With its grand stature and signature look, Colonial architecture hearkens back to the nascent days of British settlement on American soil. Since then, the classic home style has seen waves of renewed interest, giving rise to multiple variations on the colonial theme. Today, they remain a popular choice for homeowners throughout the Eastern and Southern United States.
History of Colonial Style Architecture
Like the Cape Cod home style, the roots of Colonial architecture took shape as European settlers made their way to American shores and began to develop their homesteads. A century later amid the country’s centennial celebrations, a new wave of interest in colonial homes took hold. This gave way to the Colonial Revival period, which saw architects and home builders molding the settlers’ early home designs into something more suited for the needs of modern life. Several variations were born during this time, including Georgian, Dutch, French, and others.
Colonial homes are easily identifiable, with symmetric and traditional exteriors that allow their signature characteristics to stand out. Their spacious interiors prioritize comfort, with common living areas and bedrooms typically located on different stories. Here are some common elements of colonial home design.
Symmetrical façades and windows with a central door
Shuttered windows for protection against the elements
Rectangular shape with either a central or double chimney
Built of brick, wood, or stone, depending on the region and era of construction
Pitched roofs with side gables
Front porch columns, typically framing the door
Grand entryways
Living spaces on ground floor, bedrooms located throughout second or third stories
Hardwood floors
Decorative moldings
To learn more about the various home styles from A-Frame to Victorian, head to our Architectural Styles page.
9520 Palatine Avenue N Seattle, WA 98103 Listing price: $639,000
MLS #1982788
Beds: 3
Baths: 2
1,220 sqft
Classic 1940’s bungalow with a bonus room addition that adds surprising space to the typical design for this era. Fir floors, tall ceilings, cheerful sunny rooms, nice garden lot with alley access for easy extra off-street parking. Bonus room has soaring vaulted ceilings and cozy free-standing fireplace, lots of flexible uses:TV rm, Primary bedrm, friendly guest quarters or home business w/ sep entry. Hall stairway leads to finished attic space ideal for storing seasonal decorations, etc. Updated copper plumbing, gas furnace, new hi-end roof in 2012. House is located forward on the lot, future DADU? Walk to Greenwood area restaurants/ shops/brew pubs/parks and Northgate Light Rail approx. 1 mile. Lots of possibilities and upside potential!
Information provided as a courtesy only, buyer to verify. For more, go here.
Becoming a homeowner comes with many responsibilities, but if the home you’re purchasing requires you to be part of a Homeowners Association (HOA), you’ll have to follow additional guidelines and pay additional fees. As you’re looking for homes, talk to your agent about whether purchasing a home that’s part of an HOA is right for you.
What is a Homeowners Association (HOA)?
A Homeowners Association is an organization that governs a community of homes. Homeowners within the governed community must follow certain guidelines for property upkeep and maintenance and will face restrictions on their ability to make additions and/or changes to the property. These rules exist to maintain a standard level of quality amongst the community to maximize property value.
Different HOAs may have different stipulations based on the type of housing they govern. For example, an HOA may oversee a community of detached single-family homes, but they are commonly found in communities of condo or townhome housing styles where there is a shared, communal living style. Each HOA has a Board of Directors in charge of enforcing rules, collecting fees, and managing the funds, and certain associations may hire a third-party management company to help the Board of Directors carry out their operations. The members of an HOA are the residents who live in that community. Here are some examples of typical HOA property restrictions:
Exterior paint color choices must be submitted for approval
Grass must be mowed regularly
Flower beds must be kept weed-free
Noise regulations and/or noise curfew
Pet restrictions (type of animal and/or number of pets per household)
Homeowners Association (HOA) Pros and Cons
Living in an HOA community means your property will maintain its curb appeal and you can live with the knowledge that systems are in place to protect property values. However, the benefits come with additional restrictions on your freedoms as a homeowner while increasing your monthly payments.
If you buy in a development governed by a Homeowners Association, you will be required to pay HOA fees on top of your monthly mortgage payment. Typically paid monthly, HOA fees go toward the neighborhood’s shared spaces, property maintenance, and amenities. Homeowners Association fees vary greatly depending on the particulars of that community’s agreement. These fees often cover landscaping costs, parking, community security, garbage pickup, maintenance and repair, insurance, and other amenities, such as a shared pool or gym. If the home is your primary residence, your HOA fees are not tax-deductible.
HOA fees are an additional expense you’ll have to budget for when buying a home. To get an idea of what you can afford, use our free Home Monthly Payment Calculator by clicking the button below. With current rates based on national averages and customizable mortgage terms, you can experiment with different values to get an estimate of your monthly payment for any listing price, accounting for any HOA fees you may incur.
Interior design solutions come in all shapes and sizes. After all your furniture items, art, and other physical items are all in their right place, decorating with house plants can provide the perfect final touch. The best plants for your home are the ones that will thrive in your local climate while complementing your existing décor. Here are a few common house plants and their corresponding interior design styles to aid your decorating efforts.
Decorating with House Plants to Match Your Décor Style
Mid-Century Modern
Mid-century modern interior design is ubiquitous, and for good reason. Its simple concepts, open spacing, and emphasis on natural elements make it one of the premier interior design styles for homeowners and design experts alike. A Split-Leaf Philodendron, or “Swiss cheese plant,” is ideally suited for these interior spaces, and its signature leaf holes make it a visual focal point. Swiss cheese plants will thrive in open spaces with access to natural light, climbing toward the ceiling as space allows. For the same reasons, Fiddle-Leaf Figs feel at home in a mid-century modern aesthetic.
There’s an inherent give and take with industrial interior design in that it foregoes traditional elements that we associate with comfort for stylistic choices that create a strict-yet-visually appealing environment. Decorating with house plants can add vibrance to an industrial backdrop of wood, steel, brick, stone, and copper without compromising the edginess of the style. Both Snake Plants and Cast Iron Plants will harmonize with an Industrial space. Both are low-maintenance plants that mesh well with materials that evoke toughness and durability.
Minimalist
The combination of minimalism and house plants is a match made in heaven. Given minimalism’s focus on the reduction of waste and clutter and the importance of bringing the outdoors in, all signs point toward decorating with house plants. Being selective about which plants you include will keep everything in line with the fundamental concepts of minimalism—too many plants and things would easily feel off balance. Large-leaf plants are a perfect solution for minimalist decorators, such as Rubber Plants, Bird of Paradise, and Silver Evergreen.
The Farmhouse interior style prioritizes cleanliness and an inviting spirit. Its white-washed backdrop of whites, grays, and beiges makes it a fitting canvas for the lush green additions that a selection of house plants can provide. Spider Plants work well to fill shelf space, which come in both solid green and white-striped varieties. These plants are easy to take care of and thrive in partial sun or shade. Aloe Vera plants in the kitchen can refresh the look of your shelving or counter space.
Homeowners with traditionally styled interiors have a whole host of options to choose from. Any classic plant species will complement its traditional surroundings, but more specific choices can bring out the uniqueness in your home. If your decorations are rife with patterns and geometric shapes, perhaps a fern or Amazon Lily would help to balance the room. Bamboo may be a natural fit for your home depending on your existing décor. If you’re looking for a hanging display to fill empty wall space, consider Devil’s Ivy.
As always, research the watering and sunlight needs of a house plant before bringing it into your home. For more on decorating with house plants, be sure to read our room-by-room guide:
The math of a home sale is relatively straightforward. Sellers list their home at a certain price, a buyer makes an offer, and eventually the two parties reach a final, agreed-upon price. However, between these two points in the selling process, there are several other figures that go into to setting a home’s value that you should be aware of. Your real estate agent will be your best resource in interpreting the different values associated with your home and what they mean as you prepare to sell.
Understanding the Value of Your Home
Listed Price (Asking Price)
Also known as an asking price, the listing price of a home is the price at which a seller lists their property when it goes on the market. The listing price is a gross price, meaning the costs associated with selling the home are not included. A real estate agent’s Comparative Market Analysis (CMA) will accurately set your home’s listing price, accounting for the various factors that influence home prices including location, condition, seasonality, local market conditions, and more.
The listing price is a starting point for negotiations with buyers. You may receive an offer that matches your asking price, but it’s common for buyers to make offers at other price points. You can either accept, reject, or make a counteroffer in response until you and the buyer reach an agreement.
Whether you’re selling in a buyer’s market or a seller’s market may determine you and your agent’s approach to the listing price of your home. There may be certain pricing tactics you can employ to either drive buyer attention or increase competition, but if your home’s listing price strays too far from its market value (see below), it could stay on the market for longer than you expected.
Market Value
As a seller, you’re interested in what buyers are willing to pay for your home. By taking into account a home’s condition, size, curb appeal, and features, as well as local market conditions and what comparable homes are selling for, a home’s market value reflects the price buyers will pay for a property.
Appraised Value
A home’s appraised value is determined by a professional appraiser to ensure that the lender is loaning the correct amount of money for the home. Appraisers assess the home’s layout and features, square footage, gross living area (GLA), overall condition inside and out, home updates and remodels, and more. If the appraised value comes in too low or too high, the buyer and seller must renegotiate for the deal to go through. In competitive markets, buyers may include an appraisal gap guarantee in their offer, which states that the buyer will cover the difference between the price of the home and the appraised value.
Sale Price (Purchase Price)
Also known as the purchase price, your home’s sale price is what it ultimately ends up selling for. Once you and the buyer have reached an agreement on the terms of the transaction, the buyer will have the home inspected and final negotiations may occur based on the findings of the inspection. Familiarize yourself with the Common Real Estate Contingencies buyers may include in their offer and what they mean when selling your home.
Net Proceeds
So, how much do you actually make on the sale of your home? After subtracting the total costs of selling from your home’s sale price, you’ll arrive at your net proceeds. This is the amount you walk away with from the transaction.
Assessed Value
Your agent’s CMA is a reliable method of determining your home’s value for its eventual sale, but its assessed value is used for taxation purposes. Employed by local municipal or county entities, an assessor will conduct a review of your property to determine its assessed value. The assessor’s findings are passed to local tax officials, who use that number to calculate the home’s property taxes.
Featured Image Source: Getty Images – Image Credit: kupicoo
This video is the latest in our Monday with Matthew series with Windermere Chief Economist Matthew Gardner. Each month, he analyzes the most up-to-date U.S. housing data to keep you well-informed about what’s going on in the real estate market.
Hello there, I’m Windermere’s Chief Economist Matthew Gardner and welcome to this month’s episode of Monday with Matthew. You know, one of the many things I love about being an economist is that it is a remarkably humbling profession. You see, just when we start to believe that our models are close to perfection, something comes along to remind us that forecasting isn’t an exact science.
And if you’re wondering what I am talking about, I recently took a look at the 2022 mortgage rate forecast I put out at the start of the year and…well, let’s say that rates rose at a far faster pace than I had anticipated. I thought that now would be a good time to take another look at rates and share my thoughts on the direction that they will likely take during the rest of the year and my reasoning behind it. And that means we need to talk about inflation.
30-Year Conventional Mortgage Rates: 2018 – 2022
So, a quick look back. As you can see, there wasn’t much to celebrate in 2018, with rates rising from 3.95% to 4.94% before pulling back and ending the year at around 4.5%. In 2019, rates fell following the Feds’ announcement that they were likely done with raising the Fed Funds Rate, and the mortgage market also reacted positively to the announcement from the White House that they were going to impose tariffs on select Chinese imported goods. We saw an uptick in late summer, but that was mainly due to news related to BREXIT.
In 2020, rates were dropping but spiked very briefly when COVID-19 shut the country down and bond markets panicked. But with the Fed jumping in with an emergency rate cut and announcing that they would start buying a significant number of treasuries and mortgage-backed securities, rates tumbled to an all-time low of just 2.66%. In 2021, rates rose as new COVID infections plummeted, but then dropped again as the Delta variant took hold, but ultimately trended modestly higher in the second half of the year.
And then we get to 2022. Rates started the year at just over 3.1% but have since skyrocketed to over 5.8% before a small pullback that started a few weeks ago. In as much as economists expected rates to rise this year, nobody anticipated how fast they would rise. So, what went wrong? Well, there’s actually a rather simple answer.
Even though we expected rates to trend higher in 2022, there were two things we hadn’t built into our forecast models.
Russia’s invasion of the Ukraine
Inflation continued to climb for far longer than we expected
So, how do things look for the rest of the year? To explain my thinking, it’s important to remember that the bond market and, by implication, mortgage rates hate nothing more than high inflation because when inflation is running hot, it limits demand for bonds which, in turn, forces the interest rate payable on bonds to rise and this pushes mortgage rates higher.
But what’s been fascinating to watch is that over the past couple of weeks, rates have actually been dropping which is certainly counterintuitive given where inflation is today. And the only reason I can see for this is that bond traders were thinking that inflation might be topping out.
But then we got the June CPI numbers, and it certainly didn’t suggest that inflation was slowing, in fact it showed the opposite. But even though the total inflation rate hasn’t yet peaked, I believe that a shift has actually started and that we are closer to a peak in inflation than you may think.
Indicators of Inflation: Consumer Spending
The June CPI report showed the headline inflation rate still trending higher but look at the core rate which excludes the volatile food & energy sectors. That has actually been pulling back for the past three months. And consumer spending when adjusted for inflation fell 0.4% in May. That’s the first monthly drop since last December, and I expect the June number when it comes out at the end of the month to show spending dropping even further.
This is a very important dataset that often gets overlooked but it is starting to tell me that the economy is slowing because of inflation and slower spending acts as a headwind to further price increases.
The core PCE price index is up 4.7% year-over-year, but this was the smallest annual increase since last November and you can see that it is also starting to roll over. This index is actually the Fed’s favored measure of inflation as it’s more comprehensive that the CPI number as it measures the change in spending for all consumers, not just urban households.
Indicators of Inflation: 5-Year Breakevens and Producer Price Index
The five-year “inflation breakeven” has plunged more than a full percentage point since peaking at just under 3.6% in late March. And this number is important as it lets us know where bond traders expect the average inflation rate to be over the next five years.
The Producer Price Index measures inflation at the wholesale, not retail, level and even though the total rate rose as energy costs continue to impact the manufacturing sector, the core rate has been pulling back for the past three months. Now let’s look at some commodity prices and see what’s going on there.
The price for natural gas is down over 34% from its recent high
Copper prices are down 26% from the recent June peak and down substantially from March
Soybean prices are down 10%
Despite the war in Ukraine, wheat prices are down 27% from June
Retail Gas Prices: West Coast, West Coast Excluding CA, U.S.
It appears as if gas prices have also rolled over. Of course, here on the West Coast it’s more expensive than the nation even when you take California out of the equation.
U.S. Treasury Yields: 10-Year and 2-Year Constant
And finally, to cap things off, traders must also be pondering the same numbers as I am because bond yields themselves have been tumbling at both the long and short ends of the yield curve with the 10-year note still yielding less than 3% even after the CPI report and two-year yields, while still elevated, are still down from 2.42% just two weeks ago.
So, given all the charts we have looked at, I hope that you too are seeing some light at the end of the tunnel when it comes to the likelihood that inflation is about to start easing.
No doubt, the headline inflation number for June wasn’t one that anyone wanted to see but, if the trends we have looked at continue, I still expect inflation to start slowly creeping lower, which will push bond prices higher, yields will start to pause—if not drop—and that will allow mortgage rates to hold at or close to their current levels for the time being. Although we could see rates coming down, though they will still start with a five for the foreseeable future. I hope that you have found my thoughts of interest.
As always, if you have any questions or comments about this particular topic, please do reach out to me but, in the meantime, stay safe out there. I look forward to visiting with you all again next month.
Bye now.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
In a seller’s market, many buyers are competing for a limited number of homes. This creates fierce competition amongst buyers and ideal selling conditions for sellers. Sellers will commonly receive multiple offers for their home, often over their original asking price. As the offers stack up, bidding wars will ensue, since only one buyer can ultimately win.
So, how can a buyer rise to the top in these highly competitive situations? First and foremost, it’s important to work closely with your agent to discuss your strategy when buying in a seller’s market. If you find yourself in a bidding war, the following methods may help you secure the home you’re after.
How to Win a Bidding War When Buying a House
Get Pre-Approved for a Loan
Not only is getting pre-approved for a mortgage an important step early on in the buying process, but it’s also a prerequisite for having your offer considered in a bidding war. Without pre-approval, your offer is likely to fall to the bottom of the stack of offers the seller is considering if not tossed aside entirely. Pre-approval gives you credibility as a buyer. It shows that, should your offer be accepted, you have the necessary financing in place to successfully purchase the home. This assurance is key to sellers prioritizing your offer. Pre-approval also helps to speed up the closing process, allowing you to move swiftly through mortgage approval and onto other steps to finalize the transaction, such as the home appraisal and home inspection.
Put More Money Down or Pay Cash
Putting more money down on your offer is one way to differentiate yourself during a bidding war. This may be just what sellers are looking for to put one offer over the top of the others. If you’re able to make an all-cash offer—meaning you have the funds available to purchase the house in a liquid account—you stand to seriously strengthen your candidacy. Because an all-cash buyer can make the purchase without having to go through the process of securing a home loan, it streamlines the buying process, reduces risk, and may persuade the seller to select their offer.
Be Flexible About the Inspection and Your Contingencies
In highly competitive markets, buyers are more likely to waive contingencies to sweeten their offer. So, if you find yourself in a bidding war, you may have to consider doing so to keep up with your competition. If you’re buying and selling a home at the same time, know that making an offer contingent upon the sale of your current home—what is known as a “sale contingency”—won’t be as appealing to sellers during a bidding war, since other buyers will likely be waiving contingencies left and right.
When it comes to the inspection, being lenient can give you a leg up on your fellow bidding war buyers, but it can open you up to added risk as well. Waiving the inspection requirement entirely is an even riskier proposition, as you could end up purchasing a home that needs serious repairs that may not be evident at first glance. When forming your offer strategy with your agent, take time to discuss how you’re willing to modify your inspection requirements.
Escalation Clause
Imagine an auction where multiple buyers are going back and forth, upping each other’s offers. The auctioneer accepts each new price, only for it to be surpassed by the next offer that comes flying in seconds later. This is the essence of an escalation clause in real estate. This clause states that if the seller gets a higher offer, the buyer will raise theirs. The specifics of this clause will spell out how much the buyer is willing to go over the higher bid, as well as their price limit. Including an escalation clause in your offer shows you’re willing to participate in the bidding war, so it’s important to understand what you’re signing up for beforehand. In highly competitive markets, escalation clauses can lead to homes selling for significantly higher than their listing price.
Closing Date Flexibility
Showing that you’re flexible when it comes to the closing date may help put your offer over the top. Remember that the best offer for a seller isn’t just about the price; it’s about which offer removes risk and aligns with their goals. For example, let’s say the seller is in a pinch trying to find a new home. If another buyer’s offer comes in higher than yours, but they are rigid when it comes to the closing date and you’re willing to give the seller more time to find their new home, the seller very well may choose your offer, simply because it works better for them.
Appraisal Gap Guarantee
Sometimes there can be a gap between a home’s appraised value and its purchase price. Many real estate contracts will contain an appraisal contingency, which states that the buyer can back out of the contract. In these situations, an appraisal gap guarantee may be helpful in making your offer stand out. Including an appraisal gap guarantee means that, if there is a gap between the appraised value and the price of the home, the buyer will cover the difference.
For more information on understanding competitive markets and what they mean for both buyers and sellers, read our blog on seller’s markets:
The following analysis of select counties of the Western Washington real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.
Regional Economic Overview
The most recent employment data (from May) showed that all but 2,800 of the jobs lost during the pandemic have been recovered. More than eight of the counties contained in this report show employment levels higher than they were before COVID-19 hit. The regional unemployment rate fell to 4.5% from 5.2% in March, with total unemployment back to pre-pandemic levels. For the time being, the local economy appears to be in pretty good shape. Though some are suggesting we are about to enter a recession, I am not seeing it in the numbers given rising employment and solid income growth.
Western Washington Home Sales
❱ In the second quarter of 2022, 23,005 homes sold, representing a drop of 11% from the same period a year ago, but up by a significant 52% from the first quarter of this year.
❱ Sales rose in Grays Harbor County compared to a year ago but fell across the balance of the region. The spring market, however, was very robust, likely due to growing inventory levels and buyers trying to get ahead of rising mortgage rates.
❱ Second quarter growth in listing activity was palpable: 175% more homes were listed than during the first quarter and 61.98% more than a year ago.
❱ Pending sales outpaced listings by a factor of 3:1. This is down from the prior year but only because of the additional supply that came to market.
Western Washington Home Prices
❱ Even in the face of rising mortgage rates, home prices continue to rise at a well-above-average pace, with average prices up 13.3% year over year to $830,941.
❱ I have been watching list prices as they are a leading indicator of the health of the housing market. Thus far, despite rising mortgage rates and inventory levels, sellers remain confident. This is reflected in rising median list prices in all but three counties compared to the previous quarter. They were lower in San Juan, Island, and Jefferson counties.
❱ Prices rose by double digits in all but four counties. Snohomish, Grays Harbor, Mason, and Thurston counties saw significant growth.
❱ List prices and supply are both trending higher, but this has yet to slow price growth significantly. I believe we will see the pace of appreciation start to slow, but not yet.
Mortgage Rates
Although mortgage rates did drop in June, the quarterly trend was still moving higher. Inflation—the bane of bonds and, therefore, mortgage rates—has yet to slow, which is putting upward pressure on financing costs.
That said, there are some signs that inflation is starting to soften and if this starts to show in upcoming Consumer Price Index numbers then rates will likely find a ceiling. I am hopeful this will be the case at some point in the third quarter, which is reflected in my forecast.
Western Washington Days on Market
❱ It took an average of 16 days for a home to go pending in the second quarter of the year. This was 2 fewer days than in the same quarter of 2021, and 9 fewer days than in the first quarter.
❱ Snohomish, King, and Pierce counties were, again, the tightest markets in Western Washington, with homes taking an average of between 8 and 10 days to sell. Compared to a year ago, average market time dropped the most in San Juan County, where it took 26 fewer days for a seller to find a buyer.
❱ All but six counties saw average time on market drop from the same period a year ago. The markets where it took longer to sell a home saw the length of time increase only marginally.
❱ Compared to the first quarter of this year, average market time fell across the board. Demand remains very strong.
Conclusions
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
The economy remains buoyant, which is an important factor when it comes to the regional housing market, particularly as it affects buyers. Even though the number of homes that came to market has jumped significantly, which should favor those looking for a new home, demand is still robust, and the market remains competitive.
Much to the disappointment of buyers, rising listing prices suggest that sellers are clearly still confident even as financing costs continue to increase. While the pace of price growth is slowing, sellers are still generally in control. As such, I have moved the needle a little more in the direction of sellers. Until we see list-price growth and home sales slow significantly, we will not reach a balanced market.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
1125 N 85th Street Seattle, WA 98103 Listing price: $775,000
MLS #:1963619
3,380 SQFT
Lot Size 3,800 SQFT
Taxes: $8,067 (2022)
Type: Multifamily Building
Year Built: 1912
Style: 52 – Duplex
Views: Territorial
This duplex goes from traditional bungalow to urban-edgy in the time it takes to climb a flght of stairs. Entry-level unit maintains the style of the orig. 1912 build:Hardwoods, tall ceilings, picture molding, double-hung casement windows, period millwork, porcelain tile, etc. There is formal dining, large country kitch, 2 spacious bedrms, fantastic office space, and laundry all one level. Top floor unit is 2 stories w/ privt entry, engineered hardwoods, quartz counters, cherry cabinets, bath on each level. 1 bedrm plus xtra finshd space for guest bedrm/office,W/D. Alley leads to 2 covered parking spc + det. gar. Unfinishd 1040sqft. basmt has multi-use/storage potential. LR2 Zoning. Walk to Greenlake/Greenwood amenities, 1mi. to light rail!
Information provided as a courtesy only, buyer to verify. For more, go here.
This blog post contains excerpts of the “Remodeling 2022 Cost vs. Value Report” (costvsvalue.com).1
As you prepare to sell your home, one of the major considerations you may face is whether to remodel, and if so, how to allocate your remodeling budget. Remodeling can help differentiate your home from competing listings in your area, but this competitive advantage comes at a price.
The following information provides insight on which remodeling projects deliver high ROI. To maximize the value of your remodel, talk to your agent about what buyers in your area are looking for and align your efforts accordingly.
High ROI Remodeling Projects to Increase Home Value
It’s no secret that buyers want to see a home with curb appeal and attractive interior spaces. But as a seller, you’ll only have so much budget to work with and you want to get the most return on your investment. As laid out below, here are the five highest ROI remodeling projects nationwide as found in the Remodeling 2022 Cost vs. Value Report (www.costvsvalue.com).1
Remodeling Project
Cost of Remodeling Project (2022)
Resale Value of Remodeling Project (2022)
ROI
Garage Door Replacement
$4,041
$3,769
93.3%
Manufactured Stone Veneer
$11,066
$10,109
91.4%
Minor Kitchen Remodel (Midrange)
$28,279
$20,125
71.2%
Siding Replacement (Fiber – Cement)
$22,093
$15,090
68.3%
Window Replacement (Vinyl)
$20,482
$13,822
67.5%
This data shows that for a given remodeling project a higher expenditure doesn’t necessarily equate to higher ROI. It’s interesting to note that only one indoor project—the minor kitchen remodel—placed in the Cost vs. Value Report’s top five.
Four of the Cost vs. Value Report’s bottom six entries are upscale remodeling projects, all with roughly a 50% average return on investment. The conclusion to be drawn here is that remodels of this magnitude are expensive and should be considered carefully before you greenlight them. The upside to these projects, though, is that they have a much higher resale value than a simple fresh coat of paint or a change in décor. If you and your agent identify a logical upscale remodel with serious resale potential whose costs you can handle, it can help you get the best price for your home.
So, does this mean you should replace your garage door before selling your home bar none? Not necessarily. Again, your remodeling priority list should target the areas of your home that need attention while aligning with local buyer interest. Your agent can provide guidance on what competing listings in your area are offering and refer you to trusted remodeling contractors in your area.
Budget-Friendly ROI Home Projects
Though smaller scale home makeovers don’t have the value-adding power of larger remodeling projects, they can still make a difference when selling your home.
Instead of an upscale kitchen remodel, you can focus more on making minor improvements in several areas. For example, repainting or refinishing your cabinets, swapping out your drawer pulls and hardware, and installing new appliances can make your kitchen feel brand new with a smaller budget. When remodeling your bathroom, tasks like refinishing your tub, installing new lighting, and a new backsplash can make a strong impression on buyers.
For more information on budget-friendly home makeovers with ROI potential, check out our quick guides to upgrading your bathrooms, bedrooms, home office, and kitchen.
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