real estate in Lake Oswego Archives - Page 137 of 141

March 19, 2009

It’s Spring Break! Where Teens Go in LO…

Lake Oswego is known far & wide for its family-friendly environment and involved citizenry. The schools here are excellent, there are clubs and outlets for all kinds of interests, and of course a myriad of programs for kids of all ages. I wanted to take a moment to highlight a terrific resource called the “McKenzie Lounge for Teens”.

The McKenzie Lounge is located in the West End Building at 4101 Kruse Way. The Youth Action Council, YAC, and other generous donors have made sure that it is packed with the kinds of things teens find inviting, including: a pool table, foosball table, ping pong table, TV’s, couches, comfy chairs, bean bag chairs, video games, refreshments and plenty more. It was designed specifically for teens by Janet Bocci, as well as YAC and parks and recreation staff members.

According to the city’s website, drop-in hours are 6-9PM Monday thru Friday for all teens ages 12-18 who want to come and hang out with friends and/or meet new ones. After school it is open to Jr. High teens from 3-6PM for the After School Program. Since its inception in the Fall of 2007, it has hosted over 3,000 visitors, not including special events like Java Jam, LakeFest and others (figures as of November 2008). The Lounge is also the magnet meeting place for all teen groups such as YAC, the JavaJam Planning Committee, The After School Activity Program (ASAP) and clubs from both high schools including Ping Pong Club and Reflections.

The best thing about the McKenzie Lounge however, is that teens actually report enjoying it! For instance, during the election, the Lounge hosted a series of “Debate ’08” nights featuring the Presidential and Vice Presidential Debates, opportunities for lively discussion, as well as food and extra credits from social studies teachers. The debate series attendance reportedly totaled 115 students, drop-in attendance is reportedly growing by 25% every three months, and teens have been quoted as saying that the McKenzie Lounge ranks right up there with Taco Bell and the video game store as cool hang-out choices.

With Spring Break upon us, upcoming activities include March Madness games and March’s Java Jam featuring two musical guests and YAC’s “Project Runway” contest.

In addition to the ongoing happenings at McKenzie Lounge, Lake Oswego offers more fun teen activities this Spring Break including: Ski and Snowboard Camp at Timberline Ski Resort, Glow-In-The-Dark-Bowling, Rock Climbing and a Portland Lumberjacks field trip. Check out the city’s website (link above) for more information!

March 16, 2009

Market Activity for March 9-15, 2009

Last week in Lake Oswego there were 16 new listings, 8 houses that went pending, and 2 closed sales. A trend I have been watching appears to be continuing. When I look at Days on the Market, it seems like houses are either selling very quickly or very slowly. 3 of the 7 pending sales went into escrow in a week or less of market time. 3 more sold within about 2 months. The last two had extended market time of 236 and 426 days. Of the closed sales, one sold in 4 days and one sold in 243 days. I think this is reflective of changing attitudes of sellers. People who listed their homes in late 2007 and early 2008 are being stubborn about accepting the decline in values that has occured and are either sitting on high prices or dropping prices in such away that they are behind the market trends. Whereas sellers listing today, who are listening to their Realtor and pricing their homes at values that will meet market conditions, are realizing quick sales at or near their asking prices. Buyers are smart. They are watching the market and recognizing value when they see it. Correct pricing is King.

NEWLY LISTED (March 9—March 15, 2009)

Address	List Price	# BR	# BTHS	Total SF	Prop Type	List Date
4 TOUCHSTONE	$159,900	3	2.1	1,350	ATTACHD	3/11/2009
4000 CARMAN DR	$184,500	2	2	1,100	CONDO	3/9/2009
166 OSWEGO SMT	$229,900	2	2	1,506	CONDO	3/13/2009
668 MCVEY AVE	$260,000	3	1.1	985	CONDO	3/12/2009
140 TOUCHSTONE CT	$339,900	3	2.1	1,964	ATTACHD	3/12/2009
4366 WOODSIDE CIR	$349,000	3	2	1,762	ATTACHD	3/12/2009
16890 CORTEZ CT	$349,000	4	3	2,016	DETACHD	3/13/2009
4420 GOLDEN LN	$349,000	3	3.1	2,165	ATTACHD	3/10/2009
5402 CARMAN DR	369900	3	1	1,720	DETACHD	3/9/2009
45 TANGLEWOOD DR	399999	5	3.1	3,166	DETACHD	3/12/2009
1462 Worthington ST	424000	4	3	1,800	DETACHD	3/9/2009
2961 DELLWOOD DR	525000	3	3	2,476	DETACHD	3/14/2009
2550 SOUTHSHORE BLVD	550000	4	3.1	3,472	DETACHD	3/11/2009
1699 VILLAGE PARK LN	675000	3	2.2	2,936	DETACHD	3/9/2009
115 BERWICK RD	998000	4	3.1	4,000	DETACHD	3/13/2009
356 9TH ST	1199000	3	3.1	3,647	DETACHD	3/10/2009

PENDING SALES (March 9—March 15, 2009)

Address	List Price	# BR	# BTHS	Total SF	Prop Type	CDOM
4 TOUCHSTONE	$76,500	3	2.1	1,351	CONDO	7
127 OSWEGO SMT	$184,900	2	2	1,212	CONDO	0
5487 TUALATA CT	$259,000	3	2	1,200	DETACHD	236
790 BOCA RATAN DR	$259,900	3	2	2,112	DETACHD	35
1140 HALLINAN CT	$339,895	3	2	1,875	DETACHD	3
845 LAKE FOREST DR	$399,000	3	1.1	1,359	DETACHD	68
662 9 th ST	$975,000	5	3.1	4,108	DETACHD	63
14066 Goodall RD	$1,629,000	4	3.1	4,220	DETACHD	426

SOLD (March 9—March 15, 2009)

Address	O/Price	Close Price	# BR	# BTHS	Total SF	Prop Type	CDOM
16978 CANAL CIR	$350,000	$350,000	3	2	1,962	DETACHD	4
22 HOTSPUR ST	$799,000	$627,325	6	3.1	4,259	DETACHD	243

Criteria: Statistics given above are obtained from the Realtor’s Multiple Listing Service by searching condos, attached homes, manufactured homes and detached homes in the 97034 and the 97035 zip codes. DOM means Days on the Market and CDOM means Cumulative Days on the Market.

March 13, 2009

Open Houses for Sunday, March 15th

According to the RMLS, there will be 21 houses held open in Lake Oswego this Sunday, including my listing at 4447 Golden Lane in Mt. Park. It’s a very nice1600 square foot townhouse with 2 bedrooms and 2.5 baths. I’ll be there from 2 to 5 pm. I’d love to have you come by.

44 Eagle Crest Dr, $129,900, 798 sq. ft., 1 BR, 1 BTH, open 1-3

4447 Golden Ln, $264,900, 1600 sq. ft., 2 BR, 2.5 BTHS, open 2-5

5054 Foothills Dr, $278,500, 1312 sq. ft., 2 BR, 2 BTHS, open 1-3

1685 Mapleleaf Rd, $365,000, 1433 sq. ft., 3 BR, 2 BTHS, open 1-4

15 Masaryk St., $375,000-$399,000, 3680 sq. ft., 4 BR, 3 BTHS, open noon-3

5675 Childs Rd, $419,000, 1644 sq. ft., 2 BR, 2.5 BTHS, open 1-4

2838 Greentree Rd, $429,950, 1781 sq. ft., 4 BR, 2.5 BTHS, open 1-3

14431 Orchard Springs Rd, $439,900, 1960 sq. ft., 4 BR, 2.5 BTHS, open 2-4

41 Hillshire Dr, $499,000, 2670 sq. ft., 4 BR, 3 BTHS, open 1:30-3:30

8 Walking Woods Dr, $499,900, 3402 sq. ft., 4 BR, 3 BTHS, open 1-4

5807 Ridgetop Ct, $519,900, 2660 sq. ft., 5 BR, 2.5 BTHS, open 1-4

624 Livingood Ln, $559,000, 2596 sq. ft., 4 BR, 3 BTHS, open 1-3

3254 Duncan Dr, $575,000, 3997 sq. ft., 4 BR, 3.5 BTHS, open 2-4

550 Middlecrest Rd, $749,900, 2240 sq. ft., 3 BR, 2.5 BTHS, open noon-2

15422 Boones Way, $879,000, 2586 sq. ft., 4 BR, 2.5 BTHS, open 1-5

18051 Kelok Rd, $899,000, 3670 sq. ft., 5 BR, 3.5 BTHS, open 11-1

3030 Westview Ct, $948,000, 3415 sq. ft., 4 BR, 2.5 BTHS, open 2:30-4

18106 Pilkington Rd, $1,095,000, 3575 sq. ft., 4 BR, 4.5 BTHS, open 11-1

17600 Upper Cherry Ln, $1,163,000, 3867 sq. ft., 4 BR, 3.5 BTHS, open 2-4

100 Girabaldi St, $1,199,000, 4669 sq. ft., 5 BR, 3 full + 2 half BTHS, open 1-4

785 7th St, $1, 290,000, 4043 sq. ft., 4 BR, 3.5 BTHS, open 1-4

Have a great weekend!

March 11, 2009March 11, 2009

3.875% Fixed Rate Mortgages

There is currently in Lake Oswego a very large volume of new construction, “spec” homes that are for sale. A spec house is a house built by a builder who does not yet have a buyer at the time it is built. The idea is that they will be able to sell the house while it is being built or as soon after it is constructed as possible. In a good real estate market it is pretty low risk and allows builders to make a good living. But when the market is slow, like it is right now, it is extremely high risk and forces builders into bankruptcy and the unsold homes into foreclosure. There is a local lender, Banner Bank, that is trying to do something about this problem.

What they are doing is offering 30-year, fixed-rate mortgages, at 3.875% (APR is 3.973%) to buyers who purchase one of the spec houses on which they are holding the construction loan. They have over 250 houses that this applies to in Oregon and Southwest Washington, 46 of which are here in Lake Oswego.

These loans are made possible because Banner Bank has borrowed money from the US Government that is available as a result of the TARP (Troubled Asset Relief Program) money. While I hate the fact that our country is in the mess that it is currently in, I am pleased to see that the government stimulus is finally trickling down to a tangible level.

The properties upon which these loans can be made here in Lake Oswego inlcude some very nice condominiums in First Addition, a great new neighborhood in Palisades, and quite a few luxury homes. It really is an opportunity that will benefit people who are ready and able to buy right now. While standard interest rates are currently hovering at right around 5%, getting an interest rate at 3.875% would have a direct impact on how much house you can afford to buy. Here’s an example: buying a $600,000 house, putting 20% down, and getting a standard loan at 5%, would give you a house payment of $2576 (principle and interest). Using the same scenario, but using the 3.875% interest rate, that same home would now have a payment of $2,257. The savings in over $300 per month.

This program is available in amounts up to $1,000,000 with no increase in rate for a jumbo mortgage. A jumbo mortgage in standard lending is a loan amount that is greater than $417,000 and can have interest rates that are substantially higher than rates for homes that are under $417,000. So the savings becomes even greater if the loan is in the jumbo category.

Buyers do need to qualify for these mortgages with verifiable income and sound credit. If a buyer has less than 20% to put down, there are additional options for them that involve a slightly higher interest rate of 4.875%.

It is also important to know that this program is currently being offered with a deadline of March 22nd. The program exists because Banner Bank wants to get these houses sold and they want them sold now.

If you would like additional information about this program, please visit the Banner Bank website by clicking here. If you would like addtional information about the homes that are for sale and that are offering this financing, please contact either Linda or myself, and we would be happy to send you a list of properties.

March 9, 2009

Market Activity Update – March 2nd – 8th, 2009

Lake Oswego saw 13 new properties hit the market last week (these are properties that are brand new on the market -or- have been off the market for a minimum of 30 days). There were actually 27 properties showing “new” on RMLS in Lake Oswego and as you can see, only 13 of them were truly new listings. We had 3 go pending, and 4 that closed.

There are all told, 300 residential properties for sale in Lake Owego on RMLS right now ranging from $76,500. to $19,500,000.

Now that we are into Daylight Savings Time, and are seeing the first hints that Spring is on the way, market activity typically begins to increase. There are many reasons for this, but the beautiful flowering of trees and gardens we’ll see shortly, teasers of sunny stretches (that make us think it is Summer already!), and of course the perception of longer days are not to be underestimated… I call these “human factors”. But then, all home buying and selling is based on human factors. Speaking of which… Is there a change you have been wanting to make in your life through buying and/or selling a home? If so, we would of course be happy to serve you in making your dreams a reality. Feel free to call or email anytime… We love hearing from our local and out-of-state readers, and enjoy meeting you and getting you settled in Lake Oswego!

Here is the latest market activity for Lake Oswego (see below the tables for additional notes):

NEWLY LISTED (March 2—March 8, 2009)

Address	List Price	# Beds	# Baths	Tot. SF	Prop Type	List Date
44 EAGLE CREST DR	$124,950	1	1	798	CONDO	3/4/2009
86 KINGSGATE RD	$161,000	2	2	840	CONDO	3/2/2009
48 EAGLE CREST DR	$208,000	2	2	1,489	CONDO	3/8/2009
197 OSWEGO SMT	$264,197	2	2	1,383	CONDO	3/3/2009
605 Ash ST	$279,900	3	2	1,528	DETACHD	3/4/2009
2001 BONNIEBRAE DR	$299,000	3	2.1	1,819	ATTACHD	3/2/2009
1140 HALLINAN CT	$339,895	3	2	1,875	DETACHD	3/8/2009
5785 SW CARMAN DR	$364,800	3	1.1	1,934	DETACHD	3/4/2009
907 BULLOCK ST	$369,950	4	2	2,020	DETACHD	3/4/2009
5675 CHILDS RD	$419,000	2	2.1	1,644	DETACHD	3/5/2009
2838 GREENTREE RD	$429,950	4	2.1	1,781	DETACHD	3/3/2009
550 MIDDLECREST RD	$749,900	3	2.1	2,240	DETACHD	3/4/2009
100 3RD ST	$2,495,000	3	3.1	3,600	DETACHD	3/2/2009

PENDING SALES (March 2—March 8, 2009)

Address	List Price	# Beds	# Baths	Tot. SF	Prop Type	CDOM
5063 FOOTHILLS DR	$230,000	2	2	991	CONDO	8
3190 DUNCAN DR	$289,900	3	2.1	2,401	DETACHD	80
1265 ROCKINGHORSE LN	$444,000	4	3	2,402	DETACHD	237

SOLD (March 2—March 8, 2009)

Address	O/Price	Close Price	# Beds	# Baths	Tot. SF	Prop Type	CDOM
136 OSWEGO SMT	$142,000	$140,000	1	1	764	CONDO	10
3433 MCNARY PARKWAY	$189,900	$167,000	2	2.1	1,208	CONDO	105
95 KINGSGATE RD	$325,000	$314,500	3	2.1	1,669	DETACHD	51
353 ASH ST	$409,900	$409,000	3	3.1	2,765	DETACHD	96

Criteria: Homes in the 97034 and 97035 zip code, listed, pending or sold between the dates listed above as reported by the Regional Multiple Listing Service (RMLS). DETACHD refers to Single Family Detached Residence, MFG refers to manufactured housing, and ATTACHD refers to single-family residences with some portion of the structure attached to another property, but not constituting CONDO ownership. DOM stands for days on market, or the number of days from when the listing became active and when it received an acceptable offer. CDOM stands for cumulative days on market, which includes any re-listing and measures from the initial listing date.

March 6, 2009

Lake Oswego Open Houses – Sunday March 8th, 2009

There are 11 properties to see on Sunday in Lake Oswego. Enjoy!

Here are those that will be held open according to RMLS:

44 Eagle Crest Dr $129,900 1 Bd, 1 Ba Open 1-3

3311 Fir Ridge Rd $459,000 3 Bd, 2 1/2 Ba Open 1-3

3 Cellini Ct $465,000 4 Bd, 2 1/2 Ba Open 12-3

624 Livingood Ln $559,000 4 Bd, 3 Ba Open 1:30- 3:30

3254 Duncan Dr $575,000 4 Bd, 3 1/2 Ba Open 2-4

17960 Ridge Lake Dr $634,900 4 Bd, 2 1/2 Ba Open 1-3

13222 Deerfield Ct $649,000 4 Bd, 2 1/2 Ba Open 1-3

5267 Lakeview Blvd $750,000 4 Bd, 3 1/2 Ba Open 11-1

14133 Amberwood Cir $750,000-800,000 4 Bd, 2 1/2 Ba Open 1-4

14067 Goodall Rd $1,149,000 4 Bd, 3 1/2 Ba Open 12-4

100 Garibaldi $1,199,000 5 Bd, 3 & 2 1/2 Ba Open 2-4

March 4, 2009March 4, 2009

Real Estate “No No’s”

A while back Dianne wrote a post on the Realtors Code of Ethics. I loved that post because I don’t think most people are aware of all the standards to which Realtors are held. It really is great to be in a profession where we are mandated to treat each other and the general public with respect. That mandate then becomes a part of our culture. I notice it in the conversations I have with other Realtors. There definitely is a flavor of deliberate respect that is not always the experience for most of us in the day-to-day “non-real estate” wider world of affairs.

I read something in the recent REALTOR magazine published by the Portland Metropolitan Association of Realtors (PMAR), and written by Jo Becker of the Fair Housing Council of Oregon on subject matter along the same lines that made me think you’d find it interesting. This is regarding words Realtors may and may not use in promoting properties, and the overall guidelines of the Fair Housing Act.

HUD is the federal regulatory body with the power to enforce the Fair Housing Act. Generally speaking, the Fair Housing Act is in place to ensure that discrimination and something called “steering”, among other things, do not inhibit peoples’ right to live wherever the heck they want and are qualified to. It is also set up to ensure that the public receives information about housing that is fair and as free as possible of inaccurate and/or unduly influencing or discriminatory language. “Steering” is essentially trying to influence buyers to live in, or not live in, certain areas based on something other than the buyers’ own parameters for what they want in a new home & neighborhood. Basically, a Realtor is to supply a buyer with options for potential homes based on the information a buyer supplies to the Realtor regarding their wants & needs. A Realtor will often refer a buyer in the overall Portland area to this website: www.PortlandMaps.com where the buyer can enter the address of any property and view all kinds of facts on a property including statistical, demographic and crime information. Buyers are ultimately choosing a home that fits their particular needs, and Realtors are there to assist with service, information and real estate expertise.

The Fair Housing Council of Oregon’s website states plainly:

The Fair Housing Council of Oregon (FHCO) is a civil rights organization with a mission of eliminating housing discrimination through enforcement and education across Oregon and southwest Washington.

We promote equal access to housing by providing education, outreach, technical assistance, and enforcement opportunities specifically related to federal, state, and local fair housing laws. These laws protect against illegal housing discrimination based on “protected class status.”

The federally protected classes are:
race, color, national origin, religion, sex, familial status and disability

There are additional state and local protected classes.

When a Realtor enters listing information into RMLS, it is scanned for potential “no no’s” that are most always either unintentional or erroneous, i.e., as the article I mention elaborates- the RMLS program may highlight the word “white” for the Realtor’s attention when it is only being used as a description for a picket fence etc. A real human at RMLS who understands context always reviews these issues, according to the article. There is no “list” of unnacceptable words as many people believe. It’s all about intention, and about upholding our highest societal values… as well as the law. Some terms can seem to be either benign or on the edge but for their context, for instance, the term “Walk-In Closet” is commonly understood to describe a well-known feature in many homes. As long as the Realtor is not trying to imply a limit on access to someone who is not ambulatory this term is not a problem. “View Property” falls into the same category as long as no one is limiting access to the “view property” to sighted individuals only. The same goes for “Mother-In-Law Suite” and “Bachelor Apartment” according to the article. Where it can become trickier is with words like “near”. Often a house will be described as “Near shopping, transit” etc., which is OK. What is not OK, due to implications that certain people may or may not be welcome in that neighborhood, are things like: “Near ABC Mosque” or “Close to the XYZ Church” or “Near the LMN Jewish Community Center”. It is also not considered proper to refer to specific schools due to the potential for using this technique to promote some schools over others for the same kinds of reasons. It is generally considered all right to refer to school districts as long as this is done consistently throughout a Realtor’s listings.

The article refers to a few blatantly illegal and discriminatory statements that have evidently actually been published on a popular local online service. These are obviously examples of absolute “no no’s” and you will not see these or anything like them on RMLS:

“No minorities”,
“African Americans and Arabians tend to clash with me so that won’t work out”,
“Ladies, please rent from me”,
“Requirements: Clean, Godly Christian Male”,
“Will allow only single occupancy”,
“No children”,
“Christians only”.

These are all clear violations of the Fair Housing Act. Fair Housing Act laws apply in newspapers, flyers, yard signs, verbal statements, and online advertising among other instances & places.

For questions about Fair Housing Laws visit: www.FHCO.org

or call: 503 223 8197 or 1-800 424 3247.

March 3, 2009

Market Activity for February 23-March 1, 2009

Linda and I work very hard to have our weekly market activity reports posted on Mondays. Yesterday was full of computer challenges and created a delay. So you are getting the report on Tuesday. Thanks for your patience.

Lake Oswego had 16 New Listings, 9 Pending Sales, and 9 Closed Sales:

NEWLY LISTED (February 23—March 1, 2009)

Address	List Price	#BR	# BTHS	Total SF	Prop Type	List Date
5063 FOOTHILLS DR	$230,000	2	2	991	CONDO	2/23/2009
15010 TWIN FIR RD	$294,900	8	4	3,526	DETACHD	2/25/2009
13805 REGENCY CT	$419,000	4	2.1	2,045	DETACHD	2/27/2009
16026 PARKER RD	$425,000	3	1	1,670	DETACHD	3/1/2009
3311 FIR RIDGE RD	$459,000	3	2.1	2,112	DETACHD	2/25/2009
20 NORTHVIEW CT	$499,999	3	3.1	2,827	ATTACHD	2/26/2009
2084 RIDGEWOOD RD	$519,900	3	2.1	2,117	DETACHD	2/28/2009
12836 SIERRA VISTA DR	$529,000	3	2.1	2,166	DETACHD	2/26/2009
3140 ROSEMARY LN	619000	4	2.1	3,000	DETACHD	2/27/2009
17675 CARDINAL DR	699000	3	3	3,458	DETACHD	2/23/2009
17751 MARYLCREEK DR	719000	4	3	3,505	DETACHD	2/23/2009
5868 SUNCREEK DR	749900	4	2.1	3,174	DETACHD	2/23/2009
4114 CASEY CT	949000	4	2.1	3,405	DETACHD	2/27/2009
1176 TROON RD	985000	3	2	3,022	DETACHD	2/23/2009
3203 Southshore BLVD	1299900	4	3.1	3,773	DETACHD	2/23/2009
17147 OLD RIVER DR	2795000	5	4.2	5,961	DETACHD	2/25/2009

PENDING SALES (February 23—March 1, 2009)

Address	List Price	#BR	#BTHS	Total SF	Prop Type	CDOM
4640 LOWER DR	$115,000	2	1.1	1,170	CONDO	572
4 TOUCHSTONE DR	$159,500	3	2.1	1,351	CONDO	45
2800 WEMBLEY PARK RD	$374,500	3	2	1,575	DETACHD	10
1228 HALLINAN CIR	$389,000	4	2	1,932	DETACHD	7
4 OTHELLO ST	$399,900	4	3	2,184	DETACHD	111
221 HIDALGO ST	$419,500	3	2.1	2,628	DETACHD	54
16919 LAKERIDGE DR	$449,900	5	3	2,710	DETACHD	189
762 3RD ST	$650,000	3	2.1	2,710	DETACHD	198
1670 PINE ST	679987	4	3.1	3,286	DETACHD	565

SOLD (February 23—March 1, 2009)

Address	O/Price	Close Price	#BR	#BTHS	Total SF	Prop Type	CDOM
44 EAGLE CREST DR	$114,950	$114,950	1	1	798	CONDO	7
86 KINGSGATE RD	$145,000	$145,000	2	2	938	CONDO	31
15848 PARKER RD	$187,500	$177,000	3	2	1,318	DETACHD	17
1400 PARRISH ST	$299,999	$290,000	3	2.1	1,880	CONDO	143
6067 CLAIRMONT CT	$529,000	$510,000	4	2.1	2,344	DETACHD	11
5624 SOUTHWOOD DR	$740,000	$525,000	4	3	3,120	DETACHD	514
5299 WESTFIELD CT	$799,900	$555,000	3	2.1	2,865	DETACHD	156
17561 SHEPHERDS CT	$765,900	$589,000	4	2.1	3,011	DETACHD	347
5406 LANGFORD LN	795000	795000	3	2.1	3,341	DETACHD	0

February 27, 2009

Open Houses for Sunday, March 1st

There are 15 houses being promoted on the RMLS as open houses for this Sunday:

5487 Tualata Ct., $264,900-$279,876, 1200 SF, 3 BR, 2 BTHS, open 1-4

4458 Thunder Vista Ln., $319,000, 2200 SF, 3 BR, 2 1/2 BTHS, open 1-4

16 Partridge Ln., $418,900, 2304 SF, 3 BR, 2 1/2 BTHS, open 1-3

14431 Orchard Springs Rd., $439,900, 1960 SF, 4 BR, 2 1/2 BTHS, open 1-4

624 Livingood Ln., $559,000, 2596, 4 BR, 3 BTHS, open 1:30-3:30

3254 Duncan Dr., $575,000, 3997 SF, 4 BR, 3 1/2 BTHS, open 2-4

340 8th St., $575,000, 1992 SF, 3 BR, 2 BTHS, open 1-3

13222 Deerfield Ct., $649,000, 3022 SF, 4 BR, 2 1/2 BTHS, open 1-3

17751 Marylcreek Dr., $719,000, 3505 SF, 4 BR, 3 BTHS, open 2-4

2688 Rivendell Rd., $835,000, 3720 SF, 4 BR, 3 BTHS, open 1-4

15422 Boones Way, $879,000, 2586 SF, 4 BR, 2 1/2 BTHS, open 1-4

2400 Dellwood Dr., $899,000, 3180 SF, 4 BR, 3 BTHS, open 1-3

3030 Westview Ct., $948,000, 3415 SF, 4 BR, 2 1/2 BTHS, open 2:20-4

5677 Bonita Rd., $968,400, 3603 SF, 4 BR, 3 1/2 BTHS, open 2-4

943 Atwater Rd., $1,150,000, 3874 SF, 4 BR, 2 1/2 BTHS, open 1-4

I am going to mention the property at the top of the list, on Tualata Ct. You’ll notice that the pricing is $264,900-$279,876. This is what is called “value-range pricing”. The representation is that the sellers will consider offers within that range. This is a method of marketing that is occassionally used. I believe it is based upon the theory that the range of pricing will bring in more offers and more quickly. I don’t know that I buy into that school of thought, but it is why it is done.

February 25, 2009

Foreclosures vs. Shortsales

With the state of the current economy, there is a lot of attention being paid to the volume of foreclosures as well as shortsales. These are two different situations that are often confused. I thought it would be helpful to clarify what they are.

A foreclosure is a bank-owned property (also referred to as an REO property). The process of foreclosing on a delinquent home owner has been completed and the bank has the full title to the property and the right to sell that property. A quick look at foreclosures.com shows the very sobering statistic that in Lake Oswego right now there are 90 bank-owned properties, there are 17 properties in pre-foreclosure (behind in their house payments) and 587 properties scheduled for auction. When a home owner falls behind in his or her house payments, there is a multi-month process where the homeowner is notified of the delinquency. The final step of the forclosure is public auction where the mortgage holder takes the property back for the amount of money that is owed on it. Bear in mind that the process takes about nine months. Many of the people currently delinquent or scheduled for auction will find a way to either bring their payments up to date, renegoiate the terms of their loan, or sell the property. So not all of the homes currently delinquent will become bank owned. I’d also like to put these numbers in perspective. Lake Oswego has a population of about 35,000 people. With an average of 2.3 people per household, that is about 15,000 households. And with 694 households either in pre-foreclosure or already bank owned, that is about 5% of the households. Yep, that is sobering.

A shortsale is a house that has a market value of less than what is owed on it and the home owner is attempting to negotiate with their mortgage holder to take a discounted amount so that the property can be sold at current market value. In this instance, the sale of the home will require a third-party approval (the bank), and may or may not happen. The process to get this third party approval can take months (I worked with one that took 6 months), so if you are wanting a home that is a shortsale, be prepared to be patient and realize that the approval may or may not occur.

I am often asked how a buyer can find foreclosure and shortsale properties. The reality is that 99% of them are listed with Realtors and made available on the RMLS. People who are in distress and trying to sell their home as a shortsale hire Realtors. And banks with bank-owned properties hire Realtors to sell their inventory of foreclosures. You don’t need to buy a secret publication or pay for a special list. These properties are available to the public on the RMLS and any Realtor can gather information on them to help assist you with finding that great deal.

Having said that, I have two areas of caution. First, a foreclosure is a much better prospect for purchase if you have a time-line you are trying to accomplish. A foreclosed property that is listed for sale can be purchased within a normal transaction period of 30 to 60 days. Whereas a shortsale can take months and then may not occur at all. Second, when you buy a foreclosure it really is buyer beware. Banks make no representations about the condition of the property and often have their own sale agreements with extensive waivers to protect them from any future liablity. In both circumstances you should be able to make your offer subject to a home inspection.

OK, I have a third thought. Be aware that people who loose their homes are people in financial distress. They go through an extended period where they have no resources to make their house payment much less fix the leaky roof or remodel the ancient kitchen. So be prepared to see houses that are dirty and in need of repair. In addiiton, it is not uncommon for these houses to be stripped of appliances and fixtures. Not all foresclosures and shortsales are project properties, but many are.

So you are looking for the great deal? Sure, check out the foreclosures and the short sales, but don’t close your mind to the good old homeowner who needs to move and is motivated. These people will also often sell at great prices, close in a reasonable time frame, and maybe even vaccume the carpet and polish the granite on their way out. To make the most of the market, look at the entire market.