Thursday, May 23, 2013

Market News


by MITCH DIETZ

Given the recent shift, what does today’s market mean for sellers and buyers?

FOR SELLERS, it is always important to understand where your property fits into the competitive landscape.  Currently, there is a wide variety of conditions in the marketplace, but overall this is the kind of market sellers love to see.
After years of persistent buyer’s market conditions, much of our market is now in balance, or squarely in a seller’s market.  Today, 91% of the market, by price range, fits into these categories.  Only 9% are in a buyer’s market.  Even with this improving trend, not all areas and price ranges are moving as robustly as others (See Charts 1 and 2).
In the price ranges below $350,000 the market is quite active; in some cases it is very hot.  Multiple offers are becoming more common again.  We have many examples of homes selling at prices that were not achieved just a couple of years ago.  In those areas that have fewer homes competing for buyers’ attention, we are seeing prices rise.
However, even in these under supplied areas, there are still many properties that are languishing on the market.  Buyers continue to ignore over-priced properties.  It is still about pricing competitively.
In the upper-end price ranges, where the market is not moving as quickly, properties that are selling are priced at compelling levels.  Recoveries typically start in the lower price ranges and move up.  Over the past year, we have seen more price ranges come into balance.  For example, a year ago, the only price ranges in balance were those below $250,000.  That number is $100,000 higher today.  The top price ranges will continue to see improvement over the coming months.
For many sellers, particularly trade-up sellers who are looking to buy larger or more expensive homes, they know the math is better if they move now before prices bounce up.
FOR BUYERS, it is important to know that most price ranges are attracting more buyers than sellers.  This makes it competitive for buyers; and these conditions can tempt the unprepared to go places they wouldn’t otherwise be willing to venture.
Before starting the search process, buyers should be thorough in determining the must-have features from those that would simply be nice to have.  Keep an open mind about improvements that can be made over time.  For example, paint is an easy, affordable update.  Features such as flooring, cabinets and countertops can be done over time.  The right home may just need a little work to make it perfect.
At the same time, be aware of things that cannot be changed, or at least are very expensive to change.  The location of the home is the biggest driver of price – and it cannot be changed.  Also, if the home does not have the desired floor plan, a buyer should consider how much it would cost to achieve that better layout.  The cost of that type of improvement can range from the modest to the prohibitive.  Without great thought going in, compromising on these types of things in a competitive bid process can lead to buyer’s remorse.
Buyers willing to compromise on some things, while standing firm on those that matter most, will find success and a comfortable outcome.
This is a unique time to be a buyer.  Prices around the country appear to have bottomed and interest rates are so low they tend toward silly.  These factors combine to make homes affordable.  As interest rates rise, less house will be available at the same mortgage payment.  When prices also rise, a buyer can quickly be priced out of something that may have been affordable when prices and interest rates were lower.
This is ultimately why we are seeing a big jump in the number of buyers in the market.  With the proper preparation, today’s buyers will be happy they purchased when they did.
Statistics compiled by Coldwell Banker Evergreen Olympic Realty, Inc. from Northwest Multiple Listing Service Data.  Statistics not compiled or published by Northwest Multiple Listing Service.

Tuesday, May 21, 2013

Last Week to Vote!


by MITCH DIETZ

We are down to the final week of voting for our scholarship contest. Be sure to check out all the great entries and vote for your favorite!
You can view all the entries on our Facebook page at: https://apps.facebook.com/contestshq/contests/321519/voteable_entries .

Monday, May 20, 2013

NEW LISTING! 2846 Equus Ridge Ln SW | MLS 490168 | 4 bed 2 ba 2,112 sf | 5.4 acre

by MITCH DIETZ

Homes are moving quickly. Here is a preview of my new listing in Tenino.  You can find the whole listing at www.MitchDietz.com/490168


$339,900


Welcome home to your 5.4 acre private property with gate entry! Home, built in 2003, features 4 beds, 2 baths w/2112 sf, vaulted ceilings, skylights, large living room w/propane fireplace & open-style kitchen great for entertaining. This park-like property has a 48'x36' shop w/12' & 10' bay doors + shop area, office & loft. Each bay is 12' wide & 36' deep. This shop is HUGE! Enjoy 420' of Scatter Creek frontage w/pond. This is a great, private neighborhood with 4 homes. Easy access to freeway.

Wednesday, May 15, 2013

Top 8 Signs of an Improved Local Market


by MITCH DIETZ 


The number one sign of our improved market is certainly the amount of sales.  March brought great news: Buyers put the second most number of homes under contract since July 2007 (the top month was April 2010, when buyers were rushing to get the federal home buyer tax credit that expired at month-end).
Put differently, March beat every summer month over the past five summers.  To give some context, March sales are typically 30% lower than August sales.   This is a great sign that buyers are back.
Buyers see that prices have stabilized.  This gives a growing pool of buyers the confidence they need to make that home purchase.  These buyers, in turn, have helped set the fundamentals needed to return to increasing values.  It will be price appreciation, not just stabilization that will spark truly broad consumer confidence.
As we have said before, one month does not make a trend.  The great news is that home sales have been steadily on the rise since the summer of 2011.  Now we are at the critical point where sales are outpacing the number of new homes coming on the market.
Inventory is at a seven year low, while sales are at a six year high.  More buyers, coupled with fewer homes for sale, is a recipe for multiple offers on properties.  In our company alone, we have been involved in more than 50 transactions with multiple offers since the beginning of the year.  Last year at this time there were only a few that had occurred.
2013 continues to have a lot of  encouraging signs. Be sure to check back here, where we will continue to share other positive local trends over the next few weeks.

Saturday, May 11, 2013

Olympia Wooden Boat Festival



This weekend is the Olympia Wooden Boat Festival!
The festival is a fun, free event for all ages and is held at the Percival Landing Park in downtown Olympia. The event runs Saturday from 10 a.m. to 6 p.m. and Sunday from 11 a.m. to 5 p.m. Boats of all sizes and types will be on display!
Saturday there will be a “Children’s Boat Building Booth” with wooden pieces for kids to build their own boats.
Local artists will also have their handmade arts and crafts on display and the festival is packed with several food vendors as well.
Be sure to get downtown to check out this fun event!

Tuesday, May 7, 2013

Voting Has Begun for our Scholarship Contest



We are officially in the voting stage of our contest!
Please be sure to check out our Facebook page to vote for your favorite essay.
Thanks again to all the wonderful submissions and best of luck!
To read all of the great essay’s and to vote, visit our Facebook contest page at: https://apps.facebook.com/contestshq/contests/321519/voteable_entries?page=2

Travel Smarter!


Travelling in Thurston County now comes with a good challenge; how to conserve by carpooling, biking or walking to your destination! The Thurston Regional Planning Council is challenging local residents to use alternate modes of transportation to get around Thurston County.

“The goal of ThurstonHereToThere is to provide a single resource for South Puget Sound residents to find practical, affordable transportation alternatives to driving alone,” describes TRPC Senior Planner Paul Brewster (shared from our friends at Thurston Talk).
To learn how to participate and for more details visit the “Thurston Here to There” website at: http://thurstonheretothere.org/.
You can also read more from our friends at Thurston Talk at: http://www.thurstontalk.com/2013/04/15/traveling-around-thurston-county-just-got-easier/