The past couple of Thursday and Fridays have seen quite a few new listings however, and that's good news. But, they've also been snapped-up very quickly by savvy buyers waiting for a good match to come up for sale.

With this said, it is interesting to note, as shown in the charts below, that the trends of the Issaquah housing market are different, depending on where you look. On the north side of I-90 in the 98029 zip code, the competition among buyers for limited inventory is fierce when compared to 98027. In fact, buyer demand in 98029 has been outpacing new listings since the beginning of the year.

Zip 98029 Issaquah Market Highlights for April 2013:

• 40 New Resale Listings: 25% increase over March, 3% over April 2012.
• 36 Pending Sales: 6% increase over March, and 20% over April 2012
• 30 Active Listings on April 30th: 58% increase over March, 44% less than April 2012
• 34 Sold Listings: 3% increase from March, 13% increase from April 2012
• Median Price: $531,000 - a 17.5% increase compared to April of 2012

Zip 98027 Issaquah Market Highlights for April 2013:

• 41 New Resale Listings: 5% decrease over March, 27% decrease from April 2012.
• 36 Pending Sales: Flat compared to March, 5% decrease from April 2012
• 47 Active Listings on April 30th: 2% increase over March, 45% less than April 2012
• 26 Sold Listings: 10% decrease from March, 16% decrease from April 2012
• Median Price: $500,000 - a 20.5% increase compared to April of 2012

Neighborhoods in the 98029 zip include the ever-popular Issaquah Highlands, Klahanie and Brookshire Estates, where multiple offers are almost a certainty in each. By comparison, the 98027 zip is definitely more "tame" - including neighborhoods such as Mirrormont and Talus. Though, Squak Mountain is one exception, where mutliple offers and closing sale prices of 4-8% over asking price are common lately - including one of our own recent sales which closed at 4.5% over the original asking price, after beating 4 other offers.

Why the difference between the 98027 & 98029 Issaquah Zip Codes?

There are several reasons for the difference in the market dynamics between the northern and southern portions of Issaquah. Primarily, it has to do with location, as most of the homes which have been on the market in the 98027 zip code have been to the south of downtown Issaquah. Access to southern Issaquah areas is more challenging, especially for those who must commute to either Bellevue or Seattle. This is true with the exception of Talus, Squak Mountain and "The Woods" neighborhoods, all of which are close to downtown Issaquah.

Neighborhoods north of I-90 however, allow quicker access to the freeway and are also closer to local shopping destinations - especially the Issaquah Highlands with the new Grand Ridge Plaza shopping & entertainment complex. Additionally, there is a greater range of homes and condos available to buyers in the 98029 zip code by comparison, and the homes tend to be newer. Schools are also a factor, with both Grand Ridge and Challenger Elementary schools being somewhat more popular with parents. All of these attributes naturally generates more buyer interest.

For homeowners who are considering placing their home on the market, inventory still remains at historically low levels. Buyer demand continues to be exceptionally strong at Snoqualmie Ridge, and this is especially true in the $350K - $550K price range. A home which is well-maintained and properly prepared for the market should generate enough interest to sell within a couple weeks - if not much sooner, as has often been the case recently.

Snoqualmie Ridge Market Highlights - April 2013:

• 30 New Resale Listings: 114% increase over both March, and April 2012.
• 24 Pending Sales: 71% increase over March, and 118% over April 2012
• Highest number of resale Pending Sales in 8 years!
• 19 Active Listings on April 30th: 46% increase over March, 20% less than April 2012
• 15 Sold Listings: 17% decrease from March, 15% increase from April 2012

The month of April saw 30 new listings for resale single-family homes - the highest number of new listings in any month since April of 2011. Pending sales for resale homes were the highest in any one month in 8 years, with 24 homes pending during April. The “absorption rate” snapshot based-upon pending sales was actually above 100% in April - due to not only so many new listings selling quickly during the month, but older listings going under contract as well.

Why the Sudden Increase in Buyer Activity at Snoqualmie Ridge?

The primary reason for the sudden elevated interest from home buyers, is due to the SEVERE lack of available home inventory in the Issaquah area. During the last year, the number of buyers has continued to outpace available homes. And now, essentially all resale homes in Issaquah are experiencing multiple offers. With time, buyers have become impatient and frustrated with the hyper seller’s market - and thus, they are considering other options, even if it means switching schools and perhaps longer commute times. Having worked with several clients in Issaquah recently, we can confirm that buyers who would not have previously considered Snoqualmie Ridge for various reasons, are definitely doing so now.

New Construction Options Also Limited

Another reason for this sudden spike, is new construction - or should we say the “lack” of it. In recent weeks, Pulte Homes, the present dominant home builder at Snoqualmie Ridge, has shifted their sales strategy and procedures, also due to exceptional demand. Instead of simply offering “pre-sales” to all interested buyers at Eagle Pointe and Cascade Ridge, they are now “releasing” inventory in stages. The result is multiple buyers interested in a single home - meaning those buyers are ALSO now competing with each other. This is a similar marketing strategy used by Polygon Homes at the Issaquah Highlands, which has resulted in seemingly limitless price increases.

All of these factors have compelled more buyers to snap-up the available and more affordable resale homes as they come up for sale at Snoqualmie Ridge. And thus far, it appears the month of May could be just as active.

In this hectic market, Who is REALLY Looking Out for You?

By now, you’ve heard the news... we’re in an exceptionally strong “seller’s market” in the Seattle area. This may be music to homeowner’s ears, as prices are increasing across the board.

Contrary to what you may hear however, selling a home isn’t a cake-walk in a seller’s market. In fact, this type of market leads to all sorts of shenanigans, usually cases of either skirting or simply ignoring the law or MLS rules. Unfortunately, home buyers and sellers are rarely aware of when these violations are taking place.

Question: How can a seller be CONFIDENT they are getting the best price and terms  for their home, when few, if any “active” home buyers are made aware the home was for sale in the first place?

Answer: They can’t!

Update: 05/01/2013

I'm so pleased that the NWMLS has released new rules today which will hopefully begin to put a lid on some of these "shenanigans," which are damaging to sellers, and neighboring homeowners' valuations - and activities which (in my opinion) were intended to circumvent other NWMLS members, solely for the agent's personal gain. The new rules which are effective June 1st, include the following:

No Promotion/Advertising When Listing Not Published: Members shall not promote or advertise any property in any manner whatsoever, including, but not limited to yard or other signs, flyers, websites, e-mails, texts, mailers, magazines, newspapers, open houses, previews, showings, and tours, unless a listing for that property has been delivered to NWMLS, or input by the member.

Underpricing & Limited Market Exposure

Real estate agents often get a “bad rap” in the eyes of the public. For the most part, this isn’t warranted. However, there are indeed specific circumstances when we do deserve scorn - one classic case in point, when an agent suggests underpricing a home to suit their own business interests, rather than the needs of the seller.

Another reason some agents may deserve criticism lately? - for not suggesting to their sellers in a time of strong demand, the option of holding offers for later review when the agent has good reason to expect that multiple buyers will be interested in the home in a short time-frame.

Why would an agent fail to act in the seller’s best interests in either of these cases? Simple... because the fewer days on market, means less time and expense of marketing the home, and the better the agent’s “performance statistics,” which they can in-turn use to convince other sellers they’re the “right agent” for the job  (because everyone believes a homeowner is well-served when their home sells in one-day, right?) <wink, wink>

These are “churn & burn” real estate business tactics, which obviously do not serve the client’s best interests - instead, they prey-upon the unsuspecting client, who isn't aware of the market dynamics, and/or their options.

Pre-Marketing, Pocket Listings & Dual Agency

Too often lately, we’ve seen homes going under contract in 36 hours or less - sometimes within minutes. Or worse - I’ve seen numerous MLS listings in the last few months at Snoqualmie Ridge which were entered into the MLS and then immediately changed to “pending inspection” or “pending” incredibly within only seconds after input; meaning, that it’s rather obvious a buyer was obtained before the listing was input into the MLS. This is typically a result of either a “pocket listing” or pre-marketing. (These are MLS rule violations by the way, because the purpose of the MLS is broker cooperation; it's not a performance database for agents).

And even MORE egregiously self-serving? - when the agent in these cases also practiced “Dual Agency,” serving clients on both ends of the transaction! What’s wrong with this? Well, it’s not illegal in Washington State, but it’s definitely very “risky business” and most often ill-advised - even by the most experienced and ethical of agents.

Personally, I’m not emphatically against Dual Agency in all cases. But, when both the seller and buyer are procured by the agent without the home being made available to other buyers - AND the home is listed in the MLS for only a few minutes - well... yes, this I have a BIG problem with, and so should any seller. Why on earth would a seller (friend or not) trust an agent so much, as to agree to preclude other buyers from seeing the home? Moreover, why would that seller then also PAY the brokerage (and ultimately the agent) for not providing any marketing services? It truly boggles the mind...

Acting in the Client’s Interests - It’s the Law!

I’ve recently had discussions with other local Eastside Seattle agents about these topics, in addition to a few folks at the Northwest MLS - and I’ll continue to press my case, particularly where it concerns pre-marketing and pocket listings. Fortunately, the Washington State license laws and Northwest MLS rules are firmly in my favor, and for good reason... because those laws and rules ultimately exist almost exclusively for the benefit and protection of buyers and sellers.

With specific regard to a fast-paced seller’s market, the fact is, that if an agent has reason to believe a home will have multiple parties interested in placing offers, it is their legal duty to inform the seller of this potential, so they may at least have the opportunity to consider the advantages of holding offers for later review. This is in effort to allow as many potential buyers the opportunity to tour the home, and possibly write offers. (And a “wise” agent, will have a record of such discussion in writing.)

Holding offers for later review in a period of exceptionally high demand isn’t terribly complicated (though, it may require more “effort” on the part of the agent). This strategy is part of a good marketing plan, and it simply makes sense - especially in this crazy market!

Yes, there are times where a seller will want to obtain a buyer immediately, regardless of the possibility that they may be “leaving money on the table.” Personal reasons such as divorce, unplanned job relocation, or unfortunately illness or death, are all common causes. However, even in these circumstances, most sellers will still wish to obtain the highest price possible. Have you ever known anyone who was “happy” to knowingly give away equity in their home? I think not...

Who is Ultimately Looking Out For You?

Despite what some think, real estate isn’t “fun & games.” Rather, it’s serious business which can greatly impact people’s lives. Unfortunately though, many home buyers and sellers don’t realize this until they’ve been underserved in some manner.

Thus, I implore all home buyers and sellers to hold their agents to a higher standard of professionalism, knowledge, care and skill from day one. Regardless, despite your efforts to hire the best agent for the job, ultimately it may be the case that the only person who is really looking out for your true best interests, is you!

What is a greenbelt?

In the Pacific Northwest, a greenbelt or buffer-zone is generally considered by most homeowners and buyers alike, to be a vacant patch or parcel of forested land, behind, or to the side of a home. Typically in the Bellevue area, and most other communities on Seattle’s Eastside, greenbelts are at least partially forested, but the landscape can vary - some may contain large open spaces, public parks or wetlands. Some greenbelts can be very heavily forested, and may be used to not only provide a buffer between streets, but also to create a network of trails throughout a community, such as the parcel map below in Snoqualmie Ridge.

Buyer Beware: When a Greenbelt... Isn’t!

Unfortunately however, when most home buyers see language like “backs to a greenbelt” in an MLS listing description, they assume the vacant land adjacent to the home will remain permanently unchanged, providing the homeowner maximum privacy, and possibly preserving, or increasing their home’s value. This is not always the case; and many listings contain the term “greenbelt” when they probably should not. In listings, we do not use that terminology, unless we can VERIFY according to current King County and city records that the land is indeed zoned as a true greenbelt or open space - not to be deforested, developed, or otherwise changed to any significant degree.

Cities like Belleuve, Issaquah, Sammamish and other Eastside communities can also have their own zoning in place which could change... but reversing the zoning from a true greenbelt, as dictated by the county, to land with the potential for development, would be a rare occurrence in existing residential areas of King County, which is one of the most environmentally-conscious regions of the country. In fact, many greenbelts, buffer-zones, or “open spaces” are zoned as such primarily because they are considered “environmentally sensitive” areas. Regardless, it’s never safe to assume anything.

Research Ownership & Zoning of ALL Vacant Land

With all of this in mind, if a buyer sees the term greenbelt, green space, open space, forested land, private land, park, wetland, vacant land, etc. in any MLS real estate listing description, additional research is strongly advised - especially if one is considering the purchase of that home specifically due to the adjacent vacant land and the beauty or privacy it provides. Obviously, most buyers wouldn’t want to purchase a home backing-up to a tranquil forest, only to see it bulldozed to make way for new homes or a shopping center a year later.

True story... I quite recently helped buyers who were initially very interested in a home which backed to an otherwise peaceful patch of forest - that is, until they found out it was zoned for mining, and owned by a mining company!

Curious about what type of land your current or future home backs-up to? One of the best resources for homeowners and prospective homebuyers is the King County Parcel Viewer, where you can search by address or parcel number, or simply zoom in on the map and click on individual parcels. Plenty of details are available for each parcel of land.

"Issaquah, We Have a Problem!"

In Issaquah, the neighborhoods with the greatest level of buyer demand include Klahanie, the Issaquah Highlands, The Woods, and the neighborhoods at Squak Mountain such as Mountainaire and Wildwood Park.

Issaquah Inventory Drops 50% - While Sales Increase 50%

As the chart below indicates, Issaquah homes are selling at a record pace. Nearly every home which comes up for sale will have a buyer in only a few days (or less) - and most will have multiple buyers interested in placing offers. Compared to March of 2012, inventory has dropped by 50%, while the number of sales has increased 54%. With these statistics, the squeeze is on - so it’s no wonder Issaquah home buyers are growing frustrated and antsy.

Home Buyers in Issaquah are Getting Aggressive

With so much competition out there, some home buyers have decided to sit on the sidelines - hoping things will eventually cool down. Others however, are taking an aggressive stance - offering to pay 5-10% or more above asking prices, performing pre-inspections, waiving contingencies, increasing earnest money, and putting even more money on the line by offering non-refundable deposits as well.

I’ve recently helped buyers in the Issaquah neighborhood of Squak Mountain “win” multiple offer situations using a combination of these methods. And these conversations about such strategies have taken place long before writing any offers.

Buy Now in Issaquah, or Wait?

As REALTOR® who works with many buyers, I’m hopeful things will begin to equalize somewhat by mid-summer. Unfortunately however, it is my personal opinion that any cooling of home-buyer interest will be primarily due to a combination of rising interest rates, and higher home prices, which are obviously the motivating factors as to why so many buyers are wanting to buy now.

So... are you thinking it’s the right time to buy your dream home in Issaquah? Our advice is to simply “accept” from day one that you will likely be competing with other buyers in multiple offer scenarios - and to prepare accordingly. It is critical to know what your “must haves” and “deal breakers” are before beginning to look at homes seriously. Keeping the focus is also essential, as it’s too easy to be distracted by homes which do not suit your needs. In this market, losing focus can can cause buyers to miss-out on more suitable opportunities. Of course, obtaining pre-approval and knowing your budget is an absolute must.

Free Home Buyer Consultations at Windermere

We specialize in working with home buyers in Issaquah and the surrounding areas. If you are looking to work with an agent who can help you navigate this challenging and competitive market, please contact us today for a consultation at our Bellevue or Issaquah Windermere offices.

When driving by, all buyers will immediately form an opinion about your home based-upon the exterior - and letting exterior issues go unattended can send potential buyers directly to your competition.

It has been demonstrated time and time again, that curb-appeal can be the number one factor in getting a home sold in a reasonable time, and for the best price - and even in our current seller's market in Issaquah, the home's exterior appearance is still a top priority.

Obviously, a home can have a flawless interior - and that's something to be proud of. But, it should go without saying that if there are obvious flaws and/or deferred maintenance on the exterior  many home buyer's won't bother to make an appointment to look at the perfect interior - and that can cost you thousands, or more.

Top Tips for Improving Curb Appeal

Here are a few inexpensive things you can do to improve your home's curb appeal, which will make your home more appealing to buyers, and likely increase your resale value:

• No matter the season, give the lawn a fresh mowing & edging, trim edges of bedding
• Remove all leaves and debris from flower beds - add fresh mulch
• Trim-up any trees with low-hanging branches
• Shrubbery getting out of control? Trim back shrubs, or consider replacing completely
• Plant a few decorative flowers near the entrance or in pots to welcome guests
• Especially in the Pacific Northwest, consider having your porches & driveways powerwashed
• Take a look at your gutters. Repair any issues, and be sure to have them professionally cleaned!
• Consider sanding and repainting/staining your front door if needed
• Clean all windows and trim work - make them shine!

When choosing a local Issaquah real estate agent, don't be offended by their suggestions. Remember, you are hiring them for their expertise - it is your agent's job to view your home through a buyer's eyes.  Obviously, the above list isn't all-inclusive, but taking care of these few relatively simple and inexpensive tasks will absolutely invite more home buyers to view your home - which will help sell it faster, and quite likely at a higher price.

Today marks a first for me though... witnessing TWO inspectors suit-up at separate times as they took turns inspecting the crawl-space and other areas of the home - DURING a very busy open house!

Agents have argued back and forth for years about the effectiveness of open houses. Well, now open houses are almost mandatory in the Issaquah area. With such limited inventory, the open house allows as many potential buyers as possible to see the home in a very short time span, and with as little inconvenience to the sellers. It would be virtually impossible to schedule as many showings in an organized fashion - unless the seller doesn't mind being continually interrupted for days on end, that is. And those looking at open houses these days? They're not fooling around. Many are VERY serious.

In Issaquah... Klahanie Is Hotter Than Ever!

After only three days on the market, this home located near the VERY popular neighborhood of Klahanie, had already had three pre-inspections, one offer already on the table, and two additional pre-inspections occurring during the open house. And what was even more bizarre, is that BOTH of the potential buyers who ordered these inspections were having a pleasant and active conversation while relaxing on the front porch! Strange times indeed...

This home priced at approximately $450,000 was a new listing in the Hunter’s Ridge neighborhood, which is partially somewhat connected to Klahanie to the north and east. Fortunately, the sellers made a very wise decision to hold offers for later review. By doing so, and allowing pre-inspections, they will likely sell at a better price and with the best terms possible. This is in contrast to sellers who put their home up for sale and leave no time for marketing the home - accepting an offer on the first day (or sooner). In those cases, it’s likely a homeowner will be leaving money on the table.

How Does a Pre-Inspection Benefit Buyers & Sellers?

With Issaquah home buyers competing for the limited number of homes for sale, pre-inspections are now becoming the norm when multiple offers are anticipated. This can benefit both home buyers and sellers. While the buyer does have to pay for a home inspection without being under contract, it gives them the peace-of-mind knowing the condition of the home before deciding whether or not to participate in the bidding.

The seller of course benefits by being able to accept offers without any inspection contingencies, which means there’s a greater chance of the sale coming to a successful close because the buyer can’t simply walk away due to “subjective” reasons. Most inspection contingencies are based-upon on the buyer's total satisfaction of the property - including matters of subjectivity. Terminating a contract during the inspection period most often doesn’t require any explanation or evidence. So, the buyer performing pre-inspection and forgoing an inspection contingency in the offer eliminates this concern for the seller.

Buyers Pushed Further East As Prices Rise & Inventory Drops

With Issaquah home inventory at all time lows, buyers are literally lined-up to get into many of the open houses I’ve attended lately - which is definitely a departure from this same time in 2012. Thus, the somewhat "frenetic" seller’s market has now spread further east out of Bellevue to Issaquah, and to the more affordable Snoqualmie and North Bend areas - not only due to the lack of inventory, but also increasing prices. In fact, pre-owned home inventory in Snoqualmie Ridge has almost dried up, with the exception of the higher price points.

So, if you’re interested in the northern Issaquah area around Klahanie and the southern Sammamish Plateau, and especially if your home-buying budget is below $600,000, be fully prepared to encounter a multiple offer situation. Competing with other buyers isn’t for everyone; it can be a very stressful experience. It’s important to know exactly what you’re looking for in a home, and to know your limits - both mentally and financially.

It’s best to assume you will encounter multiple-offer situations on almost any home in reasonable condition, and plan accordingly.

Updated Bellevue Homes in Very High Demand

There's a pent-up demand for even minimally updated homes in most Bellevue neighborhoods. But, if a home has been updated to a large degree, especially if it’s located in a sought-after Bellevue neighborhood such as Somerset, Lake Hills, Whispering Heights or Cherry Crest, one can expect several offers. In such cases, it’s not totally unheard of these days for a well-priced and "perfectly prepared" home in great condition to have 15 to 20 offers or more.

So... if you’re up for the task, proceed with care and be prepared to do battle with other hopeful Bellevue home buyers! Multiple offer scenarios can be very stressful, and there are a myriad of strategies a real estate agent will recommend to help your offer land on top. While this is not intended to be an exhaustive list, below are a few tips for winning a multiple offer situation.

Multiple Offer Strategies

• Pre-Approval: Be prepared with pre-approval letter from a reputable lender. Working with a lender who has significant experience with underwriting is key. Even better, work with a lender with in-house underwriting and funding, as they’re more in-tune with what will be required to get the loan approved. A thorough & reputable lender will ask a lot of questions and request a significant amount of documentation before providing a pre-approval letter. Be cautious of “automated underwriting.” A pre-approval letter that is “quick & easy” to obtain, is definitely a cause for concern.
• Types of Financing: Conventional financing with a down-payment of 20% or more, is strongly suggested. (Of course, cash is always king.) A seller will view buyers with “creative” financing arrangements or FHA financing as more “risky” - thus they are almost always at a disadvantage in multiple-offer scenarios because they have less of a chance of closing free of any issues or delays.
• Pre-Inspections: If the seller allows it, give serious consideration to doing a “pre-inspection” - first to determine if you WANT to place an offer. Then, if you’re satisfied with the condition of the home, write an offer waiving the inspection contingency. This assumes however, that the sellers and the listing agent anticipated the likelihood of multiple offers, and are willing to hold offers for review at a later date.
• Know Your Limits: After considering the comparables and market conditions, decide how much above the asking price you’re comfortable with offering in advance, and hold firm. Don’t let a “bidding war,” and the inevitable associated emotions, cause you to agree to contract terms you may later regret.
• Escalation Clause: In short, an escalation clause in an offer states that you will be willing to pay up to 'X' amount, and in increments of a specific amount over a competing offer - like in increments of $1,000 or $5,000. Some people think that escalation clauses are a risky strategy. But in truly competitive markets, an extra thousand dollars or so could be the key to a "winning" offer. As long as you are comfortable with your  pre-determined "cap" (see "Knowing Your Limits" above), in truly hot markets, an escalation clause may be the best way to proceed, and it can be especially attractive when combined with other strong aspects of an offer. And note... the seller must provide proof of the next highest offer in this case.
• Higher Earnest Money: In Washington State, a seller can only retain 5% as “liquidated damages” in case of a buyer’s default. However, an additional earnest money deposit will further show a sign of financial strength, and a firm commitment to complete the deal.
• Non-Refundable Earnest Money: Make a portion of the earnest money a non-refundable deposit, either at mutual acceptance, or in pre-determined stages as the contract matures. This shows you’re willing to put more money on the line, even if the deal should fall through due to financing or no other fault of your own.
• The Financing Contingency: Make any financing contingency period as short as your lender is comfortable with - 20 to 30 days, or less if it’s at all possible. Waiving the financing contingency is also an option, but it is not advised in the vast majority of cases due to the degree of risk. Waiving the financing contingency is only advised for those who have consulted with an attorney, have exceptional financial resources, and those who are willing to accept the potential risks of not only of losing the earnest money, but facing a potential lawsuit from the seller as well.

Look at her... she's shocked and upset!

Are some Snoqualmie Ridge home sellers potentially leaving money on the table? You read the following, and decide for yourself.

Sold in 1 Day - Hip, Hip Hooray!

You’ve surely seen the compelling advertisements lately... “Sold in One Day,” or “Top 1% For Closed Sales Days on Market“ (i.e., lowest number of active days on market). Well... sorry to burst any bubbles, but a quick sale is not always something to celebrate.

In fact, such jovial declarations could just as easily indicate the home sellers lost money - $1,000’s, or potentially tens of thousands of dollars by selling too quickly and not benefiting from enough time on the market. Obviously, buyers can’t view a home and consider placing an offer, if they’re completely unaware the home is for sale to begin with! (We’re not talking about "planned" multiple-offer strategies here, where offers are held for the seller to review on a future date.)

Ultimately, it’s up to the seller to establish an asking price, and later, to decide when to accept an offer, and under what terms. In the case of a low asking and selling price, it’s certainly possible that the seller may not be concerned about the potential loss, or they may be pressured to sell as quickly as possible. But, if they make these decisions based-upon outdated, careless or purposefully misleading advice, then that’s another matter entirely.

Agents Have a Duty to Stay Informed About the Market

Regardless of the cause, we as agents have a duty to be “educated” when it comes to the market dynamics, and to inform our clients if we have ANY information which justifies a higher (or lower) initial asking price, and a future agreed-upon contract price. Unfortunately, there are agents and brokerages out there who don’t do their research - or, they’re looking squarely at their own interests, and simply want a quick sale. At best... I guess that is “unfortunate.” At worst however, one could argue that a cavalier attitude regarding the market conditions, and/or an intentional recommendation of a low asking price which benefits the agent due to a quick sale, could be a violation of real estate licensing laws.

But I digress...

Pricing Isn’t a Cake-Walk in a Seller’s Market

In 2012, the seller’s market which began to take shape in most of the Seattle metro area was slow to reach Snoqualmie Ridge. However, that has changed in the last 3-4 months - especially with homes priced under $500K. Now let’s be clear... pricing is never a “cake-walk” - even in a seller’s market - and a "hot market" isn't a green-light for a homeowner to overprice their home. In any market, careful consideration must be given to all variables affecting market demand and price. Not only does this include considering a home’s features and advantages when compared to other homes, but more importantly, it requires a careful review of the homes available to buyers TODAY. If an agent doesn’t give strong consideration to the current pending sales AND the homes presently available in a particular price range, they could easily be leading the seller towards an inappropriate asking price.

To add further insult to injury, when a home is underpriced and is “Sold in One Day” or two, this can result in market statistics and possibly appraisals which are lower than what the market might have otherwise dictated, if all cooperating agents (i.e, MLS members) and their active buyers had been made aware of, and been given time to act upon the new listing. Thus, when other homeowners decide to list their own homes in the future, they too will be negatively impacted, because a good part of the pricing equation is based-upon those previous comparable transactions.

Sure, It Can Happen... But We’re Not Convinced

With all of this said, it is true that sometimes the “right buyer” just happens to be in the right place at the right time, and snaps-up a home that was “appropriately” priced. At the moment however, we're convinced  that too many homes in certain price ranges are going under contract too quickly due to sellers being uninformed, and/or agents apparently being “behind the curve” on current market trends.

Be an Educated Seller - Get Into the Numbers

When preparing to list your home for sale, please work with an agent who is truly “into” the numbers. Ask questions regarding the the reasoning behind their choice of comparables. Ask if they’ve been in the comparable homes - and if you’re brave, accompany the agent when they’re previewing other homes (without inconveniencing anyone). Lastly, be sure to re-examine the market the day before listing. In short... be an educated seller!

And just as critical, choose an agent who is service oriented, and one who truly has your best interests in mind - an agent who cares about your interests not only during the listing appointment, but all the way through to closing... when “outstanding” service is demonstrated, and not just a marketing tagline.

The good news however, is that most home buyers looking at houses in the winter aren't just casual browsers. Rather, they're serious enough about finding a new home to venture out on the house hunt at a time when most folks are staying warm & dry indoors. Thus the percentage of "ready and able" buyers looking in the winter can be significantly higher than other times of the year. Here are a few tips for selling your home during the winter months:

Winter Curb Appeal

Make sure walkways are safe and clear of any debris, including fallen leaves, mulch, and especially snow and & ice - albeit rare in Seattle. In case of snow or ice, spread out ice melt or sand to provide traction - yes... even if the snow is to be expected in the Cascades at higher elevations. Shovel the snow on the driveway and sidewalks to make your home more inviting. Be sure to place a mat on which for visitors to wipe their feet - but it's also best to have a place for them to remove their shoes near the front door.

And speaking of the outdoors... remove ALL potted plants from sight. Nothing makes the exterior of a home look more depressing than a series of frozen or dormant potted plants greeting potential home-buyers on the front steps. I see this too frequently, and it really sets a negative tone before walking in the front door.

Heating the Home

Second, keep the house reasonably warm... but not uncomfortably warm!  Remember that buyers aren't likely to remove their coats, so 64 to 68 degrees is perfectly fine. Buyers will remember the house that was pleasantly warm on a frigid day. This also demonstrates to buyers that your furnace is in good working order, and it keeps the air circulating, which will prevent any cold spots and reduce and musty smells during our wet, winter months.

Creating a Welcoming Scent

Next, in an occupied home, create a "welcoming scent." Consider baking cookies the day of a showing. We're not talking from scratch... the simple "cookie-dough in a tube" works perfectly. Keep in mind that many people are sensitive to the fragrances in air fresheners and perfumes, so skip spraying those when expecting someone to look at your house.

Make the Home Inviting

Lastly, to make your house appear warm and inviting during cold winter months, turn all the lights in the house on; place warm-toned throws and decorator pillows around the living room. Play soothing classical or jazz music; but keep the volume low enough that buyers can talk quietly to each other.

Don't be shy of placing your home on the market during the darker Seattle winter months. It's often worth the extra effort - especially in times of such limited inventory, which we expect to be the case in the Seattle area for quite some time to come.