Perhaps the most disappointing condo appreciation result was in West Seattle which managed to eek out a 1% increase in annual median price for 2007. West Seattle had a tough year with two developments converting to apartments. As for 2008, it's a toss up as to what will happen. On one hand, the overall softening of the market will certainly affect West Seattle as will further reports on the fate of the Viaduct. On the other hand, with the "repartmenting" of two conversion projects, the condo inventory will have a chance to stabilize. Hopefully, that'll keep the market afloat for 2008.
Source: NWMLS. Appreciated rate based on closed sales reported as of 01/16/08.
One neighborhood that underperformed in 2007 was the Downtown Seattle/Belltown area (MLS area 701) which posted a modest 6.0% increase in appreciation. Actually, 6% is pretty good, however, many expected the downtown area to reach 9% or 10%. In reality, if it wasn't for year end closings at a couple of newly completed developments, we could have realized an even lower rate.
Source: NWMLS. Appreciated rate based on closed sales reported as of 01/16/08.
Seattle's distinctive and historic Queen Anne neighborhood realized an extremely healthy 14.2% increase in condo value in 2007 (based on median price). Queen Anne and downtown were the only two neighborhoods where the median price exceeded the city's condo median price of $315,000. Overall, Seattle condos appreciated 7.2% in 2007.
Source: NWMLS. Appreciated rate based on closed sales reported as of 01/16/08.
Seattle's Capitol Hill (MLS Area 390) condo market performed respectably in 2007. Though, the slowing market and increase in lower-end condo conversion sales impacted values. As a result, Capitol Hill's annual median price appreciation for 2007 increased only 3.1%, well below the citywide 7.2% appreciation rate.
Source: NWMLS. Appreciated rate based on closed sales reported as of 01/16/08.
The new buzz word around these parts is "repartment"...the reverting of condo conversions back to apartments. The once lava-sizzling hot Seattle condo market has gotten hit with a crisp winter's blast. The cranes are still up for the eight new condominium projects in the downtown area, as well as another ten in Seattle's Eastside and Northend neighborhoods. But as the mortgage industry took a hit, fears of a crash and the 84% jump in available condo inventory have taken its toll. The major developers will likely ride out the coming storm but the smaller conversion developers are on life support.
Two of the more infamous repartmentations (I suppose I can make up my own word) were the Max (three sales in three weeks) and the Strata (two sales in five weeks). And, at least two conversion developers are in the financial hot seat with one filing for bankruptcy (though they didn't proceed).
In addition to the conversions, at least three new condo construction projects are proceeding as apartments. Two opted to change prior to construction. However, the third just sold the project which will go forward as apartments...it's about 6 months from completion! Apparently, they only had reservations for 17 out of 114 units since they went on sale back in March 2007.
Unfortunately, these developments reflect the current state of the Seattle's condo market. However, there's a silver lining: fewer tenants to be turned out this year and the condo inventory will stabilize as fewer projects come to fruition. In one fell swoop the condo inventory fell by 114 units.
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Located in the Belltown district of Downtown Seattle, Ben specializes in urban real estate. Ben's the author of the Seattle Condo Blog and is your expert source for Seattle's condos & lofts.
Ben's goal is to simplify your home buying and selling experience by providing unparalled service, responsive communications and expert knowledge of the Seattle urban real estate market while maintaing uncompromising principles.
To simply the process, Ben developed his Seattle Real Estate website to provide in-depth information that includes buying and selling tips/articles, demographic information, area market updates, community resources and appreciation rates. Ben primarily real estate niche urban real estate and create a consumer-focused site called The Seattle Condo Blog. Additionally, Ben also started a blog called Seattle Housing Buzz providing commentary about market trends, news and real estate technology.
To simplify property searches, Ben has incorporated neighborhood condo Quick Searches in his website. With just one click buyers can see all available condo and loft properties for a given neighborhood.
To simplify the transaction process, Ben has partnered with expert associates. Ben's team includes Title and Escrow partners, a number of lenders to satisfy his clients specific needs (first-time buyers, presales, zero-down, etc) and a transaction coordinator to ensure a smooth, stress-free process.
Originally from the sunny shores of Honolulu, Ben has lived in Seattle for the past 17 years and now considers himself a true Northwesterner. In his spare time, Ben indulges in black & white fine art photography and volunteers with the Seattle Animal Shelter as a dog walker and foster parent.
Ben volunteers and/or contributes to the following organizations:
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Ben specializes in Seattle real estate - condos, lofts and townhomes - in Downtown Seattle, Belltown, Queen Anne, Capitol Hill, First Hill, Pioneer Square, Ballard, Fremont, Green Lake, University District and West Seattle. Though Ben is an urban condo and loft specialist, he has a number of clients in South Snohomish County and have sold homes in Bothell, Mill Creek and Lynnwood.
Urban Real Estate:
A national trend is underway in many cities - Suburban Flight - a reversal of the decades long Urban Flight. With rising fuel costs, long commutes, restrictions on growth & rising housing costs, many people are moving back to the urban core. Faciliating this trend is the revival of the urban core - enticing business back to the cities, investing in civic projects, creation of pedestrian friendly urban centers and rezoning.
Ben Kakimoto and his associates, based in downtown Seattle, understands this movement and have intimate knowledge of Seattle's urban housing market. Keeping abreast of new developments and building relationships with developers, Ben and his team provides expert knowledge about buying and investing in urban real estate.
To keep home buyers up-to-date about the numerous projects underway, Ben has devoted an entire blog to profiling Seattle's Condos and Lofts. In addition to profiles of new and existing projects, Seattle Condos and Lofts includes informative articles on purchasing pre-constuction presale and investing.
Seattle's Long Trusted Company:
Ben is an agent and REALTOR associated with John L. Scott's Seattle Center Office in Belltown. John L. Scott Real Estate is celebrating it's 75th Anniversay this year and is the region's premier real estate services company. John L. Scott Real Estate is Washington's largest and most successful real estate company based on volume (Realtor Magazine, July 2006).
John L. Scott's success is credited upon the personal and trusted relationship it's agents build with their client. Ben works closely with his clients to understand their needs and requirements. As a full-service agent, Ben focuses on providing uncompromising service that his clients have come to expect.
Recently, Ben's office was selected to handle onsite sales for Vulcan Real Estate. Vulcan's upcoming projects include the Veer Lofts, Rollin Street Flats, ENSO and The Martin. Please contact Ben if you are considering investing in a Vulcan property.
Background:
Ben brings years of experience & business savvy to the real estate profession. As a former risk manager/underwriter for a major financial services company, Ben understands the importance of clear communications, fiduciary duty, respecting confidentiality and minimizing risks. As a former IT Project Manager, Ben provides experience in high-level negotiation, managing project workflow (the buying and selling process is a project), understanding different personalities and maintains a cool demeanor.
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"Ben helped to alleviate the stress by providing a thorough market analysis, explaining the process and walking through the steps and forms needed to make the purchase of a home a reality." -- Nancy K., Bothell, WA
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