Selling your home: A Step-by-Step Approach

 

Whether you’re starting a family, moving for your job, getting ready to retire or embarking on a new chapter in your life, when your home no longer suits your current situation, it’s time to think about selling it. Although this can be a bit complicated, with the help of your agent, you can minimize the hassles, get the best possible price, and shorten the distance between “For Sale” and “Sold”.

Price it right

If you want to get the best possible price for your home and minimize the time it stays on market, you need to price it correctly from the beginning. Your agent can give you a clear picture of your particular market and can provide you with a comparative market analysis (CMA). A CMA contains detailed information on comparable homes in your area, including square footage, date built, number of bedrooms, lot size and more. It lists pending sales and houses sold in your area in the past six months, along with their actual sale prices.

By comparing your home to similar homes in your neighborhood and reviewing their list prices and actual selling prices, your agent can help you arrive at a fact-based assessment of your home’s market price.

Prepping your house for sale

You want to make a positive first impression when you list your home for sale. Here are some tips on how to enhance your home’s best features:

Work on your curb appeal

Get rid of moss on your roof. Power wash your front walk, porch, deck and patio. Mow the lawn, trim the hedges, weed the flowerbeds and add spots of color with container plants. Clean all the windows inside and out and repair them if they don’t open and close easily.

Refresh, repair and repaint

This goes for interiors and exteriors. If you see peeling paint, add a fresh coat. If your living room is bright lime green, consider painting it a more neutral shade. Make necessary repairs. You don’t want to turn off a buyer with a dripping faucet, a broken doorbell, a clogged downspout or a cracked windowpane.

Deep-clean, from floor to ceiling

Clean rugs, drapes and blinds and steam-clean carpeting. Get rid of any stains or odors. Make sure kitchen appliances, cupboards and counters are spotless and that bathrooms shine.

Declutter and depersonalize

Clean, light-filled, expansive rooms sell houses. So be sure to downsize clutter everywhere in your home, including cupboards, closets and counters. You might also consider storing some furniture or personal items to make rooms look more spacious. Take advantage of views and natural light by keeping drapes and blinds open.

Make an impact on the market

If you want to sell your home, you need to go where the buyers are, and today they’re on the Internet. According to the National Association of REALTORS®, in 2012 90 percent of homebuyers used the Internet as an information source, and for 41 percent of homebuyers it was the first step in the home-buying process.

By working with your agent, you can list your home on Windermere.com and other relevant websites. He or she will put together a listing with attractive photos, an appealing description and all the information a potential buyer needs. Your agent will also market your house, which may include advertising, direct mail and open houses.

Show your house

After you’ve taken care of all the repairs and cleaning tasks outlined above, your home is ready for its close-up: an open house. It’s actually best for you and your family to leave when potential buyers are present so they can ask your agent questions. But before you go, you might want to:

·         Take your pets with you

·         Open the shades and turn on the lights

·         Light a fire in the gas fireplace

·         Bake cookies

·         Keep money, valuables and prescription drugs out of sight

Be flexible in negotiating

If you get offers below your asking price, there are a number of strategies you can try in your counteroffer. You could ask for full price and throw in major appliances that were not originally included in the asking price, offer to pay some of the buyer’s fees, or pay for the inspection. You could also counter with a lower price and not include the appliances. If you receive multiple offers, you can simply make a full-price counter.

Your agent can suggest other strategies as well and help you negotiate the final price.

If your house doesn’t sell or you’ve received only lowball offers, ask your agent to find out what these prospective buyers are saying about your house. It might reveal something you can consider changing to make your house more appealing in the future.

Breeze through your inspection

When a buyer makes an offer on your home, it’s usually contingent on a professional inspection. A standard inspection includes heating and cooling, interior plumbing and electrical systems; the roof, attic and visible insulation; walls, ceilings, floors, windows and doors; and the foundation, basement and visible structure. The inspector will be looking for cracks in cement walls, water stains and wood rot.

You can always opt for having an inspection done prior to putting your house on the market, so you can address any potential problems in advance. Your agent can give you several recommendations for qualified inspectors in your area.

Close with confidence

Whether this is your first time or your tenth, your agent can help guide you though the complex process of selling a home. Moreover, he or she can answer any questions you may have about legal documents, settlement costs and the status of your sale.

Your agent’s expertise, resources and extensive network also work for you when you’re buying your next house. Even if you’re moving out of the area, your agent can refer you to a professional agent in your new community.

This post originally appeared on the Windermere.com blog.

Happy Valentine’s Day From The Butterfly Effect

The Butterfly Effect Valentine's Day

Happy Valentine’s Day, everyone! Earlier this week The Butterfly Effect celebrated our second Valentine’s Day with our friends at the Gardens at Juanita Bay Senior Community. We were excited to be back with the residents for another year, and they were so happy to see us again.

Preparation for this event started on February 5th when our group met to make valentines and favor bags and address cards. When the big day came we arrived at the Senior Community loaded up with beautiful potted roses (thanks to Trader Joe’s in Kirkland), favor bags full of candies and snacks, warm socks, and of course our homemade valentines. It was a fun day full of good friends, laughter, and spreading love and warmth in our community.

Days like this remind me of how far our Butterfly Effect group has come since we started 4+ years ago with ten founding members. We have grown to 60+ members, do a charity project each month, and have given over $25,000. I love being part of such a generous group that gives monthly and makes a difference one ripple at a time.

Local Market Update – February 2018

With competition for homes growing and inventory shrinking, the real estate market in January was as hot as ever. Home prices were up by double digits as buyers chased severely limited inventory. The number of homes for sale hit a record low for the month of January, which should strongly favor sellers as we move into the prime spring selling season. The average home seller in our area now makes a 64 percent profit, the fourth-highest rate of any region in the country, according to ATTOM Data Solutions.

Eastside

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Home prices on the Eastside continue to climb. The median price of a single-family home was up 18 percent over last January to $938,000 —­ virtually unchanged from the record high set a month ago. West Bellevue, King County’s most expensive area, saw the median home price surge to a record high of $2.72 million. With less than a month of available inventory, prices aren’t expected to cool any time soon.

King County

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Single-family home prices in King County soared 20 percent over a year ago to $628,388, with double-digit increases recorded in every area of the county. Lack of inventory continues to fuel the market. There were 21 percent fewer homes for sale here as compared to a year ago, with inventory hitting a record low for the month of January. The region has now been the hottest housing market in the country for 15 months in a row.

Seattle

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An ongoing shortage of inventory combined with an economy that continues to add jobs has kept the Seattle housing market very competitive and increasingly expensive. Seattle’s median price hit a new record in January jumping 19 percent to $757,000. Despite the increase in prices, brokers are reporting open house traffic that can number in the hundreds of interested buyers.

Snohomish County

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Home price increases in Snohomish County were more moderate than those in King County. The median price of a single-family home grew 10 percent over a year ago to $450,000. That number is down from the high of last year, and reflects a more common seasonal slowdown.

2018 Windermere Eastside Kick-off

Every year over 500 brokers from Windermere offices across the Eastside gather to prepare for the new year at the annual Windermere Eastside Kick-Off Event at the Hyatt Regency Bellevue. Last week, several speakers shared their insights and advice to prepare our agents to better serve their clients for the 2018 housing market.

Looking Ahead: What to Expect From the 2018 Housing Market

 

Matthew Gardner, Windermere Real Estate’s Chief Economist, shared his forecast for the 2018 housing market. Low inventory seems to be a problem stretching all the way to Ohio with many people living in their homes twice as long as past generations. Lack of skilled labor, available land and high material costs continue to make new construction an expensive option. Read more about his forecast.

“There are no secrets to success. It is the result of preparation, hard work, and learning from failure.” – Colin Powell

Breaking Through The Noise

 

Micheal Fanning Kick Off 2018Senior Vice President Windermere Services and Ninja Instructor, Michael Fanning, brought his insights on breaking thought the mediocrity of the market place. Finding ways to bring those extra touches and using technology to your advantage can set you apart in a sea of daily distraction. Employing techniques from the Ninja Installation Train Program, Michael reminds agents that the hard things never get easier, you just get better and an average mindset will always result in a missed opportunity.

“Be somebody who makes everybody feel like somebody.” – Robby Novak

Understanding Your Client’s Story

 

Tori Dabasinskas Eastside Kick Off

Licensed marriage and family therapist, Tori Dabasinskas, shared her communication strategies to help our agents better connect with their clients. Addressing techniques for authentic listening, creating more meaningful connections and responding with emotion as well as logic, Tori emphasized taking time to truly understand the “story” of each individual client. With personal empathy and active appreciation, our agents can better anticipate the needs of their clients and what can be done to better serve them.

“The truth is, rarely can a response make something better — what makes something better is connection.” – Dr. Brené Brown

Law Of Attraction

 

Richard Bennion Kick OFF 2018

Executive Vice President of HomeStreet Bank, Richard Bennion, reminded our agents that every client has a story. Their hopes, dreams and challenges are opportunities to listen, be attentive and show those clients their importance. Becoming an expert who is professional, authentic, self-aware and highly competent will attract people and help build your business’ sphere of influence. Taking a long-term approach in building client relationships will result in a strong business over time.

“Always take your job seriously, never yourself.” ― David Brooks

Growth, Support and The Power of Windermere

 

Brooks Burton Kick Off 2018

Brooks Burton, Chief Operating Officer for Windermere Services Company, opened the Kick-Off by sharing some exciting changes agents can look forward to in 2018. They included refreshed branding, offering more social media resources, improving technology and more resources based on agent feedback. Brooks also touched on the success of the Windermere Foundation which has raised over $35 million for local organizations since its inception in 1989 as well as how funds are allocated among those organizations.

“Without continual growth and progress, such words as improvement, achievement, and success have no meaning.” – Benjamin Franklin

Strategy and Determination

 

David Wasielewski Kick Off 2018

David Wasielewski, the Managing Partner of Northwest Din Tai Fung Partners, spoke about bringing the popular Chinese restaurant brand to the Seattle area. David shared that as a previous marketing veteran at Intel Corporation he had no restaurant experience prior to starting his own business. David’s approach to success? Strategy, action, and pacing himself. He flew to California for many weekends to work at another Chinese restaurant owned by Din Tai Fung’s owners without pay to prove his interest and dedication to his mission. Fast forward to today and he owns four restaurants in the Seattle region and his first Bellevue Square location has won the highest gross sales award from Kemper Development Company in each of the five years he has operated.

“Strategy is pattern is a stream of decisions” – Henry Mintzberg

Getting in the Right Mindset: Pursuing Excellence

 

Tracie Ruiz Conforto Kick OFF

Tracie Ruiz Conforto, Olympic Medalist and Synchronized Swimmer of the Century, inspired us to find and pursue our passions, just as she did with swimming at the age of nine. She advised agents on three ways to achieve excellence – find your passion, use your competition to improve your skills, and surround yourself with a team who will support you. Tracie showed us that anything is possible when you combine passion, discipline, competition, and teamwork.

“Pursuing excellence means investing more than others think is practical and expecting more than others think is possible.” – Winston Churchill

The Windermere Eastside Kick-off was an inspiring and motivational event. Our brokers are more prepared than ever to provide valuable service for their clients and face the year ahead. We are excited to put this knowledge to good use as we help you navigate your real estate journey in 2018!

This post originally appeared on the Windermere Eastside Blog.

The Gardner Report – Fourth Quarter 2017

Economic Overview

The Washington State economy added 104,600 new jobs over the past 12 months. This impressive growth rate of 3.1% is well above the national rate of 1.4%. Interestingly, the slowdown we saw through most of the second half of the year reversed in the fall, and we actually saw more robust employment growth.

Growth continues to be broad-based, with expansion in all major job sectors other than aerospace due to a slowdown at Boeing.

With job creation, the state unemployment rate stands at 4.5%, essentially indicating that the state is close to full employment. Additionally, all counties contained within this report show unemployment rates below where they were a year ago.

I expect continued economic expansion in Washington State in 2018; however, we are likely to see a modest slowdown, which is to be expected at this stage in the business cycle.

Home Sales Activity

  • There were 22,325 home sales during the final quarter of 2017. This is an increase of 3.7% over the same period in 2016.
  • Jefferson County saw sales rise the fastest relative to fourth quarter of 2016, with an impressive increase of 22.8%. Six other counties saw double-digit gains in sales. A lack of listings impacted King and Skagit Counties, where sales fell.
  • Housing inventory was down by 16.2% when compared to the fourth quarter of 2016, and down by 17.3% from last quarter. This isn’t terribly surprising since we typically see a slowdown as we enter the winter months. Pending home sales rose by 4.1% over the third quarter of 2017, suggesting that closings in the first quarter of 2018 should be robust.
  • The takeaway from this data is that listings remain at very low levels and, unfortunately, I don’t expect to see substantial increases in 2018. The region is likely to remain somewhat starved for inventory for the foreseeable future.

Annual change in home sales

Home Prices

  • Because of low inventory in the fall of 2017, price growth was well above long-term averages across Western Washington. Year-over-year, average prices rose 12% to $466,726.
  • Economic vitality in the region is leading to a demand for housing that far exceeds supply. Given the relative lack of newly constructed homes—something that is unlikely to change any time soon—there will continue to be pressure on the resale market. This means home prices will rise at above-average rates in 2018.
  • Compared to the same period a year ago, price growth was most pronounced in Lewis County, where home prices were 18.8% higher than a year ago. Eleven additional counties experienced double-digit price growth as well.
  • Mortgage rates in the fourth quarter rose very modestly, but remained below the four percent barrier. Although I anticipate rates will rise in 2018, the pace will be modest. My current forecast predicts an average 30-year rate of 4.4% in 2018—still remarkably low when compared to historic averages.

Days on Market

  • The average number of days it took to sell a home in the fourth quarter dropped by eight days, compared to the same quarter of 2016.
  • King County continues to be the tightest market in Western Washington, with homes taking an average of 21 days to sell. Every county in the region saw the length of time it took to sell a home either drop or remain static relative to the same period a year ago.
  • Last quarter, it took an average of 50 days to sell a home. This is down from 58 days in the fourth quarter of 2016, but up by 7 days from the third quarter of 2017.
  • As mentioned earlier in this report, I expect inventory levels to rise modestly, which should lead to an increase in the average time it takes to sell a house. That said, with homes selling in less than two months on average, the market is nowhere near balanced.

Average Days On Market

Conclusions

Market SpeedometerThis speedometer reflects the state of the region’s housing market using housing inventory, price gains, home sales, interest rates, and larger economic factors. For the fourth quarter of 2017, I have left the needle at the same point as third quarter. Price growth remains robust even as sales activity slowed. 2018 is setting itself up to be another very good year for housing.

 

 

 

 

Matthew Gardner is the Chief Economist for Windermere Real Estate, specializing in residential market analysis, commercial/industrial market analysis, financial analysis, and land use and regional economics. He is the former Principal of Gardner Economics, and has more than 30 years of professional experience both in the U.S. and U.K.

 

 

 

 

 

This article originally appeared on the Windermere.com blog.

Local Market Update – January 2018

2017 closed out the year with historically low inventory and record-breaking price gains. A strong local economy and brisk population growth has helped fuel a steep discrepancy between supply and demand. As long as this imbalance remains, 2018 is on track to remain a very strong seller’s market.

Eastside

>Click image to view full report.

Defying the usual winter slow-down in home prices, December broke new records on the Eastside. The median price of a single-family home soared 17 percent over a year ago to $938,240 – an all-time high for the region. Appreciation in higher-end areas, like West Bellevue and Mercer Island, topped 20 percent. Homeowners, especially those considering downsizing, may want to take advantage of the sharp increase in equity.

King County

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King County recorded the lowest inventory since records began in 2000, and demand just keeps rising. As a result, the price of a single-family home jumped 15.5 percent over the same time last year to $635,000. Those looking buy a condo as a more affordable option were out of luck. The median price tag of $402,000 is a relative bargain when compared to a single-family home, but there are only about 200 condos on the market, another record low.

Seattle

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While below the high point last summer, the median price of a home in Seattle jumped 14 percent year over year to $725,000. Supply and demand is again the culprit. There are just two weeks of available inventory on the market. Not only are homes here selling quickly, but fewer people are putting their homes up for sale. Most economists are predicting a moderate slowdown in cost increases here in 2018, with prices still rising but not as sharply as they did in 2017.

Snohomish County

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Prices in Snohomish County continue to rise at a rapid pace. The median price of a single-family home here grew 12.5 percent from a year ago to $449,950. With less than a month of available inventory, prices are projected to remain high.

2018 Coalition Legislative Breakfast

Legislative Breakfast

Last week people gathered from all over the county to talk about the big issues facing our area. I was proud to be there to support Realtors and the Kirkland Chamber of Commerce.

One of the biggest challenges of our region is getting condo reform passed. The current regulatory environment for condominium construction in our state places significant liability on builders, making it prohibitively costly to bring this housing to market at an affordable price point. This is greatly impacting our inventory and affordable housing.

We addressed a lot of topics including education, transportation, and economic development (click here to learn more). I look forward to Hill Day next week when we’ll talk to our legislators about more important issues affecting homeownership because to me, there is nothing more important than encouraging homeownership and protecting those rights.

2018 Housing Forecast: Where are we headed?

Graph

What lies ahead for the local housing market in 2018? We sat down with Windermere Chief Economist Matthew Gardner to get his thoughts. Here are some highlights:

Home prices will continue to increase, but at a slower pace

The strong local economy, high demand and very low inventory will continue to boost home values in 2018, according to Gardner. However, he believes that the double-digit growth of 2017 will moderate, and predicts home prices in King County will rise by 8.5% in the new year.

Mortgage interest rates will rise slightly.

Gardner admits that interest rates continue to baffle forecasters. The rise that many economists have predicted the past few years has yet to materialize. His forecast for 2018 sees interest rates increasing modestly to an average of 4.4% for a conventional 30-year fixed-rate mortgage.

More Millennials will enter the housing market.

Despite the relatively high cost of homes in our region, Gardner expects more Millennials to buy homes in 2018. They are getting older and more established in their careers, enabling them to save more money for a down payment. Many are also having children and are looking for a place to raise their family.

The tax reform bill will have a limited effect on our housing market.

The recent changes to the income tax structure will have an impact on homeowners, but Gardner does not believe that impact will be significant here.

    • The mortgage interest rate deduction will be capped at $750,000 – down from $1,000,000. But according to Gardner, just 4% of the mortgages in King County exceeded $750,000 in 2017. Most buyers of more expensive homes have been making larger down payments, or buying homes for cash.
    • Since the $1,000,000 mortgage deduction cap is grandfathered in for those who have already purchased a home, some homeowners may opt to stay put rather than move. That could result in fewer homes being placed on the market.
    • The tax bill eliminates the deduction for interest on home equity loans. This is bound to slow down the trend of homeowners choosing to remodel their home rather than trying to find a new home our inventory-deprived market.

Bottom Line

The increase in home prices may moderate, but inventory will still be very tight. 2018 is on track to be a strong seller’s market.

This post originally appeared on Windermereeastside.com.

Preparing Your Home for the Winter

During the winter, it is tempting to curl up and hibernate in bed for the next few months. However, you shouldn’t put off these important home maintenance duties.

Clean and check the gutters: While you are on the roof hanging holiday lights, make sure your gutters are clear of leaves, secured to the house, and in good condition. If you do find problem spots, seal, secure, and make note to fix these in the spring. You want to divert water away from your home.

Insulate external water sources: In cold climates pipes can freeze, which can then lead to cracked pipes and flooding. Bring hoses and sprinklers inside for the winter and use insulation to wrap external faucets. Insulating interior pipes can help prevent disaster. If you don’t have insulation, you can keep a faucet dripping during particularly cold days, so water is flowing through the pipes.

Check your water heater: One way to save money during the winter months is to wrap your water heater, so it doesn’t have to use as much energy to keep the water hot in a tank. You should check on your heater to make sure it isn’t leaking and in good repair regularly.

Interior insulation: Keep the heat in and the cold out with increased insulation in your attic and basement. This is an investment, and best done before the winter hits, but can make a big difference in how warm your house feels and how high your heating bill goes.

Check for cracks and leaks: Do you feel a draft? Check the sealing on your windows and doors. You can add weather stripping and silicon to seal these leaks. Foundations can leak as your home settles, so you should also check your basement for water coming through the walls, pipes, and older windows. You will want to seal these appropriately to minimize damage from flooding or mold.

Weatherize your windows: Your windows can be a great source of heat leakage depending on their age and condition. If you have older windows, you can use a clear film to help insulate them during the winter. If you don’t want to film the windows you can install extra thick drapes or curtains to help keep the interior of your home warm.

Check your heating system: What is one thing gas fireplaces, wood burning stoves, and central air heating systems all have in common? They all need to be cleaned and maintained. Check and clean your indoor heating system thoroughly. If you use an old-fashioned wood stove, make sure there are no leaks and that all soot buildup or nests are removed. If a furnace is what you have remember to change the filters as recommended or clean out your reusable filters.

Check your chimney with care: Nothing is as cozy as sitting by the fireplace during the winter, but use with care! Have your chimney checked by a professional to ensure that it’s in good condition and clear of critters or nests. You can also use a creosote log at the start of the season to help break down any old residue.

Invest in home security: The holidays are prime times for burglars looking to score some extra gifts so make sure your home is safe and secure at all times. Check your locks to make sure these are secure and consider a home security system with visible cameras to act as a deterrent. Keep evidence of big gifts hidden from view too. And make sure you discreetly get rid of any large boxes that might alert a prowler that you have new big-ticket items in your home.

Deck the halls and be merry: Decorate your home and prepare for guests. If you have a Christmas tree, keep it from drying out (and creating a fire hazard) by watering regularly. Keep decorative candles and menorahs away from children and flammable materials. You may want to consider battery powered candles, these can be a safe alternative to traditional candles.

Wishing you and yours a happy and safe holiday!

This post originally appeared on the Windermere.com blog.

Local Market Update – December 2017

It looks like we’re skipping the normal holiday slowdown this season with brokers reporting crowded open houses and competitive bidding in many areas. However, since sellers who list their homes at this time of the year are usually motivated to move soon, the holidays are still a good time to buy. Some of the best pricing is historically found between December and February.

Eastside

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The rate of appreciation for homes on the Eastside continues to be as robust – or more so – as in Seattle. Both local and international buyers attribute the appeal of the area to larger lot sizes, newer construction, and highly-rated school districts. Inventory here is extremely low, and homes are selling quickly. The median price for a single-family home on the Eastside reached $851,000 in November, a 12 percent increase over the same time last year.

King County

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The number of new listings in King County is down 19 percent as compared to a year ago. With demand still strong, the median home price in King County rose 15 percent over last year to $630,750. Condo inventory, long an option for more affordable housing, is at a record low as developers opt for building apartments to avoid the legal and financial risks that come with building condos.

Seattle

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Seattle is one of the fastest growing American cities, and demand doesn’t look to be slowing any time soon. Combine that with a very limited supply and it’s no surprise that for over a year home prices here have been rising faster than anywhere in the country. Last month, the median price for a single-family home in Seattle was $741,000, soaring 21 percent from the previous year.

Snohomish County

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Buyers priced out of the King County market are taking this advice: drive until you qualify. Many are ending up buying in Snohomish County. The number of homes for sale was down more than 24 percent here in November and there is currently less than one month of inventory available. The median price of a single-family home was $445,000, up 11 percent year-over-year.