Lise Howe, Assoc. Broker and Attorney Licensed in DC, MD, VA,Coldwell Banker

If you are in Bethesda or Chevy Chase, and looking for a good outdoor space on a summer evening to enjoy pizza and a beer or glass or wine, then be sure to check out Mia's at 4926 Cordell Avenue in Bethesda, between Old Georgetown and Norfolk. Mia's yummy pizzas are cooked in a wood fired oven in the open kitchen, utilizing the freshest ingredients and for dessert - the ultimate comfort food - freshly baked cupcakes in a variety of flavors offered daily.

We just had a wonderful dinner at Mia's this evening, although it was so crowded on the patio that we had to eat inside! Happily though the entire front of the restaurant is open so that even the inside seems like the outside. We started dinner with the antipasto appetizer - some cheese, olives, a tapenade salad, arugula, bread and prosciutto. Another alternative would have been bruschetta with farm fresh tomatoes and mozzarella or roasted olives. The selection of pizzas was great - my husband played it safe with a Margherita pizza of tomatoes, cheese and basil while I chose a pizza Alsace of gruyere cheese, carmelized onions, and prosciutto ham. A glass of Super Tuscan wine was the perfect companion to our lovely dinner. If you are looking for some other unusual pizzas, you might try the Jorge's Inferno, with basil pesto, tomato sauce, pepperoni, kalamata olives, garlic, fresh hotties, and mozzarella, or a Salsiccia with tomato sauce, sausage, pepperoni, portobello mushrooms, oregano, spicy sprinkles, parmesan & mozzarella.

I know that pizza has a long history, dating back all the way to the ancient Greeks and the soldiers of the Persian king, Darius, but I would say that Mia's is a welcome addition to that long and distinguished tradition. Whether you live in Kenwood Forest or Chevy Chase Village, a trip to Mia's is definately worthwhile.

Happy eating -

Lise

Dear Buyer,

You may have heard about the new changes in the appraisal laws for any Fannie Mae or Freddie Mac mortgages which took effect recently. Beginning May 1, the responsibility for managing home appraisals moved to a middleman, known as appraisal management companies or AMCs.

Under new federal regulations, mortgage brokers and loan officers can't directly order appraisals. Instead, they are expected to go through third-party AMCs, which are supposed to prevent them from pressuring appraisers.

One fall out of these new regulations is that there may be fewer indpendent appraisers since the majority of them will now be on staff. This means they may not be as knowledgeable about the neighborhood and/or unique property characteristics. This change also means that borrowers, mortgage brokers, and agents can no longer suggest comparable properties or discuss possible misunderstandings.

The new regulations are very likely to increase the number of appraisals which come in below purchase price. which will inturn drive more sellers to lower their prices to reach mutual acceptance. The news is filled with stories of homes not appraising. I recently realized that a low appraisal is exactly what several of my buyer clients are hoping for - negotiate a price that the seller will accept, and then pray for a lower appraisal which will hopefully force the seller to renegotiate the sales price to accomodate the lower appraisal.

I love knowing that my buyers are getting a good deal, and when they get a great deal, I am even happier, but..... and it is a big BUT. Please don't ever count on getting a lower appraisal than the sales contract price. I told my buyers who were planning to use this as part of their negotiating strategy that I could not agree to that strategy under any circumstance.

The contract price is just that - a contract. It is the real deal - that contract price, which you have to expect to pay. It is LEGALLY BINDING. If you dont want to pay the price in the contract you are about to sign, then DON"T SIGN. Please don't count on a second bite at the apple with a low appraisal. You may not get it and then where will you be? "Stuck" buying a house that you are convinced is overpriced. Won't you feel silly.

Happy hunting, and if you are looking in the DC metro area, give me a call.

Lise Howe

Associate Broker and Attorney

Coldwell Banker Chevy Chase DC

Have you ever wondered why there are not very tall buildings in Washington, DC? Why are all the tall buildings across the river in Rosslyn? The answer goes back to 1899 and the Heights of Buildings Act.

In 1894, the Cairo, an apartment building at 1615 Q Street NW was completed by Thomas Schneider and stood 164 feet tall. With 12 floors, the Cairo's height caused a tremendous uproar among local residents, who asked Congress to limit the height of residential buildings in the District of Columbia to prevent more "skyscrapers" from being built. Congress passed the Heights of Buildings Act and has kept the city's skyline unusually low ever since.

Around 1900, the building was renamed the Cairo Hotel and became a center of D.C. society, with its ballroom frequently the center of social and political gatherings. Its glamorous guests and tenants have included Thomas A. Edison, F. Scott Fitzgerald and Queen Liliuokalani.

The building was sold in 1957 as a 267-room hotel, and on October 12 the new owners announced plans to spend $100,000 refurbishing the structure. In 1958, a fire caused by an electrical short-circuit on the sixth floor led to $25,000 worth of damage, but no structural problems.

The Cairo began to decline during the 1960s, when it was inhabited by prostitutes, drug users, and squatters. After a series of failed attempts at renovation, including a closure on August 7, 1972, the building was restored in 1974 under the leadership of architect Arthur Cotton Moore. It was converted into condominiums in 1979.

Currently there are 3 units for sale at the Cairo - a 2 bedroom on the 8th floor for $449,900 - but only 735 square feet.

The one bedroom on the 7th floor is $309,000 but only 500 square feet. The listing agent describes it as "Adorable 7th floor Cairo unit with exposed brick walls and lovely views and sun in 24-hour desk bldg. Priced to reflect older but functional kitchen. Seller will credit $3000 to upgrade for full price offer and lender approval. Building has large renovation underway. Seller has paid the assessment. High investor ratio so choose lender with this in mind."

The 10th floor listing is an L shaped studio for $279 w/ an updated kitchen and bath, and incredible views thanks to Thomas Schnieder!

The Cairo is listed in the Best Addresses of Washington DC and on the US National Register of Historic Places. The Egyptian theme of the building is celebrated with gargoyles, elephant heads looking left and right from the stone window sills of the front windows and interlocking trunks at the corners of the entrance arch. Dragons dance on the fourth floor level, and the stone facade is carved with an inlaid design that suggests exotic Middle Eastern origins.

If living in Dupont Circle is appealing to you, be sure to give Lise Howe a call. There are lots of other buildings with history in this area, and she will be glad to show you any of them.

There are seven properties on the market in DC over $10 million - ranging from $10 million to $39.5 million. Five have been listed for at least 6 months - with one being on the market almost two years, but no properties over $10 million have sold in the same 6 month time frame.

Interestingly, the "youngest" of the properties (57 years old) is the least expensive, while the oldest ones - both in Georgetown - are the most expensive. Halcyon House is a 30,500s.f.historically designated mansion overlooking Potomac River.The home was built in 1787 by James Stoddert- the 1st US Secretary of Navy, and George Washinton confidante. It was once owned and expanded by Mark Twain's nephew. Originally listed at $30 million but reduced to $19,500,000 this 5 level home with 9 fireplaces and room for 12 cars all on 1/2 an acre in Georgetown is waiting for your buyers,

Evermay in Georgetown started out at $49 million but now is available at $39,500,000. Evermay is a gated,magnificent,historic estate on 3.5+ acres in a tranquil setting w/ majestic grounds&gardens, Built in 1801, the dining room seats 40, orangerie/ballroom promise grand parties, and guesthouse+annex/office guarantee privacy. With parking for 100 cars, parties will be easy at this estate that overlooks the Washington Monument and Rock Creek Park.

What I can't imagine is having a conversation with a seller and suggesting that they should reduce their price by $10 million! How do you start that conversation!

None of these are my listings, but Lise Howe will be glad to show them to you!

Remember a couple of years ago - just before the market headed south? There was a piece in the Washington Post about the tidal wave of new condos that were being built - I think the number was something like 40,000 units that were planned or being converted into condos from rentals. It was like every developer on the East Coast independently said at the same time - "I have a great idea! I will build condos in the DC area." Naturally with that much supply on the planning boards, the market reacted in an absolutely predictable way that a student of introductory economics could have predicted. Prices fell as demand dropped, and some of the planned condo conversions and construction stalled. Some condo conversions never took place and other condo projects became rentals. Since the beginning of the stall, I have told clients that the pendulum always swings back the other way, and eventually there will be a condo shortage, because all those developers independently will say "Enough. No more condos for me!"

New condo prices in the Washington area were down almost 4 percent in the second quarter from a year ago, with sales volume exceeding 600 units for the first time since fall 2007, according to a report from Delta Associates. Prices for new and converted condos fell the most in suburban Maryland, down 7.6 percent. The drops in Northern Virginia and D.C. were lower, at 2.9 and 2.6 percent.

Delta CEO Greg Leisch predicted that the dwindling pipeline of condos - now at its lowest in five years - will likely result in a shortage by 2010, causing effective prices to rise. Prices tend to rise when there inventory-to-sales ratio is at three years or less. It is currently at 1.7 years in Arlington and Alexandria and 2.8 years in D.C. For the region, it is 5.1 years.

Because the number of projects set to deliver inside the Beltway will drop to near zero, Leisch said prices will rise sharply between 2010 and 2011. This is good news for projects like the Lionsgate, which is among the last high-end condominium projects to deliver in Bethesda.

"There are really very few upscale condo projects standing, and clearly none are going to start any time soon," said Marc Dubick, president of Duball LLC, which developed Lionsgate. "So when you look at ours with 30 units left to sell, that's only about a nine- to 18-month supply at most. Then there is Park Potomac with 40 left and the Adaggio with 30 left. That is only 100 units in Montgomery County. Upscale buyers are going to be hard pressed to find high-end units in the area," he said.

It is likely that the planned condo developments which were converted to rental units rather than come on the market as condos will convert back to condominium projects to meet the coming shortage before new projects are planned. Lender financing just isn't there right now for new condo projects. As many as 10,000 units were converted to apartments when the market went south, so they will be the ones to convert back to meet the first wave of demand in the near future.

What is the obvious conclusion? Anyone contemplating buying a new condo should start looking asap, because if Delta is right, prices won't go much lower than they are right now. I have seen a lot of great condos, from Alexandria to Germantown, the first time home buyer tax credit is still there, and interest rates are still low. Don't let this window of opportunity close on you