much better in December, 2010 than Dec, 2009 almost everywhere, but not across the board. In 4 of the 7 Seattle-eastside real estate areas, sales percentages were up from 2009 t0 2010. Sales increases ranged from 2% in South Bellevue and Issaquah to 40% in Redmond/East Bellevue. East Bellevue and Redmond near Microsoft were hit pretty hard in December, 2009, but bounced back to be the strongest area on the eastside for most of 2010.

This month, I’ve included the total number of homes sold in each area in 2010. Some of the numbers are small, such as West Bellevue, when compared to areas such as Sammamish, etc. This is because West Bellevue is a much smaller area than Sammamish/North Bend/Snoqualmie/Fall City/and parts of Issaquah combined. Some of the areas cover huge numbers of homes and others do not.

The drop in the number of homes for sale on Seattle’s eastside continued in December, but did not hit the lowest point for the year. The number of homes for sale dropped to just above 11,000 at the close of 2010. Despite fewer homes on the market, home sales were moving in December. As I’ve said before, the homes with the best value proposition of price and condition got the attention of the buyers. Those were the homes that sold.

How did December, 2009 compare to December, 2010 in your neighborhood?

(Click on the cities below to see real estate trends for the past 5 years. You’ll find the median pricing for each city and whether the number of homes for sale and the number of sales went up or down. The odds of selling a home in each area is a result of the number of homes for sale divided by the actual number of home sales, so if 10 out of 100 homes sold, the odds of selling would be 10/100 or 10%)

The plateau: Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 15.5%.

Median sales price was virtually the same: $499,900 to $499,450.

The number of homes for sale increased by 17.5% and the number of home sales were the same as last year plus one home!

A total of 1755 homes sold in 2010.

Redmond/East Bellevue

The odds of selling a home were 20.5%.

Median sales price decreased by 5% to $424,500 from $445,000.

The number of homes for sale was down by 18% and sales were up by 40%.

A total of 797 homes sold in 2010.

South Bellevue/Issaquah

The odds of selling a home were 19%.

Median price decreased from $610,450 to $569,995.

The number of homes for sale dropped by 6% and sales were up by 2%.

A total of 1012 homes sold in 2010.

Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 18%.

Median price was up from $410,944 to $437,000.

The number of homes for sale declined by 3% and sales were up by 11.5%.

A total of 1473 homes sold in 2010.

Kirkland

The odds of selling a home were 16%.

Median price increased to $549,000 from $491,000.

The number of homes for sale declined by 17% and sales were down by 10%.

A total of 794 homes sold in 2010.

West Bellevue

The odds of selling a home were 12%.

Median pricing was down from $847,440 to $729,000.

The number of homes for sale decreased by 8% and sales decreased by 26.5%.

The total number of homes sold in 2010 was 415.

Redmond/Education Hill/ Carnation

The odds of selling a home were 12%

Median pricing decreased from $549,950 to $524,970.

The number of homes for sale decreased by 5% and sales decreased by 16%.

A total of 766 homes sold in 2010.

If you’d like more specific information about your neighborhood or home, feel free to contact me.

December, 2010, A Surprise in the Seattle Eastside Real Estate Market

by The Beaupain Team

How did Seattle’s eastside end its year in real estate? Surprising to some, there was a huge increase in the number of homes sold in some areas when compared to last year. Pending sales for the year on the eastside were up by 10%. Only a few of the eastside neighborhoods had home sales which were down from last year.

Several theories were proposed in The Seattle Times wrap up on December real estate:

• The market finally has worked its way through the lull it fell into after the tax credits’ expiration.

• Buyers are climbing off the fence, even if they suspect prices will continue slipping, because they fear interest rates will rise and wipe out any savings.

• There may have been a push to get some long-languishing short sales — sales for less than sellers owe lenders — closed before year-end.

Is this a trend that will continue into the New Year? It’s probably too early to say, but I’ll be watching over the next couple of months to see how 2011 real estate performs on the eastside. Do you think this will be the start of a change in local area real estate?

: Seattle Eastside Real Estate 2010 Snapshot

The odds of selling a home on the Eastside in November ranged from 12% to 20%, with an average 16% absorption rate.* Most home sellers on Seattle’s eastside had a 16/100 chance of selling their home last month.

*(The absorption rate is the number of homes for sale in any given month divided by the actual number of homes sold that month. If the absorption rate is 10%, then 10 out of the 100 homes for sale sold that month.)

December, 2010 2499 homes for sale 397 homes sold 16% odds of selling.

November, 2010 2818 homes for sale 455 (was 485) homes sold 16%(was 17%) odds of selling.*

December, 2009 2584 homes for sale 343 homes sold 13% odds of selling.

*(Some home sales fail because of the buyer financing or an inspection. The number of sales is updated when we find out the actual number of homes that sold during that time.)

_____________________________________________________________

December, 2009 Seattle-Eastside real estate market compared to December, 2010:

The average price of pending homes (recently sold homes) went from $536,205 to $513,009.
On 12-27-10, there were 11,015 King County homes (houses and condos) for sale. There were approximately 4000 less homes for sale, 32% less, in King County now than in July.
The number of homes sold on Seattle’s Eastside: down .7% from last year. The sales were almost the same as December, 2009.
Number of homes for sale on Seattle’s Eastside: The number of homes for sale in December, 2010 was about 75 less than 2009.
If you look at 2010, in 9 out of 12 months, 400-500 homes sold each month. But the number of homes for sale varied from July’s high of 3400+ to December’s low of 2499.

Best odds of selling: East Bellevue/Redmond areas around Microsoft.

Worst odds of selling: West Bellevue and downtown Redmond and Carnation.

Biggest increase in sales from last year: East Bellevue/Redmond near Microsoft.

Smallest increase in sales from last year: Downtown Redmond and Carnation.

Decline in home sales from last year: Two out of the 7 Seattle-eastside areas had fewer sales, West Bellevue and Sammamish/Issaquah/North Bend/ Fall City.

The peak of homes for sale in 2008: July, 4370 homes.

The peak of homes for sale in 2009: June, 3859 homes.

The peak of homes for sale in 2010: August, 3492 homes.

The number of eastside homes for sale at the start of 2010: 2588 homes.

The number of eastside homes for sale in December, 2010: 2499 homes.

For Homeowners • Kirkland • Recycling • Windermere Real Estate • January 9, 2011

Windermere/Yarrow Bay's Recycling Event Was A Success!

by The Beaupain Team

Free Recycling Event at Windermere Yarrow Bay

Recycling Event at Windermere Yarrow Bay in Kirkland

1 Green Planet

Recycling "Stuff"

The water heaters, computers, scanners, modems, old bikes all came today to my Windermere/Yarrow Bay office in Kirkland. There was a steady stream of cars through the parking lot through the whole day. More than 3 truck loads of “stuff’ was brought in and will be recycled. Way to go! None of the “stuff” will be thrown in a landfill.

Thank you for bringing your “stuff” and not dumping it. Thanks to 1 Green Planet for a job well done. What a great way to start the year!

Built Green and Sustainable Living • For Buyers • For Homeowners • Real Estate • Remodeling and style trends • January 7, 2011

Do You Want to Buy a Home This Year? Think of the Hot "New" Trends

by The Beaupain Team

Some people will buy a home in 2011. These buyers will move for more space, downsize for less space or relocate, the typical reasons to make a move. If you’re buying in 2011, think about selling that home in the future. Make an investment that works for now and for later. It’s important now, more than ever, to make a wise investment, an investment that works for your lifestyle and finances. So think location, commute, schools, and amenities.

But also think like builders. Builders do the research to check out what’s new and hot.

The real estate buzz words for new construction in 2011 :

functionality
practicality
smaller
greener
value

Think smaller homes. Make the” Old Woman in The Shoe” proud. Look at homes with smaller footprints. Think “green.” Think front porches. Get our your rocking chair.

Homes with Front Porches

Think one level homes. Think getting a smaller package with green, functional features wrapped up in a good value.

Buy a home you love, but also buy a home that’s a good investment. Think about what people are looking for today, so you have a good home to sell tomorrow.

But if you’re Rapunzel looking to hang down your hair from your castle’s turret, you may be out of luck in the future. Simpler, less fussy styles are in.

For Homeowners • Real Estate • Recycling • January 5, 2011

Free Recycling Event on Seattle's Eastside

by The Beaupain Team

Got Junk? This Sunday you’ll have an opportunity to start the new year right by unloading some of your unwanted electronics, appliances and other good stuff at my Windermere Real Estate office in Kirkland.

Free Recycling on Seattle's Eastside

I missed a recycling event in Kirkland, so my husband and I took our stuff down to 3RRecycle in Seattle back in the fall. They did a good job for us, but it’s nice to be able to get rid of your “stuff” responsibly and quickly right here on the eastside. 1 Green Planet will also take your stuff if you can’t make it on Sunday. They’re located at the above address in Issaquah.

By the way, if you know of other recycling events throughout the year, please let me know about them as I’m happy to post your event on this blog. Happy recycling.

Bellevue Real Estate • For Buyers • For Sellers • Issaquah Real Estate • King County Real Estate • Kirkland • Market Statistics • Real Estate • Real Estate Opinion • Redmond • Sammamish, WA Real Estate • Seattle real estate • Woodinville, WA Real Estate • January 5, 2011

What's The Worst Time to be on the Market in the Seattle Area?

by The Beaupain Team

Number of Homes for Sale in King County in 2010

Weekly List of King County Homes for Sale in 2010

It’s July! Why July? Because that’s the time of year when the largest number of homes and condos are on the market.

Are you surprised? So many times I hear from people they’re waiting until the summer to sell, when school is out. But it’s not the best time. If you look at the chart above, the peak of the competition, when the most number of homes and condos were on the market, was at the end of July. At that time 14,639 homes were on the market.

This year starts out with 10,008 properties on the market, which, if we follow typical yearly patterns, means the first of the year is one of the best times to sell a home. There’s so much less competition. In fact, there are 32% less homes on the market now when compared to July of last year.

Was 2010 unique? No, this is the typical pattern we see every year, no matter the type of real estate market. For example, here’s how the peak of 2009 looked:

7-27-09 13,861

The peak of the homes for sale in the Seattle area real estate market was the exact same week in 2009 and 2010.

So, if you’d like to make a move this year, please don’t wait until the summer. That’s when everyone else is going to put their homes on the market.

As soon as the statistics are available for the time of the year when the most homes sold, I’ll share that, too.

If you are thinking of selling your home, feel free to contact me to talk about how to position your home to get the best possible price given current market conditions. But contact me sooner, rather than later this year! Have a great 2011.