EZblog

Hot Tub in the Garage

2010-03-01T19:32:00Z

It's not every day you see a hot tub in the garage complete with shower and festive palm tree wallpaper - so I thought I would share. Think they have a moisture problem brewing?

EZdigs Plans for 2010

2010-02-08T05:29:00Z

Well the market isn’t getting much better – despite the spin coming from the NWMLS. Yes, pending home sales are up and inventory levels are down. Both are indicators that the market is headed in the right direction. There is still downward pressure on pricing however coming from the ever-steady stream of short-sales and bank owned properties hitting the market. And with real unemployment up around 20% nationwide (according to Yahoo Finance) things aren’t going to turn around anytime soon. We see the market staying flat through 2010 and into 2011.

So why are we excited at EZdigs? We’re coming off our best year ever in 2009. Our top agent closed 27 transaction sides and we increased our gross transaction volume company wide by 50% in 2009. We’re capitalizing on this momentum by expanding our short sale listing services. We are in the process of developing a short sale class and should have our first class ready by the end of February. If you have questions on short sales prior to that – shoot us an email at info@ezdigs.com.

New homes continue to be a significant part of our business at EZdigs. We have several new home purchases currently in our pipeline and will continue to assist buyers in this important market segment. Why are we bullish on new construction? 3 reasons; Price, Price, Price! The builders who have survived have sold through their standing inventory by slashing prices to compete w/resale homes. Now we are seeing these same builders bringing homes to market on land that they’ve picked up from banks for pennies on the dollar. This means low, low, low prices on brand new finished homes! Only a handful of our local builders are in a position to pull this off however so contact us before you make a move – if you want a copy of the list just shoot an email to info@ezdigs.com w/the subject line Builder List.

Market share – we’re expanding. We are continuing to add agents to meet the demand of our growing customer base. We’re not going to become a giant overnight – in fact being the biggest isn’t really our thing. We want to be the best at what we do – providing outstanding customer service by knowledgeable agents at the lowest cost to our clients. You see, we dig saving money. Our clients dig it too – and that’s why they keep referring their friends. If you’d like to find out how we can save you money on your home sale and/or purchase, well by now you know what to do, send an email to info@ezdigs.com and we’ll set up a time to discuss the details.

Be sure to check back here often to see what we’re up to or become a fan on our facebook page at: http://www.facebook.com/pages/Kirkland-WA/EZdigscom/80623587097

IRS Releases Rules for Repeat Purchase Tax Credit

2010-01-25T05:11:00Z

The IRS has finally released the rules for the repeat-purchase tax credit. What this means is that move-up buyers and their CPA's now have all of the key details needed to know how to apply the credit - or to determine if they even qualify. The form to use for the credit is form 5405. The link below should take you right to it however if it doesn't simply go to the IRS website (www.irs.gov) and search for this form.

http://www.irs.gov/pub/irs-pdf/i5405.pdf?portlet=3

Quadrant Night of the Stars

2010-01-23T17:25:00Z

As a broker and agent who sold a Quadrant Home in 2009, I was invited to the Quadrant Homes Night of the Stars at the Space Needle last night. It was a great event where Quadrant invited about 300+ agents and guests to show their appreciation for selling their homes. Outside agents account for approximately 70% of Quadrants new homes sales so it's a wise move on their part to hand out the accolades.

Like all builders Quadrants' sales in 2009 reflected the downward trend of the overall economy. They booked about 600 sales which is low for them. The good news for corporate builders like Quadrant is that they are snatching up land - usually finished lots or plats that are almost ready to build - for pennies on the dollar. These corporate builders don't have to rely on bank or lender financing (which is good because banks are simply not lending for land or construction) because they have the financial backing of their publicly traded parent company - in this case the Federal Way based, Weyerhauser.

This is actually great news for New Home Buyers as well. This means that the land base for builders is beginning to be reset at lower more realistic prices. It also gives these corporate builders a lot of flexibility in pricing - I see some really good deals coming down the pike over the course of the next year. We're already seeing significant builder concessions to entice would be buyers into taking advantage of the tax credit for first time and move up buyers. I see these deals actually ramping up and continuing into the beginning of 2011 as we sell through the excess inventory of land out there. We have a handful of builders in the Northwest that fall into this category - shoot me an email if you're interested in finding out more about who they are and where these "deals" can be had.

Photo courtesy of SaraAdamski Photography - http://www.photosbysara.com

Are Short Sales Getting Easier?

2010-01-19T05:07:00Z

To that question, I cynically answer - I'll believe it when I see it.

An article in the San Fransisco Chronicle suggests that short sales are in fact getting easier. They point to lenders hiring staff specifically for short sales and some lenders willingness to actually negotiate a settlement price prior to having an offer - both novel ideas.

Last year I successfully closed 4 short sales. Each one was unique with varying issues and circumstances - all were time consuming and emotionally draining for the parties involved. From this experience I can safely say that the lenders do not have anything remotely close to a streamlined short sale process.

To anyone considering a short sale - talk with your financial/legal advisers, do your due diligence and if you decide to move forward, make sure you are working with someone you trust - not all short sale negotiations are successful. Be wary of agents who claim that they can negotiate with the lenders themselves or agents who ask you to pay outrageous fees to negotiators.

Don't get me wrong I'm all for an improved short sale process - I think it would go a long way to shoring up the housing market - but I don't expect to see vast improvements anytime soon. We will see however. I have a short sale listing coming online in the next couple days. I'll keep you posted.

Anti-Trust Laws and Banks

2009-11-26T02:22:00Z

Let's face it, the big banks are behemoth corporations beholden to their shareholders and wall street. They have the ability to survive in this economic environment because of their sheer size AND because of the fact that many of them have received federal subsidies and/or they've simply issued more shares of their stock. Many small local banks conversely have been shut down by the Feds or bought out by investment groups. Is it just me or is something rotten in the state of banking?

The big banks have done what they can to protect their positions, even hedge their security by hoarding cash - instead of lending it out to businesses and homeowners who desperately need it. And if that's not enough - now there are reports that they are going to be dropping customers or "disgorging" them according to one analyst by raising fees and becoming even more difficult to deal with for those of us who don't have big phat bank accounts. The reason, according to this analyst - the majority of bank clients don't actually make the banks any money so they're raising fees on everyday banking events in a concerted effort to remove these unprofitable clients from their ranks of customers. Seem Harsh - Bah Humbug!

This kind of behavior begs the question - should the banks be held to a higher standard. If they are too big to fail then why are they not broken apart via anti-trust laws? After all, the whole purpose of anti trust legislation is to prevent companies from becoming so large that they monopolize entire industries or act as "cartels". If they are so big that their failure could jeopardize the economy of the nation or heaven forbid the world - then to me that meets the standard for action under anti-trust law. To ignore this possibility seems to me to be irresponsible. But to do absolutely nothing after it actually happens is absolutely reprehensible and inexcusable. I have to ask - Where is the outrage? I'm channeling Teddy Roosevelt here and I hope you are too!

Three New Questions to Ask Your Listing Agent

2009-11-22T20:54:00Z

Real Estate, like anything else is constantly evolving and changing. To be successful, agents and seller's must not only be aware of the changes - they must embrace them and incorporate them into their listing process. The problem is that these changes are driven by technology and too many agents have simply not kept up and many are even resistant to them. Many listing agents and entire brokerages are in complete denial about the reality of today's real estate market and thus, missing significant marketing opportunities for their clients. These traditional agents and brokers feel that their brand recognition is strong enough to overcome their weakness in modern day real estate marketing - but I digress. To ensure that you are working with an agent who understands what it takes to sell a home in today's environment seller's must add these three questions to their agent interviewing process:

1. Which web-sites and/or how many web-sites will my home be syndicated to?

2. What is the total number of web-viewers who will be exposed to my home on a monthly basis?

Traditional agents will tout the reach of their own website however all listings on the MLS appear on a brokerage's web-site, i.e. EZdigs listings appear on WinderScottMax's websites and vise-versa. Thus simply being on a broker site, no matter how many "hits" they receive, is nothing to be excited about - it's simply NOT enough in today's Internet driven real estate market. In fact simply being on any brokerage site is the absolute minimum that an agent could/should be doing for his or her clients.

And finally - the most important question number three:

3. How much of a discount will you give me to list my home?

Traditional agents will charge 6% of the homes selling price and many will have you believe that this commission is the norm and non-negotiable. The fact is that nothing could be further from the truth. According to the National Association of Realtors (NAR) real estate commissions are by law negotiable. You see if agents were to "fix" pricing at 6% this would be collusion and collusion is very illegal. So - don't be afraid to ask this question, especially in today's market, it could save you literally thousands of dollars. And we can all use that kind of savings right now. This is why at EZdigs our clients "dig the savings".

Again - if you're not asking these questions, you may be working with an agent who's missing serious marketing opportunities for your home. Not only that, they could be charging you way too much money for their traditional & mediocre service.

EZdigs Jingle Bell Runners

2009-11-14T20:17:00Z

Team EZdigs is lacing up the old elf shoes and preparing to raise money for Arthritis at Seattle's 25th annual Jingle Bell Run. We are welcoming all-comers to the team so check out the web-site for more info. Don't be afraid - it's only a 5K and as much a holiday fashion show as it is a running event. So get out those antler ears and get creative. The first 10 team members will get a free Team EZdigs shirt! Not interested in running/walking - you can still help. Simply log on to the team site and make a donation. I can't believe I'm saying this already - but Happy Holiday's everyone!

http://www.seattlejinglebellrun.kintera.org/ezdigs

Breaking News - Tax Credit Expansions Approved by Senate!

2009-11-05T00:02:00Z

http://www.bloomberg.com/apps/news?pid=20601206&sid=aggvBpnVFOow

New Listing in Bellevue - Nice Digs!

2009-10-28T06:31:00Z

DR Horton Releases Crazy Low Pre-sale Pricing in Kenmore

2009-10-24T02:20:00Z

DR Horton just released pricing on its new home community in Kenmore and the pre-sale pricing opportunity is a holiday treat for sure! These homes are in a great location and priced to sell fast. The name of the neighborhood is, Boulder Estates and it's located just off of 80th Ave. Ne with very easy access to Bothell Way.

Pricing starts at, $299,995 and goes up to, $339,995 (and yes these are for single family homes). Square footage ranges from 1,370 - 1,751 for the 4 bedroom + den.

This pricing is HOT for this area and I think these homes are going to move fast - this neighborhood sits just off the Sammamish River Trail a.k.a. Burke Gilman and has great bus access to downtown Seattle or the Eastside. More importantly there are homes much further out (Mill Creek area) that are priced higher than the homes in this plat - so this is a tremendous opportunity for anyone looking for a new home. The only caveat is that these homes are not yet complete, which is why it's called "pre-sale pricing." The first homes are scheduled to be finished in December, just in time to get your Clark Griswold on. Check out the web-site at:

http://www.drhorton.com/corp/GetCommunity.do?dv=Y7&pr=45064

Contact an EZdigs agent for more info or to see these homes!

Worried About Buying an Older Home - Get a Home Warranty Policy, For Free!

2009-10-07T05:06:00Z

Home Warranty Insurance is a blessing for the resale home market. It helps put homebuyers minds at ease when buying an aging home. This type of insurance is typically purchased on an annual basis at closing and covers all of the major systems inside the home. Including, but certainly not limited to; heating system, ductwork, plumbing system, electrical system, water heater, built in appliances like dishwashers and much more. The cost can range from about $270 to $400 per year depending on the level of coverage. The way it works is that if any one of the major systems of the home break down, malfunction, leak, etc.. the homeowner calls a 1-800 number and the insurance company dispatches the appropriate professional. If the problem is covered then the homeowner pays a minimal service fee (typically around $50.00) for the entire repair!

Sounds fabulous right? It actually is as great as it sounds. How does one obtain such a policy? Well, look for listings advertising them or better yet ask your agent to write it in to your offer. Most seller's realize the value in providing such a policy and will gladly agree to your request. I once listed and sold our families home and included such a policy with the sale. I'm glad I did because not more than a week after it closed the buyer called and said that there was a pipe leaking behind one of the walls and wanted me to fix it. I reminded her about the insurance policy and provided her with the number and they took care of it for her. Major headache averted!

There are several companies that provide home warranty insurance policies and your real estate agent can help you sort through the differences but here are links to two of the major companies that I like:

http://www.ahswarranty.com/

http://www.hwahomewarranty.com/

Now - if your considering selling your home........this is a no brainer incentive to offer prospective buyers. It's just a downright, feelgood win, win for everyone.

By By to Cash for Clunkers - Hello to Dollars for Dishwashers

2009-08-25T04:20:00Z

Well cash for clunkers caught the government off-guard to say the least. They were not prepared for it's popularity and had to quickly infuse an additional 2 billion dollars into the program which was also gone in what seemed like a long weekend.

If a new car just wasn't in the cards for you don't worry - now it's time to do the same thing with your energy sucking old appliances. Details are sketchy so far with most web-sites stating that the program will be "rolled out later this year" or "in the fall". Each state's governor must submit documentation verifying that the state meets certain criteria - some states have, some haven't. Fortunately our Governor has submitted the letter and it looks like Washington State is in line to receive about six million dollars for this program. While that may seem like a lot of money - it's about a buck a person for this state. As near as I can tell it looks like the rebates or credits for the energy efficient upgrades will be in the $200 - $400 range which of course limits the number of available credits to somewhere between 15,000 & 30,000 upgrades. Again the details are sketchy but based on what I could find, if you want to take advantage of this program, your project needs to be shovel ready.

Here's some web-sites with more info on the appliance program:

http://www.kirotv.com/money/20483241/detail.html

http://abcnews.go.com/Technology/JustOneThing/story?id=8374739

http://www.energy.gov/recovery/

http://www.energy.gov/washington.htm

New Construction News From the Field

2009-08-14T22:22:00Z

This has been the year of New Construction sales for me. And why not after working so many years in management for the largest builders in the area it's a great fit. I was recently discussing the market with a couple of my former colleagues and they had some interesting news that I thought I would share:

Builders are starting to hold very firm on price - go ahead and ask for other things, closing costs, rear yard landscaping, appliances but don't ask for a price cut. If you do you are liable to be disappointed. Reason: The larger, more stable builders have sold through a lot of their excess inventory and the supply or glut of standing inventory has been greatly diminished. They accomplished this by undercutting the market on price - so the prices are already incredibly low. In addition the deadline for the $8,000 tax credit is looming and causing first time buyers to snatch up homes that can close prior to the program's scheduled end date, which is November 30th.

A couple things to consider if you or anyone you know is planning to take advantage of this program - due to new lending regulations the standard 30 day close is a thing of the past. Most lenders I'm talking with are saying closings are going to be 45 - 60 days from mutual acceptance to getting your keys. Couple that with the Thanksgiving holiday and you really need to have a new home under contract by mid September to be safe.

Trade in Your Home - For a New One

2009-08-07T17:21:00Z

The bank wants these new homes sold so bad they're willing to take your home in on trade - similar to trading in your old car. This is highly unusual if not unprecedented but a great opportunity to leverage the slow market and get into what could be the home of your dreams. There are three available, all similar to the one featured in the link below. Check it out and let me know if you want to go take a look.

http://locator.nwmls.com/scripts/mgrqispi.dll?APPNAME=Locator&PRGNAME=MLSLogin&ARGUMENT=I9xUF6hi%2BAmcF%2B8gU%2BqONjnS1Yk6x48jaV4ngFTPCAk%3D&KeyRid=1&Include_Search_Criteria=

Full Length Mirror Next to the Cammode

2009-08-07T05:19:00Z

This takes vanity to a whole new level. I was showing homes this week to a client and we stumbled across this reflective master bathroom. It's not often you see something like this - so I thought I'd share it w/you. I'm sitting on the tub taking this shot in the mirror w/my phone. Think you could do your business here?

New Rules for Lenders - A welcome layer of consumer protection......at a cost

2009-08-06T22:18:00Z

Here is a real life recent scenario - Buyer has found a home and is now shopping for a lender, and shopping hard for the best rate. Buyer chooses to go with the builder's preferred lender because she told him he was locked in at a rate and fee that none of the other lenders could match. In fact, the lender I use said at the time that the program doesn't exist & Buyer was being lied to. Unfortunately, Buyer chose the lender with the most promising scenario only to find out that he was not locked and that in order to get the rate he was promised he was going to have to use most of the closing cost incentive provided by the builder and pay to buy the rate down to the level he thought his lender had already secured. Your classic bait and switch. In my last conversation with this Buyer he was going to call the Department of Financial Institutions and file a formal complaint.

I'm very happy to report that the days of the bait and switch are numbered if not completely gone.

As of July 30th 2009 lenders have strict new guidelines surrounding their disclosures. Now lenders cannot close a loan if the APR (Annual Percentage Rate) increases by more than .125% from their initial disclosures provided to the client at the time of application. If the APR does exceed .125% at closing the lender has to re-disclose on the proper forms. Then the loan cannot close until 3 business days from the buyer's receipt of the revised disclosures (or six days from when the disclosures were mailed).

Unfortunately however the news is not all good. It appears there is an oversight with the new regulation, which by the way is commonly known as MDIA (Mortgage Disclosure Improvement Act). Well intentioned rule drafters slipped in a requirement that the only thing the consumer pays for prior to disclosure is a credit reporting fee. So no appraisal fee, no rate lock deposits, etc... Which on the surface sounds good - but in the real world not so good. Here's a couple more real life scenario's: Taylor Bean, a major FHA lender, was just taken over and closed down by Federal authorities. There are thousands of loans in their pipeline waiting to close - those borrowers need to find a new lender who now must re-disclose and prove that no funds have been collected prior to their disclosure meaning that all of those appraisals already bought and paid for - no good. Scenario two: Borrower submits application and is initially approved however when all the documentation comes in they are denied by the underwriter. Loan Officer knows of another lender who will fund the loan however the appraisal is no longer valid - Buyer has to pay for a new one.

As we work through these new regulations - there will be some kinks but in the end I feel the benefit to the consumer will outweigh the negatives.

Home Prices Moving Up

2009-07-07T21:19:00Z

The Northwest Multiple Listing Service on Monday announced that since January, median home prices system wide (all of Western Washington) are up 4.4 percent. Case Shiller reports a similar trend and their data usually lags at least two months behind.

In addition, the NWMLS also reported that pending sales are up 19.5% over a year ago. Locally around the Puget Sound area - we have nearly 7,000 fewer homes on the market than we did 12 months ago.

If your a buyer - this means be prepared to move quickly and don't over-negotiate. I've seen too many buyers recently negotiate themselves right out of a home they wanted because they didn't understand the current market dynamics and another buyer was right there ready and waiting - who did.

If your a seller - don't get too excited - you still need to price your home realistically. That means using "sold" homes as comparables and be prepared for a 100 + day selling process. If you want to move your home faster - lower your price. As I always tell my listing clients, "time on the market is a function of price."

Don't get me wrong, we're not suddenly in a seller's market however prices are flattening out and buyer activity is picking up. And because of the significant reduction in inventory the realistically priced, nice homes are getting a lot of attention.

Look us up on Facebook and Twitter and become a fan - keep up with current market trends and news from the trenches.

Facebook: http://www.facebook.com/home.php?#/pages/Kirkland-WA/EZdigscom/80623587097

Twitter: http://twitter.com/ezdigs

Email from the President

2009-07-05T06:46:00Z

Gotta love the information age - Happy 4rth of July everyone.....

Mike --

This weekend, our family will join millions of others in celebrating America. We will enjoy the glow of fireworks, the taste of barbeque, and the company of good friends. As we all celebrate this weekend, let's also remember the remarkable story that led to this day.

Two hundred and thirty-three years ago, our nation was born when a courageous group of patriots pledged their lives, fortunes, and sacred honor to the proposition that all of us were created equal.

Our country began as a unique experiment in liberty -- a bold, evolving quest to achieve a more perfect union. And in every generation, another courageous group of patriots has taken us one step closer to fully realizing the dream our founders enshrined on that great day.

Today, all Americans have a hard-fought birthright to a freedom which enables each of us, no matter our views or background, to help set our nation's course. America's greatness has always depended on her citizens embracing that freedom -- and fulfilling the duty that comes with it.

As free people, we must each take the challenges and opportunities that face this nation as our own. As long as some Americans still must struggle, none of us can be fully content. And as America comes ever closer to achieving the perfect Union our founders dreamed, that triumph -- that pride -- belongs to all of us.

So today is a day to reflect on our independence, and the sacrifice of our troops standing in harm's way to preserve and protect it. It is a day to celebrate all that America is. And today is a time to aspire toward all we can still become.

With very best wishes,

President Barack Obama

July 4th, 2009

P.S. -- Our nation's birthday is also an ideal time to consider serving in your local community. You can find many great ideas for service opportunities near you at http://www.serve.gov.

Government Regulation Discussion on the EZdigs facebook page

2009-07-04T17:01:00Z

I just posted a new discussion topic on the EZdigs facebook page. It's about our current regulatory system and how it might be time for a change......a very slight change. The post was in response to an article in Time by Justin Fox. Join the discussion & let me know what you think!

http://www.facebook.com/pages/Kirkland-WA/EZdigscom/80623587097#/pages/Kirkland-WA/EZdigscom/

80623587097?v=app_2373072738&viewas=1100963587