Real Estate Weekly: March 25, 2022

RE-Weekly REAL ESTATE IN SKAGIT, ISLAND AND WHATCOM COUNTIES

INSIDE

This Issue MONTHLY VS. YEARLY LEASES PAGE 5

IS AN APPRAISAL REQUIRED TO GET A MORTGAGE? Q&A PAGE 6

OPEN HOUSE, SATURDAY, MARCH 26TH, 11AM TO 3PM FEATURED HOME: 21290 LAFAYETTE RD, SEDRO-WOOLLEY

3780 E. COLLEGE WAY, MOUNT VERNON WWW.SKAGITTRADITIONREALTY.COM

WINNING THE HOME BUYING RACE PAGE 7

SEE PAGE 3 FOR MORE

$595,000

CARLA FISCHER (360) 982-0010

RealEstate weekly

MARCH 25, 2022

FEB. 5- FEB. 11, 2016

A supplement to the Skagit Valley Herald and the Anacortes American 203325-1

INSIDE

TABLE OF CONTENTS

PAGE

5

Can’t Find a Home?

Consider New Construction....................................P5 Q&A

Ask Our Broker ......................................................................P6

How Big a Bite of Monthly Income Should a Mortgage Take? ......................P7

RE-Weekly To advertise in RE-Weekly or other Skagit Publishing publications, Call: 360.416.2180 or Email: ads@skagitads.com ©2022 by Skagit Publishing | All rights reserved.

All real estate advertised in Real Estate Weekly is subject to the Federal Fair Housing Act, which makes it illegal to advertise “any preference, limitation, or discrimination because of race, color, religion, sex, handicap, familial status, or national origin, or intention to make any such preference, limitation or discrimination.” We will not knowingly accept any advertising which is in violation of the law. All persons are hereby informed

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March 25, 2022

STAT Real Estate Stat

$1,769,000 The rough number of new housing starts in the United States in the month of February 2022.

Source: National Association of Realtors

FEATURED PROPERTY:

NORTH PUGET SOUND ASSOCIATION of REALTORS® 525 East College Way, Suite J

Mount Vernon, WA 98273 (360) 416-4902

www.npsar.realtor

21290 LAFAYETTE RD, SEDRO WOOLLEY

The Term REALTOR® The term REALTOR® is a registered collective membership mark that identifies a real estate professional who is a member of the NATIONAL ASSOCIATION OF REALTORS® (NAR) and subscribes to its strict Realtor Code of Ethics.

Local associations are required to enforce the code of ethics through a Professional Standards Council or Committee.

The REALTOR® Political Action Committee (RPAC) fights for Homeowner and property rights in Washington DC, Washington state and right here in your community.

Using a designated REALTOR® assures that your transaction in handled ethically, and that your rights will be protected now, and in your future as a homeowner.

To find a REALTOR® member in your area, www.npsar.realtor to view our member and affiliates lists.

visit

Skagit Tradition Realty LLC 3780 E. College Way Mount Vernon, WA 360-424-0300 www.skagittraditionrealty.com

$595,000

CARLA FISCHER (360) 982-0010

Shy 20 acres of farmland with deluxe triple-wide 2150 sq.ft. manufactured home. Portion of acreage is leased year to year to local farmer (about $4500 per year). Acreage offers Pole barn/garage w/attached carport and separate large shop. There is garden space and fruit trees, several smaller outbuildings, including starter greenhouse and deck. The home offers a large kitchen with island, pantry, and nook with bay window overlooking farmland. High ceilings and open feel to this floor plan. Free standing wood stove supplements forced air heat. Primary bedroom has walk-in closet and private bath. There are two more bedrooms, a den, and another full bath to complete this home. Lots of parking for you and your guests.

MLS#1905659

Mission Statement: The North Puget Sound Association of Realtors advocates for Realtors and their clients, and promotes the protection of property rights.

March 25, 2022

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Now could be the time to sell a new home and earn a slice of the real estate pie.

Record-low interest rates is renewing interest in the housing market for many people.

“When sellers are interviewing real estate agents to market their homes, their primary focus is usually on the advertising that the agent will offer them,” says Jessica Goodbody of Weichert Realtors.

Let us help you meet your marketing goals by advertising your listings in Real Estate Weekly.

Call 360.416.2180 Today!

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o l r y r f a t

i t m D i “ l March 25, 2022

the very start. But in cities like New York or San Francisco, monthly leases are rare. In a town like Chicago, it’s common for renters to stay on a month-to-month lease after the expiration of a 12-month lease,” Bordo continues.

It’s possible to switch from a yearly lease to a monthly lease or vice versa if you request it and the landlord is willing to negotiate with you.

“Leases are a contract, and as such the terms of the contract are controlled. Changing from yearly to monthly would need to be done with the consent of both parties or as permitted under the lease,” White explains. “If the lease term comes to an end and one party has the right to terminate, that party would have the right to set new terms or end the tenancy if new terms are not in agreement.”

It’s most typical to make this transition at the end of the initial lease term.

“If you request it beforehand, your landlord may assume you are trying to move out early “Here, the renter gains flexibility by being able to depart, and may request that you pay a giving as little as 30 days’ lease break fee,” adds Bordo. notice to the landlord at any Be prepared that your landtime. And the landlord can lord may say no to a monthly make changes to the rental lease, however. That’s because terms, including raising the rent or asking the renter to many landlords like the peace leave the apartment with just of mind that comes knowing 30 days’ notice,” cautions they have a steady source of Bordo.

The availability of short-term passive income they can count on for at least 12 months. rentals will vary widely based on geographic location.

“This allows them to plan “I spoke to a landlord in and stay consistent with their Charlottesville, Virginia, refinancial goals. It also helps cently, and she mentioned that it’s common for renters in her them avoid the hassle of having to find and screen new tenarea to be able to sign a lease that’s month-to-month from ants,” says Kroeger.

Monthly vs. Yearly Leases

The pros and cons of signing a short-term versus longer-term rental

By Erik J. Martin

When it comes to leasing options, you don’t have to limit yourself to a 12-month rental agreement, especially if you desire some flexibility as a renter. Instead, you could opt for a shorter-term lease that allows you to rent from month to month.

“Monthly leases are becoming more of an option due to the continued strong seller’s market,” comments Gene Darden, a real estate agent and investor in Helena, Alabama.

“With housing inventory being low and lack of availability, you March 25, 2022

have numerous homeowners in-between purchases. Landlords are increasingly realizing they can get quality tenants and more money by offering the convenience of short-term rental agreements.”

From the point of view of the landlord and tenant alike, receiving and paying monthly rent can be a win-win.

“This way, landlords are allowed the convenience to react and respond to constantly changing market conditions.

So, for instance, in a geographical location where rates of rent fluctuate a lot, monthly rent payments can benefit a landlord, as they can negotiate

the changes each month. They can also compare their rent with that of their competitors and react accordingly,” Kyle Kroeger, a finance expert and investor, explains.

Monthly leases are just the ticket for renters who require the option to move out whenever they would like.

“An ideal candidate for a monthly lease is a person in the process of purchasing a home since, after closing, they can avoid holding costs on two properties,” says Earl White, founder of a real estate-focused law firm in New Jersey. “Other good prospects include those planning a move shortly or

who anticipate relocation due to work.”

Jonas Bordo, CEO/co-founder of Dwellsy, the largest US rental listing platform based in Los Altos, California, notes that with a yearly lease, you sign a rental agreement for a 12-month term, give or take a month.

“During that period, the arrangement is fixed: The rent stays consistent for the duration of the lease, and the renter has the right to stay in the unit until the lease expires,” he says.

With a monthly lease, you continually renew your rental agreement from month to month.

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Is an Appraisal Required to Get a Mortgage?

Question: We are in the process of buying a home and our broker says that we don’t need an appraisal.

Aren’t appraisals always required to get a mortgage?

Answer:

In the electronic era—an era when you can get stuff delivered in a day, buy cars online, and bank remotely—traditional appraising is having a tough time.

Appraisals take time, cost money, and can delay mortgage processing. In some cases, they can cause transactions to be delayed and even undone.

Gay Cororaton, an economist with the National Association of Realtors, reported in September that “23% of buyers waived their appraisal contingency clause (buyers who waived their appraisal are likely all-cash buyers).

Among contracts in the past three months,

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25% had a delayed settlement. Of contracts that had a delayed settlement, 25% of contracts had appraisal issues.”

So, 25% of 25% means about 6.25% of all contracts had appraisal concerns. This, however, does not necessarily mean the appraisal or the appraiser was the problem. It could just as easily mean that multiple offers resulted in a sale price far above recent comparables, a concern when valuing properties.

Appraisals are not always required to get real estate financing. For instance, FHA streamlines refinancing and the VA’s interest rate reduction refinance loan (IRRRL) programs may not require an appraisal—but lenders might.

Also, appraisals may not be needed in certain cases for loans that must meet Fannie Mae and Freddie Mac standards.

During the early days of the Covid-19 pandemic, homeowners worried about having

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Q&A

ASK OUR BROKER

By Peter G. Miller

appraisers inside their homes, and appraisers, no doubt, were equally concerned. The result was the widespread use of “drive-by” appraisals and situations where appraisers did not physically examine the property’s interior.

Most importantly, automated valuation models (AVMs) have become increasingly accepted as an appraisal alternative.

“Freddie Mac,” said the Federal Housing Finance Agency (FHFA) in 2018, “projects that loans can close seven to ten days faster with an appraisal waiver. Eliminating the requirement for an appraisal can also save money for borrowers. Freddie Mac estimates that a lender that accepts the offer of an appraisal waiver can save the borrower the costs of the appraisal, which it projects at $300 to $700.”

Email your real estate questions to Mr. Miller at peter@ctwfeatures.com.

March 25, 2022

T

Winning The Home Buying Race

he housing market is now a game of musical chairs. And it’s only buyers who stake their claim before others and end up with keys to a new home.

How quick did successful buyers have to be in 2021, a year with sparse listings that promises to repeat itself in 2022? The National Association of Realtors {NAR} found that it took a median of eight weeks from the time a buyer started looking with a real estate agent until his successful purchase offer—a record low.

But that eight-week period reflects only those who made a purchase.

“Many of our clients have been looking for over a year with multiple offer submissions,” observes Vincent Cyr, of Keller Williams Real Estate, West Chester, Pa., and they’re returning March 25, 2022

this year to try again, he adds.

Sometimes, what a buyer is willing to offer just doesn’t match the competition. But in any case, buyers must decide on offers quickly.

Some tips:

NARROW THE FIELD

Define your “must-have” list, whether it’s two full baths or three bedrooms. Leave out any home lacking those priorities. Also, define “niceto-have” features that you can live without, says Shannon Minsch, an agent with Charles Rutenberg Realty, Clearwater, Fl. NAR finds that buyers search at least two weeks online before working with an agent.

“Restrict your digital favoring” strictly to likely properties, advises Colleen Kirk, marketing pro-

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fessor, New York Institute of Technology. Even just hitting “save to list” on an improbable home inhibits focus on realistic choices.

ACT ONLY WHEN CONFIDENT

Rushing to make an offer without all key information, like whether the home is structurally sound or whether you can swing a certain price isn’t worth it. But “if the buyer is prepared,” he should act quickly, says Cyr.

STOP THE CLOCK

When buyers land a home quickly, they’re susceptible to worry that maybe they acted too quickly, notes Kirk. “Telling others about [your purchase] or posting it on social media should help consumers feel that the transaction is closed,” Kirk concludes.

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Arthur Elliott Johnson, “Elliott” was born in Burlington, March 23rd, 2022. He has lived all of his life in Mount Vernon, with a jaunt to the University of Washington where he graduated with a Bachelor’s Degree in Business; thence off to World War II in the U. S. Navy. Elliott’s parents Arthur and Beatrice Johnson opened Johnson Realty in 1936. Elliott joined the family real estate business and quickly became the broker. He joined Mount Vernon Kiwanis when he was 25 years old, and enjoyed perfect attendance for 72 years; and has been a continuing member for 75 years. During that time Elliott helped start seven additional Kiwanis clubs in the area. He assisted with the establishment of the Kiwanis Park on North 18th Street in Mount Vernon. Initially Kiwanis sold barbecued chicken during the Skagit County Fair.

Kiwanis transitioned to all of those wonderful Kiwanis salmon barbecues at Hillcrest Lodge during the Skagit County tulip festival, which have funded many, many college scholarships for our local youth. Our Kiwanis reminder, “Go out and serve the children of the world”. Our current Kiwanis President is Joe Bowen.

Happy, HAPPY 100th Birthday, Uncle Elliott!

With Love from your grateful niece and proud fellow Kiwanian; Also with Love and Hugs from your fellow Realtor, Danya

4619 & 4621 S BEAVER POND DRIVE, EAGLEMONT

We look forward to seeing you, in person, at the SICBA Home and Garden Show this year.

Our booth will be located in Building C, space 20.

Friday March 25th, 10-5pm, Saturday March 26th, 10-7pm and Sunday March 27th, 10-4pm

2202 MONICA DRIVE, MOUNT VERNON

(360) 202-3086

$650,000

20787 BULSON RD, STANWOOD

Cherry kitchen cabinets, quartz countertops, hardwood floors throughout; three bedrooms; 2 3/4 baths; natural gas forced air furnace; air conditioning; natural gas fireplace both upstairs and in separate living area downstairs. Windows are airport glass to enhance quietness. Daylight basement completely finished with kitchen, second natural gas fireplace TK and separate entrance. Enjoy the beautiful sunsets from the main level deck. Sprinkler system; storage shed. Double garage and generous sized lot with parking for 8 vehicles.

Danya Wolf (360) 708-8294 MLS#1905955

Patricia Box Office Manager O: (360) 424-0300 C: (360) 941-9186

JoAnn Boudreau (360) 391-0746

Juanita Bunch (360) 941-5530

Carla Fischer (360) 982-0010

Elva Hunter (360) 202-3086

$99,000

Each Lot is listed at only $99,000 Start your new home on one or both of these private lots in Eaglemont with all utilities in the street, surrounded by greenbelt and wooded area for maximum privacy, wonderful neighborhood with beautiful homes , walking trials. Eaglemont is an 18 hole Championship Public Golf Course! Spend your time relaxing and enjoying life in beautiful Eaglemont nestled in the foothills of the Cascade mountains with awesome views of Mount Baker and an abundance of wildlife!

Once you’re here you’ll know you have found a hidden treasure!

MLS#1880617 4619 S Beaver Pond Dr Elva Hunter MLS#1880578 4621 S Beaver Pond Dr

John Hunter (360) 202-3086

Suzanne Jenkins (360) 941-2983

360.424.0300

Phil LaMay (360) 840-3086

$350,000 Beautiful wooded 4.98 acres situated on south side of Snohomish County/ Skagit County line. Power is in street.

Solar power is also possible. Adjacent property to the east of Subject Property is fenced, open field. Zoning allows for one building site. Stanwood-Camano School District; and just ten minutes to I-5. Great country living yet convenient for commuting.

Danya Wolf (360) 708-8294 MLS# 1841822

Russ Lanker (360) 708-1117

Brett Tacker (360) 840-7931

Danya Wolf Designated Broker/ Owner (360) 708-8294

3780 E. College Way, Mount Vernon www.skagittraditionrealty.com 203326-1

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March 25, 2022