If you are visiting Whidbey Island and want a fun side-trip, think about heading to the Skagit Valley Tulip Festival to look at the tulips and daffodils. When you get there you’ll find this map invaluable. It shows which fields and what types of flowers are in bloom in real-time, taking all the guesswork out of your trip:
Housing Inventory is way down on North Whidbey Island! We are almost back at a balanced housing market on North Whidbey Island. The chart at the left shows that the inventory of homes for sale on North Whidbey Island is at its lowest point in over 5 years! These numbers are as of the end of November 2012, and inventory has dropped another 10 percent so far in December!
There has been a lot of positive news the past few weeks about the housing market turning around in different parts of the country. One of the things I have said all along is that housing inventory needs to decrease before prices will start going up. On North Whidbey Island, we are now at the point where we have 6.5 months of housing inventory – and 6 months inventory is typically considered a balanced inventory. After several years of inventories in excess of 10 and 11 months, and even touching on 18-20 months at one point, the market finally seems to be improving.
Is this a bump in the market, or the beginning of a trend? It is too early to tell, but it is a positive sign. I’ll have a better update after the turn of the year, but for now we have some good news heading into the New Year.
“Buy a home in the best location you can afford”, is what we Realtors always tell buyers. “Location is the most important factor when considering which house to buy”, we tell them.
But what exactly is the “best location“? To some Realtors, the best location means the neighborhood with the best resale value. To families with school age kids it may mean the location with the best schools or closest to the parks and beaches. To others it may mean the quietest area, or with the best views, or the closest to work. “Best Location” may mean different things to different buyers, and may even evolve as a family’s activities and lifestyle change.
So I say, “forget location”! Instead, try to find a house that makes you happy. If you are really successful, you may find that the home that makes you happiest does so because it is in the best location for you!
A few years ago I showed homes to a great family who have since become good friends. They wanted a large home out in the country where they could have chickens and room for their active family to play. They also wanted a move-in ready home, and one that had all the modern amenities.
We found the perfect house out in the country. Twice. But they didn’t buy either one. Although each house fit their needs, they had another need they hadn’t admitted to themselves….the need to live somewhere convenient. The need to live somewhere the kids could ride bikes to school, where they were just minutes from work and shopping, and somewhere close enough that the kids could safely get to and from their playdates and after school activities by themselves.
So we found them a large home in town, with fantastic views, and within walking distance of almost everything. Now instead of spending all their free time driving kids in from a rural hobby farm, they are able to enjoy a fun and more laid-back lifestyle. They are so happy they could explode!
Is the house they bought in the “best location”? It is for them! What is the “best location” for your family?
If you need help finding the home that makes you happy, give me a call! Just think of me as your “happiness locator“!
That is the question I hear almost every time I ask a buyer if they would consider looking at Short Sales. I’ve mentioned here before that there are some great deals to be had among Short Sale homes for sale here on Whidbey Island. But one of the issues that keeps many buyers from pursuing them is the uncertainty of how long it will take to close.
So, what is the answer? Well, it depends! I have had Short Sales close in as few as 3 months, and as many as 10 months from the time of the offer to the date of closing.
There are two key elements to a successful and quick closing for a Short Sale: 1) a cooperative seller, and 2) a cooperative lender.
The most important factor is a cooperative seller. To approve a Short Sale, a lender will require the seller to provide every pay stub & bank statement from two months prior to applying for the short sale up through closing. They will require the seller qualify for a Hardship (typically losing a job, major medical issues, divorce, death, or military transfer) and explain in detail the nature of the hardship in writing. The lender will require the seller to provide a detailed breakdown of their everyday expenses, from food and house payments, to child care and gas expenses. Every penny the seller earns and spends must be accounted for before the lender will approve the sale. And typically the lender will tell the seller that they have everything they need, then come back two weeks later and ask for more documents! If a seller is not cooperative, and doesn’t get the required documents to the lender quickly, than the short sale will be delayed, or even disapproved. If the sellers are in the middle of a messy divorce, just lost a job, or had to move, sometimes getting the required documents to the lender can be a challenge!
The second critical factor is a cooperative lender. If the lender is disorganized and doesn’t properly file the documents they receive from the seller, or is continually reassigning the sale to different processors or negotiators, it will slow things down. If the lender does not assign a negotiator in a timely manner, or the negotiators are assigned too many files, than the closing can get delayed significantly. But the biggest challenge is a lender which overvalues a short sale house, and causes the Short Sale to fall through because they have set an unrealistically high value, above actual Fair-Market-Value.
I have worked with a number of different lenders on Short Sales, and have found the processors and negotiators to be hard-working, conscientious folks. But any big bank is a bureaucracy, and the checks and balances to prevent fraud result in understandable delays. The result is a process that may seem enormous to many. But it is not insurmountable, it is just enormous!
My advice to buyers: If you can wait 4 months or more to get into your home, then a Short Sale is a good option to consider. If you want a home in the next 45-60 days, it is probably unrealistic to expect a Short Sale purchase to close in that timeframe.
Posted Oct 18, 2012
That is the question I hear almost every time I ask a buyer if they would consider looking at Short Sales. I’ve mentioned here before that there are some great deals to be had among Short Sale homes for sale here on Whidbey Island. But one of the issues that keeps many buyers from pursuing them is the uncertainty of how long it will take to close.
So, what is the answer? Well, it depends! I have had Short Sales close in as few as 3 months, and as many as 10 months from the time of the offer to the date of closing.
There are two key elements to a successful and quick closing for a Short Sale: 1) a cooperative seller, and 2) a cooperative lender.
The most important factor is a cooperative seller. To approve a Short Sale, a lender will require the seller to provide every pay stub & bank statement from two months prior to applying for the short sale up through closing. They will require the seller qualify for a Hardship (typically losing a job, major medical issues, divorce, death, or military transfer) and explain in detail the nature of the hardship in writing. The lender will require the seller to provide a detailed breakdown of their everyday expenses, from food and house payments, to child care and gas expenses. Every penny the seller earns and spends must be accounted for before the lender will approve the sale. And typically the lender will tell the seller that they have everything they need, then come back two weeks later and ask for more documents! If a seller is not cooperative, and doesn’t get the required documents to the lender quickly, than the short sale will be delayed, or even disapproved. If the sellers are in the middle of a messy divorce, just lost a job, or had to move, sometimes getting the required documents to the lender can be a challenge!
The second critical factor is a cooperative lender. If the lender is disorganized and doesn’t properly file the documents they receive from the seller, or is continually reassigning the sale to different processors or negotiators, it will slow things down. If the lender does not assign a negotiator in a timely manner, or the negotiators are assigned too many files, than the closing can get delayed significantly. But the biggest challenge is a lender which overvalues a short sale house, and causes the Short Sale to fall through because they have set an unrealistically high value, above actual Fair-Market-Value.
I have worked with a number of different lenders on Short Sales, and have found the processors and negotiators to be hard-working, conscientious folks. But any big bank is a bureaucracy, and the checks and balances to prevent fraud result in understandable delays. The result is a process that may seem enormous to many. But it is not insurmountable, it is just enormous!
My advice to buyers: If you can wait 4 months or more to get into your home, then a Short Sale is a good option to consider. If you want a home in the next 45-60 days, it is probably unrealistic to expect a Short Sale purchase to close in that timeframe.
Posted Oct 18, 2012
Foreclosures are homes that have either been abandoned by their homeowners, or reposessed by the lender when the homeowner could no longer make their mortgage payments. There are different types of Foreclosures, including Bank-Owned properties, and HUD and VA foreclosures.
A Short Sale is a home still owned by a homeowner who is trying to sell the home for less than the value remaining on the mortgage. Since the mortgage won’t be fully paid off when the home is sold, the bank needs to approve any sale. In many cases, the short sale homeowner is behind on payments, and may be on the way toward foreclosure. It is usually in the bank’s best interest to allow the short sale homeowner to sell his home at a loss to the bank, since in the long run the bank will probably lose even more money if they proceed with a foreclosure.
Step 1: Getting pre-qualified with a mortgage lender is usually the first step in buying any home, including foreclosures and short sales. All foreclosures, and most short sales, will require the buyer include a Pre-qualification or Pre-approval letter with any offer. Getting pre-qualified is a simple process, and can be done over the phone. I always recommend that buyers get pre-qualified with a local Whidbey Island lender. Our local lenders understand the intricacies of dealing with local requirements, such as well and septic system inspections, and don’t charge the “junk fees” that some of the internet lenders or big-city mortgage brokers charge.
Step 2: The second step is to contact a local real estate agent to help you find homes. Foreclosures and Short Sales for sale on Whidbey Island are listed in our local Northwest Multiple Listing Service (NWMLS) of homes for sale in the Puget Sound area. Any home that is listed for sale may be sold be any qualified agent on Whidbey Island. So even if the property is listed by an agent off-island, a local Whidbey Island agent can help a buyer to see and write an offer on the property. Certain types of foreclosures require that the agent be registered to sell them (all agents at Coldwell Banker Koetje Real Estate are qualified to sell all types of foreclosures, including VA and HUD homes).
Step 3: The third step is to let the agent know what you are looking for in a home, and start looking! We have a wide variety of foreclosure and short sale properties for sale on Whidbey Island. Whether you are looking for a Condo, a single family home, a multi-family investment property, or a manufactured home on acreage, we probably have something that will make a great home or investment for you.
Foreclosure considerations - Sometimes as the homeowner is going through the process of foreclosure, they will remove the appliances, fixtures, wiring and any thing else they can sell. Most sellers facing foreclosure are under a lot of stress, and some will damage the home in their anger at their lender. As a result, foreclosures often are in need of significant repair. If a foreclosure is in bad condition, or has structural damage, it may be extremely difficult for buyers to get bank financing. While foreclosures may appear to be a good value, they may be in serious need of a cash infusion, and so buyers must have a financial plan for how they are going to pay for any needed repairs.
Short Sale considerations - Because a bank has to approve any Short Sale, there is an added level of negotiation in the sale. Depending on the efficiency of the bank, they may take several weeks (or several months) to approve the sale, and they may add conditions to the sale. If you are thinking of buying a Short Sale home it is very important that you hire an experienced short sale agent to represent you. There are a lot of steps that are handled differently in a short sale than in a normal home purchase, and an experienced short sale agent will be able to properly advise you on your rights along the way.
If you are interested in purchasing a foreclosure or short sale home on Whidbey Island, contact Hal Hovey at (360) 929-0261 or at halhovey@gmail.com
We just got the results of home sales for the month of September, and the numbers are cause for cautious optimism. The $238,500 median sale price for September 2012 on North Whidbey Island was the highest it has been in 11 months, and marks the third straight month of price increases.
But if the news is good, then why is the trend line going down? The answer: even though September was the best month in a long time for home prices here on North Whidbey Island, it still doesn’t match last years prices, when 7 of the months had higher prices than we experienced here in September.
This month’s median sale price is well below the $262,725 median sale price we experienced in October of 2011. So while we are seeing improvement locally, we still have a way to go before I am ready to declare we are on the road to recovery for the North Whidbey Island housing market.
In my last post I focused on the real estate market on North Whidbey Island, where market prices have been trending down but may be starting to level off or recover. But on Whidbey Island we have at least three different real estate markets, each of which has different responses to market conditions. While the north end of Whidbey Island is very dependant on the Navy Base located there, the south end of Whidbey Island is much more oriented toward Seattle. The center part of Whidbey Island is rural, and is yet another market, with some influences from both the north and south end.
The south end of Whidbey Island includes the towns of Langley, Clinton & Freeland, and historically is the most expensive part of the island. Since it more closely reflects the Seattle market, home prices and sale numbers tend to react more quickly to what is happening in the Seattle economy. This is evident in the recent trend of home prices. This chart shows the median home price for the month of August over the past 6 years. Since this is just a snapshot, I wouldn’t read too much into it, but notice the interesting trend line! Prices definitely seem to be recovering on the south end of the island.
The other part of the housing recovery is the number of homes sold each year. So far this year, we are almost even with the number of homes sold by this time in August 2007 on South Whidbey Island! While the numbers for South Whidbey are unquestionably positive, I think it is premature to declare that the market is back to “normal”. 
We need at least another 6 months of positive numbers on South Whidbey, and a clear turnaround to the prices and numbers of homes sold on North & Central Whidbey Island, before I am ready to declare that the housing recovery is here.
Next time I will talk about the real estate market on Central Whidbey Island. Come back soon to see that update!
It seems like all around us in the Puget Sound area, the real estate market is showing signs of recovery. In Seattle, home prices have increased for the last five months in a row, and sales volume is significantly higher than last year. In Snohomish County, a little closer to us here on Whidbey Island, prices are continuing to increase as well. Down south of Seattle, Pierce County is also seeing a rise in prices and number of homes sold.
But the market on Whidbey Island is a little more mixed. 
While prices on North Whidbey Island are up very slightly from one year ago, the trendline continues to be downward, and the expectation is that home prices may continue to decrease, or at best level-off, over the next six months or longer. But with recent Fed action to keep home mortgage interest rates low well into the distant future, there is increased optimism that the real estate market recovery will be able to finally take root, and that by next spring we will be seeing a return to a healthy real estate market on North Whidbey Island.
An extraordinary water’s edge setting in Coupeville Village overlooking the Wharf! Enjoy quiet walks on the beach, paddle your 
kayak out to watch the whales, or enjoy the timeless view of fishing vessels at the wharf. Watch the eagles overhead, the sun set over the harbor, & the sailboat races in Penn Cove, all from the comfort of your Living Room. Almost 2500 sq ft, newly remodeled, w/4 bedrooms on 1.98 acres! Development potential. A once in a lifetime opportunity to fulfill your dreams! Located on scenic Whidbey Island in the heart of the Ebey Landing National Historic Reserve. Coupeville features a state-of-the-art hospital, quaint shopping and waterfront restaurants, and is close to the towns of Oak Harbor, Langley, and Anacortes! The Seattle airport is just two hours away, with easy access to Seattle by bridge or ferry.
Location, Location, Location! This age-restricted cottage is centrally located, yet in a tranquil setting w/mature trees & gardens. 
Close to shopping & restaurants, 3 blocks from the Senior Center & indoor City Pool, & just minutes from beaches & parks! Relax at home on your inviting front porch or join friends in the community clubhouse or exercise facility. A carefree lifestyle with the peace of mind knowing the community association takes care of landscaping & exterior maintenance, and even pays all water, sewer & garbage bills. A clean, comfortable, move-in-ready home with a private garage.
In a dramatic water’s edge location on the harbor, looking across to Penn Cove & Mt Rainier in the distance, this top floor 
condo enjoys sunrise views of the Cascades. Watch the sailboats heading out for races in Penn Cove & a front row seat to the fireworks in Windjammer Park. The Living room has a gas fireplace, and a panorama of windows overlooking the harbor and park. Walk to shopping & restaurants, or enjoy the 80+ acre Windjammer Park right next door. Over 2000 sq ft of living space, full ADA elevator access, private 2-car garage, & direct beach access from the community!
With the best weather and most fertile soils in the Puget Sound area, this farm is ideally suited for vegetables, orchard, horses, 
alpacas, or many other uses. A strong network of area Farmer’s Markets would make its use as a truck farm ideal as well. The house is on city water, but there is a private well to provide any needed irrigation to crops or animals. From the house you can enjoy tranquil views across the Ebey Prairie & the waters of Admiralty Inlet to the sparkling lights of Port Townsend & the snow-capped peaks of the Olympic Mountains. Several acres of meadow, many fruit trees, a fenced vegetable garden, & several working outbuildings, make this an ideal hobby farm or equestrian property. Located within the Ebey Reserve, two minutes away from the scenic Penn Cove waterfront town of Coupeville, with restaurants, shopping, & modern hospital.
This home is all about making boating fun again! Imagine your 50’ boat parked outside your front door, a quick run 
to Crescent Harbor to drop crab pots, then across Saratoga Passage to LaConner for breakfast. Out to the San Juan islands for lunch, or to Deception Pass to watch for whales. If you prefer a day at home, relax in your spacious Living Room while watching the sun rise over the Cascade Mountains & the nearby sound, then take the dog for a walk along the beach. This a comfortable home, ready for you to start living your dreams, and making new memories that will last a lifetime!
Spectacular sunsets over Puget Sound as the lights of Victoria twinkle in the distance, snowcapped mountains on the 
Olympic Peninsula, ships transiting the Strait to points west: all are part of your everyday view from every room of this lovely & comfortable waterfront home! Impeccably maintained & thoroughly modern, your only care will be whether to enjoy a walk on the nearby beach or settle in front of the fireplace enjoying the view. Or, the marina & golf course are only ten minutes away!
Live in a National Park! Located in a picturesque setting overlooking Penn Cove, the Coupeville Wharf, & the Cascade 
Mountains, this home was carefully sited to respect its setting within the Ebey Landing National Historical Reserve while maximizing views from every room. Built in 2005 with the finest materials , including brazilian cherry floors, alder cabinets, & black granite counters, it features vaulted or nine foot ceilings throughout. A tranquil home where lifelong memories are made!
Come and see this waterfront home on the west side of Whidbey Island, sitting high on the bluff with magical views across Puget Sound to the Olympic Mountains & Vancouver Island. Enjoy sunsets over Puget Sound, watch the shipping traffic traverse the Strait, or walk to the nearby beach. The elevated setting maximizes water views across the wide flat back lawn, & the single story layout appeals to all generations. Entertain in the huge kitchen w/two islands while watching sailboats glide by. Soaring tray ceilings, dual Master suites, & generous living spaces.
Enjoy the best of island living, with views of the sun rising over the Cascade Mountains & reflecting off the waters of Saratoga Passage. Just minutes from the Clinton ferry docks for an easy commute to Seattle, Everett, or Boeing & Microsoft! Vaulted & beamed ceilings & expansive windows to soak in the view. Custom woodwork includes real maple floors & fir trim. The private master suite occupies the entire top floor with a private deck & incredible water & mountainviews. The kitchen features stainless steel Jenn-Air appliances & dramatic views. The separate Library can also be used as a media room & there is an additional separate family room on the bedroom level. The original owners kept horses in the meadow below the home, but currently it is maintained as lawn space.
Enjoy sunrises over the Cascades & the view across the harbor & Penn Cove to Mt Rainier in the distance. You’ll have a front row seat to the fireworks at Windjammer Park & the boats heading out for races in Penn Cove. The gas fireplace, teak floors, and windows on all 4 sides add warmth to this spacious end unit condo with almost 2200 square feet of living space. Incredible location on the Oak Harbor waterfont a short distance to shopping & restaurants, o& enjoy the 80+ acre park right next door. Full ADA elevator access, a private garage, separate 200 suare foot shop or hobby space, & direct gated access from Waterside condos to the beachfront trail and boardwalk!
Located less than 5 minutes from West Beach & the state and county parks, this home is perfectly located for outdoor living! Close to the community park, this almost-new home features large rooms with vaulted ceilings in the Living & Dining Room, large decks for entertaining, & a luxurious Master Bath retreat for relaxing in the main floor master suite. The spacious yard has room to garden, play, & entertain. Walk to the High School, and convenient to main base & shopping.
Located in the marina community of Mariner’s Cove, this mid-century modern home clings to the hillside with incredible views of the Cascade Mountains and the waters of Saratoga Passage. The open design and loft living are accented by orange shag carpet, wood panelling, and psychedelic wallpaper. The best of the 70′s!
Welcome to 2129 West Beach Road. This waterfront home for sale on Whidbey Island is located just 5 minutes from Oak Harbor, on a high bluff overlooking Puget Sound, just south of Joseph Whidbey State Park. With 3037 square feet all on one level, this home has plenty of room to stretch out, while being easily accessible for all generations.
The home was designed for entertaining, with a large great room and family kitchen with views of the water, and a fireplace for cool evenings. The kitchen features two islands, one with a breakfast bar and sink facing the water. There is a large Dining Room for formal entertaining, and a library for private relaxation.
There are also three very large bedrooms, two of which have private bathrooms, and the third has private access to the third bath. There is also a large sunroom facing the view.
But of course, the greatest feature of this gracious home is its location on the waterfront on Whidbey Island.
The pictures don’t do this home justice, it must be seen in person. Contact Hal Hovey at (360) 929-0261 for a private showing.