About a month ago, I was interviewed for the Lowe's for Pros website on landscaping ideas to improve the market value and salability of a home. Below is the text of the article and here is the link: http://www.lowesforpros.com/landscaping-to-increase-property-value
Landscaping to Increase Property Value
By: Jake Fowler Issue Date: October 2009
For homeowners, curb appeal is critical for making a positive first impression on potential buyers. “They say statistically that 85 to 90 percent of the buying decision happens from the curb,” says Tony Meier, realtor at Windermere Real Estate in Redmond, Wa.
And since property value is a huge concern for many homeowners, landscaping contractors can suggest several options that will not only add value to their client’s home but save energy and money as well—making landscaping a worthy investment.
Cost-effective landscaping ideas There are many landscaping options for the budget-conscious consumer that increase curb appeal and are easy to implement. “Neat and tidy are certainly key components,” Meier says. “Sometimes we’re trimming up shrubs, removing weeds in the beds and barking on top of those beds, planting flowers along the beds, cleaning up the lawns and applying edging.”
Whatever design options are used, Meier says it’s important landscaping additions never block vision of the house or front porch. “You want to expose the home, you want to have a feeling of openness just as you would with the interior.”
Understand local trends Many cities in hot, arid climates offer programs subsidizing homeowners to use native plants and decrease their dependence on water, so drought-tolerant landscaping is a major trend contractors should discuss with their clients. In the Northwest, consumers are generally very conscious about not using chemicals in their landscaping. There are also considerations for areas dealing with winter weather. “If you can plant something seasonally that has some color that would be helpful,” he says. “I would suggest areas that have snow on the ground, maintaining that and trying to minimize [snow] during those seasons would be an important part of landscaping.”
Meier also stresses that most real estate trends are local, so contractors should focus on trends in their area to best increase a client’s property value.
Keep it simple An overall trend that applies in all regions of the country is low-maintenance landscaping. Low maintenance options increase property value because people don’t want to deal with numerous problems right after moving in, Meier says. He also emphasizes to make sure basic aspects of landscaping look sharp before moving on to more complicated and expensive elements. “If you’re spending $2,000 on a rock wall and your grass looks like hell, you’re focusing on the wrong things,” he says. He adds that excessive hardscape, although visually pleasing, doesn’t always lead to material gains in property value.
Other cost effective ways to beautify yard space without adding costs involve replacing higher maintenance plants with native ones. For example, in most climates keeping a lawn green requires necessary maintenance and watering. But replacing lawns (or parts of the lawn) with native shrubs or ground covers can be inexpensive and help keep cost low. Don’t forget the backyard While the front of the home should be the priority, there are landscaping options for the back yard that can increase property value as well. “You don’t want your house to not be seen from the curb,” Meier says. “But if you can do things with plantings in your rear yard to increase your privacy with trees, that’s something that will help out with resale.”
Time is money While Meier has seen properties sell for significantly more than the original asking price because of extraordinary landscaping, the real value of curb appeal is in the immediacy of the sale. “Some [landscaping] things that you do are not necessarily cost for cost, dollar for dollar value,” he says. “If you do this I can get this much more for your home. But if you do those things I can sell your home quicker, which in fact will mean more money to you as a seller.”
"Tony, you really earned our respect.You even found someone to show us around when we could only come up on a weekend you were out of town.You always returned by emails and calls promptly.I really liked the fact that you read into what we were looking for in a home.You knew the areas well and even gave pointers about the commute times I could face for work.I appreciate all that you did and would refer you to a friend or family member in the future.Thank you for everything!!!"
Jennifer & Jeff Killingsworth
It was a pleasure helping Jeff and Jennifer! They relocated to the Seattle area from Southern California for her business. I helped them buy a great Issaquah home, which I know they will enjoy for many years to come! Here is a photo:
Which Cities Will See Biggest Rebound? Which cities are likely to be the hottest post-economic downturn destinations for young, brilliant, and highly mobile workers?
The Wall Street Journal surveyed six trend-spotting experts and they chose cities based on economic diversity, lifestyle and their own personal prejudices.
Here's the top-10 list:
1. Washington, D.C. (tie) 1. Seattle 2. New York 3. Portland, Ore. 4. Austin, Texas 5. San Jose, Calif. 6. Denver 7. Durham, N.C. 8. Dallas 9. Chicago 10. Boston
Source: The Wall Street Journal, Sue Shellenbarger (09/30/2009)
This week's numbers show a continued rise in pending sales on the Eastside of Seattle. These represent the highest numbers in 2 years or more! Interestingly, short sales, pre-forclosures and bank owned homes made up over 25% of the pending sales last week. See the snap shot below.
Here is a look at the last 2 years:
If you have any questions about this information or want to know the pace of the market in your neighborhood, give me a call at 425-466-1000.
KIRKLAND, WA, June 4, 2009 - Waiting longer to buy a home is not likely to pay off, according to Northwest Multiple Listing Service director Kathy Estey after reviewing reports summarizing May activity. Estey pointed to shrinking inventory (about 20 percent fewer listings than a year ago), double-digit increases in the number of pending sales (up 17.7 percent from a year ago), solid open house activity, and signs of stabilizing prices (eight of the 19 counties in the report show price gains since January) as indicators of an improving market.
Northwest MLS brokers notched 7,160 pending sales during May. That total out-gained the year-ago tally by 1,075 transactions (up 17.7 percent) and improved on April's total by 242 sales for a 3.5 percent increase. For the four-county Puget Sound area, pending sales jumped 21.5 percent from a year ago, rising from 4,526 to 5,498 transactions.
Buyers had fewer choices during May than at this time a year ago. At month-end, member-brokers reported 41,318 active listings throughout the NWMLS service area. A year ago, there were 51,817 active listings. Current inventory includes 11,278 single family homes and condos that brokers added during May. For the same month a year ago, brokers added 14,176 new listings to inventory.
Estey, the managing broker at the Bellevue Downtown office of John L. Scott Real Estate, said affordable homes inventory is down to the levels of a normal market and reaching for a sellers' market. "Multiple offers are common in the under $400,000 range when the home is priced well, shows nicely and is marketed professionally," she remarked. "Buyers who are waiting for prices to come down more have missed the bottom," Estey believes.
Close in markets are the most active, with rural areas still lagging, but Estey says there is now some activity where little to none had existed in the first quarter. She believes prices have adjusted and completed new construction is still a very attractive purchase. "Builder inventory is being absorbed and there are fewer incentives. In January builders were giving away the farm, by March it was only half the farm and now they may just give away a chicken or two in order to make the deal."
Prices are showing signs of stabilizing, according to NWMLS data. Prices area-wide are down around 10 percent from twelve months ago, but a comparison to January shows price gains in eight of the 19 counties in the NWMLS report. System-wide, prices for single family homes and condominiums that closed last month are up about 2.6 percent since January. (See chart, page5.)
In King County, prices dipped about 12 percent from twelve months ago and have declined about 3.5 percent since January, but a closer look shows considerable variation within sub-areas. Prices in southeast King County fell 20 percent from a year ago, but since January are down only about 2.8 percent in north King County.
Condominium activity remains slow. Pending sales are down about 15 percent from a year ago. The median sales price of $240,000 is about 7.7 percent lower than a year ago. Condos in King County sold for a median price of $270,450 last month, which compares to the year-ago price of $287,925, a drop of about 6 percent).
Demand for high-priced homes is also tepid. According to Estey, there are "amazing opportunities for buyers with good credit scores and 25 percent down payment in the $900,000- plus marketplace."
"What we're currently seeing is real estate's version of Back to the Future," said J. Lennox Scott, chairman and CEO of John L. Scott Real Estate. He believes the combination of historically low interest rates, adjusted lower prices, and the $8,000 tax credit has created advantageous conditions for buyers that haven't been seen in decades. He noted sales in the four-county area continue to see double digit increases. "The more affordable markets are seeing a major boost which is leading to higher sales in the mid-priced markets and causing some increases in activity in the upper end," Scott remarked.
While cheered by the more vigorous activity, brokers note short sales and foreclosures continue to be a drag on the market. Such properties, often sold at deep discounts, may take extraordinary time to close once there has been mutual acceptance of an offer. (Note to editors: see explanatory note, p. .5)
NWMLS director Meribeth Hutchings, broker/owner of Windermere Real Estate/Lake Stevens Inc., said her office represents the buyer of a short sale that has been pending since October. The buyers who hope to purchase the home in Mukilteo have been very patient, but are becoming less so and are ready to move from the small apartment where they have been living with two large dogs. "Every time we think we are getting close, the lender changes what they want," Hutchings stated.
Another NWMLS director, Pat Grimm, reported similar experiences with a short sale. "We just closed one in Montlake on May 28 -- after the parties to the transaction reached mutual acceptance on Feb. 10, said Grimm, the owner/broker at Windermere Real Estate/Capitol Hill. (NWMLS defines a short sale as a transaction that does not produce sufficient funds to cover the existing monetary encumbrances against the property, closing costs, real estate commissions, and other financial requirements of closing.)
Tacoma broker Dick Beeson of Windermere/Commencement Associates said he has several agents deeply involved in handling short sales since Pierce County is so hard hit. He estimates around 25 percent of all properties for sale are either bank owned or short sale, and one of every three pending sales is one or the other.
"Short sales play a big role in what many buyers are looking for," according to Beeson, who also noted these buyers often fail to realize the extraordinary length of time it takes to close a sale - generally twice as long as a conventional sale. "Many get discouraged after 60 or 90 days and withdraw from a sale, never having received notice form the underlying lender what they are willing to take for the property. Many properties end up going to foreclosure because of the inefficiency of the banks in providing answers to offers," Beeson commented.
The recent uptick in pending sales, both locally and nationally, is a hopeful sign that we're putting the worst of the market behind us, suggests Ron Sparks, managing vice president at Coldwell Banker Bain.
"As you would expect in a recovering market, not all neighborhoods are uniformly performing, and for home sellers particularly, there are plenty of challenges that remain." However, he observed, "In many neighborhoods where just a few years ago broad affordability had all but vanished, lower prices, flexible terms and very low interest rates are pushing inventory absorption for single family homes to levels not seen since 2007."
Sparks said multiple offers for the best listed properties are occurring everywhere, including Pierce and Snohomish counties. "Improving sales in one neighborhood helps dwindle inventory, and can push motivated buyers to search for homes in other neighborhoods. This process typically occurs before prices start to stabilize," he explained.
Has that stabilization begun? "As my old Magic 8-Ball used to tell me: signs point to yes," according to Sparks, who noted eight counties served by the NWMLS have seen price increases since January. "The sales volume in my Bellevue office is now roughly 10 times what it was in February, with expanded sales in almost every price category. Overall inventory levels have dropped substantially as well. Does this mean the optimal time for home buyers to take full advantage of favorable market conditions has passed? I'd probably defer that to the Magic 8 ball also..."Ask again later."
Recent fluctuations in mortgage rates have brokers and buyers alike wondering if rates will escalate as inflation worries return.
"While rates now are wonderfully low, waiting has cost buyers. Loans recently available for 4.75% are now 5.25%," according to broker Kathy Estey. On a $400,000 loan, that means the monthly payment rises from around $2,128 to about $2,253 - and increase of nearly $125. She believes it would be wise to act now for the best selection in the affordable homes. "Who knows if we will see rates of 5% or below again anytime soon," she wonders.
Commenting on a recent report from the National Association of Realtors showing a third consecutive month of improving pending sales, Lawrence Yun, NAR chief economist, said buyers are responding to very favorable market conditions. "Housing affordability conditions have been at historic highs, but now the $8,000 first-time buyer tax credit is beginning to impact the market," he said. "Since first-time buyers must finalize their purchase by November 30 to get the credit, we expect greater activity in the months ahead, and that should spark more sales by repeat buyers."
Northwest Multiple Listing Service, owned by its member brokers, is the largest full-service MLS in the Northwest. Its membership includes approximately 28,000 brokers and agents. The organization, based in Kirkland, currently serves 19 counties in western and central Washington.
Statistical Summary by Counties: Market Activity Summary - May 2009
May 2009 Single Family Homes + Condos
LISTINGS
PENDING SALES
CLOSED SALES
New Listings
Total Active
# Pending Sales
# Closings
Average Price
Median Price
King
4310
5473
2801
1618
$423,875
$351,500
Snohomish
1759
2254
1160
666
$325,502
$299,950
Pierce
1632
2092
1196
643
$252,431
$225,000
Kitsap
531
639
341
219
$292,797
$240,000
Mason
182
209
73
56
$189,062
$161,405
Skagit
258
255
140
78
$251,548
$207,250
Grays Harbor
180
260
75
63
$139,161
$114,000
Lewis
152
196
78
40
$159,230
$138,150
Cowlitz
113
169
82
55
$194,685
$177,900
Grant
145
179
73
36
$166,956
$148,450
Thurston
521
629
406
214
$273,164
$247,000
San Juan
64
79
14
4
$464,750
$410,000
Island
253
232
107
86
$299,378
$248,500
Kittitas
152
159
48
38
$250,716
$170,000
Jefferson
84
91
34
12
$298,000
$294,500
Okanogan
86
68
27
17
$159,435
$140,000
Whatcom
496
622
311
179
$269,633
$250,000
Clark
106
167
64
57
$229,296
$206,900
Pacific
60
82
39
13
$157,333
$175,000
Others
194
321
91
60
$218,748
$214,000
MLS TOTAL
11,278
14,176
7,160>
4,154
$329,680
$280,000
4-County Puget Sound Region Pending Sales (SFH + Condo combined) (Totals include King, Snohomish, Pierce & Kitsap counties)
If you read the new report from Moody's Economy.com and MSNBC.com you would think so!
They list Washington state as one of the last places to enter the recession and likely one of the first few out. They predect that five states including Washington will begin to recover in the 4th quarter of 2009. This is due in large part to our high tech industry and expect our employment to rebound in the 4th quarter of 2009.
KIRKLAND, WA, May 5, 2009 –Northwest Multiple Listing Service members reported pending sales for April surged 11.4 percent compared to twelve months ago – and rose 21.3 percent from March.
Brokers reported 6,918 pending sales during April across the 19 counties that make up the Northwest MLS market area. That's up from the year-ago total of 6,208, and the March figure of 5,701 pending sales (offers made and accepted, but not yet closed).
For the four-county Puget Sound area (King, Kitsap, Pierce and Snohomish), brokers notched 5,372 pending sales, the highest total since August 2007 and a jump of 26 percent from March.
Inventory is shrinking and prices are showing some signs of stabilizing, according to data in the latest report from Northwest MLS. The median price for last month's closed sales of single family homes and condominiums area-wide was $270,000. That matched the figure for March, but still lagged prices of a year ago (down 12.9 percent).
Inventory is down 18.3 percent from year-ago levels, with Clark, Kitsap and Pierce reporting the largest drops. Members added 10,824 new listings of single family homes and condos to inventory last month, down almost 20.5 percent from the year-ago total of 13,607 new listings.
Lower prices, record low mortgage interest rates, improving consumer confidence, the $8,000 first-time buyer tax credit and other incentives for buyers are credited with spurring activity. Industry officials, noting activity is quite strong in the lower, more affordable price ranges, hesitate to declare a housing recovery is under way:
Dropping inventories and rising affordability are positive signs, according to Frank Nothaft, Freddie Mac's chief economist. "The housing market may be edging toward a bottom," he stated.
"April was a good market for new pending sales; we seem to be moving to a more balanced market," said NWMLS director Meribeth Hutchings, broker/owner of Windermere Real Estate/Lake Stevens, Inc.
"We need several months of sustained growth to demonstrate a recovery in housing, which is necessary for the overall economy to turn around," said Lawrence Yun, chief economist for the National Association of Realtors®.
J. Lennox Scott, chairman and CEO of John L. Scott Real Estate, described the market as "bifurcated."
"Sales are up and prices have stabilized in the more affordable market," he explained, while noting the mid- to upper-end markets are experiencing entirely different conditions.
NWMLS director Kathy Estey agreed. "We had our best month since September," she commented, but said sales of homes priced at $1 million or more are still slow compared to the pace of a few years ago. Estey, the managing broker at John L. Scott's downtown Bellevue office, said sales of high-end homes lag in part due to limited availability of mortgages for homes priced above conforming loan limits. (The median asking price for homes currently offered for sale in West Bellevue, a market served by Estey's office, is more than $1.5 million.)
Another MLS director reported a "terrific increase" in first-time buyer activity in Seattle's close-in neighborhoods, calling it the best it's been in almost two years.
"We just had five offers on a Ravenna house priced around $400,000 and it sold for considerably more than the list price," said Mike Skahen, the broker at Lake & Company. He also said another one of his agents represented a client whose offer beat out 10 competitors. "I hope we're seeing the start of the spring selling season," something he said was lacking last year for the first time since starting his real estate career 33 years ago.
In King County, pending sales of single family homes (excluding condos) rose more than 25 percent from March. Of six "sub-areas" the MLS tracks within the county, North King County (encompassing Shoreline, Lake Forest Park and Kenmore) and the Eastside areas had the strongest month-to-month gains. Compared to March, pending sales of single family homes for April shot up nearly 52 percent in the North King County map areas, and rose more than 35 percent on the Eastside.
Prices for sales of single family homes and condos that closed last month in King County continued to lag year-ago totals (down 15.3 percent), but edged up from March (up 4.5 percent). For single family homes (excluding condos), the median selling price for April's sales was $350,000, up 4.4 percent from March.
Condominium sales area-wide were down about 7.5 percent from a year ago, but up significantly (40.8 percent) from the previous month. In King County, which accounts for about six of every 10 condo sales, pending sales were down 8.1 percent from a year ago, but jumped nearly 42 percent from March.
Tacoma broker Dick Beeson of Windermere/Commencement Associates also reports the market there is warming up, evidenced in part by increased traffic at open houses and phone calls. Many first-time buyers are still unaware of the $8,000 tax credit, according to Beeson, who says it is stimulating marginal interest. "It is almost a serendipity to first-time buyers when they discover they qualify."
"Most everyone recognizes that real estate in our region is 'on sale,' and that's certainly validated in the latest report," stated Ron Sparks, managing vice president at Coldwell Banker Bain. Buyer demand has increased to 2006 levels in some notable area neighborhoods, according to an analysis by Sparks, who tempered his optimism by saying, "For the scale between buyers and sellers to balance, it's important that buyer demand begin to increase so prices can stabilize. The MLS report and comments from agents in the field tell us we're seeing some progress in that direction."
Sparks also said in his experience, "highly advantageous buyer markets are pretty rare," so when they appear, he's inclined to advise people confident in their financial position to take advantage of it. He extends such advice to his own children, he admitted, noting one of them just closed escrow and another just made her first offer.
Lawrence Yun, NAR chief economist, said it should take a few months for the market to gain momentum. "This increase could be the leading edge of first-time buyers responding to very favorable affordability conditions and an $8,000 tax credit, which increases buying power even more in areas where special programs allow buyers to use it as a downpayment," he said in commenting on a new report from NAR that showed a nationwide rise in pending sales for March.
Northwest Multiple Listing Service, owned by its member brokers, is the largest full-service MLS in the Northwest. Its membership includes approximately 28,000 brokers and agents. The organization, based in Kirkland, currently serves 19 counties in western and central Washington.
Statistical Summary by Counties: Market Activity Summary - April 2009
April 2009 Single Family Homes + Condos
LISTINGS
PENDING SALES
CLOSED SALES
New Listings
Total Active
# Pending Sales
# Closings
Average Price
Median Price
King
4123
13164
2646
1242
$417,500
$350,000
Snohomish
1579
5592
1111
535
$316,271
$290,000
Pierce
1556
6145
1238
580
$245,084
$225,000
Kitsap
539
1926
377
200
$294,353
$240,000
Mason
163
746
70
46
$138,542
$137,550
Skagit
267
1308
127
77
$261,968
$225,000
Grays Harbor
168
814
86
49
$143,465
$150,000
Lewis
140
710
72
40
$192,591
$174,951
Cowlitz
166
652
78
61
$187,488
$179,000
Grant
112
682
70
43
$166,568
$144,000
Thurston
494
1657
343
196
$246,875
$232,600
San Juan
57
457
11
4
$338,000
$226,000
Island
239
1040
109
68
$278,216
$244,450
Kittitas
136
553
52
30
$231,055
$196,000
Jefferson
84
533
24
22
$278,875
$213,750
Okanogan
68
343
21
16
$175,750
$149,000
Whatcom
521
1942
274
166
$279,088
$259,450
Clark
113
399
87
43
$219,781
$202,500
Pacific
63
396
21
15
$146,293
$135,000
Others
236
1088
101
45
$251,230
$224,500
MLS TOTAL
10,824
40,147
6,918
3,478
$316,979
$270,000
4-County Puget Sound Region Pending Sales (SFH + Condo combined) (Totals include King, Snohomish, Pierce & Kitsap counties)
This updated rambler is set back on a quiet street in Timberline - one of the top neighborhoods in Sammamish! The open floorplan is 1340 s.f. and features 3 bedrooms, 1.75 baths on a 9,371 s.f lot! Many recent updates include - carpet, paint, six panel doors & white molding! The covered porch greats you… wood floors in the foyer welcomes you in. The living room is large and features a brick wrapped fireplace with gas insert and big windows overlooking the yard. Spacious kitchen with ample cabinet and countertop space. Adjacent dining area is light & bright and has vaulted ceilings and a slider opening to the deck - perfect for entertaining or BBQing. The master bedroom has “his & hers” closets. The master bath is completely remodeled in “top of the line” style with heated tile floors, double shower, new vanity & granite counters. Two additional bedrooms are very spacious. The full bath in the hall bath is oversized with a new floor. Large, entertainment sized deck looks out to the wall of green in the VERY private rear yard. Terraced beds and a large lawn make for a wonderful retreat - perfect for relaxing, gardening or play! Big laundry room w/sink & storage. Attached two car garage. Outstanding Lake Washington schools - Blackwell Elementary, Inglewood Jr High & Eastlake High.
Eastside & Seattle Market Absorption Rates By: Tony Meier Eastside & Seattle Realtor<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:
1.These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2.These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3.When measuring the heat of the market, the following rules apply:
a.12 weeks or less = Seller’s Market
b.12-24 weeks = Balanced Market
c.24 or more weeks = Buyer’s Market
Most areas showed improvement over the last 4 weeks. Those that didn’t improve remained largely flat. Hopefully this trend will increase as we continue with the spring selling season.
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 31.9 weeks of inventory (was 43.4 four weeks ago)
Residential Only, NWMLS Area 510 (Mercer Island) = 62 weeks of inventory (was 75.3 four weeks ago)
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 42.4 weeks of inventory (was 50.2 four weeks ago)
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 28.8 weeks of inventory (was 31.3 four weeks ago)
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 43 weeks of inventory (was 42.8 four weeks ago)
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 33.7 weeks of inventory (was 35.1 four weeks ago)
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 48.4 weeks of inventory (was 47.2 four weeks ago)
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 29.2 weeks of inventory (was 35.7 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
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