West Market is an Urban Oasis in the Reston Town Center; an Update

West Market pond with Madison Park in background.

WEST MARKET: An Urban Oasis

Madison Park Condos—- This update focuses on the Madison Park section of West Market

 

An update on one of the Reston Town Center’s Best Condo Values

 

 

Introduction – Nestled a short stroll west of the Reston Town Center is a real estate jewel known as “West Market.” A community of less than 500 homes, this neighborhood provides the excitement and convenience of the new urban life style in a well-groomed and somewhat secluded setting. Rarely do you find such a combination of privacy/seclusion and immediate access to a vibrant and populated urban center.

 

Nearby Neighborhoods – Immediately surrounding the Reston Town Center, popular high-end condominiums have sprouted. The trend toward living in more condensed urban settings, in homes which have extraordinary modern conveniences, is one which will continue. However, many people who consider buying in the Reston Town Center area gravitate to these locations without realizing the enormous value in West Market. For those who examine the benefits West Market and compare them to comparably priced, or higher-priced condominiums, buying in this premier community is preferable.

 

Specific West Market Neighborhoods – The homes in West Market are maintained in a manner which displays the pride of quality ownership one would expect in a prestigious community. The grounds are maintained and landscaped at a very reasonable monthly fee, significantly lower than the condo fees in neighboring buildings. This generates a lower monthly cost of ownership which should be better appreciated by those looking to buy in the RTC. The four distinct neighborhoods within West Market are: Park Place; Logan Park; Lincoln Park, and; Madison Park. There are currently no listings in Logan Park, one of two “fee simple” sections within West Market.

 

The most affordable of the four neighborhoods is Madison Park, originally built by Van Meter. These three level walk-ups combine the well-built construction which is a hallmark of all West Market homes, with the prime location near the Reston Town Center.

 

Madison Park – Madison Park is a condominium neighborhood in the northwest corner of West Market. The homes are mostly on one of three levels, and either two- or three- bed rooms. A handful of townhome style condominiums occasionally come on the market, and these will carry a significant premium. Most third floor models have soaring ceilings, and many come equipped with lofts. The quality of construction and West Market location make these homes an attractive value and better alternative for many buyers than other condos in the Reston Town Center at this price point.

 

The combination of quality living, convenient location, and very low monthly condominium fees make this community an excellent value for those seeking the utmost in quality urban living.

 

Ray Wedell, Realtor

Samson Properties      703-855-7299

www.TownCenterRealtor.com

raywedell@comcast.net

 

September, 2017……. This is an update to a series of pieces originally written in 2005.

 

****Contact me for a report detailing each of the other three West Market neighborhoods. I will be happy to discuss and show you the wide variety of styles available in West Market; however, keep in mind that current market conditions are driving prices higher, and available listings generally sell quickly at recently-advertised prices.

 

 

Selling a Home While Living in Another Location: No problem, Just Call Any Local Realtor, Right?

We are witnessing a growing phenomena in real estate sales that begs for a better solution than what I currently observe in the local market. It has to do with out of town sellers attempting to sell a property quickly, and at a good price. The deficiencies in this process are everywhere.

Why the Increase in Such Listings?

Over the last twelve years, we have seen dramatic swings in home prices. Many people purchased their home at a price point near the top of the pricing cycle. Subsequently, they may have moved, either out of town or to a different home for life style reasons. A sale of their existing home would likely result in a significant loss, so many of these people chose to “ride out the cycle” by renting their homes until prices rise again.

Another major group are those who experienced a job transfer, and simply chose to rent out their existing home from afar. Once again, the choice is to “ride out the cycle.”

Yet another group are those who purchased a home with the intent of renting it out ;the investor class. Many in this group have seen prices rebound and wish to sell, or for whatever reason want to raise cash and become more liquid.

 

Sales From Those Not Currently Occupying Their Homes Can Be Significantly Lower and Take More Time

There are two basic reasons why homes sell at a lower price and take longer to sell when the owner is not also the occupant:

1. The showing condition of the home is nowhere near perfect, and/or the home has the look of a “desperate seller” who has moved out and needs a quick sale. I am amazed at how many homes shown in “vacant” status look and feel inferior. Perhaps there is the stale odor of a home that has not been regularly cleaned. Perhaps it is the hollow, cavernous sound one hears while talking in such a home. Perhaps the home has little more than a For Sale sign out front and a stale MLS listing, and it is obvious the agent has spent time doing anything other than “waiting for an offer.”
2. The showing condition of the home is hindered by the presence of renters; how a renter keeps your home in showing condition while living there and planning to move is a wild card. Too often, that card turns out to be the Joker. Suppose you have been renting out your home from afar and now need to sell, but the need for income provided by renters suddenly becomes a distraction. Afterall, renters cannot be expected to keep your home in tip-top showing condition, and likely do not have it furnished to do so anyway. They are also unlikely to be as responsive to showing agents as you would be. This is all logical in that they do not “have any skin in the game.” As neat, clean, and responsive as your renters may be, it is highly unlikely that your home will show in the kind of condition you need to attract top dollar. Nor will you be able to properly market and sell your home as you would a new listing in which you were the owner/occupant (see “Listing Strategy for Selling Your Home” in a previous blog).

 

Ways to Alleviate the Problems Stated Above

The first step is simple: hire the proper real estate agent. Relying on a “known brokerage” to provide any sort of advantage because of their “brand” is a concept that was deemed invalid long ago. In fact, many top agents have broken from these legacy firms and the bureaucracies to either strike out on their own or join a more forward-thinking and agent-friendly firm, like Samson Properties. It is essential for you to interview agents who understand the process of promoting your home effectively, and negotiating the best outcome once offers surface. This is NOT something you should take for granted, and do not fall into the trap that says, “all real estate agents are basically the same.”

The second step is: proper staging. In the overwhelming majority of cases, you are better off not listing and showing your home while renters continue to occupy it. The extra money you will extract by showing your home as clean and immediately available by not having renters present is usually significant. By all means, pre-market and promote your sale while tenants remain in the home and are planning to leave; however, it is usually disastrous to begin showing the home until renters are out and the home shows as you want it to show.

There are many firms who specialize in staging homes, but be forewarned on this: many of these forms can be exorbitantly expensive for what you need to accomplish. Your goal is to have your home looking as if in perfect “move in condition” and staged in a way that makes the home feel more pleasant and give the look of comfort. This should not require extensive design and furniture rental.

I have written a separate piece on Home Staging Tips, but let’s summarize the basics here:

1. Photographs of each room. In today’s on-line world, excellent pictures are a must. It is likely you have pics of how your home looked when YOU lived in it (assuming that would put your home in proper perspective). But the biggest negative here would be excessive “clutter”. Have each room shows as spaciously as possible, without looking empty.

2. Remove Excess Decor, But Do Not Be Shy About Adding Some Items That Appear Personal In Nature. I remember in my early days when the emphasis was on showing a home very clean, and that any sign of personal belongings could be deemed “offensive” to some groups, or distracting from the focus on the home. One seller took this literally and painted her entire home white, and had it nearly vacant. In short, it looked like a hospital. So although decluttering is great, and keeping personal items away from view is generally wise, you also want the home to feel warm. A few family pictures showing your pride are good to hang. A few attractive keepsakes can add value and warmth. After all, we are still people, not automatons.

3. The foyer is crucial. We have all heard of “curb appeal.” The exterior of the home should be clean and inviting. But once the front door is open, it is vitally important that the initial appearance is spectacular. This is particularly true in upscale condominiums and in more exclusive home that have a grand foyer as part of its appeal. Depending on your situation, mirrors can aid in making the home look larger; beautiful piece of art that also extracts the colors you want can be invaluable here.

4. The kitchen needs to be spotless and modern  is better. If there is one area in which upgrades will do wonders, this is it. Depending on your location and likely buyers, it may not even be a case of how much will you extract by upgrading a kitchen, but whether your home sells at all. We are trapped in the 21st century, and the world wants granite countertops and stainless steel appliances. Don’t fight the trend. This does not have to cost an arm and a leg to do, and many of you have these in place already, so make sure they are cleaned to perfection.

5. Curb Appeal is crucial for Single Family Homes. No further comment is necessary.

6. No torn, tattered, or aging materials, please. New pillows on a couch cost little. New sheets and bed spreads cost little, if you require this. I shake my head when I see a beautifully cleaned, freshly painted home, adorned with a 25 year old couch, a favorite recliner that has outdated plaid and tattered fabric, or a master bed room that looks less than inviting.

7. Keep It Clean, Once a Week. Get your home thoroughly cleaned before listing. And keep it that way. Every ten days at most. Just do it.

8. Paint. This may be saving the best for last. You undoubtedly have already heard this, but it always bears repeating: Make sure your home is freshly painted, and hire professionals. I have seen this violated too many times with poor results. Once again, just do it.

 

It is Usually Wise to Have Renters Out of the Home Before Selling. I welcome detailed discussion on this point. It is not 100% true in all cases, but it is more often than not. Be ready to “hit the skids running” with your listing on day one, so prepare while tenants remain. However, it is almost always beneficial to allow a quality real estate agent handle the sale from that moment without anyone having to navigate around the life of a renter. I believe the narrative above provides enough reasons to support this conclusion.

 

As always, please call me for a detailed discussion on how to handle this often tricky matter.

 

#RayWedellRealEstate

 

Ray Wedell, Realtor

 Chartered Financial Analyst, CFA

Samson Properties

703-855-7299

 

 

 

 

 

Good sale of Upper Bracket Homes is Neither “Luck” nor Merely Because of “the Market.”

Like most things in life, proper planning and strict execution of the plan are major keys to success.

In real estate sales; however, it seems that there is a growing trend toward the belief that, “the house sells itself”, or some maniacal myth that “all real estate agents are the same.” This belief, and the belief that real estate commissions are too high for the service received, has created a growing market for alternative solutions by buyers and sellers to the current process of selling residential real estate.

Let’s be clear: the “standard” 6% real estate commission is becoming a relic, and will soon be a permanent part of the trash heap. In today’s world, it is illogical for sellers, under most circumstances, to pay this amount. Before my fellow real estate agents take up the cudgels and begin to recite all the reasons their broker gave them to “create the image of value”, I will add this: many, if not most, brokerages also encourage agents to convince sellers to “price realistically”, a euphemism for pricing at an easily attainable sales price in a short period of time. The conclusion is that sellers often are hit with a double whammy: lower sale price and higher costs to sell. This is particularly true in a “sellers market”, which is prevalent in most of the D.C. Metropolitan area today.

However, in selling premium properties, the help of a skilled agent who understands the nuances of the upper bracket buyer and upper bracket neighborhoods, can be crucial to the sale. Those selling in this market often gravitate to the firms and individuals who “specialize” in this arena, and I understand the reasoning. However, the world of sales and marketing is rapidly changing, and the methodologies and “givens” of the past should no longer be accepted as givens.

I have recently put together a primer for sellers, and would be happy to share it with you. The title is “RESIDENTIAL HOME SALE STRATEGY FOR UPPER BRACKET HOMES”. I recently followed this strategy on a sale in Reston, with results as shown in the attached link. Bottom line: It works. It gives you a better chance to extract a high price and a quick sale than following some of the paint-by-numbers approaches that are used today by many agents and firms. Their strategy is to continue to embrace the status quo, convincing sellers that the market for upper bracket homes is so dramatically different that the “tried and true” methods are the only way to go. Truth is this: they are falling behind the technology curve, and it is easier to defend the current methodology than to adjust to changing conditions.

In adjusting to our exciting new era, I suggest you contact me for further discussion. The link below gives a recent example of how following the process I outline works.

SOLD 11420 P.B.

#UpperBracketHomeSales

#RayWedellDCRealEstate

 

Ray Wedell, Realtor

Chartered Financial Analyst, CFA

Samson Properties

703-855-7299

http://www.RayWedell.com

ray.wedell@gmail.com

 

 

 

 

REPORTS OF A SLOWDOWN IN UBER-EXPENSIVE RESIDENTIAL REAL ESTATE MAY BE GROSSLY EXAGGERATED

The “Safe Deposit Box with a view” Effect is likely to continue……

The August 8, 2016 Barron’s financial weekly had some interesting commentary and analysis about the declining state of the upper end real estate market. The trigger for this was a surprisingly weak earning report from mega-glomerate Realogy Holdings, the umbrella company for traditional real estate firms focused on the high end market(The Corcoran Group; Sotheby’s; Coldwell Banker; Citi Habitats, and others).

The Realogy press release cited a slowdown in the high end market for this decline, and Barron’s attempted to link its usual financial market analysis to the world of real estate. This is a misfire that has plagued The Street for decades, as the real estate market often does not follow the traditional Wall Street models which they use to determine asset values in other classes.

Really actually tried to pin much of their decline on stock market weakness early in 2016. Any weakness was minor, and has since given way to virtually every U.S. stock index surging into new highs almost daily. I have no doubts that the Hamptons market may soon retreat from la-la land, and some areas of coastal Florida and California may follow. But this has little, if anything to do with a stronger dollar or traditional financial guru relationships they like to connect with the real estate world.

So let’s have some straight talk on the upper end real estate markets in summer, 2016:

• American prime real estate as a store of value for the uber-rich attempting to find a safe haven for excess capital is alive, well, and likely to continue for many years, maybe for our lifetime. These people are not concerned with any sort of traditional measures of return on capital; they are concerned with safety of their money, and where else in the world can anyone park immense sums of capital without fear of it being in jeopardy of any future Government expropriation? U.S. real estate represents a source of stability, and a means of stashing capital while owning a place to live, or visit, in luxury and style. If the dollar rises to make such a purchase even more expensive for many, the buyers in this category will buy anyway.
• The traditional exurban, or gated community suburban, neighborhoods are the ones most likely to get hit by a down market. However, this is as much to do with people’s changing life styles as it does any economic downturns. In our local D.C.market, a common “trade” is to get out of Great Falls, or similar communities with multi-acre  estates, and into luxury condos or smaller luxury town homes in a more urban environment. This is going to continue, putting added pressure on the traditional real estate representatives of wealth and power (the large estate), and generating massive construction and demand for upper-end condos with a view, or luxury town homes in great locations.
• The price sensitivity of many markets and styles of homes will, of course, be impacted by economic conditions. But the phenomena of foreign buyers seeking the highest quality urban and coastal homes is very much alive, and will continue. In fact, as economic conditions become more dicey in many parts of the world, the uber-rich will be more likely to want to park capital in prime U.S. real estate.

So while Realogy’s earnings may drop, and many of the traditional upper end markets they service may be subject to declining sales, that segment identified by Barron’s as likely to be negatively affected with it (the cash buying foreign investor/safety seeker) is in no way in danger of any sort of slowdown or collapse, as long as U.S. and international laws remain as is. But rather than unfolding a blanket of excuses over a lower earnings report and gaining a nod from Wall Street, perhaps Realogy is more negatively impacted by a different set of real life circumstances: the move in real estate sales away from bureaucratic, large firms as the primary “brokers to the wealthy”; the difficulty in coordinating the many different brokerages they have acquired into a synergetic model; a focus on the many traditional higher-end areas which ARE impacted by changing life styles, economic events, and a growing competition from more nimble entrepreneurial players; and the reality that although the stealth market of uber-wealthy foreign buyers will stay strong, there are not enough of them to overcome the other categories. But that is a different issue for a different day.

The point of this article is this: The uber-wealthy foreign buyers seeking quality, and specific types, of U.S. real estate as a “safe deposit box with a view” will continue to grow. Marginal changes in Fed policy, the dollar, the stock markets, and the like, will have virtually no impact on this growing movement.

Ray Wedell, CFA

Samson Properties

703-855-7299

raywedell@comcast.net

http://www.DCCastlesInTheSky.com

 

NOVA real estate market currently gripped by low inventory

To one degree or another, we are all influenced by media portrayals of a residential real estate market which is in the doldrums. “More short sales are coming. Foreclosures will rise. The economy is still weak.” And the beat goes on.

I have often found that general depictions and predictions on such things as housing prices, interest rates, and the economy are correct maybe half the time. In other words, flipping coins is as accurate as listening to your local economist, CNBC analyst, or financial blogger.

But here is an anecdote. It may be purely localized. It may be short-term. But it real in the northern and western sections of Fairfax County today: solid homes and condos are selling quickly. The days when people “overlisted” in terms of price and saw their homes stay on the market for disastrously long periods are coming to an end. Well-priced listings are moving, and moving at or near listing price. There are buyers, people who are willing to put cash down on the proposition that this is a vibrant area in which to live, interest rates are at probable-record lows, and waiting for any further declines is foolhardy.

The risk for sellers in many neighborhoods and price ranges is now “leaving money on the table,” not “fearing that your home will stay on the market too long.”  This is particularly true in that “sweet spot” pricing range of  approximately $700,000 or less. This can all change if the spring season becomes dominated by a flurry of new listings; however, as of now that is not happening.  

Ray Wedell

www.RayMaxTeam.com