Categorieshome values

Cost vs Value

It’s that time of year again! The annual Cost vs Value report is in. It’s great information for current and future homeowners to get an idea of how to get the most bang for your buck when it comes to home improvements.

The interesting thing about this year’s report is that almost every single project on the list has decreased in it’s resale value. Also, Seattle is just below the national average return on investment for all the projects. It is more important than ever to embark on home improvement projects with a healthy understanding of what you will reap when you’ve completed them. It is critical to weigh the cost of a project with your enjoyment of it, along with the impact improvements will have on your resale value. You don’t want to get caught paying for the “golden toilet seat” just to find not only that it won’t get you more money when you sell but also that no one else will appreciate it!

I hope you find this Cost vs Value Report helpful and remember I am always available to discuss home improvement projects. I can give you good perspective on the pros and cons of any project and help make sure you are minding the bottom line.

Have a great week!
Domenica
Windermere Real Estate

Categorieshome values, Seattle, Washington real estate

5 Stats You Won’t Hear On The News…

We know that many of our clients are still concerned about whether buying or selling in this market is a good idea. As always, there are individual factors that affect each person’s situation, and making a move is a big decision in any market.

This being said, it’s important to keep the housing market in perspective and not be alarmed with the media’s need for a catchy “story” saying real estate is either booming or it’s busting. Here are some interesting statistics that give a slightly broader view of the housing market and the economy:

Fact #1:
Approximately 30% of all U.S. homes are free and clear and do not have a mortgage

FACT #2:
Of the 70% of households that have a mortgage, 96.15% are current in their payments, NOT in foreclosure.

FACT #3:
The U.S. Gross Domestic Product is more than the GDP of the next three countries combined.

FACT #4:
When mortgage rates fall to a record low, housing affordability surges to a record high.

FACT #5:
The Housing Affordability Index is at the highest level of affordability in history.

This article from August in the Seattle Times talks more about our local affordability index rating.

Local HIA

There is still time to take advantage of lower home prices and historically low interest rates. Please feel free to call us anytime if you’d like to talk about this information and how it might relate to your situation.

Warm regards,
Domenica
Windermere Real Estate

Categorieshome values

Blast From The Past

I was digging through a closet at my grandparents house and came across this magazine from 1976. Low and behold on the very last page was an interesting editorial about real estate values and the mortgage industry.

The old saying: “The more things change, the more they stay the same,” immediately came to mind.  Concern about families struggling to afford the “American Dream” has been a constant refrain over the last 30 years, and beyond.

At the same time, it occurs to me that there have been a lot of changes in what mortgage programs have become available for all buyers, and now we know the pendulum CAN (and did) swing too far to the other side. I think it’s interesting to gain some perspective about our current situation by hearing what people where saying during past times.

I came away from reading this with the hope that the current economy and real estate price adjustment period has taught us some lessons.  Maybe we will allow the pendulum to settle more in the middle.  With a steady job, decent credit and a small down payment many are able to buy a first home, and those who wait to build-up enough equity can then “move-up” into their next home.

No matter what you take away from the article, I hope you enjoy a little blast from the (real estate) past!

Sincerely,

Domenica
Windermere Real Estate