Market Statistics August 8, 2013

Western Washington – 2nd Quarter Economic & Real Estate Recap

Western Washington | second quarter 2013, Volume XXII

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Posted in Market News by Matthew Gardner



We have been looking for balance within the real estate market for several years now. During the crash, there were clearly far more sellers than buyers, but when we found the bottom of the market and prices started to rise, the tables were turned with considerably more buyers than sellers. In as much as we are still far from truly finding the market equilibrium that we have all been waiting for… 

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Market Statistics May 16, 2013

Western Washington Home Prices Continue to Rise

 

Windermere Real Estate is proud to partner with Gardner Economics on this analysis of the Western Washington real estate market.   Matt Gardner provides indepth analysis of first quarter 2013 economic and real estate data on Windermere.com.  

In his first quarter 2013 recap Gardner observes, "The Samuel Taylor Coleridge quote, “Water, water everywhere, nor any drop to drink”, from the poem “The Rime of the Ancient Mariner”, is somewhat apt when looking at our regional real estate market. Buyers are driving through neighborhoods looking for homes, but the choices are scant.  Without a doubt, there are far more buyers than sellers in the market right now—and this is becoming an issue. That said, the region registered 11,349 home sales in the first quarter of 2013—an increase of 9.7 percent over the same quarter in 2012. Inasmuch as this is certainly positive, buyers are complaining not only about lack of choice, but also that intense bidding for homes that are on the market may be the precursor to another housing bubble.  Although I can sympathize with buyers, I do not believe that we are entering another bubble, but rather that the market has regained its confidence.  For Gardner's entire report including regional employment data CLICK HERE.

 

 

 

 

Tacoma Real Estate May 14, 2013

The Perkins Lofts – Downtown Tacoma

 

The Perkins Lofts in Downtown Tacoma

 

If you're looking for lofts for sale in downtown Tacoma, the historic Perkins Building is sure to show up on your list. The Perkins was designed by the architectural firm of Russell & Babcock and constructed in 1907 as a newspaper plant for the Tacoma Ledger and Daily News, founded by publisher Sam Perkins. At the time of its construction, the Perkins was the tallest reinforced concrete building in the Pacific Northwest and the first building on the West Coast to have a basement parking garage. In the early 1990's, the Perkins served as a temporary home to UW Tacoma while its downtown campus was under construction.

 

The conversion of the Perkins into lofts left many of the original features of the building intact, including double height windows and exposed brick. The building features a fitness center and a rooftop deck with spectacular 360 degree views, seating areas and barbecue equipment.  HOA dues include maintenance of these common areas. Pets are allowed, but certain breeds of dog are prohibited. Residents enjoy secure parking, and many of the units have deeded spaces.  Our clients enjoy the building's historic significance and its sense of character. The building has a strong homeowner's association, and its downtown location offers easy access to Tacoma City Grocer, the Broadway Center for the Performing Arts, the Tacoma Art Museum, the light rail, UWT and local bars and restaurants including MatadorPacific Grill and Over the Moon Cafe.

Historic HomesHome Remodel April 12, 2013

Why Replacing Wood Windows is a Costly Mistake

As a member of the Tacoma Landmarks Preservation Commission, former board member of Historic Tacoma and a long time restorer of historic homes, Jeff is frequently asked by friends and real estate clients about restoring their houses.  In Tacoma, and across the country for that matter, many home owners believe vinyl windows are an inexpensive solution to replacing deteriorating, wood windows.  But, we now have evidence that the replacement of wood windows is a costly mistake.  

Jeff thinks most will agree that original wood windows are important architectural features in any historic structure. They are the "eyes" of the building. They convey a sense of craftsmanship and detail that cannot be achieved with substitute materials. In Jeff's experience with renovating and selling historic homes, he finds that buyers are willing to pay a premium for an older home with well maintained operational original wood windows than those with cheap vinyl replacement windows. Jeff cites the fact that the majority of his restoration projects involve removing vinyl siding and inappropriately sized vinyl replacement windows.

Jeff believes that windows are replaced by homeowners if they begin having operational problems: they stick or rattle, latches break, glass is broken, sash cords break and the windows have to be held open with a stick, let in outside air, or need to be painted. However, these problems are the simplest, most cost-effective to fix. More often than not, wood windows can be easily repaired to operate correctly and last another hundred years.   

 

 

 

 

 

 

 

 

                                     Vinyl Windows                                                                                                                Wood Windows 

Here are just a few of the problems associated with vinyl windows, and why they're not "maintenance-free."

  1. While it's true that they don't require painting, they are not a rigid material like wood, thus they shrink in cold weather, and expand in hot weather. Vinyl begins to soften and distort at 165 degrees Fahrenheit (a temperature that's easily reached in the space between a window and drapes on a sunny day). And though all windows expand and contract with temperature changes, vinyl expands more than twice that of wood. It expands seven times farther than glass with each degree of temperature. This causes the seal between the vinyl framework and the glass to fail. The problem increases with the size of the window; the bigger the sash, the sooner it fails. 
  2. Vinyl windows have only been around about 20 years. Will they survive for a hundred?   No one knows, but studies prove that many of the windows installed since the early 1980s are failing at an alarming rate.  According to the International Association of home inspectors, vinyl windows are expected to last between 15 and 20 years.  To make matters worse, vinyl windows can’t be repaired. 
  3. A big selling point of vinyl windows is double or triple glazed (insulating) sash (two or three panes of glass). These units are manufactured with desiccant filled spacers between the glass panes and sealed on the outside with butyl rubber or silicone. All insulated glass units eventually fail because no sealant stops all moisture penetration. Eventually the desiccant absorbs all it can, and the window becomes cloudy, forever. Conventional wisdom indicates that only marginal heat loss is recovered using insulated glass. As much as 85% of air infiltration (or heat loss) is around the edges of the sash, not through the glass. Energy savings realized by replacing single-glazed windows with insulated windows seldom justifies the replacement cost. Another study indicates it would take more than 50 years to recover the expense; and with an average expected life of 25 years or less, insulated glass units hardly make economic sense.
  4. Consider the overall energy efficiency.  According to a study by Preservation Green Lab issued in October 2012, a single glazed wood window with a fitted storm window reaches 92% of the efficiency of a vinyl window (see chart below).  Plus wood lasts 6-8 times longer than vinyl, so the small gain in energy efficiency is lost in replacement cost.

With the aforementioned problems associated with vinyl windows, it's clear that vinyl replacement windows aren’t a cost effective long term solution.   According to Mark Huppert, technical director of the Preservation Green Lab, “a number of existing window retrofit strategies come very close to delivering the energy benefits of high-performance replacement windows – at a fraction of the cost, from weather stripping and sealing, to installing exterior storm windows or interior cellular shades, almost every retrofit option offers a better return on investment than outright replacement.”  Jeff's rule of thumb is the 50% rule.  If a window sash is less than 50% deteriorated, it probably is cost effective to repair. If more than 50% deteriorated, replace it with a new wood sash window that matches the existing window.

If you’d like further information and access to the complete study by conducted by Preservation Green Lab visit http://www.preservationnation.org/information-center/sustainable-communities/green-lab/saving-windows-saving-money
      

 

Jeff Williams is a top-producing Realtor with Windermere in Tacoma specializing in the purchase and sale of historic and luxury homes.  Click here to email Jeff or give him a call at 253-303-1135.

 
Home RemodelNorth TacomaTacoma Real Estate March 21, 2013

A Charming North Tacoma Bungalow – Before and After Restoration

4715 N. 33rd Street, Tacoma

This charming 1948 brick-faced bungalow was an abandoned property that Jeff purchased from the U.S. Department of Housing and Urban Development.  Misguided renovations had left the property sub-optimized.  One of two downstairs bedrooms had been converted to a bathroom, the original bath was converted to a laundry, and there was no bathroom on the second floor.  Jeff restored the first floor to its original configuration, repaired hardwood floors that had been damaged by former tile installation, and added a bathroom and two closets to the second floor by adding a dormer.  The plumbing, electrical and insulation was all replaced, and the existing kitchen was updated.

Before                                                                                                                       After

 

 

 

 

 

 

 

                                                                                                                                  Additional Photos

CommunityGiving Back March 15, 2013

NW Furniture Bank Receives Windermere Donation

 

Windermere Professional Partners Agents Present $9,000 Check to Northwest Furniture Bank!

northwest furniture bankThis week Windermere Professional Partners agents returned to Northwest Furniture Bank to present them with a check for $9,000. Last time the agents were atNorthwest Furniture Bank they were delivering mattresses, assembling furniture, and painting walls. So what happened?

“Several years ago the WPP Broker Advisory Board (made up of agents elected from WPP offices) took the initiative to select the charitable organization that our company would support on an annual basis,” says Kevin Mullin, Owner and Managing Broker of Windermere Professional Partners. “When we heard Bill Lemke’s story and the reason he and his wife have such a passion for their work, Northwest Furniture Bank was embraced as the chosen charitable organization for WIndermere Professional Partners Realtors.”

NW Furniture Bank works with non profits all over the county to provide new and used furniture to families in need.  Since learning about NWFB, WPP Realtors have held fundraisers, assembled furniture, helped families pick out items for their homes, and loaded furniture into moving trucks to deliver right to people’s homes.

“After a few volunteer days there, we can not say enough about the great things Northwest Furniture Bank does for our community,” says Kevin. “And the fact that we are able to help Bill and his team in those efforts is something all of us at WPP feel good about.”

The check for $9,000 came from The Windermere Foundation. The Windermere Foundation was created in 1989 as a grassroots effort by local Windermere Realtors to serve families in need in Washington State.  Over the past 20+ years the foundation has grown to include every single Windermere office in America.   Over the past 20 years, the foundation has organized donations for more than $21 million dollars to provide shelter, clothing, children’s programs, emergency assistance and other services to those in our communities who need help the most.

Every single home that is sold by a Windermere Realtor includes a donation to the Windermere Foundation, which then goes on to support projects all over the country. 

 

CommunityTacoma Real Estate February 17, 2013

A Peek Inside McMenamin’s Elks Lodge

 

 

We here in Tacoma have been anxiously awaiting the start of construction by boutique hotel chain McMenamins to restore the Elks Lodge in downtown.  Well the latest from McMenamins website shows some amazing "before" pictures of the heavily vandalized property, and predicts an opening in late 2013.  Oh, please let me it be so!  Click the photo at the left  to be taken to the gallery .

 

 

Historic HomesTacoma Real Estate February 11, 2013

Historic Tacoma Buildings – Status Updates

 

 
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Watch List Updates

February 11, 2013
   
Quick Links

Historic Tacoma maintains a Watch List of vulnerable properties; click through on the links for more details and photos.

In the original redevelopment plans, the 1937 annex to the north was to be demolished to accommodate a mixed use development named the "Elks on Broadway."  That project failed to raise funding last year, so the annex will be retained and used to accommodate hotel rooms in the Elks Lodge.  These changes have made extensive interior redesign necessary.

Construction status: The permitting process is still underway due to revisions in the skylight and window designs and the addition of hotel rooms to the Elks Lodge.  All exterior alterations are coming before the Landmarks Preservation Commission for design review, as is required for all locally landmarked properties. 

 

Old City Hall 

The City's Historic Preservation Officer recently did a walk through with the building owner and representatives from other city departments, mainly regarding the leaking copper roof.  The owner is trying to get repairs done and was made aware that repairs would need to be approved by the Landmarks Preservation Commission.  
The property owner was recently sent notice of a code violation regarding graffiti on the South 7th Street side of the building; the graffiti was removed within days.  Unfortunately the building was hit again and another notice was issued.  Building officials note that the owner seems to be responsive but because of repeated code violations over the past few years, the City has the building on a 60-day monitoring cycle.
 
Additions to our list of pivotal buildings in the district:

Merkle Hotel  (1913)  2407-09 Pacific Avenue

Architectural/historic significance:  
     The three story hotel opened in 1913 and was designed by Tacoma architects Darmer & Cutting for the Pacific Brewing Company.  The hotel underwent alterations in 1948.  On the first floor, Babe Lafferty's Cafe and Shamrock Room opened in 1951 followed later by the Cortina Villa Restaurant.  The Cortina Villa suffered a fire in 1975 causing the hotel's second floor residents to flee.
Status:  The hotel remains in operation.  The first floor features red-painted concrete and the second and third floors are of dark brown-reddish brick.  The last occupant of the first floor was the Pacific Lounge; the business closed in 2006 and the space is vacant.  The Merkle Hotel is offering the 5500 square foot space for lease as a retail or tavern/lounge space, contact 253.627.1095.  The building is not on the Tacoma Register of Historic Places.

Richaven Building (1927)
2401-05 Pacific Avenue at the corner of South 24th Street
Architectural/historic significance
     The two story Richaven building was designed by Tacoma architects Heath, Gove and Bell for Dr. Edward A. Rich in 1927, next to the existing Merkle Hotel.  The early businesses included McKenzie Pharmacy and Kellywood Cafe (118 South 24th) which opened in 1937.  Richaven's second story is constructed, like the upper stories of the Merkle Hotel, of reddish-brown brick.

Status:  On the South 24th Street side of the building, the first floor was recently occupied by a coffee shop and the American Motorcycle Service, but the building is now completely vacant.  A portion of the first floor is boarded up and there is some graffiti.  In October 2012, Code Compliance staff listed the building in derelict condition and the building remains in non-compliance as of February 2013.  The Richaven Building is not on the Tacoma Register of Historic Places.
 

Thanks to Dan McConaughy, Neighborhoods & Housing Department, City of Tacoma, for calling these buildings to our attention.

 

A preservation success story, the bridge was removed from our Watch List this month.  Celebrate the re-opening of the bridge at 10am, Feb 15.

  

 

Research by Sarah Hilsendeger Rooney and Chris Green 

 

Home RemodelNorth TacomaTacoma Real Estate January 25, 2013

Before and After photos of Jeff’s North Tacoma Flip Project

Finished in just six weeks and sold in only four days, this charming North Tacoma bungalow now has a new lease on life!

Click here for all the before and after photos.