You Get to Pick TWO!

Finding your dream home can be tricky

So, you’re getting into the market. You’re a first-time home buyer, you need a larger home, or you’re downsizing and need a smaller one. Maybe you need a home that fits your changing lifestyle – more remote, a dedicated work-from-home space, room for a garden, a home gym, space for a horse, some chickens or an RV. Somewhere out there is the perfect home for you, right? Exactly the right size, style, and location. Perfectly updated. But what if you’re just not finding your “dream home”? Simply put, you’ll need to weigh your options and then build on what is available.

Size, Location, Condition – You get to pick two:

Regardless of your budget, in most cases, you’ll find yourself compromising somewhere along your home-finding journey. It’s rare to find a home that checks every single box. No reason to throw in the towel! Even in a slow market, finding a home that satisfies two out of three [size, location, condition] is a wonderful thing. With the right mindset and a tenacious real estate broker, you can win in Seattle’s real estate market and fall in love with your new home.

Which two are at the top of your list?

SIZE | LOCATION | CONDITION

Considering a breakdown of these three elements and developing a strategy in advance can save you so much time and stress from the beginning of your search, all the way through closing. Your very first step should be a candid discussion about your priorities with all decision makers (including your tenacious real estate agent!). Know up front what your absolute “deal breakers” are when it comes to size, location and condition of your future home. Also know – as you search for a home, your priorities may change. It’s important to work with a broker you feel comfortable communicating openly and honestly with. The more your broker is in the loop, the better equipped they are to help you and possibly uncover a hidden gem, an off-market property or scour expired or canceled listings for properties that match your criteria. I’ve even written letters to homeowners of off-market properties to see if they’d consider selling to my buyer, looking for just their property type. I’ve also seen cases where a “hard to refuse” offer was dropped on the porch, and suddenly an off-market deal comes together.

Bigger May Not Always Be Better:

In fact, more square footage than you need can actually be detrimental in some cases. Empty spaces can mean more maintenance (and the accumulation of clutter). More square footage will cost you more upfront and also in the long run. Maybe the home looks like a good candidate for an addition? With input from the right experts, you can see if the home’s structure and local permits will allow for such changes.

Ask Yourself: What do you really NEED to be comfortable? How many bedrooms and bathrooms? Do you need an entertaining space, or will a formal living room go unused most of the year? Do you need a dedicated office space, or can you use one space for multiple purposes? Do you absolutely need a yard? Will a small garden or courtyard make you happy, or do the kids need room to play catch?

Also Consider: If you plan to add living space or a backyard cottage (legal name – ADU or Accessory Dwelling Unit), the city planning department will enforce land-use restrictions, so inquire early as to what those may be, before you fall head over heels for a property.

Location, Location, Location – You know the mantra!

In terms of appreciation over time, this familiar adage still holds. When we’re talking about the overall quality of life you desire in a home, location is just ONE factor. It’s a big one – especially if you require particular amenities like a central location, walkable, close freeway access, or excellent schools – but it isn’t the only one. Land in the Seattle area is extremely valuable (and in short supply), so expect to pay a premium. That said, if you don’t mind commuting or living in a more remote area, you can still find a great place to live.

Ask Yourself: How will I get to work? How long will it realistically take? What kinds of local businesses and amenities do I consider essential for my lifestyle? Do I want peace and quiet or a more lively atmosphere? Is having a view property worth the higher price to me?

Also Consider: The Seattle area is continually growing and evolving, mostly due to our robust job market. Skilled labor is in short supply (and has been since the financial crisis of 2008, when many builders and contractors went out of business or left the area). The Seattle area as a whole offers a wide array of choices, from cities to waterfront, to elevated view properties, and suburbs. Do your research about all the different areas and changes that may be on the horizon, especially regarding transit.

Condition: Do you have the temperament to take on a fixer?

A majority of buyers are not willing to compromise on location, so condition often becomes their compromise. Sometimes “fixer-uppers” get a bad rap. We’ve all heard horror stories about home buyers getting a “sweet deal” that turns into a nightmare . . . and it can happen; however, there is a difference between going in with a clear head about the work that needs to be done and blindly assuming it will all work out, somehow, some way. Work with your Realtor to identify trusted contractors and inspectors to navigate your options, and just expect that there will be delays and cost overruns.

Ask Yourself: Can I do some of the work myself? Do I even want to do some of the work myself? Does the work have to be done immediately or can I do it over time? When major work is being done, will I be able to live in the house? After I close on the home, what kind of budget do I have to cover labor, materials, and permits? Does the cost of a remodel make sense with the expected appreciation of the home?

Also Consider: The cost of maintaining a home is always something to factor in, even before penciling out major repairs or improvements. Do the math and determine whether you can really afford a house that needs significant work.

Mortgage rates are about the same

Mortgage interest rates are currently hovering in the low 6% range after some recent ups and downs. This movement can be attributed to inflation data, bond market activity, and broader economic headlines. Most mortgage professionals do not anticipate a sharp rise in rates in the near future, but rather continued fluctuations within a fairly steady range. While rates are higher than many buyers would like, thoughtful loan options and strategies can still help keep monthly payments manageable.

Betsy Matias | Broker, Realtor®
Mobile: 425.457.4813
Office: 425.643.5500
Email: BetsyMatias@windermere.com