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Our Military Connections & Resources for Clients Who Serve
We proudly support our armed forces and their families, and we’re grateful for the sacrifices they make. Many of our real estate agents have worked with military families for years and are well-versed in helping families about to PCS (for our non-military readers, that means Permanent Change of Station). As proud locals, we love introducing newcomers to Kitsap County. A number of Windermere Realtors are either veterans or have family members who are. Whether you’re preparing to move to Kitsap or thinking of selling your home, we’re here to serve you.
Our Ties to the Military
Windermere Realtors like Forrest Arnold are veterans themselves. “As a 19-year-old sailor during the Vietnam event, I was crew during 103 combat missions…all in the midst of Agent Orange…So I’m grateful to have survived that time and to live in Kitsap where veterans are honored with honest appreciation.”
Military family members offer unique perspectives as well. “I was born in an Air Force hospital with my father at war in Vietnam,” says Windermere Realtor Audrey Newell. “I’m the wife of a career Navy officer (ret.). I have seen what service means, and I am thankful to all who serve, and the families and communities that support them.” Audrey also shared this powerful quote by Winston Churchill: “Never was so much owed by so many to so few.”
A Navy spouse and Windermere Realtor, Ida Bear shared a recent, meaningful experience. “Jim and I had the opportunity to visit Normandy, France. We spent a great deal of time there getting our heads and hearts around the selfless commitments made by thousands of soldiers. In the Normandy American Cemetery, we have almost 9,400 Americans laid to rest, most of them killed on one day of conflict. This quote hangs at Normandy and rings true and stuck with me:
“You can manufacture weapons, and you can purchase ammunition, but you can’t buy valor, and you can’t pull heroes off an assembly line.” – Sergeant John R. Ellery, U.S. 1st Infantry Division, landed in Normandy on D-Day
Kitsap County Resources
Kitsap County is a beautiful place to live. If you’re new to the area or looking for resources to assist those who are, we hope these will help you. We’re also proud locals, and many of our agents grew up here. So, if you have any questions, don’t hesitate to reach out.
- Guide to Kitsap County with videos and links
- Kitsap Events Guide with annual and recurring events listed by month
- Military Spouses of Kitsap Group to get connected and receive local recommendations
- Visit Kitsap Peninsula – a great tourism resource
- Windermere Sound Living’s Facebook & Instagram with local events, small business spotlights, and more
Real Estate Resources for Military Clients
If you’re preparing to move, Military OneSource has planning tools and relocation articles. Additionally, that’s where you’ll find the official Department of Defense guide for military installations worldwide. If you’re thinking of buying a home, you can easily learn about different types of VA loans, such as a Purchase Loan and an Interest Rate Reduction Refinance Loan (IRRRL). Branch Manager/Mortgage Consultant, Cherie Kesti, is our partner lender, and she can determine your buying power according to current BAH rates. We also have a helpful Home Loans Q & A article with her.
If you’re thinking of selling, here are some mistakes to avoid. and information about renting vs. selling your home. Our agents can also provide additional information about Kitsap County’s real estate market, Western Washington’s market, and more.
Staging a Home: Costs and Benefits
When it comes to selling your home, it’s essential to stand out to ensure the best price with the most favorable outcome. One effective way to do that is by staging your home. Staging will present your home in the best possible manner, appealing to homebuyers online and in person. Let’s explore the costs and benefits of home staging.
The Costs of Home Staging
Staging a home is an investment, and it’s important to understand the potential costs involved. The expenses can vary depending on the size of your home, the extent of the staging required, and your location. Here are some typical costs to consider:
- Professional Staging Services: According to data from HomeAdvisor, home sellers pay between $778 and $2,851 in home staging costs. However, the price can vary widely depending on how much staging needs to be done, if your home is vacant or not, and how big it is. How long your home is on the market also impacts the cost due to monthly furniture rental fees.
- Furniture Rental: If your home is vacant, you may need to rent furniture and decor to create a warm, inviting ambiance. Furniture rental costs can range from a few hundred to a few thousand dollars per month.
- Repairs and Updates: Sometimes, staging involves making necessary repairs or updates to your property. This may include fresh paint, minor updates, or landscaping improvements. Costs can vary, and a local expert will be able to assess your property’s specific needs.
- Storage Costs: If you need to store some of your belongings while your home is staged, you’ll need to consider storage costs.
- Utilities and Maintenance: While your home is on the market, you’ll need to keep your staged home in excellent condition. This may require additional utility expenses, as well as regular maintenance costs.
If you need financial assistance preparing your home, the Windermere Ready Program has benefitted many of our sellers. We can provide up to $100,000 and the program includes a personal consultation with one of our local real estate agents, high impact updates, and professional staging.
Why Sellers Should Stage Their Homes
Now that we’ve discussed the costs, let’s dive into the compelling benefits of staging your home:
- Faster Sale: Homes that are professionally staged tend to sell faster than unstaged properties. According to the National Association of Realtors (NAR), staged homes spend 73% less time on the market on average.
- Higher Selling Price: Staging can potentially increase your selling price. According to the National Association of Realtors, a 2021 report found that 85% of staged homes sold for 5% to 23% over the listing price.
- Improved First Impressions: Staging helps create a memorable first impression, making your home more attractive to potential buyers. An inviting and well-organized home can go a long way. In a 2023 study, 81% of buyers’ agents said staging a home made it easier for potential buyers to visualize the property as a future home.
- Increased Visibility: In today’s digital age, most homebuyers start their house hunt online. Staged homes typically photograph better, making your online listings more engaging. A captivating online impression can lead to increased clicks on your listing and increased foot traffic at open houses.
Why Use a Local Real Estate Agent
To ensure the successful staging of your Western Washington home, we highly recommend partnering with a knowledgeable, local real estate agent. Here’s why:
- Market Expertise: Our local agents understand the intricacies of Kitsap County’s real estate market. They know what buyers want and will tailor the staging process accordingly.
- Professional Network: Our experienced agents know excellent stagers, contractors, and other professionals who can assist.
- Pricing Strategy: Our real estate agents will help you determine the optimal pricing strategy for your staged home, ensuring you get the best return on your investment.
- Negotiation Skills: When it comes time to review offers, you want someone who will serve as your trusted advocate, using their negotiation skills to secure the best possible deal for you.
In conclusion, the benefits of staging a home far outweigh the investment. A well-staged home sells faster and at a higher price, and partnering with a highly-rated, local real estate agent ensures success. So, if you’re looking to sell your home in this beautiful corner of the Pacific Northwest, feel free to contact us with any questions you may have.
How to Negotiate After a Home Inspection
Even if the house you are buying seems perfect, often a home inspection will uncover necessary repairs. As the home buyer, it’s within your right to request credits or fixes to address those issues. Here are a few tips to effectively negotiate after a home inspection.
Required Repairs
Since a lender is making a financial investment in your new home, they will require an inspection. Additionally, the lender may require certain repairs before moving forward. Sometimes, these requirements are outlined within the loan agreement. Most often, this applies to major defects that could adversely impact a home’s property value. This typically includes structural issues, water damage, pest infestations, and building code violations.
Ideally, home buyers here in Washington won’t have major surprises discovered during the home inspection. Sellers are required to provide a disclosure form outlining defects and details about the home. That said, sellers can be unaware of certain issues, which is why home inspections are still really important.
Ask For Repair Credit
If the home inspection does reveal repairs, often the best strategy is asking for repair credit. Remember, the seller is in the process of packing up and moving on. They are no longer invested in the look and quality of their old home. There is a good chance that the seller won’t approach making repairs with the same level of care and attention to detail that you will. As a result, negotiating a repair credit and lowering the sale price is a great option. This way, the seller doesn’t have to worry about the repair, and you get a better deal. Once the sale is final, you can hire contractors you trust to do the job right. New to the area? Your local real estate agent should be able to recommend someone.
Be Practical
As you review the home inspection and contemplate the repair list, think about your plans for the house. Maybe there is damage on one corner of the kitchen floor, but your plan is to replace the floor eventually. Then perhaps it’s best to forego trying to address this relatively minor issue and focus on negotiating major repairs.
While sellers in Washington State are required to disclose defects, they are not required to fix them. If a major defect is revealed during a home inspection, your lender may require having it repaired. It’s your right as the home buyer to go back to the seller and attempt to negotiate this through a repair credit or a fix-it request. Technically, the seller can refuse. If the seller says no, you will have to decide whether to make the repair yourself or whether to call off the deal.
Consult Your Local Real Estate Agent
Working with a knowledgeable local real estate agent is essential in these situations. A highly rated Windermere Poulsbo agent can guide you through the home inspection process. If the inspection reveals necessary repairs, your agent will work with you to determine which repairs are worth negotiating. They will also negotiate on your behalf. If the seller declines, your agent can help you decide the next best step. Being able to rely on an expert negotiator after a home inspection is invaluable. Any huge financial decision should be made with as much information as possible and with the support of a local, experienced advocate at your side.
For additional information regarding the home-buying process, check out the Windermere Guide to Buying a Home.
Home Loans: Q & A with Mortgage Consultant Cherie Kesti
If you’re a first-time home buyer, the idea of buying a house may be exciting and overwhelming. We’re here to help by answering your frequently asked questions. Here at Windermere, we’re proud to partner with Penrith Home Loans and we love our lender, Cherie Kesti. Cherie is a Branch Manager and Mortgage Consultant with over 20 years in the home financing industry and a proud Kitsap local. She graciously made the time for our Q & A.
What are the most common types of loans for a first-time home buyer?
The most common types of loans for first-time home buyers are Conventional, which offers 3% as the minimum down payment; FHA, which offers 3.5% as the minimum down payment and, of course, VA financing, which offers zero down payment for qualified veterans or active duty members. Any of these programs can be coupled with a down-payment assistance program for those borrowers who qualify, as this is an income-driven program.
How does your credit score impact your mortgage rate?
A credit score can affect a mortgage loan in a good way or bad way. The higher the credit score, the better the interest rate structure, and there are more loan options available. The lower the credit score, the stronger impact it has on the interest rate structure (higher rate) and fewer loan options that may be available to the borrower.
What is the difference between a fixed-rate mortgage and an adjustable-rate mortgage?
A fixed-rate mortgage is just that. The interest rate is fixed for the life of the loan, albeit a 30-year term, 25-year, 20, 15 or 10-year term. The adjustable-rate mortgage will have a point in the loan where the rate becomes variable. It may be right away, such as on a home-equity-line-of-credit mortgage, or the rate may be fixed for the first 3 years, 5 or 10 years of the mortgage term before it converts to the adjustable-rate feature. An adjustable rate will have a limit to how high it can go during the life of the loan, called a cap. After the fixed rate term, the rate usually fluctuates once a year based on the index and the permanent margin of the loan term.
What is private mortgage insurance (PMI), and do I need it?
Private Mortgage Insurance (PMI) is default insurance for loan amounts that are greater than 80% of the value or purchase price of the home. This is an amazing tool/feature of a home loan because it allows borrowers to put as little as a 3% down payment on a home loan as owner-occupied. Of course, the more you put down, the less you pay in monthly mortgage insurance. For example, someone putting 15% down will pay less each month than someone putting 5% down. Just like you would want to insure your home for fire damage, PMI acts like insurance for the lender in the event the mortgage goes into foreclosure. It’s very expensive for a lender to foreclose on a home. The monthly mortgage insurance drops off automatically when the loan balance to the original purchase price or appraised value reaches 78%. Homeowners can request the loan servicing company to review for removal when it reaches 80%, and their payments have been on time for the past 24 months.
What is the debt-to-income (DTI) ratio, and how does it affect my ability to get a mortgage?
Debt-To-Income (DTI) ratio is the calculation between the total gross monthly income(s) and the total credit reported monthly debt + alimony or child support obligations + new mortgage payment and sometimes the current mortgage payment if keeping the departing residence. If one carries too much debt for the gross income to stay in line with the mortgage loan guidelines, it may affect the buyer’s purchasing power. Or, it may require the borrower to pay off debt as a condition of the loan approval. Every file is different in how their DTI affects them. But this gives you a good idea of what we look for.
What is the difference between pre-qualified and pre-approved?
Being pre-approved will get you further on the integrity of your purchase offer than just a pre-qualification letter. Pre-approved means that your application has been completed, reviewed by underwriting, and conditionally approved. Conditionally meaning that title, appraisal, insurance, and perhaps updated pay or bank statement are needed before closing. Pre-qualified just means that an applicant may have had a conversation with a loan officer, and credit approval is automated vs. being reviewed and approved by an underwriter. At Penrith Home Loans, we have a unique process we take our borrowers through to get them the highest level of loan approval: Certified Home Buyer.
How much can a borrower afford to spend on a home?
Well, that depends on what their loan qualifications and credit look like. Each borrower brings a unique set of qualification features to their loan application. The Loan Officer or Mortgage Consultant plays an important part in helping each borrower answer that question. The affordability aspect may be influenced mainly by the amount of gross monthly income that can be verified and acceptable. Or, it may have everything to do with how much the borrower can bring to the table as their All-In $$ number drives how much they can afford.
What are the advantages and disadvantages of getting a government-backed loan such as an FHA or VA loan?
A government-backed loan such as an FHA or VA loan are common first-time home buyer programs. FHA self-insures their loans for default which allows borrowers with lower credit scores to qualify for a lower down payment with a little better interest rate than what a Conventional loan may offer. Self-insured just means that there is an up-front Mortgage Insurance Premium amount that is allowed to be financed into the base loan amount (after the minimum down payment is applied). Then, there is a monthly mortgage insurance amount that is built into the payment that stays on there until the loan is paid off or refinanced to a conventional loan. Again, mortgage insurance is default insurance for FHA in the event of a foreclosure.
When it comes to VA loans, this is a popular first-time home buyer program, too. But you can use it subsequently with seasoned VA home buyers, allowing as little as zero down each time. VA charges a Guarantee Fee, which acts the same way when a VA loan goes into foreclosure. The VA funding fee or guarantee fee is allowed to be financed into the loan. The percentage of the VA funding fee charged changes depending on whether the borrower has a down payment or not. The more the down payment, the lower the VA funding fee charged. If the veteran receives a VA-related disability income, then the VA funding fee is waived completely. The advantages of either of these programs are that they allow minimum to no down payment, leniency on credit scores, and allow for a higher DTI than a conventional loan may.
What is a home inspection, and why do you need one before buying a home?
A home inspection is usually not required to finance the purchase of a home unless an appraisal report specifically calls one out. Examples include a roof inspection, an inspection on the well or septic, or a structural inspection if there are concerns pointed out on the appraisal about the health and safety of the structure. A home inspection can be an important part of learning if the home being purchased needs immediate maintenance attention. It can also help you plan for maintenance attention down the road of ownership. You’ll be able to learn more about the inner workings of your home, such as furnaces, hot water heaters, electrical panels, plumbing details, etc. When you own a home, you become responsible for its upkeep, which ensures your home will hold its value over time.
An appraisal report is not a home inspection. It is a report, usually required with a mortgage, that compares the subject home with other recently sold and similar homes in the area for value and condition. The appraiser will want to see the terms of the purchase in hopes that the appraised value of the home will support what it’s being sold for. The lender also looks for the home to be in an acceptable condition for health and safety.
If you have additional questions about home loans, you can contact Cherie Kesti or one of our Windermere Poulsbo Brokers. And, when it comes to lenders, a local lender can make a huge difference. Additionally, you may want to check out our home-buying checklist. Best of luck on your homebuying journey!
Real Estate Insights From Our Chief Economist, Matthew Gardner
Once a month, Matthew Gardner, Windermere Real Estate’s Chief Economist, provides insights on our housing market. We’ve listed some of his recent predictions, thoughts, and conclusions to give you the information you need to make well-informed real estate decisions. And, you can also watch Gardner’s full videos below to learn even more.
The Continued Decline of the Housing Market Index
The National Association of Home Builders released their Housing Market Index for August, and the data was “eye-opening” as Matthew Gardner says. Based on a survey of home builders, this index asks them to give their take on the single-family market. Builder confidence fell for the 8th straight month, dropping below the index level of 50. As Gardner explains, “More home builders currently rate sales conditions as poor than good…Builders have been reporting a spike in canceled contracts recently.” Additionally, all components of the Housing Market Index are at their lowest level since May of 2020. 69% say mortgage rates are the primary reason, and 19% of builders have reduced prices in an effort to increase sales. Gardner says he uses the Housing Market Index as a reliable indicator when it comes to single-family housing starts.
When it comes to new homes for sale, there’s a rise in listings of 32.1% year-over-year. Furthermore, of the homes currently for sale, 67% are under construction. 24% haven’t broken ground yet, and 9% are ready for new owners to occupy them. While it may seem like it isn’t that bad since only 9% are finished, Gardner points out that “builders incur costs every day that the home is not sold, even if that home has yet to be built.”
“With more homes for sale and lower transactions, it would now take more than 9 months to absorb all available homes using the current sales pace.” As a result, new home starts fell by 10.1% between June and July of this year. And, starts have dropped by 18.5% from a year ago.
Affordability is a key issue that Gardner highlights. He also points out how construction costs have impacted builders. And, that is magnified by the fact that they’re competing with rising inventory in the resale market. “Last month, the average price drop was 5% but this is very likely to increase as we move toward the fall.”
To learn more, watch the full video below.
Mortgage Rates and Inflation
In the beginning of 2022, 30-year conventional mortgage rates started at just over 3.1% but have skyrocketed to 6%. While economists like Matthew Gardner expected rates to trend higher this year, no one anticipated such a dramatic increase. That’s because no one could’ve factored in Russia’s invasion of Ukraine and that inflation would continue to climb for much longer than we expected. As a result, “when inflation is running hot, it limits demand for bonds,” Gardner explains. This then “forces the interest rate payable on those bonds to rise and this pushes mortgage rates higher.”
Gardner also looks at other inflation indicators, which point to the fact that slower spending acts as a headwind to further price increases. He also looks at the Producer Price Index, which measures at the wholesale level, not the retail level. “Even though the total rate rose as energy costs continue to impact the manufacturing sector, the core rate has been pulling back again for the past three months.”
Matthew Gardner concludes, “If the trends we’ve looked at continue, I still expect inflation to start slowly creeping lower, which will push bond prices higher, yields will start to, if not drop, then certainly pause. That will allow mortgage rates to hold at – or close to – their current levels for the time being. But we could actually see rates coming down a little.”
You can watch more of Gardner’s videos on Windermere’s YouTube channel. If you have any questions about the information we’ve shared, feel free to reach out to one of our local real estate experts. Our agents are highly knowledgeable and happy to assist you.
Fall Home Sales: Why Autumn is a Good Time to Sell Your Home
Are you thinking about selling your home, but worried since it isn’t spring or summer? Fall is actually a good time to sell your home and it comes with some unexpected perks. Keep reading to learn more about the benefits of fall home sales.
Fall Ambiance
Autumn is a beautiful time of year, especially here in the Pacific Northwest. The leaves are turning, the air feels crisper, and the holidays are fast approaching. All these things can strengthen your home’s curb appeal. Take advantage of autumn’s allure by keeping your yard and home’s exterior pristine. Make time to rake the leaves and keep your gutters clear. By keeping things tidy, you are giving your home’s natural fall foliage a chance to shine. You can also add a touch of autumn ambiance to your home’s indoor spaces by decorating with fall colors. Staging your home with autumn accents gives it an extra cozy feel that draws in potential buyers.
Julie Bray-Larsen, Windermere Poulsbo Managing Broker
Less Competition
Since spring and summer are real estate’s busy seasons, in the fall there are fewer homes listed for sale. Generally, this means less competition for you and fewer options for buyers. With not as many houses on the market, your home has a greater chance to dazzle potential buyers. As Windermere Poulsbo Managing Broker, Julie Bray-Larsen explains, “Fall is a great time to list your home here in Kitsap County. Our weather is still beautiful, so the landscaping is still looking nice. Most importantly, there’s typically less competition in the market. Because there are always buyers out looking, your home will stand out more as a potentially great fit for buyers wanting to purchase and move in before the holidays.”
Serious Buyers
People looking for homes in the fall are serious about buying. Generally, they have a reason to move at that time whether it’s because they are relocating for a job, downsizing, first-time buyers, or service members. “Our large military community in Kitsap means those buyers need to move all months of the year, so that added demand is great for sellers,” says Bray-Larsen. Serious buyers also want to find a place and get settled in before the busy holiday season starts. This adds another level of urgency to finding a home, which can benefit sellers.
Faster Closing
Since there are usually fewer real estate deals during the fall, everyone involved in the transaction process tends to have greater availability. “Mortgage brokers and escrow officers are less busy after the summer rush, so financing is more quickly approved. Therefore, buyers will be ready to go,” explains Bray-Larsen. This greater flexibility also applies to real estate agents, home inspectors, and appraisers. As a result, it’s easier to schedule appointments, and everything moves faster, which is great for sellers.
Now that you can see why fall is an excellent time to sell, check out the Windermere Ready Program. Windermere can assist by investing in important home upgrades or repairs to help you sell for more and in less time. Contact one of our real estate agents for more information.
Windermere Ready Program: Sell Your Home for More
To get the best offer for your home, making a great first impression is key. In fact, our belief in the importance of first impressions is so strong that we developed the Windermere Ready program to support sellers. With professional advice from local experts, our program prepares your home to wow potential buyers. Also, we’re ready to provide financial assistance if necessary.
Sell For More Faster
Typically, sellers who invest in making repairs and upgrades sell their homes faster and for more money, sometimes even above the asking price. By taking action to make sure your home makes a great first impression, you set yourself up for success. After all, you only have one chance to transform a buyer’s interest into excitement.
To help make this possible, the Windermere Ready program provides:
- A personal consultation
- Customized home plan
- High impact updates
- Professional staging
Many buyers prefer stylish, turnkey homes, but some are also looking for specific features and amenities. This makes it challenging to know which repairs and upgrades will lead to the best offer. The Windermere Ready program takes the guesswork out of preparing your home with an individualized assessment. Based on your timeline and needs, one of our Windermere Poulsbo agents will work with you to identify your home’s most important improvement priorities.
Once critical repairs and priority upgrades are identified, your Windermere agent will create a custom action plan and work schedule to keep your timeline on track. To ease implementation, they will recommend local service providers and coordinate access to your home as needed.
High Impact Improvements
Great first impressions sometimes come from simple updates and small changes. A new coat of paint and a bold, colorful door gives your home a fresh look and curb appeal. Additionally, small interior upgrades such as adding new light fixtures or cabinet hardware provide stylish, eye-catching details. These enhancements capture a buyer’s attention and help make a house feel like home.
Exterior items that we focus on:
- Painting
- Window Washing
- Landscaping
- Lighting
- Entrance Detail
- Power Washing
- Decorative Window Features
Interior items that we focus on:
- Painting
- Carpet Cleaning/Replacement
- Floor Repair/Refinishing
- Fixture Repair or Replacement
- Cosmetic Updates
- Decluttering
- Professional Deep Cleaning
Staging Your Home Provides an Important Final Touch
After making repairs and updates, we recommend one more final touch—staging your home. Professional stagers help your home make the ultimate first impression by highlighting the best features of each room. A staged home improves your chance of receiving the best offer by helping buyers visualize themselves living there. According to Forbes, staged homes sell 87% faster and for 17% more than non-staged homes.
We’re Invested in Your Success
To help prepare your home for success, we can provide up to a $100,000 loan to assist with expenses if needed. The loan term is six months and there are no upfront costs and no monthly payments due during that time. When your home is sold, the loan is paid off in one lump sum. For more information about the Windermere Ready Loan and how it works, please contact us.
Get Started
Finally, to get started, contact a Windermere Poulsbo agent for a Comparative Market Analysis to see what your home is worth. A Comparative Market Analysis is more in-depth than an online home estimate and from there, an agent can discuss what possible home repairs and upgrades could increase your home’s value. The Windermere Ready program will help prepare your home to make the best first impression and help you sell your home for more.
Why a Local Lender Can Make a Huge Difference
Looking to buy a home but worried about this competitive seller’s market? There are many steps to take that can set you apart from the competition. One of those can be using a local lender. A great local lender can be very advantageous. We’ll explain why with insights from some of our real estate experts.
A Personalized Approach
Before going to a bunch of open houses, you need to get pre-approved for your loan. While your existing bank is an option, along with many online providers, a good local lender offers personalized service. Buying a home can be a stressful process and it will likely be the biggest purchase you ever make. So, you want to work with people who can easily answer your questions on the phone or in person. This is especially helpful if you have a complicated situation or if you’re a first-time homebuyer.
Their Reputation Matters
A local lender lives in the community where you’d like to buy a home. So, their clients’ feedback and their reputation mean a great deal to them. Do your research and choose your lender carefully. “Buyers need a strong reputable lender in their corner more than ever!” says Audrey Newell, Broker/Realtor. “To make your offer stand out, make sure your lender has a well-earned reputation for being responsive and getting loans closed. Local lenders make all the difference. I encourage ALL of my Buyer clients to choose their lender with great care.”
Build Trust and Confidence
A local lender is appealing to sellers and to their real estate agent because everyone wants the process to go smoothly. Local lenders have better reputations when it comes to closing on time. Therefore, using a local lender builds trust. This is especially important if you’re trying to win in a multiple offer situation. While there are many factors, a trusted local lender could be the difference between getting the house or not. The sellers or their agent may be put off by a national bank or online lender if they’ve had a bad experience with them in the past. Managing Broker Amy Allen says, “I always encourage buyers to work with a local lender for various reasons. Most importantly, I want their offer to stand out in this competitive market! In our small community, listing agents have had experience working with one of our fantastic local lenders, and they can be assured that we’ll get closed on time!”
“Penrith Home Loans works hard to offer the best local financing options to Windermere clients,” explains Cherie Kesti, Penrith Branch Manager/Mortgage Consultant. “The long reputation of Penrith as a local lender is instrumental in helping the Real Estate Brokers and their clients gain a sense of confidence that their transaction is going to close on time, with the best financing options available, the highest level of communication, integrity, and ease. I’ve known sellers who picked a Penrith-approved buyer amongst a myriad of offers because they had a past positive experience with Penrith and knew their transaction would close as agreed.”
Here at Windermere, we’re proud of our partnership with Penrith Home Loans. Real estate agents like Bonnie Chandler can attest to Penrith’s benefits. “I have referred many of my clients to Cherie Kesti of Penrith for many years. They are so appreciative of her knowledge in lending and her wonderful attention to them in providing excellent service.”
Local Expertise
A local lender knows our real estate market very well. And, Forrest Arnold, Broker/Realtor, points out, “A nearby lender is familiar with the area. They may well provide the best rates and a smoother appraisal/loan process than a distant national bank. And, many loan sources will have their local specialty (such as land loans, construction financing, or VA loans). So, we at Windermere help our clients to find the local lender that will be the best match for their needs.”
For more home buying tips, check out our First-Time Home Buyer Checklist and our article “What I Wish I Knew Before Buying a Home”.
Kitsap’s Market: First Quarter, 2022
Kitsap County’s real estate market is picking up and had a solid first quarter. In 2021, we saw high demand and low inventory, and that is still the case. It’s still a seller’s market; homes continue to sell above the asking price. Read on for key highlights and market trends below. And, if you’re looking for the connected life that Kitsap offers, our local experts are here to help.
News on Sold and Pending Homes
2022’s first quarter is rising like the first quarter of 2021. You can see it reflected in the market volume graph outlined above. This follows the usual real estate market trend of a cooler first quarter and then a shift as the market heats up in warmer months. As usual in a seller’s market, sold homes still outpace pending listings and home prices are still increasing due to demand. From January through March, 994 homes were sold. That is a 10.7% increase when compared to 2021’s first quarter, showing more movement as the pandemic wanes.
Kitsap’s Market Still Favors Sellers
As supply remains low in relation to pre-Covid times, sellers can list with confidence. Buyers will need to be prepared for a competitive real estate journey. We expect more homes to come on the market as we hopefully put Covid-19 behind us.
Listing Price vs. Sale Price
Kitsap’s market is still seeing many eager buyers and often competitive, multiple-offer situations. We saw a 10.8% increase in home prices year-over-year. They are expected to continue to rise as Kitsap’s market has many buyers who will continue to meet the pricing demands of sellers. However, we are continuing to see increasing affordability issues for others. The average sale price in Kitsap County is currently $606,000.
Insights from Our Chief Economist
Matthew Gardner, Windermere’s Chief Economist, shared his Top 10 Predictions for 2022 in one of his recent Monday with Matthew videos. Here’s what Gardner predicts for 2022:
- Prices will continue to rise, though the pace of appreciation will slow. Gardner thinks it will be about 6% in 2022 versus the massive 16% rise of 2021.
- Spring will be busier than expected. This will increase buyer demand, as buyers get more clarity in their new hybrid model combining remote and office work.
- The rise of the suburbs will also result from this work hybrid model. Many buyers are moving within the same area they already lived in.
- New construction jumps since the cost to build has come down.
- Zoning issues will be addressed.
- Climate change will impact where buyers live. People will focus more on how safe a location is in relation to natural disasters.
- Urban markets will bounce back after the demand drop from Covid.
- A resurgence in foreign investors will return since the travel bans were lifted last November. The demand will rise as long as our borders remain open.
- First-time buyers will be an even bigger factor in 2022. This year, 4.8 million millennials will turn 30, the median age of first-time buyers in the U.S. First-time buyers will be looking for cheaper markets.
- Forbearance will come to an end and that will be okay. It was well thought out, and as Gardner says, “as of recording this video, there are now fewer than 900,000 owners still in the program.” Hopefully, this continues to drop.
Additional Information
You can learn more from Matthew Gardner by reading his Market Update by region or watching his Monday with Matthew video series.
If you’re new to our area, check out our free Guide to Kitsap. If you’re interested in buying or selling, our local experts are here to help.
Fourth Quarter Market Review for Kitsap County
Wondering how Kitsap County’s real estate market did during 2021’s fourth quarter? We’ve compiled key highlights and insights to keep you up to date.
Just as in previous years, our local market slowed down during the holiday season. There are still many eager buyers looking to make Kitsap County their home, but fewer homes were for sale during the fourth quarter of last year. With continued low inventory, our market still favors sellers.
News on Sold and Pending Homes
In the last five quarters outlined in the graph above, 2021’s real estate market started with the usual growth trend into the summer. Now, we’re seeing the seasonal downswing during colder months. However, home prices are still increasing due to persistent demand, and sold homes are still outpacing pending listings. The result is a strong seller’s market. In the 4th quarter of 2021, we had 1,291 closed sales, which is a 4.9% decrease, year over year.
Still a Strong Seller’s Market
Kitsap County’s real estate demand was very high during the fourth quarter of 2021. With the new era of remote work, many Seattle homebuyers are seeking the peaceful, connected lifestyle that Kitsap offers. If you want to learn more about our area, check out our free digital guide. If you’re interested in buying or selling, our local experts are here to help.
Listing Price vs. Sale Price
Although buyers continue to meet the pricing demands of sellers, there just aren’t enough homes available right now. As you can see in the graph above, the averages of listing and sale prices are starting to converge as demand pushes the cost of housing even further in favor of sellers. In our 4th quarter, we saw an 11.3% increase year over year in the average sale price in Kitsap County, putting it at $613,000. Affordability concerns have continued to be an important topic of discussion.
Insights from Our Chief Economist
Zooming out to look at the broader real estate market in our region, we have insights from Windermere’s Chief Economist, Matthew Gardner. In his most recent Monday with Matthew, Gardner shared his market forecast for the coming year: “If everything goes according to my plan, you should expect to see the housing market start to move towards some sort of balance next year, but I am afraid that it will still remain out of equilibrium until at least 2023.” This is an important reminder that the transition back to a balanced market will be a gradual shift.
While Gardner ensures us that he “doesn’t see a housing bubble forming,” he is concerned about housing affordability. There is definite cause for concern among the millennial generation as they start to settle down more and more. Millennials are currently the largest group in the generational real estate market, so it will be interesting to see where affordability and demand intersect.
Gardner concluded by saying, “demand for ownership housing remains remarkably buoyant and, in fact, it is quite likely that demand may actually increase with the work from home paradigm that will start to gain momentum next year.” In light of this dependable demand, real estate continues to be an excellent investment.
