Seattle Home Sellers See Some of the Highest ROI in the Nation

by Karen Prins

As the housing boom continued to roar across the country and home prices soared in 2019, median home sales profits and returns-on-investment (ROI) achieved record highs, according to an annual year-end report from ATTOM Data Solutions.

Western states and metropolitan areas, especially those on the coast, continue to reap the highest returns on home sales. (In the report, returns are expressed both as a dollar amount and as a percentage and are factored by analyzing the difference between the median sales price of homes and the median sales price of the previous sale of those same homes.) Seattle is comfortably situated in the top five of 220 metro areas surveyed nationwide with an average of 65.6% return on investment. Seattle sellers’ ROI is nearly double the new nationwide average.

The other metros with the highest home seller ROIs are: San Jose, CA (82.8%), San Francisco, CA (72.8%), Merced, CA (63.2%) and Salem, OR (62.1%).

Nationally, raw profits and ROI have improved for eight straight years. In 2019, the average home price gain and percent return on investment also reached a 13-year high. The average seller saw a home price gain of $65,500 on a typical sale, which represents a 34% return in investment compared to the original purchase price.

This rise in ROI may remain a trend locally as home prices continue to rise and the Puget Sound region is squeezed for inventory and the Seattle area remains a sellers’ market.

Read more from ATTOM on 2019 market trends here.

A version of this article was first published on realtor.com and GettheWReport.com

Buying a Home • Local Real Estate News • February 27, 2020

Local Builder Brings New Townhome Communities to Bellevue & Kirkland

by Karen Prins

Bellevue-based builder Quadrant Homes has introduced two new communities in Kirkland’s Totem Lake neighborhood and Bellevue’s Spring District. Featuring rooftop entertainment spaces, plenty of windows for natural light, and the latest home tech (including electric vehicle charging and whole-home voice control), these exciting new communities are sure to satisfy buyers.

Minutes from The Village at Totem Lake, the Lake Washington School District, and Google and Tableau campuses, the Vareze community promises convenient access to work and play plus open floor plans, in-home tech offerings and community spaces. Select floor plans are now available with more options coming soon.

Debuting in March 2020, the Lario community will be part of Bellevue’s Spring District, surrounded by beautiful parks, shopping and plenty of restaurants. Ranging from 2 to 4 bedrooms, each residence is complete with a 2-car garage and the community boasts its own park and rooftop entertainment spaces.

These townhomes offer buyers proximity to plentiful amenities and transit opportunities — from highways to walking trails and the future light rail stations. In booming Eastside neighborhoods where inventory is already low, these communities are sure to be welcome additions!

Reachout it you want to view these beautiful homes! karen@karenprinsrealestate.com

A version of this article was first published on 425 Business and GettheWReport.com

Uncategorized • February 26, 2020

5 Cool New Smart Home Gadgets from CES 2020

by Karen Prins

An international springboard for consumer tech, the CES conference this year did not disappoint, with plenty of new technologies, gadgets galore and even innovative food products (plant-based Impossible pork, anyone?).

A veritable smorgasbord of smart home tech was on full display for every space, from garages and walkways to under-sink cabinets and showerheads. Here are seven new smart home products that caught our attention:

HUB FREE SMART SWITCHES (THAT DON’T NEED A NEUTRAL WIRE)

GE Lighting is swinging for the fences with it’s smart home lighting lineup — from color-changing bulbs to motion-sensing switches. It’s latest offering includes three-wire and hub-free switches that are available in 5 different designs, are well-priced, include dimming and motion-sensing functionalities. Most impressively, only need three wires to connect (line, load, and ground), making them an excellent option for older homes.

Local Market Update • February 17, 2020

Local Market Update – February 2020

by Karen Prins

New jobs and low interest rates continue to fuel the housing market boom. While January is traditionally a slower month for activity, the new year saw steady buyer demand. With the number of sales exceeding new listings, all indicators point to a strong spring market.

EASTSIDE

The tech industry on the Eastside continues to grow rapidly. Microsoft and Alibaba both have significant expansions underway. Amazon expects to increase its workforce in Bellevue to 15,000 in the next few years, a sevenfold increase from today. As the economy continues to grow, inventory keeps being squeezed. There were 47% fewer single-family homes on the market in January than the year prior. Home prices have been stabilizing for some time, fluctuating slightly from month to month. In January the median home price slipped 2% over a year ago to $892,000.

VIEW FULL EASTSIDE REPORT

KING COUNTY

The number of single-family homes on the market in King County was down nearly 44% from a year ago. That lack of inventory has resulted in more multiple offers and the return of review dates, where sellers identify a date to review all offers. Strong competition for a small supply of homes boosted the median home price 3% over the prior year to $630,525.

VIEW FULL KING COUNTY REPORT

SEATTLE

The jobs outlook in Seattle for 2020 remains robust, and demand for homes continues to outstrip supply. Traffic at open houses in January reflected that demand, with one central Seattle homes priced in the $1.2 million range drawing more than 300 visitors. Home prices in the city have been relatively stable for the past 12 months. That remained the case in January where the median price for a single-family home inched up 1% over last year to $719,950.

VIEW FULL SEATTLE REPORT

SNOHOMISH COUNTY

With 35% less inventory than last January, competition among buyers in Snohomish County is fierce and multiple offers have become the norm. The median price of a single-family home soared 12% over a year ago to $509,950. Home prices have been playing catch up, increasing at a much faster pace over the past year than King County. While the prices gap has closed, the median price here is still nearly 20% less than King County.

VIEW FULL SNOHOMISH COUNTY REPORT

This post originally appeared on GetTheWReport.com

For Your Home • Selling a Home • February 5, 2020

Kick-Starting a Kitchen Remodel

by Karen Prins

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Image Source: Canva

Ask a homeowner which room they would most like to improve, and most will point to the kitchen – the starting point for every meal and the heart of the home.

Ask those same people why they don’t move forward with a kitchen remodel, and many will say the project seems so overwhelming they don’t know where to start. If your kitchen needs an upgrade, here are some step-by-step suggestions to get you started.

Gather your thoughts

The steps that follow will all progress much easier if you take time beforehand to form a strong opinion about the desired look and layout of your new kitchen.

Start by reviewing kitchen magazines and photo-heavy kitchen remodeling guides and/or websites. Compiling clippings and printouts in a notebook helps you refine your vision. Clip or print the photos that capture your imagination, add notes, and draw circles and arrows around the things you like most.

Once you have a clearer vision of what you want, search online for better examples and new solutions, if necessary. If you live with a significant other, share your ideas with them and don’t allow yourself to become too committed before getting buy-in from them. Contractors and sales associates will expect a unified front.

Focus on the flow

Another major factor you’ll want to consider is how your new kitchen will be used, and by whom:

Do you want to cook with others?
Do you want family and guests to gather in the space while you cook?
Do you want to serve meals in the kitchen?
Do you want to display your dishware?
Where would you like things stored for maximum efficiency?

Imagine yourself happily cooking and entertaining in your new kitchen, then note the key elements necessary to make those dreams a reality. Having a list of your desired kitchen features and storage needs will help ensure your plan meets your vision.

Determine your budget

According to the annual Remodeling Magazine survey of costs, a “midrange,” “minor” kitchen remodel will cost homeowners living on the West Coast about $23,000. Those same folks can expect to pay about $70,000 for a midrange “major” kitchen remodel. Determine what you can afford before you start work to ensure that your vision is within reach, or to help prioritize what’s most critical.

What to do with the cabinets

Replacing the cabinets is one of the most expensive improvements you can make in a kitchen remodel (typically consuming 20 to 40 percent of the overall budget, according to Architectural Digest).

Consider refacing instead. This can include one of the following: 1) Installing completely new cabinet doors and drawer fronts or 2) installing new wood or laminate veneer over the existing cabinet and drawer fronts or 3) simply refinishing the existing cabinet and drawer fronts.
Shopping for contractors

The contractor you choose will determine much of the cost, the pace of your project, the amount of disruption, the final results, and your level of satisfaction. So be thorough in your search:

Ask friends and family for referrals and advice.
Interview at least three of the leading prospects in-person.
Ask to see samples of past work.
Look for someone who complements your operating style (similar personality and communication style).
Once you’ve narrowed your choice to one or two, ask to speak with a few past clients.

You’ll be tempted to latch onto the first contractor who gets rave reviews from a friend or family member. But remember: You and your project are unique, and it’s worth the time and effort to be rigorous in your search.

Selecting appliances

If you’re planning to replace appliances, here are three factors you’ll want to consider:

Finish – Stainless steel is still the most popular option, but beware: smudges, fingerprints, water spots, and streaks will be obvious. Black stainless steel has a warmer feel and is better at hiding spots.

Extended warranty – According to Consumer Reports, extended warranties are hardly ever worth it because today’s appliances are so reliable. And if something does fail, it’s often less expensive to just pay for the repair.

Unbiased testing and reviews – Before making an appliance purchase, use the information resources available through Consumer Reports.

A final note

Moving walls and extending your home’s foundation are both very expensive options. If your kitchen plans call for these architectural renovations, perhaps you’ve outgrown your home and need something larger (with an already-improved kitchen).

This post originally appeared on the Windermere.com Blog

Give Back • Windermere • February 4, 2020

Windermere Foundation Reaches $40 Million Donation Milestone

by Karen Prins

As we head into a new decade, the Windermere Foundation reached a milestone in 2019 by raising nearly $3 million, bringing the grand total to over $40 million in donations raised since 1989.

Twenty-five percent of the funds raised in 2019 were donated by agents from their commissions. The rest was raised through office fundraisers, additional giving by owners, agents, and staff, and public donations. These dollars stay local, as each Windermere Real Estate office has their own Foundation funds, supporting low-income and homeless families in the communities where offices do business.

One office that celebrated a milestone of its own this past year is the Windermere office in Coeur d’Alene, Idaho. The Coeur d’Alene office became a part of the Windermere network in 1994. In 1996, the office hosted its first annual “Boots and Socks for Kids” event by purchasing and donating 47 pairs of boots and socks to Coeur d’Alene Children Village and St. Vincent DePaul. Since then, the office has donated a total of 12,546 pairs of boots and socks to children in the 40 area schools and local agencies that provide services to low-income or homeless families.

In 2019, Windermere Coeur d’Alene reached a milestone of $1 million total donated to support local non-profits. Organizations that have received donations include CAP Food Bank, Family Promise, CASA, Shared Harvest, St. Vincent DePaul North Idaho, Union Gospel Mission, and United Way of North Idaho, to name just a few. Safe Passage and The Children’s Village of Coeur d’Alene are two non-profits that receive support from the office annually.

Last year also marked the fourth year of Windermere’s #TackleHomelessness campaign with the Seattle Seahawks, in which Windermere committed to donating $100 for every Seahawks home game defensive tackle. This year Windermere partnered with Mary’s Place, a non-profit that provides safe, inclusive shelter and services to support women, children, and families on their journey out of homelessness. Thanks to the Seahawks, we raised $30,000 this season for Mary’s Place, bringing our grand total to $128,200 raised through our #TackleHomelessness campaign.

We are proud of the fundraising efforts made by the Windermere team and are grateful to all who have supported the Windermere Foundation over the years. Because of that support and generosity, we have been able to make a difference in the lives of many families in our local communities over the past 30 years. And we look forward to supporting even more families in 2020. If you’d like to help support programs in your community, please click the Donate button.

To learn more about the Windermere Foundation, visit https://windermerefoundation.com/

This post originally appeared on the Windermere.com Blog

The Gardner Report • January 27, 2020

The Gardner Report – 2019 Q4 Western Washington

by Karen Prins

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 me!

ECONOMIC OVERVIEW

Employment in Washington State continues to soften; it is currently at an annual growth rate of 1.7%. I believe that is a temporary slowdown and we will see the pace of employment growth improve as we move further into the new year. It’s clear that businesses are continuing to feel the effects of the trade war with China and this is impacting hiring practices. This is, of course, in addition to the issues that Boeing currently faces regarding the 737 MAX.

In the fourth quarter of 2019 the state unemployment rate was 4.4%, marginally lower than the 4.5% level of a year ago. My most recent economic forecast suggests that statewide job growth in 2020 will rise 2.2%, with a total of 76,300 new jobs created.

HOME SALES

There were 18,322 home sales registered during the final quarter of 2019, representing an impressive increase of 4.7% from the same period in 2018.
Readers may remember that listing activity spiked in the summer of 2018 but could not be sustained, with the average number of listings continuing to fall. Year-over-year, the number of homes for sale in Western Washington dropped 31.7%.
Compared to the fourth quarter of 2018, sales rose in nine counties and dropped in six. The greatest growth was in Whatcom County. San Juan County had significant declines, but this is a very small market which makes it prone to extreme swings.
Pending home sales — a barometer for future closings — dropped 31% between the third and fourth quarters of 2019, suggesting that we may well see a dip in the number of closed sales in the first quarter of 2020.

HOME PRICES

Home price growth in Western Washington spiked during fourth quarter, with average prices 8.3% higher than a year ago. The average sale price in Western Washington was $526,564, 0.7% higher than in the third quarter of 2019.
It’s worth noting that above-average price growth is happening in markets some distance from the primary job centers. I strongly feel this is due to affordability issues, which are forcing buyers farther out.
Compared to the same period a year ago, price growth was strongest in San Juan County, where home prices were up 41.7%. Six additional counties also saw double-digit price increases.
Home prices were higher in every county contained in this report. I expect this trend to continue in 2020, but we may see a softening in the pace of growth in some of the more expensive urban areas.

DAYS ON MARKET

The average number of days it took to sell a home dropped four days compared to the third quarter of 2019.
For the second quarter in a row, Thurston County was the tightest market in Western Washington, with homes taking an average of 29 days to sell. In nine counties, the length of time it took to sell a home dropped compared to the same period a year ago. Market time rose in four counties and two were unchanged.
Across the entire region, it took an average of 47 days to sell a home in the fourth quarter. This was up nine days over the third quarter of this year.
Market time remains below the long-term average across the region, a trend that will likely continue until we see more inventory come to market — possibly as we move through the spring.

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.

The housing market ended the year on a high note, with transactions and prices picking up steam. I believe the uncertainty of 2018 (when we saw significant inventory enter the market) has passed and home buyers are back in the market. Unfortunately, buyers’ desire for more inventory is not being met and I do not see any significant increase in listing activity on the horizon. As such, I have moved the needle more in favor of home sellers.

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.

Local Real Estate News • Real Estate Investing • The Gardner Report • January 23, 2020

Matthew Gardner – Will There Be A Recession in 2020?

by Karen Prins

Windermere Chief Economist, Matthew Gardner, answers the most pressing question on everyone’s minds: Will there be a recession in 2020? Here’s what he expects to see.

Originally posted in on Windermere.com’s Economics 101 Videos and Market News by Matthew Gardner, Chief Economist, Windermere Real Estate

Buying a Home • Local Market Update • Selling a Home • January 15, 2020

Local Market Update – January 2020

by Karen Prins

2019 ended with too many buyers chasing too few homes. December marked the sixth straight month of declining supply. The severe shortage of homes, historically low interest rates, and strong job growth are predicted to keep the local housing market strong in 2020. In a region starved for inventory, sellers can expect significant interest in new listings.