The process by which you determine the value of your home begins by researching your geographical neighborhood for recent past sales of homes similar to yours, which ideally should be no more than six months old. It’s easy to see that the house down the block just sold and “they said they got what they wanted so, mine must be worth…”. Part of the research process involves interviewing at least one of the relevant parties to the transaction. There are often circumstances that play into why a home sold for the price it did and often explains the motivation of the buyer and/or seller, which may be the home characteristics, features or unknown improvements and included items such as furnishings or personal property that might’ve been included but not disclosed. If your real estate professional is truly on the job he/she has looked into these “conditions of sale”. Often times there’s a good reason for why the neighbor’s house sold for X and it’s important to know the answer or you may be well out of the park on your home value.

As you and your real estate professional review the “comparables” and “competing” homes in determining your value, it’s important to look at the “days on market” of the comparable and competing properties as well as when the last price adjustment occurred relative to the sale date of the “comparable homes. Basing your offering price by comparing it to homes currently on the market seems reasonable as you consider how your house is “measures up” to current offerings. Just how long have they been on the market is important to know.

Your home in any economic climate can sell in ninety days , the key is pricing. And it’s not just a matter of giving it away! Determining your home value is crucial and that value can be higher or lower than the competition depending on curb appeal, quality of construction, interior staging as well as location to name a few obvious characteristics. Evaluating the days on market of the comparables will take you a long way toward placing the proper price on your home. You can choose not to delve deeply into the selling information and watch your home sit on the market, or you can do a bit more homework and very likely be the next home SOLD! Strategic pricing is critical in any market and very certainly in the current market.

If it was simply a matter to buy a three bedroom, two bath home  the first one you looked at would be just fine.  It has three bedrooms, and two baths, that’s what you were looking for, right?  In reality that typical home might need something more: an office/den, a family room perhaps, the kids need a place after all. 

The Wenatchee Valley is interesting in that it draws professionals from across the country for its attributes.  I recently heard of a medical professional who moved here from another state specifically for the outdoor activities available within an hour of home.  He is taking a fifty percent cut in pay to live here so that he and his family can enjoy the lifestyle the Wenatchee Valley offers!  Awesome, I say! 

As a first time home buyer you might find yourself focusing on the house, the number of bedrooms and baths, the room for the big screen.  That’s relevant without question, but remember to think about what it is you enjoy and consider just where that house is situated.  I’ve heard on occasion that “we got wrapped up in what the house was about and now that we’re in it we suddenly have become aware of the busy street out front and need to pay extra attention to our pets and their safety. 

Pretty much anywhere you live in the valley allows access to the front country ( a term coined to describe the foothills surrounding our various communities) to allow for that trail run, walk or bike outing in which you only have an hour before dinner, professional appointment or a social engagement.  You may wish to find a home that’s situated on or near the irrigation canal for early morning, before work jaunt. 

It may be that you have no interest in mowing lawns, weeding flower beds and prefer to spend your time involved in a club, softball or curling team that keeps you on the road.  A well situated condominium might be more relevant to you.  As you consider your first house, or your even your  next one give some thought to what it is you’re looking for, it’s very likely more than three bedrooms, two baths.

For several years ending roughly 2006 the mortgage industry essentially did away with any sort of lending requirements.  The primary key to getting a home loan was “Can you fog a mirror?” “Yes, here’s your money, go buy a house.” Then, the bottom fell out and the knee jerk reaction became what I recall of the lending atmosphere of the early 80′s - ”You want to borrow money to buy a house?  Well, if you have a credit score of 800 and don’t need the money, we’ve got plenty to lend to you.  Everyone else go to the back of the line and we’ll see you again some time.”  Seems that pendulum swing has again reached its peak swing and is on its way back, ever so slowly. 

One of the first lenders dipping a toe in the waters of more liberal lending policies, Wells Fargo bank is stating that they are considering home loan applicants who are not the shiny copper pennies the mortgage lending world prefers.  Loan applicants who have some of their own money to put skin in the game with are being considered with a loan score as low as 500.  The operative words being money for a down-payment, translated as something to lose should they become unable to repay.

In spite of all the negative talk about lenders are making money available to purchasers who show some degree of responsibility toward homeownership.  The outward appearance is everyone suddenly has found a level of reason and responsibility in pursuing a home loan as well as the lender providing the funding. 

There is a general sense of optimism beginning to show itself.  The stock market is showing gains, manufacturing is on an upswing and the talk around town is that we may not be out of the woods, but it doesn’t appear we’re going in any further.  We do well when the feeling is we know what’s ahead of us.

If you’re feeling the desire toward owning a home, it’s a good time to get back in the market.  Between motivated sellers and the REO properties (bank owned foreclosures) on the market you can make a home purchase that will prove to be a sound investment.  I use the word lightly in terms of purpose in owning a home.  Treat it as a purchase for your quality of life knowing that it’s yours providing the comforts and characteristics you desire.  And somewhere down the road you’ll reap the benefits of having saved some money and built equity.  A home isn’t a fast profit opportunity, rather it’s the place you make memories, where you live the   lifestyle.

January is typically a good month for real estate, I’ve said it year in an year out and it’s always received with a bit of surprise.  In my mind it’s a matter of riding out the holidays, six weeks of good will and festive spirits.  So, when the 1st of January rolls around it seems people are ready for a dose of reality and the everyday life they transitioned out of and what better way than shopping for a house.  This past January has shown itself to be a pleasant dose of reality for a good number of folks.

Home sales are up showing a noticeable jump over the same period last year with total  sales of 32 units for the month as recorded by the North Central Washington MLS roughly 1/3 more closings than one year earlier.  February is showing a continuing trend in ongoing activity as well, but is it a going to continue?  Are we “out of the woods”?

In large part the current activity is based on a couple of factors:  Real estate lenders, although more stringent in underwriting standards are continuing to make loans at unprecedentedly low rates.  A significant number of current residential transactions are REO’s or bank owned properties that have been foreclosed on and are returning to the market.

The interest rate part of this equation is pretty simple, low rates are an obvious attraction for prospective homeowners to take advantage of.  The home sellers are the interesting twist in the home buying equation, albeit simple to understand. 

Banks are in the business of lending money, not so much as home sellers.  Every financial institution making residential loans has a plethora of foreclosed inventory and their desire is to get them off the books quick as they can.   Their ultimate desire is to turn inventory back into loans. 

REO’s or bank-owned residential listings come into the market priced to sell!   The question the bank asks their listing agent is “What does it take to make this home go away in thirty to sixty days, and the answer is price the property to sell!” And price them to sell they do.  If the property stays on the market for thirty days with no appreciable activity on a given property, a short consultation with the listing agent results in a price reduction.  There are very few “consultations” before that property is SOLD and off the books-simply accomplished by making the property appealing price-wise. 

 The bottom line is bank owned properties are stiff competition for the everyday homeowner wanting to sell and move up, or move down.  These foreclosure offerings are setting the bar in the current market and the bar is going lower.  To be “in the market” means being competitively priced.  Today’s seller must be a motivated seller.

 The good news is, there is activity in the market place.  There are of good opportunities in the market place for today’s buyer and it really is a good time to buy a home and start enjoying the lifestyle afforded by it.  Give me a call and let’s see what’s out there for you.

No transfats, Oh I feel so much better knowing I’m eating well.  Now we need the bike rack in front of the office, no need to drive that old car all the time.  Small town life, it’s the best, it certainly adds to the simplicity of living and a good lifestyle.

I’m not sure how my blog link shows up just yet as this is my first post.  The blog name is leavenworthlifestyle.wordpress.com, which is pretty similar to my website address: http://www.leavenworthlifestyle.com .  My hope in blogging is to provide information you might find of value in relation to your real estate needs.   

Lots of real estate blogs have information and statistics to educate you, the reader as to where the market is today.  I’ll certainly plug some of that in, but I have an idea that telling you about the area, the activities, the services and business people who cater to your fancies might be similarly interesting.  After all, who wants to eat a big old hunk of red meat when you can savor the rich, flavorful smells wafting off the grill.  The succulent juices of a well marbled steak sweat out of the grilling steak, drip onto the flames and burst forth as mouth watering, aromatic plumes that permeate the back yard patio teasing the senses.   

Three bedrooms, two baths are just components of a house, but where it’s situated, now that’s where it’s value is created, where the sizzle in the steak is found.  Yes it’s the King’s castle, it’s Mother’s nest but in the end it truly is more about where the nest is situated that gives it these monikers of possession. 

 In the Wenatchee Valley the location of one’s home might be increased if out it’s back door a new owner-to-be might set foot on the Sage Hills trails.  If one’s outdoor pursuit is nordic skiing, then the value of another house found off Icicle Road in Leavenworth might carry a greater value to the individual wanting to walk out the door skis in hand only a few steps from the trail head.     Or possibly a nice home providing immediate access to the Wenatchee River front trail just might be the ticket for the rollerblade enthusiast, walker or bicyclist.  A jaunt up the Columbia a river front home with a boat dock carries the day for those inclined to water sports.  

This wonderful region we affectionately refer to as North Central Washington affords so many outdoor pursuits and a variety of activities that not so many other areas can promote as we can is what makes living here, living the Wenatchee Valley lifestyle something special.  It’s why I think we can talk about more than statistics in our blogs.  It is why people choose to move to the valley, for the lifestyle.