Archive for January, 2008
January 31, 2008
Look, it’s Ballard!
Just in case you hadn’t noticed, Redfin’s great map tool just got better. Now instead of squeezing your ideal neighborhood into rectangles to search for a home, you can type the neighborhood name into the search bar, and voila! There’s your neighborhood — and only your neighborhood.
Using the search bar and My Redfin, you can be advised of new homes and price reductions in your neighborhood of choice. Check out the freakish depth of the new and improved Redfin at the Corporate Blog.
Here are some Ballard homes that aren’t free, but just went down in price this week.
Price: $309,500 $299,500
1525 NW 57th St #504
1 br/1 ba; 870 sq ft
MLS#: 27174001
Price: $494,999 $478,999
7002 28th Ave NW
3 br/1.5 ba; 1,800 sq ft
MLS#: 27165272
Price: $545,000 $535,000
2716 NW 65th St
4 br/2 ba; 2,060 sq ft
MLS#: 27165871
Price: $699,950 $674,950
7515 27th Ave NW
3 br/2.75 ba
2,140 sq ft
MLS#: 27203745
January 30, 2008
So-called “jumbo” loans are getting a makeover in congress, part of the economic stimulus plan that lawmakers hope will get their party elected in November stave off a recession.
Remember the $300 check that changed your life when you received it in 2001? Well, depending on who wins the argument, you could get $600 this year!
Far more stimulating is the increase in the federally backed loan limits. If coupled with low interest rates, that could actually boost the housing market. Currently, any loan over $417,000 is considered non-conforming, or jumbo. This means the interest rate is higher, and after this past year’s foreclosures took their toll, so is the bar to get one.
Scroll down on this page for a chart detailing the proposed ceilings in all the regions affected. The rate varies from region to region, as the new maximum would be 125% of the median home price in the area, up to $729,750. The only regions in the country to get to the limit are all in California, and include Silicon Valley, Los Angeles, and San Francisco. The Seattle area is the second lowest on the list at $493,400.
Should we stimulate the economy — which, we will remember, was damaged in part by overzealous lending, generous appraisals, flip hype, and shady deals — by lending people even more money? Reduced to that bare idea, it’s ludicrous. Or maybe it’s more complicated than that. Please, tell me it’s more complicated than that.
January 30, 2008
There’s no science behind this observation, but my fingers and wrists are telling me that there seem to be fewer Eastside price reductions of $25,000 or more lately. Here are this week’s price drops, which seem larger in magnitude but fewer in number.
BELLEVUE
16041 SE 16th St
3 br/1.75 ba, 2,410 sq.ft.
Reduced $50,000 to $949,950
MLS 27148304
2042 123rd Ave SE
3 br/1.75 ba, 1,490 sq.ft.
Reduced $50,000 to $574,950
MLS 27191887
ISSAQUAH
2820 NE Daphne St
5 br/3.25 ba, 3,660 sq.ft.
Reduced $125,000 to $975,000
MLS 27114706
KIRKLAND
345 18th Ave
3 br/1.75 ba, 1,650 sq.ft.
Reduced by $90,990 to $499,000
MLS 27184459
9820 NE 116th St
3 br/3.5 ba, 2,567 sq.ft.
Reduced $40,000 to $759,900
MLS 28002976
9824 NE 116th St
2 br/2.5 ba, 1,919 sq.ft.
Reduced $40,000 to $659,900
MLS 28002976
REDMOND
20409 NE Novelty Hill Rd
5 br/4 ba, 5,800 sq.ft.
Reduced $100,000 to $1,490,000
MLS 28016732
19127 NE 65th Way
5 br/3.5 ba, 4,090 sq. ft.
Reduced $40,099 to $849,900
MLS 28001009
January 29, 2008
Here are some of the turn-of-the-year sales in Meadowbrook and Victory Heights. The final sales were from 90-99% of original asking price, which isn’t too terrible in a slumping, midwinter market.
10340 Fischer Pl NE
Originally listed at $679,950; sold for $675,000 on 1/4/08 after nearly two months
1 br/2 ba; 3,110 sq ft
1734 NE 113th St
Originally listed at $539,000; sold for $493,000 on 12/17/07 after two months
2 br/1 ba; 1,320 sq ft
2707 NE 103rd St
Originally listed at $449,000; sold for $405,000 on 12/14/07 in just over two months
4 br/1 ba; 2,000 sq ft
January 29, 2008
Get your calendars out, the 64th Annual Seattle Home Show 2008 returns to the Qwest Field Event Center February 16th-24th, with discount tickets available for purchase online. The regular admission prices for the event are:
Adult: $10.00
Seniors (60+): $6.00
Children (ages 7-15): $3.00
Under 7 free
Discounted tickets may be purchased at the box office with this printable coupon, or you can purchase discounted tickets online by visiting the Seattle Home Show website. Just make sure you purchase your tickets for the day you are going, as all tickets purchased with the online coupon are good only for the day reserved.
Seattle Home Show Hours:
Saturday: 10:00 am to 8:30 pm
Sunday: 10:00 am to 6:00 pm
Monday: 10:00 am to 8:30 pm
Tuesday-Friday: 11:00 am to 8:30 pm
Saturday: 10:00 am to 8:30 pm
Sunday: 10:00 am to 6:00 pm
Whether you are looking to find a contractor for a major remodel (see also “Out of the Depths of Contractor Hell” for practical tips on selecting a contractor), or simply looking for an afternoon outing, the Seattle Home Show is a fun way to spend an afternoon dreaming about all those things you’ve been meaning to get done around the house. This year’s event will host over 600 exhibits covering every aspect of improving your house, inside and out, including information on “going green.”
Parking for the Seattle Home Show (extra fee required for cars with fewer than 4 people) is conveniently located next to Qwest Field Event Center. Shuttles and other lots are also available.
January 28, 2008
The Feds have caused a refinancing frenzy, due to the drop in lending rate from 4.25% to 3.5%, though rates may be dropping down as low as 3.0% this week, at least in part due to a report on the decline in new house sales during 2007.
The Commerce Department reported sales of new homes in December fell by 4.7 percent, and that 2007 new home sales plunged by a record 26.4 percent compared to 2006.
The report exacerbated the market’s concerns about fallout from the housing and mortgage crisis but raised hopes that the Fed might cut rates again by a wide margin to stoke the weakening U.S. economy.
(Source: MSNBC)
Last week’s drop alone brought some 30-year, fixed-rate loans down to 5.125%, down from 5.5% the previous week. However not all wanna-be refinancers can reap the benefits of these low interest rates. Fixed-rate jumbo loans (those above $417,000) haven’t changed much at all, still hovering around 6.5%.
We’ll have to wait and see if these latest drops are going to be good for the economy or not. Interest rates on CDs and savings accounts are going down also, which could hurt quite a few of us out there. However, those who qualify for refinancing (you must have at least 20% equity in your home at it’s current appraised value) might just save a bundle. Also, this should certainly give any potential buyers on the fence out there, the additional motivation they need to jump in and make an offer. But, then again, isn’t this how the last mortgage mess started?
January 26, 2008
“To buy or not to buy…” is a question on many minds, as mortgage rates and home prices take a simultaneous, entangled tumble.
In November I asked the question, “if it’s a buyer’s market, where are all the buyers?” Whether your attitude about home prices at their peak was that Seattle real estate was in demand for good reason, or that prices were falsely inflated, they’ve fallen some — and many sellers are ready to deal.
So why not buy? Because this may not be the absolute bottom of the market. OK, that’s probably true, given that many foreclosures are still to come. But we won’t know what price is bottom until the market starts to climb again.
“Loss aversion” is the answer, says one Eastside real estate blogger. Sounds almost redundant, right? Who wants to lose? But we’re not just afraid of loss, we’re so afraid to lose that we’d rather get in when the market’s hot — which is exactly when prices are inflated and we stand to lose the most.
How does that work? The overall change in satisfaction when you lose is greater than when you win. From the Wikipedia entry on loss aversion:
In prospect theory, loss aversion refers to the tendency for people strongly to prefer avoiding losses than acquiring gains. Some studies suggest that losses are twice as powerful, psychologically, as gains.
So in order to avoid losing, we buy high and sell low.
But here’s the caveat, also from Wikipedia:
…if a person has only $1000, getting $1000 simply doubles their wealth (which would be desirable), but losing $1000 would wipe them out completely (which might be a matter of life and death). In this case, given the need for money for food and shelter in order to survive, the individual will be far more motivated to avoid losing $1000 than to try to gain $1000.
In other words, if you don’t have much money to gamble with, stay out of the casino. Sitting on a lot of cash and wanting a long term investment? This is a terrific time to buy. Found your dream home? Buy it.
Looking for a quick rise, easy money, and a fast turnaround for your last few bucks? You might want to try the next “bubble.”
January 26, 2008
“The fed fund rate is dropping! The fed fund rate is dropping!” says CNNMoney.com.
After Fed makes emergency cut to fed funds rate, mortgage rates fell to 5.48% on a 30-year fixed and to 4.95% on 15-year fixed, hitting their lowest levels in almost 4 years.
Rates on 5 year ARMs are also down to 5.13%, while one-year Treasury-indexed ARMS averaged down to 4.99%.
A cuts in interest rates should kick start at least a few buyers out there. Do these rate decreases do anything for you?
If so, you should take a look at this week’s list of Eastside Price Reductions. As always, price drops greater than $25,000 are included on this list. Not as many of these price reductions on the list this month. Could the market be creeping out of it’s gloom?
BELLEVUE
2150 130th Pl SE
4 br/2.5 ba, 2,480 sq.ft.
Reduced $25,000 to $650,000
MLS 27157593
ISSAQUAH
960 Big Tree Dr NW
5 br/3.5 ba, 4,230 sq.ft.
Reduced $85,635,000 to $865,000 (Yes, that is the actual reduction amount. Listing agent Gabriel Jones (pictured right), immediately after entering in the OLP of $86,500,000 <enter> D’oh!)
MLS 28013693
731 Lingering Pine Dr NW
4 br/4.5 ba, 4,420 sq.ft.
Reduced $40,000 to $1,020,000
MLS 27195293
124 Sky Ridge Rd NW #401
3 br/3 ba, 2,114 sq.ft.
Reduced $28,000 to $469,950
MLS 27132612
SAMMAMISH
20708 NE 5th Pl
5 br/4.5 ba, 5,448 sq.ft.
Reduced $100,000 to $1,449,000
MLS 27078891
1218 207th Pl NE
3 br/1.75 ba, 970 sq.ft.
Reduced $15,000 to $349,950
MLS 27212518
January 25, 2008
How about this for an entry way! Seattle glass celebrity Dale Chihuly’s Boathouse Studio is at the north end of Lake Union.
This is the view from entering the hotshop under the Perisan ceiling in Seattle via Unusual Life blog
Recent posts on Sweet Digs Seattle:
Open House: 3BR Rambler with Views of Puget Sound
Saturday, January 26, 1-4pm
1002 W Mukilteo Blvd.
Everett, WA 98203
[Insert State Here] Mutual Washington Mutual is all over the news lately, and it’s not the appraisal scandal that’s topping the headlines — well, not directly, anyway…
Seattle Not Immune According to WSJ Like we didn’t already know this. Seattle home prices are falling just like the rest of the nation despite strong job growth, etc. Inventory has been increasing at a pace greater than demand is scooping it up…
Happy Friday!
January 25, 2008
Open House Date and Time:
Saturday, January 26, 1-4pm
1002 W Mukilteo Blvd.
Everett, WA 98203
Coffee shop of choice: Espresso Milano is a quick 2 block walk east or an easy stop on your way to town. It makes a great stop as you head to the beach “the long way around” or when you stop at the fruit stand next door. They’ve been making great espresso for years.
Favorite restaurant in the area: Our first restaurant experience in the area was on the deck of Arnie’s in Mukilteo, taking in the sun. It remains a great place to eat, rain or shine, because the sound and bay unfold in front of you and the clam chowder is sensational!
Favorite place(s) to go: Howarth Park is one block away, and a walk through it is to track the seasons. A few years ago a storm made it a pedestrian only experience so we’ve also tracked the progress of Mother Nature restoring herself. We always cross the pedestrian bridge over the train tracks to the outlook and then descend to the beach or walk up the road to the other side of the ravine to a tiny park which overlooks the harbor and Port Gardner Bay. There are two wood benches initialed by years of lovers. It’s the perfect place to sit and share the blackberries picked on the way.
Best features of the home: Our home is above the Boulevard with a westerly view of the Sound from the living room, deck, and patio. In contrast the northern view is green – nuances of green even in winter from the cedar and fir trees and the 30’ noble fir in the corner of the yard. While the living area is open and angular with big windows, French doors, and abundant light, the backyard remains a favorite spot with us; it is private, planted with fruit trees and berries, rhodies and roses. It also has a terraced bluestone patio and a double view of the Sound and Port Gardner Bay. Our deck is great for summer sunbathing and dining. Sitting above the Boulevard further enhances the sense of privacy.
Favorite room: The living room is a great space for entertaining a crowd or getting cozy in front of a wood fire in the fireplace. It’s a bright and open area. The vaulted ceiling, angled corner, bay window, and brick fireplace add to the architectural interest. The fireplace would be the focal point if it weren’t so easy to look at the sky and trees, or the infinity of the islands across Admiralty Inlet.
Most Romantic Spot: The bench at the look-out near north the entrance to Howarth Park on Olympic Boulevard is a favorite with us. We talked about it in “Favorite Places.” While we haven’t carved our initials in the bench, we may have kissed there once or twice.
What’s in the neighborhood: Our neighborhood is a tapestry of single family homes and trees edged with the beach and creeks. Two waterfront parks are within walking distance, as well as Forest Park which has a remodeled pool. For the bike enthusiasts, the Boulevard has a bike lane. Two blocks east is a small business center which includes Espresso Milano, a fruit stand, a dry cleaners, a tackle shop, a 76 station, and a church.
What we will miss the most: We will most miss our neighbors. From the day we moved here in January of 1992 we have felt completely welcome and a part of this little community of four families. Over the years some have moved on while others have arrived. It’s been kind of a global adventure getting to know everyone and each is a gem. From sharing fruits and flowers to cat sitting and just generally watching out for each other this has been a wonderful place to land.
