Tax Credit Extension Update: Well, most expected HR 4213 to pass the Senate, but it was rejected in a test vote on Monday 52 – 45. This bill would have extended the mandatory closing deadline for real estate closings to September, thereby cutting some slack to the many Buyers, Escrow officers and Lenders who are working their way through the morass… all with the same deadline. There is a real concern that as next Wednesday approaches, the bottleneck will strangle many of these deals due to sheer volume and limited capacity and resources to finish on time.
As of today, June 24th, the Senate will “continue considering” the bill, and a number of amendments. This bill also includes other considerations including extending unemployment benefits, and will reportedly add 80 billion to the deficit. This is the reason being given for it’s defeat in the test vote on Monday in it’s then-current form.
Community News:
Community-Wide Garage Sale! Get ready to say goodbye to those items you no longer need in your home. To someone else they will be a “find”! Register your sale and your location will be mapped with your sale items listed. Free to Lake Oswego citizens, and Free publicity to boot! The event is July 10th from 8AM till 3PM. You have until June 28th to register. Click Here
The Sensitive Lands debate has been quite high profile for some time now, with citizens very concerned on all sides of the issue… concerned with how properties will be affected; concerned about how the natural landscape will be affected; concerned about how local government is handling an issue so important to citizens and the environment alike. The Second Look Task Force is completing their review of the environmental and regulatory purposes, and providing recommendations for changes that increase flexibility & clarity, and maintain the community’;s committment to the natural environment. If you’d like to know how you can provide input, Click Here. (All meetings except for July 10th will be televised live beginning at 6:30 PM on TVCTV Channel 23 or 28.)
Herbicides on Lake Front: From July 21 – 25 aquatic herbicides will be applied to shorelines along the main lake and Blue Heron Canal. For more information call Casey Deck at 503 636 1422.
Take A Free Tour! Have you been wanting to learn more about all of those sculptures & works of art you see around town? You can enjoy a walk with a Docent who will show you many of them in Lake Oswego’s “Gallery Without Walls”. Learn what the artist was thinking and how the piece was crafted. Tours are scheduled for June 25, 26, and 27 from 11AM till noon and 3PM till 4PM. No reservations are required. Proceed to the front of St. Honore Bakery at 315 1st St. next to Millenium Park Plaza. For more information call 503 675 3738.
Last week brought 16 new listings, 14 pending sales, and 12 closed sales. I think what I find most interesting is the CDOM (cumulative days on the market). It does seem that things are selling either really fast or really slowly. Correct pricing is what makes the difference! And notice the house on Polonius: it not only sold in 8 days, but for $15,000 over the asking price. Yes, this may have reflected built in costs for closing costs or some other concession, but it is still a rare event in this economy. And it does mean that the seller had an eager buyer who was not haggling the price down.
Here is your weekly update (see below the tables for additional notes):
NEWLY LISTED (June 14—20, 2010)
Address
List Price
Total Br
Total BTHS
SQ FT
Prop Type
222 RIDGEWAY RD
$125,000
1
1
756
CONDO
139 TOUCHSTONE CT
$279,900
2
2 + .5
1,846
ATTACHD
4321 WOODSIDE CIR
$289,000
3
2
1,532
ATTACHD
17683 ARBOR LN
$339,900
3
2
1,946
DETACHD
1117 HEMLOCK ST
$349,900
3
2
1,680
DETACHD
18651 DON LEE WAY
$384,900
4
2
1,630
DETACHD
15012 TWIN FIR RD
$399,000
5
2
3,532
DETACHD
15008 TWIN FIR RD
$399,000
5
2
3,372
DETACHD
524 2ND ST
439000
2
2 + .5
1,547
CONDO
17681 LEAFY LN
449000
4
3
2,242
DETACHD
10 HILLSHIRE DR
549900
4
3
3,152
DETACHD
6 MORNINGVIEW LN
659000
4
3
3,998
DETACHD
116 3RD ST
675000
2
1
915
DETACHD
649 9TH ST
819000
3
2 + .5
2,852
DETACHD
1250 SUNNINGDALE RD
825000
5
3 + .5
4,073
DETACHD
245 CHANDLER PL
949850
4
2 + .5 + .5
3,733
DETACHD
PENDING SALES (June 14-20, 2010)
Address
List Price
Total BR
Total BTHS
SQ FT
Prop Type
CDOM
5225 JEAN RD
$155,000
2
2
1,400
CONDO
28
4224 HAVEN ST
$269,900
4
2
2,752
DETACHD
39
3388 EDGEMONT RD
$279,900
3
2 + .5
1,968
DETACHD
283
17518 REDFERN AVE
$355,000
3
2
1,831
DETACHD
715
540 2ND ST
$410,000
2
2 + .5
1,520
CONDO
870
17845 SARAH HILL LN
$417,000
4
2 + .5
2,970
DETACHD
9
53 D AVE
$435,000
3
3
2,211
DETACHD
518
17387 CANYON DR
$479,000
3
2 + .5
1,955
DETACHD
11
4089 MELISSA DR
524900
4
2 + .5
2,710
DETACHD
9
5678 CHARLES CIR
525000
3
4
3,455
DETACHD
495
18282 ANDUIN TER
625000
4
2 + .5
3,765
DETACHD
1
14370 PFEIFER DR
669000
4
2 + .5
3,318
DETACHD
12
11 HILLSHIRE DR
825000
4
2 + .5
3,415
DETACHD
33
18735 BRYANT RD
909900
5
3 + .5
5,323
DETACHD
149
SOLD (June 14-20, 2010)
Address
Original Price
Close Price
Prop Type
SQ FT
CDOM
109 OSWEGO SMT
$144,900
$141,900
CONDO
1212
47
12846 SW BOONES FERRY RD
$225,000
$199,000
CONDO
1136
532
3485 DEVONSHIRE DR
$264,900
$250,000
ATTACHD
1556
16
12 POLONIUS ST
$246,600
$261,000
DETACHD
3275
8
136 TOUCHSTONE TER
$350,000
$267,500
DETACHD
1996
243
15148 QUARRY RD
$279,000
$279,000
DETACHD
1618
11
3056 WEMBLEY PARK RD
$339,000
$285,000
DETACHD
2600
36
31 DA VINCI ST
$399,900
$352,000
DETACHD
2232
249
1545 CLOVERLEAF RD
579950
$535,000
DETACHD
2723
59
13090 KNAUS RD
995000
$600,000
DETACHD
5578
357
5218 WESTFIELD CT
$699,500
$607,000
DETACHD
3125
284
13081 KNAUS RD
1795000
$1,400,000
DETACHD
3269
58
Criteria:Homes in the 97034 and 97035 zip code, listed, pending or sold between the dates listed above as reported by the Regional Multiple Listing Service (RMLS). DETACHD refers to Single Family Detached Residence, MFG refers to manufactured housing, and ATTACHD refers to single-family residences with some portion of the structure attached to another property, but not constituting CONDO ownership. DOM stands for days on market, or the number of days from when the listing became active and when it received an acceptable offer, with CDOM standing for “cumulative days on market” accounting for “refreshed” listings.
I think the most common question I am asked is “How’s business?”, which I think really means “What’s the market doing?” In my circle of friends, homeownership is the norm. And in today’s economy, everyone is hoping that their home is holding it’s value. For my clients, they are wanting me to give them insight into the buying/selling climate. So staying on top of trends is pretty critical. Today I am going to break down the Lake Oswego market and give you some specifics.
First, some good news: Lake Oswego, according to the latest market action report from the RMLS, has done the second best job of holding value in the metro area comparing May of ’09 to May of ’10. Values are down in Lake Oswego, year over year, 7.8%. The only part of the metro area that did better was North Portland with a loss of 6.3%. The worst faring area was Yamhill County, which is down 13%. Wow, did I really just call that good news? We are down 7.8%! Perhaps the better way to see it is that this is less bad news than it could have been.
The average sales price in area 147, which is Lake Oswego and West Linn combined, is $443,500. The total days on the market is averaging 153 days.
I think it is important to do this analysis by price range. Watching our weekly market action reports, it is pretty obvious that the houses priced in the less expensive range, such as $600,000 or less, are selling much more actively than the houses in the higher prices. Here is a breakdown by price:
Price
Currently for Sale
Sold in Last 6 Months
# Per Month
Length of Inventory
$1,000,000 +
105
15
3
42 months
$900,000-$1,000,000
19
4
1
28 months
$800,000-$900,000
50
6
1
50 months
$700,000-$800,000
42
12
2
21 months
$600,000-$700,000
53
21
4
15 months
$500,000-$600,000
74
35
6
12 months
$400,000-$500,000
79
43
7
11 months
$300,000-$400,000
60
60
10
6 months
$200,000-$300,000
29
36
6
4 months
$100,000-$200,000
3
2
0
9 months
At a glance, the idea is that the lower the length of inventory, the stronger that part of the market is. And that makes it easy to see that the lower the price on the house, the stronger the market. There are also two surprising quirks. Notice that the market inventory is actually worse in the $800,000-$900,000 price range than it is in the houses priced at $1,000,0000+. Why? I am thinking that part of the market is competing with the houses that are at $1,000,000 plus and that when buyers get up that high in price, it is still easy to justify pushing the purchase up just a bit more to get what they really want. In other words, there still is not enough of a value difference at $800,000 vs $1,000,000. However, that idea is just my speculation. I also think at $800,000 you are seeing a lot of older homes. They do have a hard time competing against the newer homes, which there are lots of, that have the soaring ceilings and palatial kitchens and baths. Second, the houses priced under $200,000 just aren’t selling fast either. I am quite certain that this is because at that price the house is pretty much a tear down and in such rough shape that the value is in the land. That means the buyer is going to be a builder and the builders are still sitting on so much inventory that they aren’t buying up the land.
I also have to say that the market is very balanced between buyers and sellers in the homes valued $300,000-$400,000 and even up into $400,000-$500,000. This part of the market is moving well with homes coming onto the market and selling respectably within reasonable periods of time. If you are buying in this part of the market, and the house is in nice condition, be aware of values. If it’s priced right, it’s going to sell and your buying power is not as strong as it would be in the higher price ranges.
And for those of you in the upper pricing, you are still in a very strong buyer’s market. Sellers are still competing with way too many other houses. You should be able to negotiate hard on price and terms.
Affordable Houses: LO vs Sellwood
I periodically like to compare affordable houses in Lake Oswego to the same houses in Sellwood, a neighborhood I used to live in not too far away in SE Portland. I like to do this because I remain convinced that Lake Oswego is often overlooked by buyers who are seeking affordable housing. This is because of LO’s reputation as a wealthy community. Time and again I have been able to prove that there are more homes to choose from in LO than in Sellwood that are affordable. Today is no different. Affordable, by my definition, are homes price below $350,000.
As of today, there are currently 61 homes for sale in Lake Oswego priced below $350,000. The least expensive is a 3 bedrooms, 1.5 bath house with 1000 square feet and a single car garage that was built in 1957. It is actually in pretty nice condition,although close to I-5, and it is priced at $189,000. In Sellwood there are 19 houses priced under $350,000. The least expensive is a 2 bedroom, 1 bath house with a single car garage that was built in 1920. It has 838 square feet + 810 square feet in an unfinished basement. It’s priced at $234,500.
I think the most burning question today is what is going to happen to the market now that the tax credit is over. I do think that there was a huge boost in the market by people trying to get into escrow by the end of April. I also know that May was slow for me, as far as new business. However, June has got my phone ringing and I am very busy. So my personal observation is that our normal spring/summer upswing is happening. Time will tell.
Last week found 16 new listings, 13 pending sales, and 7 closed sales. I would have to say that it was a bit of a celebration week for many of the sellers who closed transactions. This group of homes included quite a few that had been on the market for an extremely long time. It is good that they were sold, finally. And the closed selling prices were certainly reflective of the new reality with values. I feel that is further reflected in the pricing with the new listings, many of which look to be really good values.
Here is last week’s report: (see below the tables for additional notes):
NEWLY LISTED (May 32-June 6, 2010)
Address
List Price
Year Built
Total SF
Prop Type
BR & BTH
37 CRESTFIELD CT
$94,900
1980
923
CONDO
2 & 1
200 BURNHAM RD
$219,000
1966
1,173
CONDO
2 & 2
74 GREENRIDGE CT
$289,900
1973
2,868
ATTACHD
3 & 2.5
37 BLOCH TER
$314,500
1972
1,972
ATTACHD
3 & 2.5
19431 TUALAMERE AVE
$334,000
1964
1,308
DETACHD
3 & 1.5
16725 CARNEGIE AVE
$335,000
1968
2,134
DETACHD
3 & 2
1018 HEMLOCK ST
$349,900
1965
1,950
DETACHD
4 & 2
1621 LARCH ST
$399,900
1971
3,040
DETACHD
3 & 2.5
17387 CANYON DR
479000
1966
1,955
DETACHD
3 & 2.5
1740 YARMOUTH CIR
550000
1985
1,960
DETACHD
2 & 2.5
4 INDEPENDENCE AVE
564900
1969
3,482
DETACHD
4 & 3.5
13596 STREAMSIDE DR
649999
1989
3,430
DETACHD
3 & 2.5
712 LAKE FOREST DR
665000
1949
1,640
DETACHD
2 & 2
15725 TARA PL
665000
2006
3,372
DETACHD
4 & 2.5
14370 PFEIFER DR
669000
1993
3,318
DETACHD
3 & 2.5
144 LEONARD ST
799000
2004
3,451
DETACHD
3 & 1.5+.5
PENDING SALES (May 31-June 6, 2010)
Address
List Price
Year Built
Total SF
Prop Type
BR & BTH
34 CONDOLEA DR
$219,000
1978
1,420
CONDO
2 & 2
12 POLONIUS ST
$246,600
1971
3,275
DETACHD
4 & 2.5
4236 HARVEY WAY
$359,000
1979
1,870
DETACHD
3 & 2.5
15580 PARTRIDGE DR
$360,000
1989
2,245
DETACHD
3 & 2.5
2031 LILLI LN
$499,000
1968
3,262
DETACHD
3 & 3.5
17471 CARDINAL DR
$545,000
1973
3,056
DETACHD
4 & 2.5
13460 SNOWBERRY CT
$564,000
1989
3,327
DETACHD
3 & 2.5
731 F AVE
$699,900
1998
2,668
DETACHD
4 & 2.5
331 CHANDLER PL
810000
1962
2,428
DETACHD
4 & 2.5
1580 BONNIEBRAE DR
849000
1972
3,800
DETACHD
4 & 3
3820 SOUTHSHORE BLVD
925000
2008
4,855
DETACHD
5 & 4
3140 DOUGLAS CIR
950000
2004
4,310
DETACHD
4& 3.5
1340 CHERRY LN
1348888
2007
5,922
DETACHD
4 &4.5+.5
SOLD (May 31-June 6, 2010)
Address
Closed Price
Original Price
Year Built
Total SF
Prop Type
CDOM
775 BOCA RATAN DR
$155,000
$204,750
1975
2,401
DETACHD
249
200 BURNHAM RD
$168,000
$298,850
1962
1,328
CONDO
942
1597 BONNIEBRAE DR
$180,000
$230,000
1969
998
ATTACHD
261
1640 WORTHINGTON ST
$338,900
$515,000
1961
2,394
DETACHD
473
3075 ROYCE WAY
$392,000
$699,850
1975
3,667
DETACHD
577
2109 WEMBLEY PARK RD
$640,000
$649,900
1955
3,129
DETACHD
2
17540 RIDGEVIEW LN
$1,025,000
$1,350,000
2006
4,345
DETACHD
316
Criteria:Homes in the 97034 and 97035 zip code, listed, pending or sold between the dates listed above as reported by the Regional Multiple Listing Service (RMLS). DETACHD refers to Single Family Detached Residence, MFG refers to manufactured housing, and ATTACHD refers to single-family residences with some portion of the structure attached to another property, but not constituting CONDO ownership. DOM stands for days on market, or the number of days from when the listing became active and when it received an acceptable offer, with CDOM standing for “cumulative days on market” accounting for “refreshed” listings.
There will be 27 open houses in Lake Oswego this Sunday (according to the RMLS). We are actually getting a break in the rain this weekend, so it should be a nice afternoon for touring the town and seeing some beautiful homes.
Technically, Marylhurst University is located in Marylhurst, Oregon: until a few minutes ago I had never heard of such a town! Actually, Marylhurst University is sandwiched exactly between Lake Oswego and West Linn on the banks of the Willamette River. Founded in 1893 by the Sisters of Holy Names of Jesus and Mary, it is one of the oldest liberal arts colleges in the West. Originally a school for girls, it became co-ed in 1974 and was officially incorporated as an entity separate from the Sisters of Holy Names in 1959. As a school, it has continued to grow and to gain respect. In 2003 it was ranked by US News and World Report as a “Best Value”
Today the University offers a traditional classroom curriculum as well as on-line education. Bachelor of Arts and Science degrees are offered in Art, Interior Design, Business, Communications, English and Writing, Religious Studies, Music, Real Estate, and Science. Master’s Degrees are offered in Education, Business, Sustainable Business, and Interdisciplinary Studies. So right here, in the backyard of our town, you can pursue higher education and on-going education. I see this as a real asset to our community. It makes education easier to obtain when it is nearby, and for our town, it adds many benefits.
Mary’s Woods
Along with the University, there is a retirement community known as Mary’s Woods. Offering all levels of assistance from independent living to extensive care, this retirement community is well regarded. And being attached to the University, it offers many opportunities for retired folks who want to take classes and to remain active.
The Christie School The Christie School was founded in 1953 and is Oregon’s oldest and largest residential treatment center for emotionally disturbed children. The program serves the needs of about 80 kids at any given time. It helps children 8-18 years of age who are coping with any number of needs from depression issues to over-coming abuse. It’s roots go back to the original school, St. Mary’s Home for Girls, which was founded to house and to educate orphaned and abandoned girls.
And then there was the battle with the KKK
One of the more interesting bits of trivia surrounding Maryhurst was the landmark court case known as “Pierce v. Society of Sisters” from 1925. Back in the 1920’s the KKK was pretty strong in Oregon and had a good deal of influence in Oregon politics, including with the Governor of the State, Walter Pierce. The KKK, in concert with the Oregon Scottish Rite Masons, wanted to make public education mandatory, thereby ending access to private education. The Sisters boycotted businesses that supported the KKK and challenged the KKK in court. The 1925 case, decided unanimously by the United States Supreme Court, ruled in favor of the Sisters. The court case ruled that while states may compel attendance at some school, the parents have the constitutional right to choose between public and private schools. The ruling was a legal precedent for our country that has effected court rulings across the United States ever since.
Marylhurst is just one more reason I like living in Lake Oswego. It is a wonderful resource, on so many levels.
The City of Lake Oswego is mourning the unexpected passing of it’s beloved Police Chief, Dan Duncan. There will be a memorial service June 4th, 1:00PM at the Rolling Hills Community Church. Flags in the city will be at half-mast from now until that date. His family has set up a Memorial Site with photos and information. Well-wishers may leave messages there for them.
The Willamette Shore Trolley is up & running! This has been one of my favorite things to do with visitors to Lake Oswego for many, many years. I have photos of beloved family members and I enjoying the ride to & from Portland that I will always cherish. Make your own memories as the train winds along the waterfront & through the trees & neighborhoods that line this historic passage between the two cities. This route is also the one being considered for a possible streetcar! For a schedule of times & fares call 503 697 7436, or visit the Website.
The latest Market Activity Report for Portland Metro produced by RMLS shows the following data:
Comparing April 2010 with April 2009: Closed Sales increased 49.1%, and Pending Sales rose 60.8% with New Listings going up by 23.8%
When comparing April 2010 with March 2010, the average sale price rose just 0.6%
Comparing January – April 2010 with the same period in 2009, Closed Sales increased 41.4%, with Pending Sales rising by 46.3% and New Listings by 15.4%
April’s Total Market Time for Portland Metro was: 127 days
Lake Oswego and West Linn’s Total Market Time was: 147 days
Lake Oswego and West Linn’s Average Sales Price (RMLS lumps the two areas together) was $502,800.
Lake Oswego and West Linn posted 101 Closed Sales in April with 1066 Active Listings
Lake Oswego and West Linn saw a 113.8% increase in Pending Sales April 2010 compared to April 2009
