Interest Rates

In my discussions with my favorite lender, Darel Ansley of People's Bank, it sounds like interest rates are starting to nudge up again. (Around 6.5% +/-) Mortgage professionals are guessing it could reach 6.7% later this summer. The good news is that this is likely as high as it will get for a while. If rates stay under 7% for a few years it will really help the real estate market. I haven't worked in an era of 12% or worse 18% rates and I can't say I really want too.

20%

20%. That's the big number that just came out from the recent Real Estate "Snapshot" put out by Pacific Appraisal in Wenatchee. There has been an overall gain of 20% value in real estate in the Wenatchee Valley since last year. Not all properties appreciated at this rate. Some market sectors are hot and others less so. Ramblers and their convenient one story living continue to be money makers. Cabins and condos seem to be the hot item in the Leavenworth area. Multi-family investment properties are also very popular throughout the valley. I'm a big fan of 20%. I know some people would love the 40% (or more) increases that some really hot markets have seen. Not me. Let them have their BUBBLE. I would rather have continuous growth and a healthy market.

Cruise Ship Condos

Condominiums have been a popular seller here in Leavenworth and in Kahler Glen for some time. There are even four new condo projects being built here as I type. I just read that about a new cruise ship, Magellan that will be selling on board "condos." The ship is at sea year round visiting exotic ports and units are priced between $1.8 million to $8 million. A one month fractional ownership is a mere $156,250. If you are thinking about buying one of these condos give me a call first. I could find you something nice on the water in Leavenworth for a little less :)

Office Exclusive Listings

As many of you know, we are generally in a "sellers" market in the Leavenworth area. There are very few homes on the market and little for a buyer to choose from. Real estate is very competitive here in our little valley and agents and real estate companies are trying new tactics to protect their business. One such tactic being used is "Office Exclusive" listings. When I list a property I try to bring as many potential buyers to my clients home as possible. I advertise in a wide range of publications and websites and place the home on the Multiple Listing Service. Office Exclusives are listings not found in the MLS. How does this help the seller? I'm not sure. Perhaps they are paying a lower fee by not being placed on the MLS. Does this savings outweigh the gains received by the possibility of multiple offers common in our market? Perhaps they hope to attract a non-represented buyer who won't be able to negotiate the price or other terms as well as a real estate professional could. I educate my sellers that Office Exclusives are not in their best interest. What do you think?