Rion Real Estate

I’ve been hearing more and more about cottage style new development.  I think is this an interesting trend, but if it catches on could easily be overbuilt.  Particularly in the Seattle market we’re seeing the push for high density and infill development – not only as a result of the Growth Management Act, but also as a remedy for traffic congestion and economy in the live/work dynamic.  It would seem that there is a need for an alternative, but it would be a shame to see a glut. 

I do see a number of upsides – mainly improved affordability compared to the rest of the market.  It’s also adding a viable choice for consumers that aren’t wild about condo living but for whom a house is either too expensive or too much space.  I have concerns about parking.  Whether the idea is to “downsize” to one vehicle per household and rely on public transportation or not, there will be those purchasers that have two vehicles.  Those two vehicle households will have to put the second vehicle somewhere.   The question is, “Where?”

My other concern would be to build smart floor plans.  In this article http://seattlepi.nwsource.com/local/372911_cottage31.html, it notes that the first floor of these particular units being built in the area have one bedroom and a powder room, with the full bedroom/bath combo upstairs.  It would seem to me that one segment of the market that would find the cottage idea appealing are empty-nesters.  We have an aging population of folks that are healthier for longer than ever – but eventually might experience limited mobility issues or might just like the option of not having to climb stairs.  We’ve worked with a number of people for whom stairs were a consideration – not necessarily at the time they were purchasing, but they were looking towards their future.  Designing cottages with at least a ¾ bath on the main floor would make these an option for a wider market.

The competition out there for home sellers is tough in some areas.  Compound the large inventory with tougher mortgage guidelines and that means longer market times…and, in many cases, lower sales prices.  When the going gets tough, the sellers (and their agents) need to get creative.

One selling technique that might help move a potential buyer toward making an offer is offering some sort of seller financing.  Keep in mind; you don’t have to hold the mortgage for the whole value of the property.  If you have some equity and can afford to “invest” some of your money by acting as the bank to a buyer for a second mortgage, you might help a potential buyer qualify for a purchase that they may not otherwise be able to make in the current financing climate.  There is also a market for leases with an option to buy.  Folks that are interested in securing an option to purchase may be willing to make a larger deposit, which can help to allay concerns about potential damage to property.

If you’re interested in exploring your options for seller financing please contact us. 

I read an interesting article from the Edmonds Edition of the Enterprise Newspaper (you can see the original article here) about the proposed “Nuisance Ordinances”.  To summarize, the city council is proposing enacting different laws about the number and type of vehicles a person may have parked on their property, and other actions or conditions that may be deemed a nuisance.  I certainly appreciate the issue, but I have reservations about enacting any sort of ordinance on a city-wide scale. I’d wager a guess that, in most municipalities, somewhere in existing ordinances are mechanisms for dealing with just about all of the issues mentioned in the article.  One size fits most just doesn’t seem to be an appropriate approach to property rights.  I think a citizen’s sentiment near the end of the article sums it up nicely, “…homeowners just want to be left alone.”

We’re happy to announce that our new Seattle Area Real Estate Search is live online! Check it out - you can search by either criteria or map.  You don’t have to register to see photos, details, and addresses.  If you choose to register you can have listings automatically emailed to you within 20 minutes of them hitting the market (or less often if you choose), save your favorite listings and other cool features.