About McLean's Gates of McLean

What happened in the first quarter of 2009 in the Gates of McLean? The good news is that there were 4 SOLD properties. Those properties were actively on the market an average of 53 days, and they sold for an average of -5.42% (that minus in front means negative). There was also an average of $500 seller subsidy (also referred to as closing cost help from seller to buyer).

What types of sales were these 4 transactions?
Regular Sale = 2
Short Sale = 0
Bank Owned Property = 2

What style homes were these 4 properties?
1 Bedroom = 1 (Danielle)
2 Bedroom = 2 (Logan + Dalton)
3 Bedroom = 1 (Christine Model)

How does this compare to the same time last year?
Last year there were only 3 properties sold in the same time period. And they sold for an average of -6.5% (yes, also negative) of their list price, in an average of 85 days on the market. They also had an average of $1333.33 in seller subsidy. So you could say that things are picking up considering the same time comparison to last year. Let's hope that trend continues!

Below is a graphic of the sold properties I've mentioned, plus those that did not sell, and those that are under contract, or for sale right now at the Gates of McLean.
(Data is from MRIS and represents multiple listings from multiple brokers)

Gates of McLean is located in McLean, Virginia. Located in Tysons Corner, it is ideally situated next to one of the major employment centers in the area. A new metro station is planned within walking distance.

The community is gated and has well kept grounds. There is a clubhouse, exercise room, pool, walking paths, a sports court and picnic areas. The Gates of McLean consists of multiple buildings of two styles: mid-rise and garden. The mid-rise style has controlled building access, heated hallways and underground parking available (does not come with all units.) The garden-style has open hallways and there is surface parking only. There are numerous 1, 2 and 3 bedroom models available. All the units have an open floor plan with open kitchens and they typically come with a full-size washer and dryer.

In 2008, a total of 20 units were sold in the MLS. 6 units sold were one bedroom units and 14 units sold were two bedrooms units (one was a 3 br unit converted to a 2 br.) The price range of solds start at $223,000 for a 1 bedroom and ends at a 2 bedroom unit sold for $365,000.

Like most places in the area, the prices have kept dropping steadily over the last few years. The community still offers a great value for the well maintained grounds and convenient location.

At the Gates of McLean, a typical rent for a 1 bedroom unit is in the $1,300-$1,400 range, 2 bedroom $1,650-$1,750 and 3 bedroom units at $1,900-$2,000.

For more detailed information on each sale, please click on Sales Details 2008 for Gates of McLean or send me an email at are@tysonsliving.com.

As you can see from the GRM graph - now is a great time to purchase investment real estate. With falling prices, stable/increasing rents and low interest rates the time is better now than in many years.

Are Andresen, Broker
Soldsense - your sixth sense in real estate

What happened in the Gates of McLean in December of 2008? Well in terms of Real Estate, here's a recap:

There was 1 SOLD property, and 0 (zero) properties that RENTED.

The property that SOLD was a 2 bedroom 2 bathroom Preston model. This is the biggest 2 bedroom in the mid-rise buildings (see earlier blog if not sure about mid-rise vs. garden style building). This home sold for $$317,000 with a subsidy of $8,000. So an effective net price to the seller of $309,000. Coincidentally this was a bank owned property.

The lack of rental activity is not suprising. December is one of the most unappealing months to move, as people don't often like to move: a) during the winter, or b) close to the holidays. One would think that in a community of so many homes, and 40+ being rented each year, that there would be at least one rented in December. However, in the same month last year, 2007, there were also 0 (zero) RENTED properties.

(data from MRIS)

I showed a property for sale today. Regardless if my client liked it or not (Which they did). The listing agent said no FHA contracts. That sounds pretty silly. Especially considering that the FHA loan is the bulk of the loans going through these days. It was a bank owned property that was relatively well priced. The listing agent told me that the seller, the bank, didn't want to take the property off the market for an FHA loan/contract that wouldn't happen. He said the community wasn't FHA approved. He is right. It isn't. But there are always exceptions. I know good loan officers who have worked hard to get spot approvals on individual cases. In this community, The Gates of McLean, this seller believs that the high investor ratios of the community prohibit FHA loans from being approved.

This is a challenge I've alluded to briefly in a past blog on 9/23/08 "Guilty Party or Victim of the System" (http://gatesofmclean.blogspot.com/2008/09/guilty-party-or-victim-of-system.html).

Now it is a very real problem.

The Gates of McLean annual meeting was held yesterday evening. There was a good agenda. It was filled with useful information and effective presenters. I was very happy to be able to help coordinate the attendance of the first presenters, the Dulles Metro and the HOT lanes. Both groups talked about their projects, the updates, the benefits, the construction, and the timing. There were good explanations of what they're trying to do to improve our area transportation options. The metro stop will be literally a block or less from the Gates of McLean. It could end up being a real benefit to the community. The HOT lanes will also have specific on and off ramps into the Tysons area. Both projects are slated to finish around 2013.

Next on the agenda was the Fairfax County Police. They gave a good presentation on safety in the community. It was stressed that everyone can be a part of this effort. All residents should make it a habit of noticing things in the community throughout the day, at all times. The residents are the eyes and ears of the police. And no one should be afraid to contact the non-emergency police phone number if they feel something is not right.

Then there was an update on the community budget. The general assessment will be going up 3% in 2009. It was stated that this is very low, compared to the norm, and compared to other communities. A CMC official that was present, said that one of his communities was raising their assessment by 14%. The board also mentioned that they worked hard to keep it as low as possible. They also mentioned that all residents are welcome, throughout the year, to be involved in the financial meetings and help plan the future budgets. This is not new.

The next item on the agenda was supposed to be an election to fill the 2 open board spots. This did not happen. A quorum wasn't reached so voting couldn't be held. There was a 5% shortage. Hopefully this can be overcome next time.

At the end of the meeting there were prizes drawn for residents who did attend. Although the overall attendance was much greater than the normal board meetings, it can still stand for improvement (as the lack of quorum evidences).

The speakers from Dulles Metro, HOT lanes, and the Fairfax County Police all had handouts. I have copies of them for anyone who missed the meeting.