THE MARKET IS COOLING STILL, THERE ARE BUYERS
An Executive Summary:
Sales are down although prices have been stable. Inventory is up but only slightly. It takes longer for a home to sell and interest rates have been rising. Still, there are buyers and almost half of Trilogy’s more than 80 buyers this year paid cash.
October and early November have been banner months for us in the past. The market doldrums of the holidays in late November and December are approaching and interest rates are moving to a point they could negatively impact pricing. The best prospect to sell before the end of the year is to put a home on the market soon.
September Sales in Trilogy at Redmond Ridge
Five sales closed during September, all resells. That compares with 12 in August, 14 in July and 14 in June, also all resells. A new construction house has not closed in months.
The Breakdown
-
Union on the market 96 days originally priced at $399,950, sold for $395,000.
-
Washington on the market 21 days originally priced at $469,000 sold for $459,500.
-
Hemlock on the market 36 days originally listed for $650,000 sold for $634,000.
-
Redford on the market 40 days originally listed for $879,000 sold for $824,000.
Trilogy Translation
As we predicted, mortgage rates are up, a full percentage over May despite a pause in their acceleration because of the Federal Reserve Bank’s promise in mid-September that it won’t taper its bond-buying. Although asking and selling prices remain stable in Trilogy’s micro-market of 1,500 homes with its unique character as an active over-55 community, the low inventory and the higher costs of money could force reductions in asking prices as 2014 approaches. Will October sales be higher? Pending figures suggest they might be, but for the 58 percent of buyers who get a mortgage, higher interest rates might be discouraging.
What’s Waiting to Close?
As of September 30th, there were 14 pending sales, 4 of them new construction or spec houses. They must wait completion of construction before they can acquire an occupancy certificate from the county and close escrow.
Model |
Asking Price |
Days on Market |
Notes |
Chelan |
$293,504 |
79 |
(ARCH) |
Orchard |
$419,000 |
86 |
|
Madison |
$475,000 |
29 |
|
Vashon |
$499,950 |
173 |
|
Madison |
$525,000 |
31 |
|
Washington |
$549,000 |
25 |
(new build) |
Whidbey |
$555,000 |
37 |
|
Nice |
$649,000 |
37 |
(new build) |
Cedar |
$679,900 |
11 |
|
Hemlock |
$699,000 |
39 |
|
Nice |
$699,000 |
2 |
(new build) |
Hemlock |
$699,900 |
36 |
|
Hemlock |
$734,900 |
69 |
(new build) |
Monticello |
$997,000 |
72 |
Trilogy Translation
Pending doesn’t mean firm. It takes about a month, sometimes more, to go from an accepted offer to a closed deal. It’s an arduous business and legal journey which is why a solid, professional broker takes full responsibility to oversee and guide the process. For us, it is a commitment so all our client must do is show up at closing.
What’s For Sale?
As of October 1, there were 22 Trilogy houses for sale listed with the NWMLS. Two of those listings are “Short Sales,” and one is a “foreclosure. No “for sale by owner” homes are listed by NWMLS which means they get no exposure to the 9,300 Eastside brokers or on the Internet listings.
Model |
Asking Price |
Days on Market |
Orchard |
$399,900 |
54 |
Orchard |
$425,000 |
24 |
*Washington |
$429,000 |
14 (short) |
*Chelan |
$439,000 |
31 |
Madison |
$459,000 |
46 |
Chelan |
$460,000 |
20 |
Bainbridge |
$499,900 |
89 |
Whidbey |
$499,950 |
102 |
Whidbey |
$524,950 |
25 |
Whidbey |
$529,000 |
134 |
Monaco |
$559,000 |
166 (new build) |
Vancouver |
$585,000 |
13 |
Whidbey |
$599,900 |
127 (new build) |
Bainbridge |
$624,900 |
90 (new build) |
Nice |
$629,900 |
67 (new build) |
Bainbridge |
$639,900 |
89 (new build) |
Hemlock |
$669,000 |
152 |
Alder |
$699,950 |
115 |
Hemlock |
$729,000 |
13 |
*Redford |
$825,000 |
41 (short) |
*Cedar |
$850,000 |
1 |
Monticello |
$999,000 |
155 |
-
On average, time on market is 85 days
-
Shea has only six unsold houses left, all in the hands of traditional agents
-
*The Elephant was chosen for both short sales
Short sales are complex. I have many hours of classroom study and instruction on legal and tax issues associated with a short sale. Also, we have an attorney with exceptional experience in short sales which is applied to every such sale we handle.
Trilogy Translation:
There are buyers out there. We know many and reach out to them with each new listing. We also know that buyers in Trilogy at Redmond Ridge are not first-timers. More than a fourth of all buyers across the country are.
It’s not whether or not there are buyers. It’s whether or not a seller is skillful in approving the price suggested by a broker and in choosing a broker with the skill, resources, experience and energy to prepare a home to be sold. For us, that includes:
A full inspection and fixing the problems
Cleaning – think of getting ready for a “GI inspection”
Advertising and brochures – top of the line, best quality available
Aggressive, effective marketing
Oversight of closing process
Absolutely ethical performance
Trilogy at Redmond Ridge isn’t as susceptible to seasonal influences as some markets. Still, December and its holidays seem to be a “shut down and wait” time. We’ve had great Octobers and early Novembers and have had great sales figures in January and February. In late November and early December, it can be a time to just accumulate days on the market.
So, if you’re thinking about selling, move now. If you are not committed to sell yet, we’re preparing to serve you even better in 2014. And, we’d like to invite you to pick up Seattle Magazine’s December issue featuring “The Best of 2013.” Look for The Elephant among the, Five Star Professionals.
Just For A Little Sport
If you were in Scotland, when you make the last mortgage payment, the tradition is to paint your front door red. In early America, a red door told a traveler it was a safe place to stay the night. According to Feng Shui, a red door invites positive energy.
Trilogy Translation:
There are some red doors in Trilogy, but if you want to paint yours red, work with the home owners association first. The covenants are part of what keeps Trilogy the very special value-holding community it is.
If we may serve you in any way, just let us know. I can be reached directly at (425) 501-8424 or