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Gardner Report Q3 2023
The following analysis of the Western Washington real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere agent.
REGIONAL ECONOMIC OVERVIEW
The pace of job growth continues to slow in Western Washington, as the region added only 21,907 new positions over the past 12 months. This represented a growth rate of 1.4%, which was the lowest pace of new jobs added since the pandemic ended.
The regional unemployment rate in August was 5.8%, which was marginally below the 6% rate we saw in the same quarter in 2022. A few smaller counties lost jobs over the past 12 months while King County’s employment levels rose a meager .4%, mainly due to job losses in the technology sector. I’ve said before that I’m not convinced that the U.S. is going to enter a recession; I still stand by that theory. Slowing job growth does not necessarily need to be a precursor to a recession, but I expect that we will see lackluster growth until next spring at the earliest.
WESTERN WASHINGTON HOME SALES
❱ In the third quarter of 2023, 14,970 homes sold. This was down 22% from the third quarter of 2022 and 1% lower than in the second quarter of this year.
❱ Sales fell even as the average number of homes for sale increased 29.5% from the second quarter. This is clearly a sign that significantly higher mortgage rates are having an impact on the market.
❱ Sales fell in all counties except San Juan compared to the third quarter of 2022. They were up in 9 of the 14 counties covered in this report compared to the second quarter of 2023. San Juan, Mason, Grays Harbor, and Whatcom counties saw significant increases.
❱ Pending sales fell 6% compared to the second quarter of this year, suggesting that closings in the upcoming quarter may be lackluster unless mortgage rates fall, which I think is highly unlikely.
WESTERN WASHINGTON HOME PRICES
❱ Prices rose 2.8% compared to the third quarter of 2022 and were .6% higher than in the second quarter of this year. The average home sale price was $776,205.
❱ Compared to the second quarter of this year, sale prices were higher in all counties except Grays Harbor (-.5%), Kitsap (-1.5%), Clallam (-1.6%), Whatcom (-2.6%), and Skagit (-3%).
❱ Compared to the prior year, the pace of price growth slowed in the third quarter. This wasn’t too surprising given that the market was coming off record high prices in the summer of 2022. But what was surprising was that prices rose over the previous quarter despite the fact that mortgage rates were above 7% for almost the entire quarter.
❱ I don’t expect prices to move far from current levels in the coming months, and they likely won’t rise again until mortgage rates start to fall. When prices do rise, I anticipate that the pace of growth will be far more modest than we have become accustomed to.
MORTGAGE RATES
Mortgage rates continued trending higher in the third quarter of 2023 and are now at levels we have not seen since the fall of 2000. Mortgage rates are tied to the interest rate (yield) on 10-year treasuries, and they move in the opposite direction of the economy. Unfortunately for mortgage rates, the economy remains relatively buoyant, and though inflation is down significantly from its high, it is still elevated. These major factors and many minor ones are pushing Treasury yields higher, which is pushing mortgage rates up. Given the current position of the Federal Reserve, which intends to keep rates “higher for longer,” it is unlikely that home buyers will get much reprieve when it comes to borrowing costs any time soon.
With such a persistently positive economy, I have had to revise my forecast yet again. I now believe rates will hold at current levels before starting to trend down in the spring of next year.
DAYS ON MARKET
❱ It took an average of 32 days for homes to sell in the third quarter of 2023. This was 8 more days than in the same quarter of 2022, but 3 fewer days compared to the second quarter of this year.
❱ Snohomish and King counties were the tightest markets in Western Washington, with homes taking an average of only 19 days to find a buyer. Homes for sale in San Juan County took the longest time to find a buyer (57 days).
❱ All counties except Snohomish saw average days on market rise from the same period in 2022. Market time fell in 9 of the 14 counties compared to the prior quarter.
❱ The greatest fall in market time compared to the second quarter was in San Juan County, where market time fell 23 days.
CONCLUSIONS
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
Although it was good that listing activity rose in the third quarter, it still remains well below levels that can be considered normal. This is unlikely to change anytime soon given that over 86% of Washington homeowners with mortgages have an interest rate below 5% and more than a quarter have rates at or below 3%. There is little incentive for them to sell if they don’t have to.
More germane to me is the disconnect between what homeowners believe their homes are worth and what buyers can afford with mortgage rates in the mid-7% range. Most sellers appear to be getting their asking prices, or very close to it, which reflects their confidence in the market. However, home buyers are being squeezed by multi-decade high borrowing costs.
It is all quite a quandary. However, taking all the factors into consideration, sellers still have the upper hand but not enough to move the needle from the position I put it in last quarter.
Given all the factors discussed above, I have decided to leave the needle in the same position as the last quarter. The market still heavily favors sellers, but if rates rise much further, headwinds will likely increase.
ABOUT MATTHEW GARDNER
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
This post originally appeared on the Windermere.com Blog.
A First-Time Buyer’s Guide to Mortgages
Mortgages can seem daunting for many first-time home buyers. While becoming a homeowner is exciting, it can be intimidating to embark on an investment of this magnitude. We sat down with WBC’s resident loan officer, Jim Murphy of Movement Mortgage to get the best tips for first-time buyers who are navigating the mortgage loan process.
What is a mortgage?
Mortgages are secured loans, where the “borrower promises collateral to the lender in the event that they stop making payments”, with the home itself being the collateral. There are different programs available depending on the financial situation, occupation, and credit score of the borrower. To better understand your options, you will need to meet with a lender to ascertain what you can afford.
The Pre-Qualification Process
Before meeting with a lender, you will need to make sure all the relevant documents are in order. This is known as pre-qualification and helps determine what type of loan you might qualify for. Financial documents that most lenders want to see include:
- Recent pay stubs
- Copies of your tax returns
- W2 forms
- Bank statements for checking, saving, and retirement/investment accounts
- Credit card bills
- Lease agreement, if applicable
- Student loan deferment letters/agreements, if applicable
Once you have all the necessary paperwork, it’s time to set up an appointment with a mortgage company to discuss your options. Some loan programs will offer lower interest rates based on your credit score, while others will offer a lower down payment in exchange for paying insurance premiums.
WBC: What are some of the most important questions a first-time buyer should ask when they meet with a lender?
Jim Murphy: I think one of the biggest questions a client should ask is “How do I make myself as strong of a buyer as possible”. Completing an application and providing all the documents that [a lender] requires to get a To-Be-Determined (TBD) underwritten loan will basically clear any pitfalls outside of an appraisal. This will show that you have been approved up to a certain loan ceiling and from there, we just need to find a property!
The Pre-Approval Process
Mortgage pre-approval is an offer by the lender to loan you a certain amount under specific terms, but it is not a guarantee that you will receive a final approval. It is simply verification that you qualify for the amount that you have applied for based on your credit history, income and assets, etc. This step involves a deeper dive into the documents you submitted during the prequalification process.
WBC: Do you have any tips for first-time buyers to ensure a smooth pre-approval process?
JM: The best thing a client and lender can do is have a clear and open communication about their financing goals and the outcomes a lender can deliver. Clients have a budget in mind, both in the monthly payment and down payment they can comfortably afford, but sometimes [they] can qualify for much more. [Keeping an] open dialogue between the lender and client are imperative for success.
The Final Loan Approval
After obtaining a pre-approval document from your lender, you are ready to start looking for your new home! Lenders will offer you a loan estimate based on the estimated interest rate, monthly payment and total closing costs for the loan. Your mortgage application will then be assessed by underwriters who will determine “if the funds from the sale of the property are enough to cover the amount you will be lent in your mortgage.”
If your application is approved, you now have the green light to close on the property!
WBC: What is one final piece of advice you have for first-time home buyers?
JM: Don’t be afraid to buy something that needs a little work to be a really nice home. There are loan products available, like a renovation loan, that does not require a large down payment but can make the home that needs some renovation feel like your own!
Understanding the role of mortgages in your homeowner journey may seem overwhelming, but with the support of knowledgeable Windermere agents and our amazing partners at Movement Mortgage, finding the home of your dreams can become a reality! Get in touch with the WBC team today to start your home search and don’t forget to check out the WBC Tik Tok account for the full-length interview, Mortgages 101 with Jim Murphy, here.
Written by Makena Schoene
Spooky Season Picks!
Welcome to the WBC Book Club, where your favorite Admins & Agents share our favorite books of the moment! From fictional adventures to inspiring true stories, you can find it all right here on the WBC blog. You may notice that the format of our book recs look a little different than most, but that’s because our team loves to stand out and provide an unparalleled experience in all aspects of our business.
It’s officially spooky season and we’ve got a batch of Literary Listings that are perfect for dark, stormy nights this October. From spell-binding adventures to mysterious murders and haunted houses, these books are sure to be a ghoulishly good time!
A Secret History of Witches by Louisa Morgan
Marketing Remarks: Enchanting English farmhouse located at the base of St. Michael’s Mount in picturesque Cornwall. Orchard Farm has been in the same family for generations and features original details, including thatched roof and stone wash basin. Bask in the natural wonder of the surrounding moors as you gather herbs for tinctures and potions from the garden. This property is sure to cast a spell on you!
Agent Remarks: A Secret History of Witches is a beautifully written, multi-generational saga spanning from 17th century France to England at the height of World War 2. Following four generations of women, each must come to terms with her magical abilities while facing witch hunters, persecution and judgement by society. It is a refreshing take on the legends of witchcraft with the modern concept of girl power, culminating in a powerful tale of self-discovery.
Directions: Read the synopsis here!
Unnatural Ends by Christopher Huang
Marketing Remarks: Live like an aristocrat at Linwood Hall. With period details that include Tudor paneling and Plantagenet masonry, this historical property has been updated with all the modern conveniences, including radiators in every room. Enjoy stunning territorial views of the valley and village of Linwood Hollow from the house’s prominent tower (accessible only through hidden servant’s passage!). Property includes private crypt perfect for those wishing to visit loved ones who died under mysterious circumstances. Convenient and chilling!
Agents Remarks: Unnatural Ends is a great introduction to the classic whodunit from a contemporary voice. After the murder of their father, the three Linwood children face a final test from their guardian – whoever solves his murder will inherit the Linwood estate and fortune. As the siblings uncover more secrets about their father’s past, they discover the dark truth about their own origins, delving into the age-old tug-of-war between wealth and power, gender dynamics and race. The Linwood children are snared in an elaborate mousetrap, and Christopher Huang keeps you guessing until the final page.
Directions: Read the synopsis here!
Mexican Gothic by Sylvia Moreno-Garcia
Marketing Remarks: Conveniently located just a short drive from the quaint mining village of El Triunfo, High Place is a beautifully preserved estate in the Victorian style. From the moment you walk up the stately ebony porch steps, you are immediately transported back in time thanks to beautifully rendered stained-glass windows, wooden friezes, and ornate mantle pieces. This property boasts a coach house that can be converted into a flex space and even a private cemetery that is always shrouded in a lovely mist. You will never be able want to leave this incredible home!
Agent Remarks: Like the ouroboros serpent caught in an infinite loop, Mexican Gothic is a snapshot of an endless cycle of destruction, death and madness for the Doyle family of High Place. Inspired by the real-life mining town of Real del Monte in Mexico, this story follows a young woman coming to the aid of her recently married cousin who fears that her life, and her sanity, are in danger. Sylvia Moreno-Garcia draws striking parallels between toxic family dynamics and the literal rot and decay festering in the Doyle’s estate. Poignant and clever, this novel is a modern and fantastical twist of the classic gothic lit formula.
Directions: Read the synopsis here!
What should we read next? We are always on the lookout for new book recommendations and would love to hear from you – tag us on social media with your favorite stories!
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Twitter @WindermereBelle
Facebook @Bellevue Commons (Windermere)
Written by Makena Schoene
Local Market Update – October 2023
With the fall season finally upon us, the behavior of the housing market is like the range in outdoor temperatures: somewhere between warm to cool. There’s a lower overall volume of home sales than in recent years, but at the same times buyers are moving quickly and assertively on highly desired properties, despite higher interest rates.
Although these interest rates could make it more difficult for sellers to see significant price gains in the near future, the high demand for homes after a prolonged inventory drought in our region is likely to keep buyer activity on accurately priced listings unseasonably warm.
Overall, buyers and sellers are likely to experience this fall as something of a transitional period. The market has slowed considerably after the frenzy of the pandemic, and interest rates have yet to stabilize. It’s most likely that the market will remain slow until sometime in the new year, at which point either interest rates will have dropped slightly, buyers will be better equipped to manage them, or sidelined sellers will grow tired of waiting.
Despite a September slowdown in home sales, King County did see price gains for residential listings and condos. The median price for single-family homes increased about 3% year-over-year, from $875,000 in September 2022 to $900,000 last month. Around one-third of listings in the county sold over list price last month, in an average of just 6 days. Properties that sold at list price spent around 10 days on the market. Condos rose a more noticeable 7% in September, from $483,000 to $515,000.
The Seattle residential market also saw modest price gains, with the median sold price of single-family homes increasing from $900,000 last September to $926,000 this September. Around 29% of listings sold over list price, in an average of 5 days. Those that sold at list price spent a slightly longer 11 days on market, however this still indicates that buyers are prepared to move quickly on properties that are accurately priced. Condos in the city also saw a respectable 10% price increase year-over-year, rising from $499,000 in September 2022 to $550,000 last month. With nearly 3 month’s inventory, the Seattle condo market may have the highest inventory rate and be the most balanced market in the region at this time.
On the Eastside, prices crept up around 6% from $1,350,000 in September 2022 to $1,427,500 last month. Demand is still high in the area, with 32% of listings selling above list price, averaging just 5 days on market. Those that sold at their list price were purchased within 6 days. Condos on the Eastside saw decent year-over-year price growth, increasing 7% from $580,000 last year to $620,000 last month.
Homes in Snohomish County saw the smallest yearly price increase, rising just 2% from $735,000 in September 2022 to $749,900 last month. Despite this lower rate of price growth, about 31% of homes sold above listing price, averaging only 6 days on the market. Those that sold at listing price spent a bit longer on the market, averaging 13 days. The condo market in Snohomish is the only niche market in the region that saw a price decrease compared to last year. In September 2022, the median price was $539,500. Last month, prices decreased about 8%, landing at a median of $498,500.
It’s likely that we will continue to see fewer unit sales in our region through the end of the year. However, if you need to buy or sell a home before then, there are opportunities to make the most of current conditions. Ask your Windermere broker for more information about how this market might align with your goals.
EASTSIDE
KING COUNTY
SEATTLE
SNOHOMISH COUNTY
VIEW FULL SNOHOMISH COUNTY REPORT
This post originally appeared on GetTheWReport.com.
Preparing Your Home for Fall Weather
As summer bleeds into the beautiful colors of fall, many homeowners are beginning to prep their winter-preparedness lists for the months to come. But getting a jump on the season and starting the cold weather turn-down in autumn is not only a smart idea, but a money saving one as well!
Many of the tasks listed are ones easily completed by the average homeowner, but if you prefer to hire a professional company, the savings in the long run still far outweigh the up-front costs. Enjoy your fall season stress-free and with a home that’s ready for even the most inclement of weather.
Photo by AndreasGoellner via Pixabay
Clean (or Replace) the Gutters
Gutter cleaning is often listed as the first to-do item on any winterization checklist, and for good reason. Thousands of gallons of water are diverted away from structural foundation and siding, that when gutters are clogged, pour directly against your home, and cause major flooding and exterior damage.
Accordingly to The Family Handyman, plastic spatulas make great gutter cleaning implements on the cheap – or if you prefer a more automated system, check out a gutter cleaning robot! Once your gutters are spick and span, be sure to install some mesh gutter guards to decrease the frequency of your cleanings and prevent any major clogging.
Photo by rachelrose11 via Pixabay
Fix any Walkway Cracks
Whether out on your entry walkway, the back patio, or in the driveway; sealing small cracks is a great way to prevent a major fix later down the line. Even seemingly innocuous breaks in concrete walkways can turn into massive potholes after a single winter season, and if the freezing temperature persist long enough, can completely wreck your flat surfaces.
Better Homes & Gardens says to check for cracks greater than 1/8” in width and repair with concrete sealer, but hire a professional for major jobs.
Aerate the Lawn
One of the biggest grievances many entertainers have come spring is that their lawn is destroyed by the time warmer weather comes back around. Raking your lawn and then aerating the soil is a great way to prevent both your grass and garden beds from suffocating during the colder seasons. A minimum of once a year is enough to keep your outdoor spaces thriving, but two to three times is all the better.
Professional lawn services get this done quickly, or you can rent a lawn aerator at any home & garden store in your area if you prefer to do it yourself (and learn a new skill in the meantime!).
Drain & Winterize Outdoor Faucets
As House Beautiful eloquently puts it, every homeowner’s worst nightmare during winter is a frozen pipe bursting – but the solution is an easy one! Close any outside-serving shut off valves and drain all outdoor spigots and hoses. If you don’t have shut off valves (or aren’t sure where they are), invest in some Styrofoam faucet covers and install them to ensure no freezing water in your pipes.
Photo by christels via Pixabay
Clean Window Wells & Re-Caulk (if Needed)
An indoor/outdoor remedy for ensuring well-kept windows – clean out the window wells of frames that are prone to collecting debris (especially ones in basements or other low-lying areas). When leaves collect in window wells, they act as a watertight seal that allows large quantities of water, which can occur even with a moderate amount of rain, to press against the window and break the glass in extreme cases.
To keep your heat bill at its lowest, re-caulk interior window frames to prevent the likelihood of cold drafts and help keep hot air from your furnace escaping out.
Change the Furnace Filter
Swapping out the furnace filter (sizes vary) is an easy and cheap way to manage your utility bills in colder months. Filters with buildup make it harder for hot air to pass through and regulate the temperature in your home, which is then reflected as increased costs on your heating bill.
Photo by Charles Sims via Unsplash
Clean & Inspect the Chimney
Regardless of how often you use your fireplace, ensuring that the chimney is free of debris and the flue isn’t warped/cracked is essential to its maintenance. Creosote and soot buildup in a chimney can lead to fast-burning and destructive house fires that cost not only thousands of dollars to repair, but are a hazard to your safety.
The wetness of the wood you burn determines how often your chimney should be cleaned; damp wood bubbles when lit and leads to more buildup that needs to be cleaned on an average of every 50 burns. Dry wood burn hotter & cleaner, reducing the amount of cleanings to an average of every 70 burns.
Most chimney sweeps include a structural inspection in their services that also cover cracking in bricks, mortar fall-out, and gaps between the flue and chimney shaft. If the provider you employ finds any of these issues, have them repair the issues ASAP as part of the cleaning service.
Keep the Humidifier Running
In addition to being good for your skin, humidifiers help prevent the chance of cracking in fine woods due to dry winter air. Even a single room humidifier placed in the areas of your home with the most vulnerable furniture and flooring can be beneficial for the exterior of both your property and yourself!
Check that your humidifier is cable of running at its full capacity, and if needed, clean the plates & pads with a strong laundry detergent solution. Have a wire brush on hand to scrape off any clinging mineral deposits that may have accumulated during use.
Now that the rain has come, it can be hard to get motivated and finish the prep that’s essential to keeping your home warm, watertight & safe – but getting a jump on the seasonal schedule will prevent these fixes from happening in the bitter winter months. Or worse, watching the issues grow over the holiday season when you most want to relax.
Take a few moments to assess which repairs your home would most benefit from and get the work scheduled ahead of time so it doesn’t come as a surprise – we promise that cozying up with a hot mug of cider afterwards will be all the sweeter!
Written by Jessica Adams
Local Market Update – September 2023
As summer draws to a close, the local housing market remains somewhat unsettled. This is due to persistently high interest rates that have caused buyers to pause and sellers to hold onto their pandemic-era mortgage rates, as well as low inventory increasing competition for the available listings. Sold home prices in some areas have begun to see year-over-year price increases in relation to the slowdown that hit the market at the end of last year.
Windermere’s Chief Economist Matthew Gardner remarked on this trend. “Historically, the number of homes for sale slows in August,” he said. “Where sales did occur, prices rose between July and August in King and Pierce counties.” Gardner also described these conditions as “very unique times” in the housing market.
While these conditions may be challenging to navigate, sellers are still finding success with correctly-priced listings. New listings are attracting multiple offers and often sell over list price. Buyers who come prepared with strategic offers and a willingness to waive contingencies can break into the market with the guidance of a savvy broker.
King County was one of the regions that saw year-over-year price gains. The median price for a single-family home rose 0.7% from $899,999 in August 2022 to $906,250 last month. Condos saw even bigger gains, likely due to their better affordability for new homebuyers. The median price for condos in August was $525,000, up 8.25% from $485,000 the same time a year ago.
The Seattle market hasn’t quite caught up to its pricing from this time last year. There, the median price for single-family homes in August was $899,000, down about 3% from $927,000 in August 2022. On the other hand, the condo market saw a 10.5% price increase year-over-year, rising from $520,000 in 2022 to $575,000 last month.
Eastside median sold prices fared better. After a somewhat sluggish summer in terms of pricing, last month the median price for single-family homes rose to $1,453,000. That’s an increase of 7.6% from $1,350,000 in August 2022. Condos in the area also saw price growth, with median sold prices increasing 5.4% from $569,000 last year to $600,475 in August.
Like Seattle, Snohomish County also hasn’t caught up to its 2022 prices, though this is likely because the county had fewer fluctuations in the last year and may be experiencing the typical end-of-summer slowdown that is common in the housing market. There, the median price for single-family homes was down 2.6% from $749,999 last August to $730,563 this year. The condo market was virtually unchanged in pricing, increasing from $474,999 in August 2022 to an even $475,000 last month.
In all the areas mentioned above, condos generally saw the most notable price gains. This is likely due to their greater affordability for first-time homebuyers and those in the median price-bracket. With interest rates still fluctuating, many buyers are rethinking their plans and may be pivoting to the condo market, thus driving up demand and prices.
Matthew Gardner sees the current real estate market as still “lack[ing] direction,” due to the ongoing interest rate issues. He says “it likely won’t find its footing until mortgage rates start to pull back, which I expect to see as we enter the fall months – and assuming the U.S. economy continues to moderate.”
The remainder of the year will set the tone for how the market looks in 2024. Until then, your Windermere broker can help you navigate these changing conditions and find a strategy that’s best for your buying or selling journey.
EASTSIDE
KING COUNTY
SEATTLE
SNOHOMISH COUNTY
VIEW FULL SNOHOMISH COUNTY REPORT
This post originally appeared on GetTheWReport.com.
Wildfire Preparation and Evacuation Tips
This article originally appears on the Windermere Real Estate Blog, here.
Written by Sandy Dodge
Wildfires cause chaos for homeowners. Though they are destructive, with the right preparation, you can ensure that you and your household have a plan in case of an emergency. Many homeowners insurance policies cover damage caused by wildfires, but check with your insurance agent to make sure. The following tips are meant to inform your household’s wildfire evacuation protocol, whatever your evacuation timeline may be.
Wildfire Preparation: Immediate Evacuation
Evacuation orders come from local law enforcement agencies, but if you have not received an official evacuation notice and feel threatened by wildfires in your area, do not hesitate to leave. Take only essential vehicles on the road, this will minimize traffic and reduce the chance of gridlock when evacuating the area. Keep the windows rolled up to avoid inhaling smoke and tune into local radio for updates as you head toward safer ground. Don’t forget your masks and remember to bring the six P’s:
- People and pets
- Phones and personal computer
- Chargers, any additional computer hardware
- Papers and important documents
- Birth certificates, passports, insurance, legal documents
- Prescriptions
- Medication, eyeglasses, contacts
- Pictures and irreplaceable keepsakes
- Payment (credit & debit cards, bank cards, cash)
It helps to have a “go bag” or portable kit packed ahead of time if and when a wildfire breaks out. In it, you’ll want to keep a list of essential items in case you’re away from your home for a while. Include the following items in your go bag:
- Face masks or coverings
- Extra clothing
- First aid kit
- Toiletries
- Tools
- Flashlight
- Batteries
- Sanitation supplies
- Copies of important documents
- Three-day supply of food and water
Wildfire Evacuation Preparation
If you live in an area that is not being evacuated, there are steps you can take now to prepare your home and family, if and when the time comes. These tasks can help to discourage fires from spreading closer to your home and hopefully salvage some household items.
- Create a “defensible space” by clearing your home’s surroundings of brush and vegetation
- Turn off sprinklers and main gas lines
- Clean out roof and gutters
- Move furniture away from windows toward the center of the room
- Remove flammable household items
- Prepare your emergency kit
- Include essential items listed above
For more information about wildfires and indoor air quality, visit the Environmental Protection Agency (EPA) website. Be sure to check your local news and emergency alert radio stations and social media profiles for the most up-to-date information and helpful resources.
Wildfires are unpredictable. Knowing what to do both in preparation for and during an emergency evacuation will have your household prepared in the event that a wildfire spreads to your area, neighborhood, or home.
Featured Image Source: Getty Images – Image Credit: Daniiielc
Home Sweet Home
Welcome to the WBC Book Club, where your favorite Admins & Agents share our favorite books of the moment! From fictional adventures to inspiring true stories, you can find it all right here on the WBC blog. You may notice that the format of our book recs look a little different than most, but that’s because our team loves to stand out and provide an unparalleled experience in all aspects of our business.
This month’s Literary Listings are all about the places we call home, whether it be a glamourous pied-a-terre in Paris, a hauntingly beautiful estate in the English countryside, or a traditional colonial on the hill. Houses are the overlooked characters of our favorite stories, bearing witness to private conversations, clandestine meetings and secret dreams. It makes you wonder what these homes might have to say if walls could talk…
The Dutch House by Ann Patchett
Marketing Remarks: Now is your chance to own a bit of Pennsylvania history! Built by the illustrious VanHoebeek family in 1922, this Dutch colonial home with period details is in pristine condition. Enjoy evening soirees in the third floor ballroom and relax by the pool all summer long. This property spans several acres and offers unobstructed territorial views from the floor to ceiling windows. All art and furniture is conveyed with the house, including several priceless portraits that trace the long history of this amazing home.
Agent Remarks: Spanning more than three decades, The Dutch House chronicles the lives of Maeve and Danny Conroy, siblings who suddenly find themselves orphaned and disinherited by their stepmother after the untimely death of their father. With enough acerbic wit to counter the more sober themes, this is a beautiful coming of age story about love, forgiveness and the unbreakable bonds of family, reminding us that home is not where you are, it is who you are with.
Directions: Read the synopsis here!
The Paris Apartment by Lucy Foley
Marketing Remarks: Quiet and secluded baroque pied-a-terre close to local amenities. Secure passcode entry & on-site concierge to monitor all deliveries, building maintenance and mysterious goings-on. Building features include a lovely courtyard, hidden passageways, a wine cellar with convenient storage area – but beware, it’s easy to get locked in down there if you aren’t careful. Enjoy timeless elegance at one the most sought-after apartment buildings in Paris.
Agents Remarks: A suspenseful guessing game where no one is ever truly what they seem, The Paris Apartment takes you on a twisting investigation through the streets of Paris as a young woman attempts to find her missing brother. Then tension builds as we meet his various neighbors, each of whom seem to have a reason for wanting the charismatic, aspiring journalist out of the picture. This book has mystery, childhood trauma, and revenge – all the makings of a classic thriller!
Directions: Read the synopsis here!
Northanger Abbey by Jane Austen
Marketing Remarks: Step back in time to this 12th century abbey situated in the idyllic English countryside. This estate has been lovingly restored and repurposed into a family residence while keeping the building’s original architectural details intact. Arching gothic windows let in plenty of natural light to chase away any ghostly shadows, while the grand Rumford fireplace creates a cozy atmosphere in the spacious drawing room. It would be an alleged crime to pass up on this amazing opportunity!
Agent Remarks: Jane Austen’s first published work, Northanger Abbey satirizes the popular gothic novel that was sweeping the literary world in the 1800s. It follows a lovable yet naïve heroine, Catherine, who finds herself caught in a tug-of-war of friendship and romance with two very different sibling duos. When invited to visit her friends’ ancestral home, Catherine’s imagination takes flight as she searches for ghostly apparitions and murderous schemes around every turn. Expectations are turned upside down, relationships are tested and true natures revealed in this hilarious romp. This is a palatable book for those new to the work of Jane Austen and a great read for passing dark, stormy evenings.
Directions: Read the synopsis here!
What should we read next? We are always on the lookout for new book recommendations and would love to hear from you – tag us on social media with your favorite stories!
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Written by Makena Schoene
How to Turn Your Home Into a Vacation Rental
So, you want to become an AirBnB host. How do go about converting your property into a vacation destination?
The hospitality industry has been hard at work to regain its foothold with stir-crazy consumers who have a whole new set of values post-Covid. The growing popularity of the short-term vacation rental is poised to redefine the nature of vacationing for years to come, thanks to increased space, flexibility, and lower average rates.
The demographic for Airbnb guests is changing as well, as Gen Z and millennials are more inclined to travel with groups of friends rather than just their immediate family. Future Airbnb owners can capitalize on this trends for unique, photogenic accommodations that hotels can’t always provide.
If you are willing to put in the hard work, your vacation rental can turn a good profit, and we’ve got a quick guide to get you started!
Image Courtesy of NWMLS Listing – Duke Young
Laws & Logistics
Converting your home into a vacation rental isn’t as easy as listing it on a site like AirBnB. There are a lot of hoops to jump through regarding local regulations, insurance policies, market trends and HOA rules. Start your research by looking into the ordinances of the city where you are located, as municipal law can vary even within the same state.
Seattle law, for example, states that property owners are restricted to operating a maximum of 2 dwelling units as short-term rentals, whereas Bellingham only requires that short-term rental operators obtain the appropriate vacation rental permit and pay the associated fee. Paying attention to regional codes is an important first step towards turning your property into a vacation rental.
Looking into the local market is a great way to get a feel for whether or not your vacation rental has a chance to really succeed in that area. “Look for your direct competitors,” advises Alex Haler, a strategic account executive with AirDNA, “What are they doing well? Do any of them have a particular amenity or feature that is helping them outperform the others? Keep track of this group of competitors as they will aid you in setting the right price, benchmarking your performance and staying ahead of the curve.”
Image Courtesy of NWMLS Listing – Duke Young
Reduce, Repair & Redecorate
The next step is to take care of any necessary repairs, update the furniture and install new tech if need be. Start by depersonalizing the space – as much as you love those family mementos, you are selling a space as a blank canvas for others to create their own memories.
Install smart technology to enhance connectivity for your guests and to keep an eye on your property when you can’t be there in person. Electronic locks that can be managed via the internet are a great addition, as they generate unique codes for each guest stay and make the check-in process quicker and easier.
Now is the time to take care of those pesky quirks that you have grown accustomed to, like squeaky doors or testy faucets. While some guests may not even register these issues, you are investing in your property’s longevity. By being proactive with repairs from the get-go, you save yourself stress and potentially more costly problems down the line.
When decorating, consider the aesthetic of your vacation rental and how it will complement the local vibe. What draws people to the area? Would a coastal motif fit best or would a cozy cabin vibe be more appropriate? “Think about how your guests are going to use the space, rather than simply throwing things together,” advises Nikki Kaestner, a Senior Design Associate with Vacasa.
Good design isn’t about finding matchy-matchy pieces, but creating a space that feels like a home. This can be achieved by layering pieces for a lived-in look that don’t necessarily match but blend cohesively. Make sure you invest in sturdy, quality materials (especially in high touch areas like dining rooms) that can withstand the wear and tear of multiple guests over several seasons – this includes solid wood tables and fabrics that have passed the Martindale test for performance, like Sunbrella.
Stock Up On Supplies
You’re almost ready to welcome your first guests! All that’s left is making sure all the little essentials are well-stocked. Guests are always on the lookout for amenities such as extra towels, sheets and basic toiletries. These are items that are used the most and are almost always left behind in a packing frenzy.
Invest in quality bedding, kitchen supplies and travel-size toiletries to make your vacation rental stand out from the crowd. Being an over-prepared vacation rental host by anticipating these needs can make the difference between a glowing review and an unsatisfied comment that affects future bookings.
Image Courtesy of NWMLS Listing – Duke Young
Advice From An Agent
Don’t just take our word for it! We sat down with WBC broker, Mylo Adams, one our amazing real estate professionals for her tips on property management. “Vacation rental listing setup is the most important,” Mylo advises, “Be sure to verify your property may legally be used as a vacation rental.” This means understanding tax liability on the city, state and federal level, including excise, Business & Occupation (B&O) and capital gains tax.
Mylo’s Top Tips
– Prepare a Rules & Regulations handbook for your guests, as many condominiums allowing vacation rentals have specific rules.
– Invest in excellent professional photos. Did you know that professional photos can lead up to 20% more bookings?
– Respond to inquiries quickly (within 1 hour).
– Clean, Clean, CLEAN! Hire a professional cleaning service to make sure everything looks its best.
Its no secret that the nature of travel has changed over the last few years, creating new opportunities for homeowners to get involved in the field of hospitality and generate another revenue stream. If you think that converting your property into a short-term or vacation rental sounds like the right move, make sure you are doing as much research as possible. It’s a competitive market but creating an insta-worthy escape can pay significant dividends if done right.
Happy hosting!
Written by Makena Schoene
Featured Image Source: NWMLS Listing Courtesy of Duke Young
Local Market Update – August 2023
The dog days of summer are upon us, and along with stifling heat comes a sluggish market. High interest rates and a dearth of available inventory are driving prices up and slowing sales across the region.
One major contributor to the low supply of homes is the phenomenon of homeowners protecting their sweet pandemic-era mortgage rates of 3-4%. Rather than selling and having to manage interest rates that are currently in 7% range, they are choosing to stay put. This means homes that otherwise might have been on the market this time of year are also staying put, and would-be buyers are competing for very limited inventory.
According to Windermere Chief Economist Matthew Gardner, July’s active listings in the tri-county market were fewer than in any July on record, excepting the pandemic year of July, 2021.
Gardner also noted that “With mortgage rates unlikely to move tangibly lower during the balance of the summer, I don’t expect the market to move much over the coming months, both in terms of sales and prices.” But he did add that “If the economy starts to soften this fall, rates could start to fall and this could revitalize the market.”
The key now seems to be accurately pricing the listings that are available. While there’s limited inventory, mortgage rates are putting a damper on buying power. Buyers may already be forced to compromise on lifestyle and location for mid-tier properties. They won’t want to compromise on price as well.
In King County, the median sold price for a single-family home was $897,500 in July, up from $890,000 in July, 2022. Condos also saw a boost, landing at a median of $510,000 last month—up from $490,000 a year ago. This is likely due to high demand and strong competition from buyers in the area.
In Seattle, the necessity of pricing homes accurately is clear. As an example, 69% of Seattle single family homes sold in under 15 days in July, and these generated sold prices that were 100.1% of their list price. Those that took longer than two weeks to sell, however, closed at 97.5% of list price.
Seattle sold prices softened a bit in July. The median price for a single-family home in the city was $899,950, down from $954,500 a year ago. On the other hand, condo prices rose to $550,000 last month, up from $537,000 a year ago.
Low inventory on the Eastside had the effect of pushing up home prices in July, when the median sold price of a single-family home was $1,500,000. That’s an increase from $1,420,000 in July 2022. It’s also the first month since September of last year that Eastside median prices have increased from the year prior, so the mid-summer market has shown some heat. Eastside condo prices also increased last month, with a median sold price of $600,000, up from $575,000 a year ago.
Snohomish County saw prices soften slightly last month. The median sold price for a single-family home dropped from $770,000 last July to $751,250 this July. Even with less than one month’s inventory, interest rates are slowing sales and causing prices to drop. Condo prices also dipped slightly, from $500,000 in July 2022 to $495,000 last month. The county’s condo market had only .7 months of inventory, but this supply squeeze couldn’t completely counter high interest rates when it came to the impact on sold prices.
Looking ahead, it’s clear that now more than ever, sellers and buyers need to tether their real estate interests to a knowledgeable broker who will help them navigate these fluctuating market dynamics. If you have questions about what current market conditions mean for you, reach out to your Windermere broker.
EASTSIDE
KING COUNTY
SEATTLE
SNOHOMISH COUNTY
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This post originally appeared on GetTheWReport.com.
