Tony Meier - EastsideHomesBlog.com

Summary of the new Housing Stimulus Bill

Tony Meier — Fri, 01 Aug 2008 11:19:23 -0700

H.R. 3221, the “Housing and Economic Recovery Act of 2008,” passed the House on July 23, 2008, by a vote of 272-152. On Saturday, July 26, 2008, the Senate passed the bill by a vote of 72-13. The President signed the bill on July 30, 2008. The bill includes the following provisions:

GSE Reform – including a strong independent regulator, and permanent conforming loan limits up to the greater of $417,000 or 115% local area median home price, capped at $625,500. The effective date for reforms is immediate upon enactment, but the loan limits will not go into effect until the expiration of the Economic Stimulus limits (December 31, 2008).
FHA Reform – including permanent FHA loan limits at the greater of $271,050 or 115% of local area median home price, capped at $625,500; streamlined processing for FHA condos; reforms to the HECM program, and reforms to the FHA manufactured housing program. The downpayment requirement on FHA loans will go up to 3.5% (from 3%). The effective date for reforms is immediate upon enactment, but the loan limits will not go into effect until the expiration of the Economic Stimulus limits (December 31, 2008).
Homebuyer Tax Credit - a $7500 tax credit that would be would be available for any qualified purchase between April 8, 2008 and June 30, 2009. The credit is repayable over 15 years (making it, in effect, an interest free loan).
FHA foreclosure rescue – development of a refinance program for homebuyers with problematic subprime loans. Lenders would write down qualified mortgages to 85% of the current appraised value and qualified borrowers would get a new FHA 30-year fixed mortgage at 90% of appraised value. Borrowers would have to share 50% of all future appreciation with FHA. The loan limit for this program is $550,440 nationwide. Program is effective on October 1, 2008.
Seller-funded downpayment assistance programs – codifies existing FHA proposal to prohibit the use of downpayment assistance programs funded by those who have a financial interest in the sale; does not prohibit other assistance programs provided by nonprofits funded by other sources, churches, employers, or family members. This prohibition does not go into effect until October 1, 2008.
VA loan limits – temporarily increases the VA home loan guarantee loan limits to the same level as the Economic Stimulus limits through December 31, 2008.
Risk-based pricing – puts a moratorium on FHA using risk-based pricing for one year. This provision is effective from October 1, 2008 through September 30, 2009.
GSE Stabilization – includes language proposed by the Treasury Department to authorize Treasury to make loans to and buy stock from the GSEs to make sure that Freddie Mac and Fannie Mae could not fail.
Mortgage Revenue Bond Authority – authorizes $10 billion in mortgage revenue bonds for refinancing subprime mortgages.
National Affordable Housing Trust Fund – Develops a Trust Fund funded by a percentage of profits from the GSEs. In its first years, the Trust Fund would cover costs of any defaulted loans in FHA foreclosure program. In out years, the Trust Fund would be used for the development of affordable housing.
CDBG Funding – Provides $4 billion in neighborhood revitalization funds for communities to purchase foreclosed homes.
LIHTC – Modernizes the Low Income Housing Tax Credit program to make it more efficient.
Loan Originator Requirements – Strengthens the existing state-run nationwide mortgage originator licensing and registration system (and requires a parallel HUD system for states that fail to participate). Federal bank regulators will establish a parallel registration system for FDIC-insured banks. The purpose is to prevent fraud and require minimum licensing and education requirements. The bill exempts those who only perform real estate brokerage activities and are licensed or registered by a state, unless they are compensated by a lender, mortgage broker, or other loan originator.

For more infomation go to: http://www.realtor.org/press_room/news_releases/2008/president_signing_housing_bill

Just Reduced 15k! - Sammamish Listing - Fantastic Townhome in Highland Parc!

Tony Meier — Thu, 17 Jul 2008 18:13:25 -0700

Sammamish Listing
By: Tony Meier

Just reduced 15K - Incredible value in a great location!

Terrific townhome in Highland Parc. In fantastic condition, it features 3 bedrooms, 2.25 baths, 1389 s.f. with a two car garage and a lush greenbelt to the front!

381 227th Lane NE, Sammamish WA 98074 - $345,000

Fantastic 3 bedroom, 2.25 bath, 1389 s.f, townhome in desirable Highland Parc. This private setting is just minutes to Downtown Redmond and Downtown Issaquah! Spacious living & dining room with 9 foot ceilings, is filled with light and includes a cozy gas fireplace with wood mantle. Large kitchen with maple cabinets, tile counters & breakfast bar - all appliances are included! Just off the kitchen is a private deck - great for BBQing or entertaining. Powder room and full-size laundry (washer & dryer incl.) is also on the main level. Large master suite with walk-in closet, double vanity and oversized shower. Two additional bedroom are very spacious. Full bath in the hall for your guests. Natural millwork & solid wood doors throughout. Two car attached garage with ample room for extra storage. The unit looks out to an expansive common grass area - great for relaxing or play. The well maintained complex has several open areas and two play structures. Outstanding Lake Washington schools - Mead Elementary, Inglewood Jr High, & Eastlake High. Convenient located with shopping & restaurants across the street and easy access to Microsoft, 520 & I90!

Full details at http://SammamishTownhome.com

Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com

Monday's Market Update - King County Median Price Continues to Rise!

Tony Meier — Mon, 07 Jul 2008 18:50:39 -0700

Hey Chicken Little.... the sky has not fallen!

If you believe everything you read in the press, you would think real estate values are plummeting and all of the homes on the Eastside and Seattle are short sales or foreclosures! While the incidences of these events has definitely risen - especially in South King County, don't write the King County Real Estate Market off just yet!

The Puget Sound real estate market built inventory heavily last year which lead to the decline of the absorption rates -or- supply vs. demand. The King County absorption rates has held steady for the last 9 months at approximately 15% of the inventory going from active to pending each quarter - which translates into about 7 months of inventory. These are not great conditions, especially when looked at from the perspective of the 2004-2006 which all showed double digit gain in King County median home price. But, they are also not as terrible as some would have you believe and may mean our market is begin to bottom out.

Here are the facts: King County's median price is off from the highs of last year and the median price is off when you compare 2008 vs. 2007 month over month, but the YTD median price has risen over 1% this year. If you look at June alone, it is up 3.3% ($435,000 to $449,700) from the start of the year. That is by no means "doom and gloom"!

Here is how King County's Median single family home price shakes out...

In January we started with a median price of $435,000 - it was $429,495 in January 2007

By June our YTD median price has risen to $440,000 and the median price for the month alone was $449,700!

Does this mean the Seattle real estate market has reached the bottom? With the current absorption rates in King County, the buyer will remain in control which means real estate values will remain soft until the market returns to a more balanced position.

Also, the median price does not track house size in it's number. Every study I have seen shows while the median price remains resilient, the average price per square foot is down. So if the average 2000 s.f. home on the Eastside was selling 225 per square foot last year, it is probably selling closer to 200 per square foot this year.

So the conditions are not black and white - what should you do?

Sellers looking to cash out: Unless you are moving to an area that is more challenged and/or has more opportunities... or you need the money from your home within the next year or two, it may be best to hold on.

Buyers -and- Sellers looking to move up: If you are wanting to buy and are waiting for the bottom... you may not have much longer to wait. Remember though... you will only know when the King County market has bottomed, when it is past.

Real Estate is on sale today and it not this way often! With 20 years experience, I look upon this market and only recall one other time I have seen these type of conditions and it was when I first began my career.

If you have any questions or would like take advantage of the opportunities that exist in this market, I welcome you to contact me.

Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com

Just Reduced to 345K! Sammamish Listing - Fantastic Townhome in Highland Parc!

Tony Meier — Fri, 27 Jun 2008 19:15:00 -0700

Sammamish Listing
By: Tony Meier

Terrific townhome in Highland Parc. In fantastic condition, it features 3 bedrooms, 2.25 baths, 1389 s.f. with a two car garage and a lush greenbelt to the front!

381 227th Lane NE, Sammamish WA 98074 - $359,950

Full details at http://SammamishTownhome.com

Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com

Redmond Listing - Home In The Meadows - Approx 1.2 Miles to Microsoft!

Tony Meier — Fri, 27 Jun 2008 18:51:07 -0700

Redmond Listing
By: Tony Meier

Wonderful multi-level home in The Meadows. Completely updated, it features 2 bedrooms, 2.25 baths, Den, 1690 s.f. on a lushly landscaped 7000 s.f. lot backing to a greenbelt!

6012 158th Way NE, Redmond WA 98052 - $475,000

Wonderful multi-level home in The Meadows! Completely remodeled & updated with energy efficiency in mind, the home features 2 bedrooms, 2.25 baths, 1690 s.f. on a lushly landscaped 7,000 s.f lot backing to a greenbelt. Skylights, vaulted ceilings, bamboo & oak floors - give the home an open & airy feel. Elegant living & dining room with a wall of windows overlooking greenbelt, gas fireplace, Italian tile mantel & slider to deck. Gourmet kitchen with Italian tile counters, new cabinets & appliances - including a wine cooler! Attached nook has a full wall of storage cabinets & slider to the rear deck too. The loft provides a light-drenched space for an office or guest area with a futon. Wonderful master bedroom with walk-in closet & door to private deck & yard. The gorgeous master bath is a lush retreat with marble double vanity, slate floors, bidet & shower over tub. The guest room is also spacious with a double closet. Main bath off the hall is also updated. Spacious laundry room - washer & dryer included! Unusual for The Meadows, the yard is fully fenced & backs to a greenbelt for a very private setting. You’ll enjoy entertaining on the deck or gardening in the lush beds that surround the home. Neighborhood dues cover front & rear mowing, use of the pool, cabana & play area. Outstanding Lake Washington schools. Approximately 1.2 miles to Microsoft’s main campus. Enjoy easy access by trail to Downtown Redmond - Parks, Shopping & Fine Dining.

Full details at http://HomeInRedmond.com

Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com

Monday's Market Update - Eastside Condos

Tony Meier — Mon, 23 Jun 2008 15:26:20 -0700

Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor

This week we will be looking at the Condo market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep this in mind:

1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com

2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.

3. When measuring the heat of the market, the following rules apply:

a. 12 weeks or less = Seller’s Market

b. 12-24 weeks = Balanced Market

c. 24 or more weeks = Buyer’s Market

We'll it looks like the condo market is generally favoring the buyer at this point. Most areas showed slowing as comnpared to 4 weeks ago.

Condo Only, NWMLS Area 500 (Bellevue, South of I-90) = 30.8 weeks of inventory (was 27.2 four weeks ago)

Condo Only, NWMLS Area 510 (Mercer Island) = 22.3 weeks of inventory (was 21.7 four weeks ago)

Condo Only, NWMLS Area 520 (Bellevue, West of 405) = 57.8 weeks of inventory (was 30.9 four weeks ago)

Condo Only, NWMLS Area 530 (Bellevue, East of 405) = 27.7 weeks of inventory (was 28.3 four weeks ago)

Condo Only, NWMLS Area 540 (East of Lake Sammamish) = 32.0 weeks of inventory (was 33.7 four weeks ago)

Condo Only, NWMLS Area 550 (Redmond/Carnation) = 33.3 weeks of inventory (was 22.9 four weeks ago)

Condo Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 33.9 weeks of inventory (was 30 four weeks ago)

Condo Only, NWMLS Area 600 (Juanita/Woodinville) = 40.4 weeks of inventory (was 36.9 four weeks ago)

If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com

Posted By:
Tony Meier
Eastside & Seattle Realtor
425-466-1000
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com

4th of July Events - Seattle and the Eastside

Tony Meier — Fri, 20 Jun 2008 20:37:12 -0700

Looking for a" bang up" time this 4th? Check out these great events!

EASTSIDE

Bellevue Family 4th
Bellevue Downtown Park
4:30 pm - C-17 Flyover from McChord AFB
6 pm - Live bands begin playing
9:30 pm - Bellevue Philharmonic performance
10:05 pm - Fireworks Display begins
www.bellevuedowntown.org

Bothell’s Freedom Festival
Throughout Bothell
8 am - Pancake Breakfast, Downtown Fire House
11 am - Children’s Parade, Main Street
12noon - Forth of July Parade, Main Street
2 pm - Battle of Concord Re-enactment, Landing
www.bellevuedowntown.org

Issaquah’s Down Home 4th of July
Celebration & Heritage Festival
The Depot
11 am - Heritage Festival begins
11 am - Kids, Pets ‘N Pride Parade
www.ci.issquah.wa.us

Celebrate Kirkland
Downtown & waterfront
12noon - Fourth of July Parade & Rotary Picnic
10 pm - Fireworks, downtown waterfront parks
www.explorekirkland.com

Monroe’s Demolition Derby & Fireworks
Evergreen Speedway
12noon - Speedway Opens
Dusk - Fireworks display
www.evergreenspeedway.net

Renton’s Fabulous Fourth of July
Coulon Beach Park
12noon - Festivities: kids’ activities, games, face painting
1pm - Stage entertainment begins
10pm - Fireworks display
www.rentonwa.gov

Woodinville Bluesfest
Wilmont Gateway Park
5 pm - Festivities: food, live music, arts, crafts
www.ci.woodinville.wa.us

SEATTLE AREA

4th of Jul-Ivar’s Extravaganza
10pm-ish - Fireworks display over Elliott Bay
www.ivars.net

WaMu Family 4th at Lake Union
Gas Works Park
Noon - Festivities: food, crafts, games, kids’
activities
10pm - Fireworks display over Lake Union
www.wamufamily4th.org

Fourth of July Annual Dinner Cruise
Argosy Cruises, Pier 56, Seattle Waterfront
8pm - Cruise sets sail around Elliott Bay and Puget Sound. Cruise ends at 11pm.
www.argosycruises.com

Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com

Monday's Market Update - Eastside Residential

Tony Meier — Mon, 16 Jun 2008 20:24:13 -0700

Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor

This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:

3. When measuring the heat of the market, the following rules apply:

a. 12 weeks or less = Seller’s Market

b. 12-24 weeks = Balanced Market

c. 24 or more weeks = Buyer’s Market

Another mixed bag this week, with only slight declines or improvements. It does appear that inventory is continuing to build, with most areas showing 40+ weeks of inventory now. We usually build inventory as we move toward summer and it looks like this year will be no different!

Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 42 weeks of inventory (was 41 four weeks ago)

Residential Only, NWMLS Area 510 (Mercer Island) = 42.5 weeks of inventory (was 32.7 four weeks ago)

Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 56.4 weeks of inventory (was 57.4 four weeks ago)

Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 29.2 weeks of inventory (was 26.7 four weeks ago)

Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 34.5 weeks of inventory (was 32 four weeks ago)

Residential Only, NWMLS Area 550 (Redmond/Carnation) = 28 weeks of inventory (was 30.7 four weeks ago)

Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 46.9 weeks of inventory (was 63.5 four weeks ago)

Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 42.7 weeks of inventory (was 39.9 four weeks ago)

If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com

Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com

Bad MLS Photo Friday - Would you pay 50k for these photos of your home?

Tony Meier — Fri, 13 Jun 2008 18:56:14 -0700

Here is this week’s installment featuring the pathetic photographic skills of my colleagues here in the Northwest.

I wish I could say I had to look hard to find these photos, but unfortunately I don't. Here are this weeks gems. Notice the nice dark spot on the floor where the built in flash was obstructed by the lens... and of course no tripod!

This home is on the Eastside. The average commission for a home in this area and price range would be about $50,000. I would be embarrassed to put this quality of photos on $200,000 condo, let alone a home with a value approaching one million dollars!

Sellers - Before you list with an agent make sure they can prove to you that they can use a camera with skill or will hire a professional photographer who can. If they can't do either, then find another agent. Your home deserves it best chance of selling in the market and high quality photos is the way to start!

Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com

Thinking of Selling??? Don't just call any Realtor... Talk to Tony!

Tony Meier — Tue, 10 Jun 2008 18:01:06 -0700

I brought this home to market on April 3rd 2008 for $750,000. By April 17th, we had received multiple offers and the home sold for $760,000! This was great news of course, but my client's referrence was the best part!

“Tony is by far the best real estate agent I have ever worked with. I first met him by recommendation when moving to Redmond in 1998. He was our agent when buying in a sellers market and helped me find a home in a reasonable time.

Now in 2008 we are moving to the East Coast and in a buyers market. Tony again helped us market our home and sell it in 13 days. We have been more than satisfied with the results. Tony has always been very professional and a joy to work with. He clearly understands the market and buying and selling process, and communicates very well. Tony gets my highest recommendation.”

Bob (and Martha) Cottingham

This is why I have been in the business for the last 19+ years! Not just to sell homes, but to build advocates for my business!

If I can help you or someone you care about with a real estate need, please give me a call at 425-466-1000.

Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com