Buying A HomeSelling Your Home September 29, 2016

Severe Lack of Home Appraisers is Complicating Real Estate Transactions

Home inspectorDiana Olick of CNBC recently wrote an article that sums up the reason for frustration for many home buyers and sellers in the South Sound region.  Olick notes, 

“Housing demand is rising rapidly, but a key cog in the wheel to homeownership is in deep trouble. The people most needed to close the deal are disappearing. Appraisers, the men and women who value homes and whom mortgage lenders depend upon, are shrinking in numbers.

That is causing growing delays in closings, costing buyers and sellers money and in some cases even scuttling deals.

The share of on-time closings has dropped from 77 percent last April to 64 percent today for loans backed by Fannie Mae and Freddie Mac, according to Campbell/Inside Mortgage Finance. Appraisal-related issues in these delays jumped by 50 percent in that time.”   (Read the full article here)

Our advice to our buyers and sellers is to factor in a minimum of 2-3 additional weeks time from what we would consider a normal 30 day closing.  It’s important to note that it’s become an even bigger problem for specialty properties such as waterfront, luxury and historic homes and for properties located in outlying areas such as southern Pierce and Thurston counties.  With lenders being forced to pay premiums for appraisals, we’re hopeful it will lead to more qualified appraisers being attracted to enter the field.  However, that transformation will not happen quickly enough to satisfy those of us that counsel home buyers and sellers every day.

 

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.

 

Historic HomesTacoma Real Estate August 14, 2014

Misconceptions about Tacoma’s Historic Homes and Neighborhoods

There are a lot of misconceptions about historic homes and historic districts in Tacoma.  As a Realtor, a former board member of Historic Tacoma and a current member of the Tacoma Landmarks Preservation Commission, I’m often asked about the potential impact that historic designation might have on a property.  Many people worry that historic designation is a negative thing.  I believe (and I think the data supports me on this) that just the opposite is true.  Inclusion on the historic register has been proven to increase the value of a property and also allows for property tax credits related to home renovations.  For me, Tacoma's historic buildings and neighborhoods are a big part of what makes it so special, and I think it’s important to protect that heritage.  Below are some common misconceptions about properties included on the historic register and homes that are contributing structures in a designated historic district.

 

Misconception #1 – I can’t make any changes to the house.

FALSE – Interior changes to a property on the historic register do not require any additional approval above and beyond regular city permitting.  If you want to remodel a kitchen or a bathroom or upgrade plumbing, electrical or heating, the permitting and approval process is exactly the same as any non-historic home in Tacoma.  Exterior changes to the home do require approval from the Landmark Preservation Commission (a process called design review).  For guidelines about the type of exterior changes that require design review, visit the City of Tacoma Historic Preservation website.

 

Misconception #2 – I can’t replace any windows or doors in the house.

FALSE – While it's true that you can't replace existing wood windows with vinyl or metal windows, you are alowed to replace rotting or deteriorated windows with wood replacements.  Existing wood windows can also be repaired.  Older windows may be painted shut, sash chords and weights may not be operating properly or windows may be missing putty that holds the glazing in place.  These issues can be easily and inexpensively addressed with repairs, saving you thousands of dollars in replacement costs.  Of note, the life expectancy of a vinyl window is only about 20 years.  Properly maintained wood windows last a lifetime.  Studies also show that single pane wood windows with well fitted exterior storm windows provide the same energy efficiency as dual glazed windows.  For more information about wood windows versus vinyl, please check out my blog “Why replacing wood windows is a costly mistake.”

 

Misconception #3 – It’s harder to sell a historic home because of all the restrictions.

FALSE – A number of studies have been done over the years showing that property values increase dramatically when a neighborhood is designated as a historic district.  A study conducted in Tucson, AZ showed that home values in a historic district there were 30% higher on average than similar homes in non-historic neighborhoods and that homes in the historic district appreciated at a rate that was 15% greater than their non-historic counterparts.  It pays to be historic!  For additional findings, visit the American Council on Historic Preservation.

 

Misconception #4 – The “historic police” will tell me what I can and can’t do to my house.

FALSE – As long as you maintain your home properly, you'll never have to worry about additional scrutiny, and trees and landscaping don't fall within the scope of historic protection.  The good news for historic properties located in Tacoma is that there is now a mechanism in place to protect structures on the historic register from neglect and ruin.  The purpose is to avoid demolition of the structures.  Click here to learn more about Tacoma’s Historic Property Maintenance Code.

 

 

 

 

Misconception #5 – All old structures are considered historic.

FALSE – There are only about 1,300 structures in Tacoma that are on the local, state, or national historic registers.  Only structures individually listed on the Tacoma Historic Register or located within a Tacoma historic district are protected.  Designated historic districts in Tacoma include the Wedge, North Slope, Old City Hall and the Union Depot/Warehouse districtSalmon Beach is on the Washington Register, and Stadium District is on the National Register.

I’ve outlined a number of benefits to owning a historic home – from increased property values to the protection of our city's heritage.  If you’d like to learn more about how to place your home on the historic register, or would like to learn about the implications associated with buying or selling a historic home, please contact me or visit the City of Tacoma’s Preservation website at http://www.tacomaculture.org/historic/home.asp.  

 

Jeff Williams is a top-producing Realtor with Windermere in Tacoma specializing in the purchase and sale of historic and luxury homes.  Jeff is also a former board member of Historic Tacoma, and currently serves on the City of Tacoma's Landmarks Preservation Commission.  Click here to email Jeff or give him a call at 253-303-1135.

 

Architecture May 9, 2014

What Makes a House a “Craftsman?”

As a Realtor who comes from Pasadena, California (the birthplace of Craftsman architecture), and a current member of the Tacoma Landmarks Preservation Commission, nothing makes me crazier than real estate agents who incorrectly market houses as a Craftsman.  It is our job as Realtors to understand houses!  Craftsman is a distinct historic architectural style, and 95% of the time does not apply to new or newer construction.
 
Since we have tremendous examples of intact Craftsman homes all over Tacoma, I thought I’d explain to you, our astute real estate clients and followers, exactly what defines a Craftsman, and why.  

 

History: The Craftsman was the dominant style for smaller houses built throughout the country during the period from about 1905 until the 1920s. It originated in southern California and most landmark examples of Craftsman houses are concentrated there. The style quickly spread throughout the country via pattern books and popular magazines, but rapidly faded from favor after the mid-1920s.  These residences were given extensive publicity in such magazines as the Western Architect, The Architect, House Beautiful, Good Housekeeping, Architectural Record, Country Life in America, and Ladies’ Home Journal, thus familiarizing the rest of the nation with the style. As a result, a flood of pattern books appeared, offering plans for Craftsman bungalows; some even offered completely pre-cut packages of lumber and detailing to be assembled by local labor (referred to as “kit” houses). Through these kit houses, the one-story Craftsman house quickly became the most popular and fashionable smaller house in the country.

Character Defining Features:   Although these are considered the most typical character defining features of a Craftsman, not all of these will apply to each Craftsman-style building.

  • Low-Pitched Gabled (or sometimes Hipped Roof)
  • Wide, Unenclosed Eave Overhang
  • Timber Framed
  • Triangular Knee Brace Supports
  • Wood Shingle Siding and/or Wood Horizontal Siding and/or Cut Stone Cladding
  • Wide Window and Door Casings
  • Tapered Porch Supports
  • Low Porch Pedestals usually Supporting Columns
  • Exposed Rafters
  • Decorative (False) Beams or Braces under Gables
  • Shed, Gabled or Eyebrow Dormers
  • Porches, either Full- or Partial-Width
  • Sloping (Battered) Foundation

 

Types of Craftsman:

 

Cottage Style Craftsman – Typically a one-story building with a compact rectangular plan; a centralized main entrance consisting of a partial-width porch and flanked by windows; a symmetrical facade; a side-gabled low-pitched roof; horizontal wood siding; and Craftsman stylistic details.

 

 

 

 

 

 

 

 

The Bungalow – The typical bungalow is a one-story house with low pitched broad gables. A lower gable usually covers an open or screened porch and a larger gable covers the main portion of the house. In larger bungalows the gable is steeper, with interesting cross gable or dormers. 

 

 

 

 
 

 

 

 

Clipped-Gabled (Hip Roof) Craftsman – A Craftsman building covered by a gabled roof which has had its gable point “clipped off.” The roof can be front, side or cross-gabled. Typically this type of Craftsman is a one-story building. Sometimes the clipped-gabled roof will have gabled, hipped or eyebrow dormers.

 

 

 

 

 

 

 

 

 

Colonial Craftsman – A Craftsman building which displays Colonial Revival features. Typically, this type of Craftsman has a trellised front and/or side porches, symmetrical façade and columns.

 

 

 

 

 

 

 

Aero-plane Craftsman – A Craftsman building with a set-back second-story and wide overhanging eaves which gives the impression of an airplane wings. This style can have a front, side or cross-gabled roof.

 

 

 

 

 

 

 

Transitional – A building which appears to be “transitioning” from the Victorian-era into the Craftsman-era. Typically, this type of house retains a vertical emphasis on the facade and Victorian-era design elements, but is differentiated by its Craftsman features.

 

 

 

 

 

 

 

 

Jeff Williams is a top-producing Realtor with Windermere in Tacoma specializing in the purchase and sale of historic and luxury homes.  Jeff is also a former board member of Historic Tacoma, and currently serves on the City of Tacoma's Landmarks Preservation Commission.  Click here to email Jeff or give him a call at 253-303-1135.

 

 

 

Buying A HomeHistoric HomesHome RemodelInvesting In Real Estate April 2, 2014

Five Major Considerations When Buying an Old House

As a commissioner for the City of Tacoma's Landmarks Preservation Commission and a former board member of Historic Tacoma, I've had a lot of experience with historic properties.  I've also been buying, renovating and selling historic homes myself for more than twenty years (45 houses and counting).  Not surprisingly, clients often seek my advice when they're thinking about buying an older house.  With the busy spring home buying season upon us, I thought it might be a good time to share some thoughts about what to consider when buying a historic home.  Below, I describe some of the “big ticket” replacement and repair costs that you may incur during the restoration of an older home.  It's important to note that there are loan programs and tax credits available to help defray some of these costs if you are buying a historic home in Tacoma.

 

1.  Not all old houses are created equal.  In my experience, houses built before 1900 were generally more poorly constructed than those built from 1900-1950.  The exception to this rule would be what I call the "robber baron" homes.  These turn of the century mansions were built with higher quality materials and engineering practices than more modest cottages built at the same time.  The grander homes are standing the test of time well.  The worker cottages, less so.  Smaller Victorian (pre-1900) homes were often built on posts and piers or loose rock/brick and mortar foundations.  In some instances, these foundations were later replaced or supplemented with concrete or block foundations, and settling issues are common.  This isn't necessarily a deal breaker.  Newer technologies allow for the levelling and repair of these foundations without breaking the bank.
 

 

 2.        Old houses aren’t usually insulated.  Builders didn't really begin insulating homes until the late teens and early twenties, and even then they generally just added cellulose (paper pulp) to the exterior walls and attics at very low insulating levels.  If you’ve ever demolished the ceiling in an older home, you'll know what I’m talking about.  You’re probably still discovering bits of the pulverized paper in your hair, ears and clothes.  If you’re doing a major remodel to a home, it makes sense to strip off the old interior plaster down to the studs so that the wiring and plumbing can be updated and insulation can be added.  If you’re not doing a major renovation, my advice would be to simply add insulation to the attic and underneath the first floor to increase the insulation value as much as possible.    Learn more about insulation at energy.gov.

 

3.      Are the mechanical systems up to date?  When buying an old house, people often encounter things like knob and tube wiring, galvanized and lead pipes, oil burning furnaces the size of a Winnebago and broken sewer lines.  Older systems aren't necessarily a problem, but a thorough pre-purchase home inspection can identify failing systems in need of immediate attention.  Be sure to factor the cost of plumbing, electrical and heating system upgrades into the purchase price of a home before you make an offer, and make sure you can afford to repair or replace these systems as it becomes necessary during your ownership.

 

 

4.       Original windows and doors are great.  Leave them alone!  Nothing frustrates me more than buyers who immediately think they have to replace all of the original doors and windows in a house.  It is significantly more cost effective to repair original windows and doors and install storm windows.  They’ll be just as energy efficient and will last exponentially longer than their cheap vinyl counterparts.  For more details regarding wood windows versus vinyl, check out my blog post regarding that subject here. 

 

 

 

5.       How many layers are on the roof?  Many older homes in Tacoma originally had wood shingle roofs with no underlayment to support a modern roof.  Over time, home owners have simply shingled over the original roof.  If a roof has three layers or more, it's no longer a candidate for re-shingling.  The roof will have to be completely torn off, and an underlayment of plywood or particle board will need to be installed before the new roofing material can be added.  Tear offs are three times as expensive as simple re-shingling so it's helpful to know how many layers a roof has before writing an offer to purchase an older home. 

 

 

 

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.

 

 

 

 

 

 

 

 

 

 

LifestyleNorth TacomaTacoma Real Estate February 17, 2014

Top 5 Reasons to Live In Proctor

The Proctor District is one of  North Tacoma’s most popular neighborhoods.  Historic homes, great public schools, tree lined streets, views of the water and a charming central business district are just a few of the things that make this neighborhood so special.  For those who aren’t familiar with Proctor (and for those who are already fans), I thought I’d share some of my favorite things about the place we call home.

 

Metropolitan Market – Met Market is the undeniable anchor of the Proctor District.  This upscale grocery store caters to a sophisticated palate, with many locally sourced products, an outstanding cheese department and a wine steward.  Met Market could feel some heat if Whole Foods delivers on their promise to open a store in University Place, but the neighborhood feel at the Met will always be hard to beat.

 

 

 

Chalet Bowl – This family owned and operated 12-lane bowling alley “strikes” a wonderful balance between old school Americana and new school hip.  The lanes are well maintained, the staff is extremely friendly and the weekly bargain specials are hard to resist.  Two words.  Glow Bowling.

 

 

 

 

 

Wheelock Public Library – This local library has been serving the community since 1927 and is much used and much loved by children and adults alike.  An iconic bronze statue of Tacoma pioneer and early businessman Allen Mason located adjacent to the library is often whimsically decorated to befit the season.

 

 

 

Puget Park – Located at the corner of Proctor and N. 31st Street, Puget Park was one of the first green spaces to be donated to the city of Tacoma for public use in 1888.  The park features an updated play area and a picnic-perfect grassy knoll.  If you’re feeling adventurous, you can follow a trail down through Puget Gulch to the waterfront for a wilderness experience right in the heart of the city.

 

 

 

Blue Mouse Theater – Originally opened in 1923 and now listed on the National Register of Historic Places, the Blue Mouse is Washington State’s oldest continuously operating movie theater.  A group of local activists and preservationists purchased and restored the theater in 1993.  Dale Chihuly reportedly designed the blue neon mice that grace the marquis.

 

 

 

Mark Pinto is a top-producing Realtor with Windermere in Tacoma specializing in the purchase and sale of historic and luxury homes.  Click here to e-mail Mark or feel free to give him a call at (253) 318-0923.

 

 

 

North TacomaTacoma Real EstateWaterfont Living January 20, 2014

How Much is a Water View Worth in North Tacoma?

 

With market values in Tacoma’s North End on the rise, we’re often asked by our clients to “keep our eyes open” for a house exactly like theirs but with a water view.  The implication being that if they found a view home that was as nice as their current residence, they would want to buy it.  The follow-up question from them is inevitably, “how much more would that cost?”  Well, that isn’t always an easy question to answer.  When showing homes to buyers that are specifically interested in purchasing a view property, it becomes readily apparent that not all views are created equal.  I did some digging and found an article published in 2011 by the Texas Association of Appraisal Districts that mirrors my experience with the Tacoma housing market.  It states the following:

 

Market studies support the premise [that a view adds value], with one study concluding that . . . “in addition to square footage and lot size, view is the most significant determinant of home value.”  A panoramic view (breadth and/or depth in aspect) tends to command the ultimate premium, . . .  a near view of a prized view object is preferred over a far view, while the ability to see a far distance is prized over a vista that is foreshortened. Other things being equal, an obstructed (or keyhole) view will draw a lesser premium. A view only visible from the upper floor of a single family residence likely draws a lesser premium.   A damaged view (a mountain view marred by overhead power lines or a junkyard in the foreground) will likely invoke a lesser premium.   View orientation can influence value. It is said that the view from the “back” of a residence (where family rooms and patios are often located) is significant, while the view from the front door is less significant.

A study of 1984 – 1993 data from Bellingham, Washington found that a view added a 25.9% premium to home value. When the views were differentiated, however, the study findings were more informative: poor partial ocean view (8% premium), good partial ocean view (29% premium), unobstructed ocean view (59% premium), and water frontage (127% premium).  (See the full study here)

I was curious to see if view homes in North Tacoma garnered this same price premium so I pulled recent sales data specific to the North End, comparing similar houses in the same neighborhood with and without views to determine pricing differentials.  The exercise is a challenging one, but I was able to find three pairs of properties of the same size and condition but differing in view (see below for side-by-side comparisons).  The view homes sold for 51%, 40% and 55% more than their non-view comparables for an average premium of 49%.  My sample size is obviously too small to draw definitive conclusions, but I think the results do support the findings of the study discussed above.  The results also echo what I always tell our real estate clients when they ask me “how much more for a view property?”… expect to pay at least 50% more for a great view property and be prepared to wait.  Patience is everything.

 

7213 N. 25th Street

5 bedroom, 2.5 bath, 3,032SF

Built in 1970, sold for $425,000 on 9/20/2013

View:  unobstructed water view from rear

1818 Skyline Drive

5 bedroom, 2.75 bath, 3,000 SF

Built in 1965, sold for $282,000 on 12/13/2013

View:  clipped, fully obstructed 

3009 N. 31st Street

3 bedroom, 1.5 bath, 2,006 SF

Built in 1906, sold for $462,000 on 8/28/2013

View: unobstructed water view from rear

2210 N. 29th Street

3 bedroom, 2 bath, 1,820 SF

Built in 1904, sold for $330,000 on 10/23/2013

View: obstructed partial view from 2nd floor

3712 N. 39th Street

2 bedroom, 1.75 bath, 1,606 SF

Built in 1916, sold for $460,000 on 07/31/2013

View:  unobstructed water view from side and rear

3905 N. 35th Street

3 bedroom, 1 bath, 1,358 SF

Built in 1922, sold for $297,000 on 8/1/2013

View:  none

 

 

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.

CommunityTacoma Real Estate December 11, 2013

Jeff Williams named to the City of Tacoma Landmarks Preservation Commission

Congratulations to Jeff,  recently nominated and approved by the Tacoma City Council to serve a two year term on the Tacoma Landmarks Preservation Commission.  The mission of the group is as follows: The Commission reviews and approves applications for changes to registered Landmarks and buildings within local historic districts, reviews nominations and advises City Council regarding additions to the Landmarks Register, and participates in the planning process.
 
To learn more about historic preservation, landmarks and historic districts in Tacoma visit the city's historic landmarks page here.  If you'd like to discuss the benefits of putting your historic property on the City of Tacoma Historic Register call or email Jeff, he'd be happy to hear from you!.

 

Jeff Williams is a Realtor with Windermere specializing in purchase and sale of historic and luxury homes in and around south Puget Sound.  Click here to email Jeff or give him a call at 253-303-1135.