Lender Referral List

Updated quarterly, here are several lenders I refer to buyers.

1. Rayko Diaz Guild Mortgage

   Loan Officer | NMLS# 94712516100 NW Cornell Rd., Suite 190, Beaverton, OR 97006

   rayko.diaz@guildmortgage.net

   Phone:(503) 439-9191 ext. 2708 Mobile:(503) 522-9057 Fax:(503) 345-2324 Branch:(503) 439-9191

2. Jen Lee
   Loan Officer | NMLS: 3182

   Evergreen Home Loans Oregon Office

   jenlee@evergreenhomeloans.com

   5885 Meadows Rd Suite 600, Lake Oswego, OR  97035

   tel 503.915.2453 fax (877) 732-8520

3. Chelsea Collier

   Loan Advisor | NMLS ID 258317  Fairway Mortgage

   12817 SE 93rd Ave Clackamas, OR 97015

   Cell: 503-997-5373

   Email: chelsea.collier@fairwaymc.com

   Web: www.pdxmortgage.com

4. Brigitte M Erickson

   Branch Manager

   NMLS 471691

   Advantage Mortgage

   Www.brigitteerickson.com

   503-282-1882

5. Shane Chapman

   Loan Officer

   825 NE Multnomah St., Suite 950
   Portland, OR 97232

   O: 503-528-9800 | M: 503-444-0616

   NMLS# 1158948 | Company NMLS # 3274

   Equal Housing Lender

What to Expect when you are Inspecting

What should you expect when you are inspection a house, namely the house you are buying? Here are some home inspection basics for the Portland Metro Area. Click here for a timeline of the home buying process.

1. Full home inspection: This inspection will last 2-4 hours, depending on the size of the house. The inspector will examine all of the systems of the home from roof to basement, furnace to dishwasher. There will be a long list of items that could be repaired and maybe a few things that need to be fixed prior to purchase. Ranges $400-$800, based on size and location of the home.

2. Radon and Sewer Scope: Both are very common in the Portland Metro area, and for old and new houses! Radon is a naturally occurring gas that is a leading cause of lung cancer. If it is found at the home mitigation ranges from $1500-$2500. Sewer scopes check the sewer line from the house to the city main line in the street. Sewer repairs can be thousands of dollars so this inspection is highly recommended, even at brand new houses!

3. Asbestos, Lead Based Paint, Underground Fuel Tanks: Older homes can have a lot of materials that we no longer use, such as asbestos. These tests are recommended based on the age of the property, condition (old house but gutted and rebuilt a few years ago probably doesn’t have lead based paint), and location. An underground fuel storage tank could hold heating fuel for an in use oil furnace, or be abandoned with fuel, or hopefully decommissioned properly and recorded with DEQ.

4. Well and Septic System- Rural properties with one or both of these systems have specific requirements and buyer and seller split these costs. It’s a bigger initial investment into the property, but then you don’t have monthly water and sewer bills!

5. Negotiations and Repairs- De[ending on the price and market, you may negotiate repairs, credits, or a price change. Everything is negotiable, but know the market before you expect a long list of repairs to be done by the seller!

Home Buying Timeline

This is a basic timeline of home buying in Oregon and Washington. This timeline applies after you have a mortgage pre-approval and have an accepted offer on a house you love.

1. Earnest money: Within 3 business days deposit your earnest money (which will go to the down payment at closing) with the Title and Escrow Company. You can use a check, wire transfer, or app if the Title company has one.

2. Inspection period: Begins on the first day after mutual acceptance, and you will have 10 business days in Oregon, 10 calendar days in Washington, to do all inspections and negotiate any repairs or change in purchase terms.

3. Repair negotiations: 3 days after Inspection Period in Washington, and part of the inspection period in Oregon, this is the only time to get the seller to make repairs, contribute funds towards the buyer’s closing costs, or change the purchase price.

4. Appraisal and final loan approval: After the inspection period the appraisal will be ordered by the lender. They will also submit all of the buyer’s financial documents to the underwriter, who will have the final say in approving the buyer and house for the loan.

5. Closing Day and Moving Day: Closing Day and Moving Day be different! Make sure your utilities for the day you will have possession of your new house. Prepare to move on the day you will have possession of your new house!

Selling Your House

Selling your home is one of the most stressful things people go through. Every home and seller has unique aspects and situations. You can count on a few things that will occur with every listing.

5 things to expect when selling your house:

1. Clean and repair: Clean like someone is going to use a white glove and peer behind the furniture. Repair known issues and things that you have been avoiding fixing.

2. Move out, move out 90% of the way, pack up almost everything! The more cleaned out your house is, the better. A vacant and staged home is best, vacant with no furniture is second, lived in and staged is 3rd, and lived in with no staging is 4th best. Use your garage, basement, or storage space to get as much as possible out of the home.

3. Photography, videos, and 3D Matterport of every room. The whole property is for sale and buyers will want to see the whole thing online and in person. The fewer photos the less likely buyers will want to see the house in person.

4. Open Houses and Showings: Open houses are often for the neighbors to get a peak into the house, and that’s ok! Buyers will come to an open house as well, especially in a busy market. Open houses are usually weekend days, and last 2 hours. Other options include weekday “Happy Hours,” long open houses if the house is vacant, and other brokers at my company holding your house open. Showings are easily scheduled through an app, and buyer’s agents can request 30 minute to 24 hours prior to the appointment. The easier it is to show, the more buyer’s agents will like to show the home.

5. Closing Timeline and Moving Out: Closing Day and Moving Day are not the same. Check out my post all about Closing Day! If closing day is your day to be out of the house, then this should be the final goodbyes and touch up nail holes, not run and grab a U-Haul time! The weeks leading up to Closing Day can feel a little empty. We are waiting for the buyer’s lender to approve the loan, you are facilitating any agreed up repairs, or prepping to move to your new home.

More posts in this series: Selling During the Pandemic,

Closing Day Expectations

Daphne on a Closing Day! The sellers had already moved, the buyers would get keys later that day.

Closing day is the day of the real estate transaction where the loan is funded and the deed records with the county. There are several duties that buyers and sellers have just prior to closing. Closing day may not be moving day, here is what you can expect on closing day as a home buyer or home seller.

Home Buyers:

1. Signing loan documents, escrow documents, the new deed, and any other paperwork that goes along with the sale. This will happen at the office of the escrow company and can occur as soon as the loan documents are sent from the lender to escrow. This can occur on the day of closing, but we professionals prefer it happens a day or two prior to closing day. This appointment cannot be scheduled far in advance unless the buyer has very specific scheduling needs.

2. Loan is funded from the lender to escrow, who then takes those funds and pays off the seller’s mortgage, real estate brokers, any liens on the property, and contractors hired during the sale.

3. Recording the deed with the county. This means the house has sold officially!

Home Sellers:

1. Signing the closing documents doesn’t need to wait for the lender, so sellers often sign several days prior to closing day.

2. Final Goodbyes and Thank You to the house. This is your last chance to be at the property if you have already moved out.

3. Escrow pays off the seller’s mortgage, real estate brokers, any liens on the property, and contractors hired during the sale. Proceeds of the sale (the seller’s net gain) is sent to the seller.

4. Recording the deed with the county. This means the house has sold officially!

Possession and closing are different terms. Possession is who gets to “have” the property. In a simple transaction the seller has possession until the sale has recorded with the county, and as soon as it records the buyer then gets possession. I usually specify that buyer possession will occur at 5pm on the day of closing. Other terms can be negotiated, so sometimes the seller has possession of the property for a few days, or even weeks after closing. This is very common, and allows sellers to sell one house, and then buy their next house a day or week later, but only have to move once. It is very uncommon and not encouraged (by attorneys and insurance agents) for buyers to have possession of the house prior to closing.

Everything in real estate transactions can be negotiated, so tell me what you need and I’ll see if I can make it happen!

Selling Your Home During the Pandemic November 2020 Edition

Cozy and Clean interior, a great example of a home that is inviting for a buyer

Selling your home during the pandemic may seem like a daunting task, but I have 5 simple steps that can make it easier. The easiest thing to do, which I’m not even putting on the list, is to call me and I will walk you through the whole process, from deciding to move to finding your next home! Ok, back to why you are reading this post. You are thinking of moving, and you are going to sell your house. You want a home that fits your needs now, and for the future.

The housing market in the Portland Metro Area continues to be incredibly under-supplied, which means that the average sales price is up over $500,000 in Portland, and there 1.1 months of inventory. This makes for a fully fledged, wild and crazy, seller’s market! House sellers’ hold the cards in transaction, but only when they go on the market fully prepped and with a plan.

1. Clean and Cozy- Winter listings in the the Pacific Northwest need to create a welcoming home for buyers driving up in the evening or rain. Extra exterior and interior lights, a bench and rugs by the door for taking off boots/putting on booties, extra towels to wipe the floor, and a warm (temperature) house are all part of selling in the winter. Now let’s add in pandemic safety measures! Booties, extra masks, gloves, hand sanitizer, and bleach wipes by the doors, turn on all the lights and crack open all interior doors, and stage with clean surfaces.

2. Ready for Repairs- If your house is perfect, you get it inspected every few years, and you do all of the needed repairs with the most expensive contractor, then skip ahead. Ok, we don’t do any of those things, right? So, now is the time to have a pre-listing inspection if you aren’t handy. Make any minor repairs you know about, but have been putting off. Plan for a closing costs credit or to do major work as a part of the sale. Every house has things that need to be repaired, and many buyers right now are overlooking issues that would terminate a sale during a more balanced market. But, be prepared for some things to come up, and be flexible with repairs in order to get to the end goal: you are moving to a new house that fits your needs, and you want to be there sooner rather than later.

3. Flexibility for Moving- Buyers are really having a tough time getting into houses right now, and if you are selling but staying in the same area, you are about to be on the other side of this seller’s market. You may need to wait for the house you are buying to be ready for you to move in, usually just a week or so, but maybe up to two months. Other issues with the closing and moving dates are out of our control, like the length of time it takes to close the loan on the house you are selling. Lending institutions and escrow offices are seeing more business than they ever have, loans are taking longer to process, small errors are causing closings to be delayed a day or two, and lots of other things can come up. Be ready to be flexible, and gracious. We are all trying the best we can!

4. New House Ready- You are selling because this house doesn’t fit your needs. The new house fits those needs, and you are ready to move. That doesn’t mean the old house is a bad house, or you hate it, or shouldn’t have bought it. Say goodbye and thank you to the old house. You can make a photo book, draw pictures, talk about favorite memories, think about what made you love the house in the first place, and spend time appreciating all the ways that this house has supported and held you and your family. Say goodbye with a ceremony to make the house open and ready for the new residents.

5. Goldilocks Pricing- Not too high, not too low! Do I need to say more?

For a plan created just for you and your home send me an email through the button below! I am always happy to talk about your real estate plans, goals, and dreams. Need more fun? What I wrote about selling during the pandemic back in May 2020!

7 Years of a Seller's Market

Many are wondering if we are in the middle of a housing bubble. The many economic updates and housing classes I have taken over the last few months are all saying the same thing: NO! Here is a list of why the market is going to stay strong in Portland for many years to come (unless sh*t really hits the fan. Have you voted yet?)

1. Millennials are coming into a strong home buying position (finally) and will be buying and moving up for the next 7 years. While many economists focus on the Boomers, in housing we know that the driving force will be Millennials buying for the 1st, 2nd, or 3rd time, and beginning to become real estate investors. I see this group being a big driver in small development with duplex-fourplexes and multiple ADUs. This community and equity focused group doesn’t want a McMansion, they want financial security.

2. Buying power is still much higher than house prices are nationwide. This means that buyers are approved for much higher than the average house price in their area. Low interest rates, which the Fed is planning on keeping for several years to come, adds to the affordability of housing.

3. Portland housing is undervalued but about $110,000. Look at the graph below, the only overvalued housing markets are the usual California suspects: San Jose, San Francisco, Los Angeles, and San Diego. Now, I do have opinions about why this is the case! Salaries in Portland are much lower than other cities, but with remote work this should be less of a factor for buyers.

4. Home Equity is at an all time high. Much of this wealth is being held by Boomers. I see, and hope to see much much more, wealth being passed down to Millennials now in the form of down payment funds and the gift of remodeling! Do not be afraid to ask for this, the only down side of life expectancy being so long is that wealth is not being passed down every 20 years. Even buyers with great jobs, low student debt, and savings of their own can and should use family funds if they exist.

The green lines represent Mortgage Debt, it’s historically low, and keeps trending down!

5. House Prices usually don’t drop in recessions. The Great Recession of 2007-2009 was unique in that a sick mortgage industry caused the recession, but since 1900 house values have not dropped during recessions. This Covid 2020 Recession has been short lived, with a very quick bounce back. No, this does not apply if you are in the service and hospitality fields. Have you voted yet?

So what does this mean for you? It depends on your real estate and life plans! Houses are very affordable in the Portland Metro Area. Money is cheap to borrow, and there may be a large sum of equity in your house, or your family’s homes, that you can tap into to buy your next home. The market will not be slowing down as we are adding buyers consistently, but there are not enough houses. Supply is low, demand is high. If you would like to see how you can sell and/or buy a home please reach out now! I have clients that range from ready to move next week, to on a 5 year plan. But, first you have to make a plan!

Sources:

Corona-Economy and the Housing Market Rebound from First American Title

The Housing Bubble Boys Blew it in 2020

"Middle Housing" in Oregon and PDX ADU Update

Portland has been a center for developing ADUs (accessory dwelling unit), but not other “middle housing.” That’s about to change with Portland’s Residential Infill Project (RIP). In Portland, and statewide with Oregon House Bills 2001 and 2003. It’s time to get serious about building new housing in our ever growing city for those of us in the middle. That’s me, that’s probably you, that’s pretty much everyone who works in Portland. Single family detached houses are averaging $475,000 now, not exactly first time buyer, or second time buyer, prices! So, we need more housing, we need more affordable housing, and affordable housing that’s not studio apartments. The RIP will allow developers big and small, like a homeowner that wants to build an ADU or to turn rebuild their investment property into a duplex, to build duplexes to quads (fourplexes), cottage clusters, and to have less parking required. Also, this is big, you can now have 2 ADUs on a lot with the main house, either detached or attached! Or attached to each other but not the main house! There are so many new options, please reach out to go through what you can build at your house!

House Bills 2001 and 2003 also help to bring “middle housing” to the rest of Oregon. The biggest change for the better, in my opinion, is that cities of 1000 or more can no longer ban duplex-fourplexes. They must have “areas” where they are legal to build. And, Oregon wrote a “model code” for cities to adopt fully or in part, and that model code is progressive, it goes further than the letter of the law to help cities have more middle housing!

If you are interested in building an ADU, or 2, in Portland, here are some options for what is allowed, and reach out for some fantastic contractor referrals!

Source: Kol Peterson through Earth Advantage, October 2020

Counties with the Fastest Growing Home Values in Oregon

Oregon has 36 counties, and a total population of 4.3 million. You probably know the most populated counties, like Multnomah and Washington, and may have heard of Malheur and Harney in the news more in the last few years. But which counties are growing, and more importantly in my field, which counties have the fastest growing home values? I care about this statistic because real estate is a financial investment and opportunity to build wealth in a lifetime and through generations. What if your great grandfather had bought a home in NE Portland in 1950 for $10,000, and you inherited in today, no mortgage needed? You have the opportunity to plan for a legacy like that for your family or community.

On to the numbers! These counties are ranked by where home values have risen the most, SmartAsset (a financial technology company) used three factors: Property tax rates, school ratings and average home value growth. It then created an index based on an accumulated value from those factors. I’ve listed the county name, it’s County Seat (and usually most known city), and the Home Value Growth Rate calculated by Smart Asset. Of course, school ratings are very tricky, and should be taken with a large grain of salt and lots of research!

If you are have any real estate needs in the Portland Metro Area (including Multnomah, Clackamas, Washington, Yamhill counties and SW Washington) don’t hesitate to reach out to me now!

10. Union County, La Grande

Home Value Growth: 16.09%

9. Jackson County, Medford

Home Value Growth: 16.26%

8. Marion County, Salem (goes east into Cascade Range)

Home Value Growth: 17.48%

7. Yamhill County, McMinnville

Home Value Growth: 22.23%

6. Clackamas, Oregon City

Home Value Growth: 22.79%

5. Jefferson County, Madras

Home Value Growth: 23.03%

4. Crook County, Prineville

Home Value Growth: 23.12%

3. Washington County, Hillsboro

Home Value Growth: 27.62%

2. Multnomah County, Portland

Home Value Growth: 33.03%

1. Deschutes, Bend

Home Value Growth: 34.83%

Source: Portland Business Journal

Fall in Love with Selling in Autumn

Fall is not known as the season to sell your house, but in the Portland Metro Area we have always had a nice little September-October selling bump. August is usually quiet, Realtors and Oregonians take the month off to enjoy the weather! None of our normal real estate patterns are applicable right now, but I am still seeing a lot of buyers and just a few cute listings, which is leading to the market still being too hot and very competitive. If you are getting ready to sell, this fall is a great time, and after you call me, follow these steps and tricks!

1. Create a Cozy Atmosphere: Hygge, Quarantine Trends, Magnolia styling, all of these trends are focused on a warm, inviting, comforting atmosphere. We want it in our own homes, we crave it when looking for a new home. Don’t just strip your home to sell it, add cozy touches like rugs, blankets, candles, soft furniture, and warm autumnal colors.

2. Prep for a Rainy Inspection: Water is the Thing in the Northwest- it is the root of most of the repairs needed in homes from crawl spaces to attics. Go in your basement, crawl space, or attic! Look for water, dampness, mold, and rodents while you are there. No one ever does, and every seller is surprised when things are found. Be proactive and deal with the water now! I can refer an inspector if you need professional help. You can also do more repairs as a home owner before going on the market. If a buyer asks for repairs they will ask for a contractor to do everything. Not only is it super hard to find contractors right now, they also charge for their expertise and are very often booked up for weeks or months.

3. Ready your Yard and Exterior: Clean out gutters, de-moss the roof (do not pressure wash!), rake and remove leaves, and clean out flower beds. Take the next step by planting a fall garden of cabbages and other hardy veggies to keep that abundant feeling flowing into the fall. Welcome buyers with a staged front porch or back patio. We usually have enough sunny days in the fall to dream about stretching our outdoor living into October, so set the stage for the buyers to fall in love!

4. Keep the House Clean: This is a normal part of house selling, but you also need to help buyers and Realtors keep the house clean between showings. Booties are a must, but a bench or stool at the front door will give people a safe place to put them on without going to the couch. We also must have hand sanitizer, and extra masks and gloves. I will help set up a Welcome Zone with a shoe tray, extra rugs and towels, and all our required Covid-19 Safety Gear. Don’t forget the back door! More booties, another seat, and a sign to put on shoes before going out side will keep the backdoor as clean as the front.

5. Have Fun! We all need some fun, and Halloween is a great excuse to make your home stand out. Cute Cozy Decor is of course amazing (see #1) but you can also add some silly decor, like witch legs, pumpkins, black cats, and silly goblins. I would avoid cobwebs, those won’t translate as Halloween, just messy! Spiders and really scary stuff might be too much from some buyers (big or small) so keep it fun!

27% of Buyers are Moving Away

I’ve spent a lot of time over the last few months thinking about what is really important to me. Have you? I bet so! NAR confirms that Americans are thinking about home, and how and where they want to live. Outdoor spaces and room for home offices are jumping to the top of the priority list! Redfin released new research that confirms this, and the inland cities trend I’ve been watching for a few years.

Redfin reports that 27.4% of its app and website visitors were looking to move to another metro in the second quarter of 2020—an all-time high, up from 25.2% in the second quarter of 2019. Redfin’s migration analysis reflects a sample of more than 1 million Redfin.com users who searched for homes across 87 metros in the second quarter.

Buyers are compelled by very very very low interest rates, examination of values, and employers finally being pushed to allow remote work. They can explore the best place for them to live, not just the best place to find job. The most popular relocation destinations were inland areas that tend to boast higher housing affordability than coastal regions. The areas with the largest net inflows of Redfin.com users in the second quarter were:

• Phoenix

• Sacramento, Calif.

• Las Vegas

• Austin, Texas

• Atlanta

New Yorkers, San Franciscans, and Los Angelinos are driving home buyer interest in some of these destinations, and I’ve seen Portlanders (and general Pacific Northwesters) looking inland and eastward for affordable homes, smaller job markets, and smaller cities with more local flair.

Sacramento’s Skyline Photo by Wil Stewart on Unsplash

Are you planning on moving out of the city you live in? To a bigger or smaller town? What is driving you to move? I would love to hear about your real estate plans!

Source: NAR

Dreamy Living in the Heart of Inner SE Portland

615 SE 37th Ave, Portland Oregon, 97214

1907 Duplex in the Sunnyside Neighborhood

$750,000

615 SE 37th Ave, Portland, OR, 97214, United States.

Take a virtual walk through with the self guided Matterport Tour! It’s like Google Street View for inside of the home!

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Located in the heart of SE Portland, this duplex is a unique and flexible property. The home was originally built in 1907, was converted to a duplex, yet maintains its connection to a great neighborhood! Most recently, it has been a fantastic home for the owners, with the upstairs unit housing family visiting for long trips and Airbnb guests from around the world. The patio and garden are a private oasis, perfect for connecting with neighbors, dining al fresco, or relaxing by the fire.

The location can’t be beat, just over a block to Laurelhurst Park, and 2 blocks to shopping, restaurants, an adorable library, and more on Belmont St. The public K-8 school, Sunnyside Environmental, has a passionate and involved community in the neighborhood, and is often a reason people move to this area!

This duplex has had many important updates, such as earthquake strapping, new plumbing, and new electrical, as well as beautiful interior updates.

This property still has so much potential! The main floor unit is fully plumbed for a second bathroom with shower, in the alcove of the bedroom on the patio side of the home.

Floor plan of 3 levels of 615 SE 37th Ave, Portland OR 98214

A big dream of the sellers was to add a large upper level deck and exterior stairs. The upper level unit would get a stellar view of the tree tops of verdant SE Portland. The main level would get a shaded outdoor living area that could be utilized year round. Imagine the potential!

Selling in the Portland Metro Area Right Now: May 2020

I sold a house during the pandemic, in a state with a Stay Home executive order. Contact me today to set up your free virtual home selling consultation, and I will sell your home too.

First, let’s start with a disclaimer! This is my opinion and experience as a Realtor with over a decade of experience. This is not a blanket plan for every home, or what every seller should do! I am licensed in Oregon and Washington, and focus on the Portland Metro Area, including Vancouver WA.

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1. Marketing: Marketing has always been a strong point for me, and the transition for marketing during Covid-19 was simple. I have had 3D Matterport scans of my listings for years now, and am really excited that they are actually being used by buyers and buyer’s agents now! Please take a few minutes to explore this 4 level home. You can “walk through” like Street View on Google Maps, you can see it like a dollhouse, and you can view from above.

2. Open Houses: Open houses are currently not allowed in Oregon and Washington, and I don’t see them encouraged or appropriate for the rest of 2020. So what can we do? Virtual Open Houses! Yes, a Facebook or Instagram event where I walk the viewers through the house, answer questions, show off specific areas people ask about (how big is that closet? What’s the view from the kitchen sink? How sunny is the back patio?). This special time to focus on the property for sale can get people excited, let the neighbors get the inside scoop, and provide a video we can reuse in marketing. This is a short example of a quick video walk through, I didn’t talk because I used it in Instagram Stories with no sound, and notes and info added in that application.

3. Pricing: Pricing a listing is based on several factors: comparable sales in the area, the marketing and investment to sell, buyer demand and behavior, and how long the sellers want to be on the market. This year we are adding Covid-19 conditions to the outside factors that affect the listing price on a house! In the Portland Metro Area we are seeing even higher demand for many homes, so we are not automatically reducing list prices on houses. Setting the list price of a house for sale is a very technical aspect of my job, so I’m not going to take you through the steps one by one, but contact me to see what I would list your home for! Check out the page for all the listing info, and the home of all the incredible marketing I do for every home I sell.

The other things I do for all of my listings include paid social media ads, sharing through a large network of brokers, and advising on preparing a home for sale. Those are large topics unto themselves! Thank you for reading my extra long post today, and if you have any questions, please don’t hesitate to reach out.

Safe Showings

Beth at a recent showing appointment

Real estate is an essential service, and I’m actively working with buyers and sellers who need to move now. This is not the time to play around, not with our community members health, and not with real estate. I normally love to start looking at houses as soon as a potential buyer will come with me, even before a loan has been qualified for. This is because I mostly work with repeat clients, friends, and family. I can usually trust that if you come see a house with me, you’ll eventually buy a house with me! But, Realtors across the country are choosing to only work with buyers who are ready and able to buy now.

These are the steps to follow to get ready to buy a house during the Stay Home Stay Safe executive order:

1. Have your loan pre-approval done. I have a ton of great lenders I work with, let me know if you want my list!

2. You have narrowed down your criteria. A condo, a small house, a big house, a specific neighborhood, what do you really want? We will only look at houses that meet your criteria and that you can afford.

3. Only bring essential people. No friends, no extra family members, no guy you know who does a lot of work on his house. This, honestly, is my favorite thing. So often buyers can be overwhelmed by the thoughts and opinions of people they love, but who won’t be living in the house with them. This focused buyer search will help people make the choice themselves, along with their trusty Realtor (me) and a home inspector!

4. Be ready to answer a health and Covid-19 exposure questionnaire. Some sellers, and the real estate brokerages they have hired, have attached a short questionnaire to their listings, and are only allowing people with less risk view the home in person. We are all learning and getting used to this, so these protocols will be changing frequently, I expect.

5. Come See it Safely: Masks are a must, wipes and spray are used often, gloves and booties are a bonus!

This part of the job is making me really sad because one of my favorite things is houses, and I love to look at them just for fun! I will see everything from a little studio condo to a giant estate. I can’t wait until Broker Tour Tuesday is up and running again, and I can breeze through any home for sale. This is not But, let’s all stay safe together.

Sources: Oregonlive.com, National Association of Realtors

Staying Home

Well, it’s official in Oregon with Executive Order 20-12, that all non essential workers must stay home and practice safe social distancing. I’m glad to have the official word, the gray area of the last week and a half has been really hard for me. I’m a planner, and I implement the plans I make. I have several listings lined up for this spring, and now they are going to be on hold until we get permission to mingle to take photos and have buyers visit the houses. The ability to even add an Open House to our listings in RMLS has been removed, they can’t trust us brokers to stay home! Let’s look at the silver linings, shall we?

✔ You can get your house very ready to go on the market. No excuses, clean out those cabinets, pack up seasonal gear that won’t be needed until next year, and get that yard in tip top shape.

✔ Home repairs, if you can do it yourself, do it now. You will not only be more ready for the selling later this spring, but you will feel better every day you are in your house this month. This is one of the biggest aha moments every seller has. They finish a project that has been on the back burner for up to 10 years, and feel great! But then they move out. Every single person says they wish they had done it earlier.

✔ Video chat with me to go through your house projects! I can tell you what to do, and more importantly, what not to do. Some projects are not going to add any value to your home. So don’t do them if you don’t want to. Simple.

✔ You can get your pre-approval set with a great lender. Shop your options and rates around, get all your financial documents ready, and hit the ground ready to write an offer with an Underwritten Pre Approval! I have great lenders who are working from home, so let me know if you need their info.

✔ You can really get to know what you need in your next home. Another bathroom? Basement get-away space? Bigger yard? More neighbors? Less neighbors? Different neighbors??? What spaces do you love in your current place, what could be improved, what don’t you need? Pay attention now, and hit the market with a great vision for your next home.

Another silver lining is that I will be here in a month, and the month after that, and after that, to help you with all of your real estate questions and needs!

Stay in, stay safe, stay sane,

Co-Buying: A Solution for Buyers

Photo by Dylan Fout on Unsplash

I’m not going to focus on the generation getting written about the most. You know them, you may be one of them. Millennials. Realtor.com and Movement.com both just published articles about Them and Their house buying challenges, along with a fantastic solution: Co-Buying a House! About 4% of first-time buyers purchased homes with housemates from July 2018 through June 2019, according to data from the National Association of REALTORS®. That is double the percentage from a year ago.

Jessica Lautz, NAR’s vice president of research, said “There’s a lot of people who are looking at homes today and saying, ‘I can’t afford this by myself. I’m [on a] single income. How can I get into a house?’ Finding someone who’s renting currently and matches your ideal [co-buyer profile] sounds like a great idea. Why not have a stable home and gain equity at the same time?”

Currently co-buying is an expensive city trend, but the trend will likely gain momentum as more of That Generation buys homes throughout the country.

I’ve worked with Co-Buying Clients for many years, here are my top tips:

1. Meet with an attorney to draw up an agreement about what will happen if/when you no longer want to co-own together. One buys from the other, house get’s sold and you split the proceeds, it get’s turned into a rental and you split the rent proceeds.

2. Make a budget, and a home care plan. Who is in charge of the yard? Minor home repairs? Picking the living room color? The more you discuss up front, the better the relationships will stay.

3. Decide what you will tell other friends and family. Money may not be any of their business, but get on the same page about how much you will share, and with whom.

That Generation is not buying houses at the same rate or for the same reasons as older generations, and here are real economic data behind these trends. Here’s a few interesting data points that will help you better understand this group of borrowers:

• Millennials aren’t working like previous generations. A lower share of young adults are working today compared to the year 2000. The male labor force participation rate has dropped to 88.8 percent from 93.4 percent. Females have dropped to 74.5 percent from 76.1.

• Student loan debt is troubling. Americans owe more than $1.2 trillion in student debt, and much of that is owed by Millennials. One recent survey revealed 63 percent of these young adults have more than $10,000 in student debt.

• This combination of lower employment and higher debt, combined with a societal shift to marriage and children later in life, have slowed the pace of household formations. About 15 percent of young adults age 25-34 still live with their parents today, compared to 10 percent of that age group in the year 2000.

• Housing costs are higher today, especially compared to wages. House prices, adjusted for inflation, have increased 29 percent since 2000, but real incomes are only up about 1 percent, according to Freddie Mac research. Freddie Mac estimates almost 50 percent of the home ownership gap in this generation is caused by high housing costs. About 700,000 young adults did not buy a home between 2000 and 2016 because of increases in inflation-adjusted home prices and rents.

When you are ready to Co-Buy contact me, I would love to walk you and your co-owners as clients!

Sources: Realtor.com, Movement.com

Airbnb is Big Business in Oregon!

Photo by Free To Use Sounds on Unsplash

Do you Airbnb out part of your home? Do you use Airbnb or another short term rental service when you travel? I’ve done both! Oregon is a hot spot for Airbnb and other vacation rentals. Check out how profitable it is here:

In Multnomah County hosts earned an estimated $18.7 million during peak weekends in 2019 of July and August, according to new figures released by Airbnb. About 57,250 guest arrivals were logged during the top five weekends of 2019. For the entire year, Multnomah County saw roughly 512,000 guest arrivals, and hosts earned about $77.6 million. Deschutes County, where Bend is located, took the No. 2 spot for the year with 212,400 guest arrivals and $31.6 million earned, according to Airbnb. At the coast, Lincoln County rounded out the top three with 137,200 arrivals and $18.2 million earned. The numbers reflect the Portland area's popularity as a destination for travelers and residents’ willingness to open their doors to the promise of money.

The top weekends for bookings at the highest rates in Multnomah County last year were:

• Aug. 2-4, with 11,650 guest arrivals and $3.7 million earned

• July 12-14, with 11,450 guest arrivals and $3.8 million earned

• July 19-21, with 11,400 guest arrivals and $3.8 million earned

• July 26-28, with 11,400 guest arrivals and $3.8 million earned

• Aug. 9-11, with 11,350 guest arrivals and $3.6 million earned

So, don’t let your family book those weekends in your guest room or ADU! Make them come in January and February, you can all go to the coast and get a great rental house for the lowest rates!

"More Oregon families are embracing the economic opportunities of home sharing, which brings an economic boost to small businesses and communities throughout the state," Laura Spanjian, Airbnb’s senior policy director for the Northwest, said in a press release.

Source: Portland Business Journal

Home Away From Home

Cabin in Rhododendron, listed for sale for $299,900 as of 1/23/2020

Coming home after spending a day on the mountain or in the forest always feels so good. What if you could shorten that drive to just 20 minutes? And that home was yours, with a hot tub, view of the snowy forest, maybe a creek. And it actually paid for itself with short term renters? Well, if that sounds like your perfect dream, you are not alone! It’s on my vision board too!

Vacasa made a list of 10 winter destinations to invest in this year. Those that made the list this year have an almost built-in guest population, as they’re situated just a short drive from highly populated residential markets and draw plenty of visitors from the surrounding area. And while winter activities bring many travelers to these destinations, the summer offers opportunities for hiking, mountain biking, kayaking, and more that keep vacation homes booked when the snow melts.

Rhododendron Oregon made the Vacasa Best Places to Buy a Winter Vacation Home list this year! This hamlet on the shoulders of Mt Hood, located between Zig Zag and Government Camp. It is about an hour drive from Portland, and is near five different ski resorts—Cooper Spur, Skibowl, Mount Hood Meadows, Summit Ski Area, and Timberline. It’s also close to a variety of hiking trails great for taking in views of mountain lakes via snowshoe, especially Mirror Lake. If you like classic cabins, then Rhododendron is for you! Mountain homes range from cozy, classic A-frames to multi-bedroom homes with large outdoor spaces, but either way a hot tub is usually already a central feature. The median sales price is a little over $300,000, which is in the middle of the pack of this list.

If you are planning on buying a vacation home, in the forest or another fabulous location, let me know, I can help!

Vacasa’s Top 10 Winter Vacation Home Spots

Portland Metro Neighborhoods with the Most Growth 2019

The Portland Metro Area real estate market has slowed down a little over the last 2 years, but there are areas that are still growing fast! These are the areas, and their neighboring ‘hoods, to target if you are looking for a an investment that will grow quickly over the next few years. No real estate purchase comes with a guarantee, but moving out of the Inner Core of PDX is the way to go. Not only is inventory low in Portland Proper, but landlord/tenant laws are the most restrictive. Investors, buyers who want to turn their purchase into a future rental, or those looking to get a deal before a neighborhood blows up: Look in these areas!

#24 97211 Piedmont/Concordia: 525 houses sold

#24 97006 Beaverton/Aloha : 525 houses sold

#23 97202 Sellwood/Eastmoreland: 548

#22 97203 St Johns: 549

#21 97086 Happy Valley: 552

#20 98685 Felida Washington: 553

#19 98661 Minnehaha/Ft Vancouver, Vancouver WA: 557

#18 97035 Lake Oswego: 569

#17 97124 Hillsboro/Rockcreek: 613

#16 97068 West Linn/Lake Oswego: 625

#15 98662 Five Corners/Homan Washington: 633

#14 97217 Arbor Lodge/Kenton: 662

#13 97223 Tigard/Metzger: 712

#12 98642 Ridgefield WA : 713

#11 97224 Tigard/King City: 719

#10 98604 Battle Ground WA: 727

#9 97219 Multnomah Village: 767

#8 97080 Gresham OR: 783

#7 97123 Hillsboro OR: 787

#6 98607 Camas WA: 841

#5 97206 Foster/Powell: 866

#4 97007 Beaverton/Aloha: 915

#3 97045 Oregon City/Happy Valley: 922

#2 98682 Orchards/Livingston WA: 1,275

#1 97229 Northwest Heights/Cedar Mill/Bethany OR: 1,348

Source: RMLS data via Portland Business Journal

An Expanding Economy, Stable Rates, and Slight Price Increases

Photo by Rogério Toledo on Unsplash

Are you ready for good news? I am. For real, it’s not all doom and gloom in the world, especially in real estate! The National Association of Realtors just held their first ever Real Estate Forecast Summit, and the consensus among the economists was good for the American economy as a whole, and real estate specifically. NAR’s Chief Economist Lawrence Yun said “Real estate is on firm ground with little chance of price declines…However, in order for the market to be healthier, more supply is needed to assure home prices as well as rents do not consistently outgrow income gains.” Let’s keep building housing, especially denser and more multi-generational living!

So what does this mean for you as a future buyer, current owner, or future seller? “The average annual 30-year fixed mortgage rates of 3.8% and 4.0% are expected for 2020 and 2021, respectively. Annual median home prices are forecasted to increase by 3.6% in 2020 and by 3.5% in 2021.” Rates in the 3-4% range are still incredibly low! This makes every dollar more powerful, so that’s good news for buyers, and sellers who will have a pool of prospective buyers who can spend more. For owners and sellers, prices will still be growing, but at a reasonable rate, which is actually about what the average has been since the end of WWII.

When you are ready to start talking about your 2020 real estate plans, don’t hesitate to reach out!

Source: NAR