PDX Neighborhood Spotlight: North Tabor

Hi Friends!

Welcome to a new segment on the blog where I will highlight various neighborhoods around Portland. First up is my neighborhood: North Tabor. I’ve lived in North Tabor for 25 years, serving the area as a Real Estate Agent for almost 16 years. I guess you can say I really like it here 😉
Now let’s take a deep dive into the neighborhood.

About North Tabor
North Tabor is on the east side of the Willamette River on the northern slope of Mt. Tabor. The I-84 forms its northern boundary, separating it from the Hollywood District, Rose City Park, and Madison South neighborhoods to the north. NE/SE 44th Avenue separates it from Laurelhurst to the west while NE 68th Avenue separates it from Montavilla to the east. East Burnside Street forms most of the southern boundary (separating it from the Mount Tabor Neighborhood), except for a section west of SE 49th Avenue for which SE Stark St. forms the boundary with the Sunnyside neighborhood.*
Not only is North Tabor public transit friendly, the 50s Bikeway Project also extends through the neighborhood.
The North Tabor Neighborhood Association holds Zoom board meetings once a month.

Mural in North Tabor

Rosemont Natural Bluff Area
The only official park in the boundaries of North Tabor neighborhood is the Rosemont Natural Bluff Area, which if you drive by you probably won’t realize it’s a park. One of the only remaining Baseline Mile markers from the 1850’s for the original Baseline Road (now SE Stark Street, see my blog post “Surveying Portland, One Marker at a Time”) is at the corner of 61st and Stark.

Food/Drink
Tabor Tavern – The Rib Dinner is awesome!
Big’s Chicken – I love fried chicken, so the Half Bird with Cole slaw is my go-to.
American Dream Pizza – This iconic pizza joint has been around since 1985. My favorite is a large half “Bill Walton”, half “Rat Pack”.

Market Stats
My wife and I love walking from our house up to the top of Mt. Tabor, looking at historic homes (like the Shogren House) along the way. 91 homes were sold in North Tabor last year which is almost double the amount of sold homes from 2019. Right now, the average price of a home in North Tabor is $554,325 with prices ranging from $485,000 – $650,500. It is definitely a seller’s market! Click here for a free home valuation.

Shogren House via Shogren House Museum

Want to see your neighborhood in PDX Neighborhood Spotlight? Comment below!

References: * Wikipedia

Advantages to Selling a Home in Oregon This Winter

You might have read my previous blog on the advantages to buying a home in Oregon during the winter. The obverse of that article is that there are several compelling reasons to consider selling a home right now, even though winter has not been a particularly popular time to sell.

We are seeing historically low real estate inventory lately not just in the Portland market, but nationwide.

There was a 16% drop in number of homes put on the market in September compared to August. Lower inventory means a more competitive buyer landscape. Why is there a lower inventory? Sadly, one of the reasons is that this year’s wildfires destroyed over 4,000 homes in Oregon. Population growth also factors into a lower inventory. Some people concerned about selling their homes during the pandemic have chosen to hold off. This provides more space for you on the market if you list your home. Here are the precautions I take to ensure everyone’s safety.

Historically low interest rates of below 3% are motivating buyers.

Getting those incredibly low rates shaves off a remarkable difference in what homeowners pay monthly. The Freddie Mac chart below shows the drop in various types of mortgage rates over the past 12 months, bringing us to 2.67% for a 30-year fixed-rate mortgage.

Primary Mortgage Market Survey® | U.S. weekly average mortgage rates as of 12/17/2020

Below is a sample mortgage payment calculation factoring in a 10% down payment with a mortgage rate of 3.0%, 3.5%, and 4.0%. So with today’s historically low interest rates, a buyer’s monthly payment would be even lower.

Monthly Mortgage Payment Comparison (Multnomah County)

The National Association of Realtors graph below shows us the median price of a home in the Portland Metro area has increased even though we saw a dip in price growth in 2019. The third quarter of 2020 has rebounded considerably. Fourth Quarter 2020 report was not available at time of publishing.

Portland Vancouver Hillsboro Local Market Report – Third Quarter 2020

If you are still on the fence about whether to list now or wait until spring/summer when house hunting is traditionally more lively, contact me today to have a conversation about your concerns. In the meantime, check out my article on being a prepared home seller.

Originally published 12/28/2020

Why For Sale By Owner Is Not A Good Idea

Smooth ‘Sale-ing’ with Sean

Selling your home yourself might be tempting. Sure, low commission fees and no formal process of purchase might sound like an easy process. But what is the truth about selling your home yourself? Here are reasons why working with a realtor is better than going alone:

Experience

With over 15 years of real estate experience, I have seen a lot—including some surprises with the purchase of my own home. Wouldn’t it be better to hire someone who can anticipate and mitigate bumps in the road? I am trained and experienced in guiding you through the transaction process.

Real Estate Contract Expertise

Your broker is or should be keeping up on the state laws that govern real estate transactions. For example, are you familiar with FIRPTA? Some of the details of the real estate purchase contract are seemingly obscure, but part of the legal process of a sale. How do these rules and regulations impact your investment? Are you a landlord selling your rental property?

All of the legal documents are at your broker’s fingertips. We pay to have access to and use the required standard legal forms. Though tedious and voluminous, the paperwork is in place to protect you, your investment, and your payout. I ensure all the proper disclosure forms are in place so you don’t risk losing your earnest money should a buyer decide to back out. Or worse, a failed sale altogether.

Title Company

Are you equipped to navigate working with a title company? My brokerage and I have established relationships with title companies. The behind-the-scenes preparation influences how smoothly the closing process will go. They ensure all the boxes are checked so your home sale is recorded properly. This attention to detail mitigates errors that if not attended to, may come back to haunt you in the future.

Pricing

FSBOs accounted for 8% of home sales in 2018. The typical FSBO home sold for $217,900 compared to $295,000 for agent-assisted home sales. Source: 2020 National Association of REALTORS® Profile of Home Buyers and Sellers(link is external)

I also provide:

The multi-page, detailed property entry in the Multiple Listing Service (MLS) system. FSBO charges around $400 for this service.
Professional property photography and staging company recommendations so your listing makes that good first impression that is so critical in a competitive market.
Coordination of showings with buyers’ agents.
Installation of a lockbox.
Production and installation of property signage and flyers.
Marketing your property and buying ads and mailers to promote them.
Docusign account, ensuring quick turn-around times on electronic signatures and document delivery.
Access to other resources not readily available to the public.

Why spend time managing these details when you could have an expert handle them for you? While the allure of saving 1 or 2% in commission fees may tempt you, prepare yourself to make the sale of your home a full-time job. As they say, you get what you pay for! Anyone who has cut their own hair knows this to be true–and that some things are better left to the professionals. Contact me to discuss how I can help you with the smooth sale of your home!

Originally published December 16, 2020

Eight Things To Do Before Buying A Home

Are you ready to buy a house or condo?

Following are eight steps to prepare for this life change in order of priority. Being prepared paves the way to a seamless transaction.

Home Buyer Preparedness Checklist

1. Do Not Make Any Major Financial Changes

When you are getting ready to buy a home, and especially when you are under contract to buy a home, do not make any major changes in your life that affect your financial standing. Don’t switch jobs or do things that could adversely affect your finances, like opening new credit cards. Especially when in the transaction, do not buy a new car, new appliances, or furniture. Wait until after the transaction has closed before making any major purchases or life changes. A credit check alone can affect your credit score and may cause you to lose a home, even days before closing.

2. Get Pre-Approved

Getting pre-approved from a mortgage broker enables you to determine what your price range is, while taking into account what down payment you can afford. While pre-qualification is a good idea, having pre-approval is a better indication of your intent to buy. Realtors love working with pre-approved individuals because it shows you are more serious about buying. If you need a mortgage broker, contact me for referrals.

Many home buyers will look to the financial institution that they bank with as the first option when looking for a home loan. It is not the only option, and sometimes may not be the best solution. Mortgage brokers often have many more (hundreds) of options for finding loan solutions that can fit your needs and save you money. I recommend my buyers not only talk to their bank, but also to a mortgage broker and credit unions. Make sure that at least one is a local lender, as they can also know about special state and local lending programs that national lenders may not be aware of.

3. Make a “Dream List”

Compose a list of your requirements for the place you want to buy. Divide the list into things that are deal breakers and factors that are more flexible:

Is the school district a priority over your commute (if you have one)?
What about walkability score and access to services?
Or are you looking for a property that is more remote, because you want the acreage?

Having a defined list of “wants” will provide a clear vision of the property you seek and help your broker in searching out the best options for you. Work with your realtor on this list, and understand that often this list will evolve over the time of your search based on market inventory, price of the house, and other market factors. Browsing listings online can also help. Stop by open houses and drive to locations that you see in your online previews to start narrowing down those search parameters. Check out the property during the day and at nighttime, too.

4. Get A Referral And Start Discussions With A Buyer’s Broker

A buyer’s broker will provide you single agency representation. Oregon does allow for “dual agency”, where a seller’s listing broker can write an offer on their seller’s property for you. Remember though, that the listing broker has a contract with that seller and has a fiduciary responsibility to the seller. Working with a buyer’s broker offers you a real estate professional who has your best interests in mind in the transaction, guiding you through negotiations, inspections, and the entire home buying process. A broker can also help you research market conditions so you can understand the cost of homes in the vicinity of where you’d like to buy. Having comparable sales information helps determine how much to offer on a home.

5. Making An Offer

Once you’ve found a house you like, you’ll work with your broker to make an appropriate offer. Familiarize yourself with the process so you know what to expect. A good buyer’s broker can offer you referrals for home inspectors, contractors, or other professional services. Collect three referrals for each service. Home inspectors help identify any underlying issues your home may have, such as problems with the the roof, plumbing, or electrical system. There is an “Inspection Contingency Period” in Oregon real estate transactions. This is usually a period of ten business days to allow for a whole home inspection. The inspection report helps determine if it’s the right home for you and whether you want to negotiate needed repairs and/or a better price.

6. Home Insurance

Homeowner’s insurance is required when you purchase a home. Shop around to find the best rates. Bundling your home, auto, and other insurance can also be a way to save money.

7. Managing A Contingency Purchase

A contingency purchase is when you want to buy, but your purchase is contingent upon the sale of your home. In the low-inventory market we are experiencing in the Portland Metro area, many people who are looking to sell and then buy again are finding it challenging. Offers where there is a contingency of the sale of a home are at a disadvantage when up against offers that don’t have a home to sell. When the client feels comfortable releasing their contingency, and if selling first, then renting until finding a new home is also an option.

8. Organize Your Household Contents

Start sorting your personal effects now. You have more stuff than you realize, guaranteed. Getting started on purging before packing will enable an efficient and less stressful move.

If you’re also selling, check out my Sellers Checklist. Contact me today to get the conversation going!

Published October 13, 2020

Buying and Selling Real Estate in the Time of COVID-19

If you are hesitant about whether to buy or sell a home right now during a global pandemic, you’re not alone. Real estate business is considered essential, so under the Governor’s orders, we are continuing to conduct business. But, it is not business as usual. The concerns about transmission and infection are real. Real estate transactions have always been a very personal process requiring a lot of one-on-one time together. With the new reality we face, the process is still personal, but with less contact.

Some of the precautions I am taking to keep you, your family, myself, and my family safe are:

Masks

I wear a mask at all showings and transactions. I recommend my clients do the same.

Gloves

Switching lights off and on, door knobs, windows, any surface that is usually touched, I do so with gloves on. I throw the gloves out after each use.

Disinfectant Wipes

I make these available at my listings and carry them with me in my car. I am diligent about wiping down all surfaces that have been touched (even with gloves on) after a showing.

Physical Distancing

While it can be challenging to maintain a distance of six feet from each other, I offer live video conferencing tours of properties if you do not wish to meet at a home in person.

Virtual Tours and Staging

I include 360 virtual tours on my listings and offer virtual staging. The 360 virtual tour is a 3D-style walk-through using professional photography. It is not a replacement for the physical visit, but it is a close approximation. Virtual staging is where furniture is digitally placed into images of the space. This helps minimize the amount of time and people required in a space.

If you can or need to buy or sell, business is still happening. I am taking all the precautions to minimize/eliminate exposure, so you can transact with confidence. If you are hesitant to proceed, please contact me so we can have that conversation. It is important to me that you are comfortable and confident when making lifetime decisions.

Advantages to Buying a Home in Oregon During Winter

There is a misperception that because Oregon is rainy in the winter, house hunting should happen between March and August. Sure, most new homes come onto the market then, but it is also the most competitive time to buy. You can often expect bids over asking price with multiple-offer situations, depending on the home’s price, condition, and location. Contrary to popular belief, for those who have not lived in Oregon, everything is dry in the summer. So if you’re looking in the fall/winter, you’ll be able to detect:

If the roof leaks
How well gutters drain
Standing water issues
If the basement leaks

These issues could indicate a bigger problem such as mold, which could require expensive remediation. They may also contribute to reducing the purchase price and/or ensuring repairs are completed prior to closing.

More advantages to a home search in the winter, aside from walking in the rain:

Sellers in winter months may have a home that was either overpriced, had condition issues, or is in not as a desirable location. These factors can cause their home to sit on the market.
There could be personal reasons driving the desire to sell in off-season, such as a job change.
Sellers are more motivated on price and repairs.
Motivation to sell before the holidays could be about getting the family settled quickly into a new home and having a budget to buy family presents.
Perhaps there’s a tax reason for trying to sell before the close of the year.

If you are hesitant to start your home search now, I hope this information helps with a different perspective on timing your search. I’d be happy to show you around Portland. Just drop me a line.