Residential Real Estate in SW Washington State

Residential Real Estate Services with Passion, Integrity, Knowledge

The Housing Market Is Positioned to Help the Economy Recover

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The National Association of Home Builders predicts that because of the shortage of homes, the housing market will rapidly recover after COVID-19. I’m staying positive! Are You?The Housing Market Is Positioned to Help the Economy Recover [INFOGRAPHIC] | MyKCM

Some Highlights

  • Expert insights are painting a bright future for housing when the economy bounces back – and it will.
  • We may be facing challenging economic times today, but the housing market is poised to help the economy recover, not drag it down.
  • Let’s connect to make sure you’re informed and ready when it’s time to make your move.

Will Surging Unemployment Crush Home Sales?

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Will Surging Unemployment Crush Home Sales? | MyKCM

Ten million Americans lost their jobs over the last two weeks. The next announced unemployment rate on May 8th is expected to be in the double digits. Because the health crisis brought the economy to a screeching halt, many are feeling a personal financial crisis. James Bullard, President of the Federal Reserve Bank of St. Louis, explained that the government is trying to find ways to assist those who have lost their jobs and the companies which were forced to close (think: your neighborhood restaurant). In a recent interview he said:

“This is a planned, organized partial shutdown of the U.S. economy in the second quarter. The overall goal is to keep everyone, households and businesses, whole.”

That’s promising, but we’re still uncertain as to when the recently unemployed will be able to return to work.

Another concern: how badly will the U.S. economy be damaged if people can’t buy homes?

A new concern is whether the high number of unemployed Americans will cause the residential real estate market to crash, putting a greater strain on the economy and leading to even more job losses. The housing industry is a major piece of the overall economy in this country.

Chris Herbert, Managing Director of the Joint Center for Housing Studies of Harvard University, in a post titled Responding to the Covid-19 Pandemic, addressed the toll this crisis will have on our nation, explaining:

“Housing is a foundational element of every person’s well-being. And with nearly a fifth of US gross domestic product rooted in housing-related expenditures, it is also critical to the well-being of our broader economy.”

How has the unemployment rate affected home sales in the past?

It’s logical to think there would be a direct correlation between the unemployment rate and home sales: as the unemployment rate went up, home sales would go down, and when the unemployment rate went down, home sales would go up.

However, research reviewing the last thirty years doesn’t show that direct relationship, as noted in the graph below. The blue and grey bars represent home sales, while the yellow line is the unemployment rate. Take a look at numbers 1 through 4:Will Surging Unemployment Crush Home Sales? | MyKCM

  1. The unemployment rate was rising between 1992-1993, yet home sales increased.
  2. The unemployment rate was rising between 2001-2003, and home sales increased.
  3. The unemployment rate was rising between 2007-2010, and home sales significantly decreased.
  4. The unemployment rate was falling continuously between 2015-2019, and home sales remained relatively flat.

The impact of the unemployment rate on home sales doesn’t seem to be as strong as we may have thought.

Isn’t this time different?

Yes. There is no doubt the country hasn’t seen job losses this quickly in almost one hundred years. How bad could it get? Goldman Sachs projects the unemployment rate to be 15% in the third quarter of 2020, flattening to single digits by the fourth quarter of this year, and then just over 6% percent by the fourth quarter of 2021. Not ideal for the housing industry, but manageable.

How does this compare to the other financial crises?

Some believe this is going to be reminiscent of The Great Depression. From the standpoint of unemployment rates alone (the only thing this article addresses), it does not compare. Here are the unemployment rates during the Great Depression, the Great Recession, and the projected rates moving forward:Will Surging Unemployment Crush Home Sales? | MyKCM

Bottom Line

We’ve given you the facts as we know them. The housing market will have challenges this year. However, with the help being given to those who have lost their jobs and the fact that we’re looking at a quick recovery for the economy after we address the health problem, the housing industry should be fine in the long term. Stay safe.

Economic Slowdown: What the Experts Are Saying

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Economic Slowdown: What the Experts Are Saying | MyKCM

More and more economists are predicting a recession is imminent as the result of the pullback in the economy caused by COVID-19. According to the National Bureau of Economic Research:

“A recession is a significant decline in economic activity spread across the economy, lasting more than a few months, normally visible in real GDP, real income, employment, industrial production, and wholesale-retail sales.”

Bill McBride, the founder of Calculated Risk, believes we are already in a recession:

“With the sudden economic stop, and with many states shutting down by closing down schools, bars and restaurants…my view is the US economy is now in a recession (started in March 2020), and GDP will decline sharply in Q2. The length of the recession will depend on the course of the pandemic.”

How deep will it go?

No one knows for sure. It depends on how long it takes to beat this virus. Goldman Sachs anticipates we will see a difficult first half of the year, but the economy will recover in the second half (see below):Economic Slowdown: What the Experts Are Saying | MyKCMGoldman also projects we’ll have “further strong gains in early 2021.”

This aligns with the projection from Wells Fargo Investment Institute:

“Once the virus infection rate peaks, we expect a recovery to gain momentum into the final quarter of the year and especially into 2021.”

Again, no one knows for sure how long the pandemic will last. The hope is that it will resolve sometime over the next several months. Most agree that when it does, the economy will regain its strength quickly.

*QUARTER 1 DATA FROM GOLDMAN SACHS WAS UPDATED FROM 0% TO -0.2% ON 3/17/20 AFTER THE INITIAL RELEASE.

Bottom Line

This virus is not only impacting the physical health of Americans, but also the financial health of the nation. The sooner we beat it, the sooner our lives will return to normal.

Seller-Paid Closing Costs?

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Buying a home typically takes some cash out-of-pocket. There are a few loan types that require minimal or no down payment, but there are many extra fees and costs required to actually complete a purchase.

From experience, I know that for many buyers closing costs are typically about 2½% to somewhere around 3½%-4% of the purchase price. As an example assuming that the purchase price of a home is $300,000, out-of-pocket costs of actually closing on the sale (in addition to any down payment) might range from about $7,500 to, say, $12,000. Of the total, 1½%-2½% or so are actual loan fees — lender fees, recording fees, processing fees, appraisal fees, etc, — with the remaining 1%-1½% or so made up of prepaid costs such as upfront homeowner insurance, property taxes, homeowner association fees, prepaid interest, and so on.

Purchase Price $300,000
Loan Fees (1½%) $4,500
Prepaid Expenses (1%) $3,000
Total Closing Costs Paid by Buyer $7,500

So who pays these costs?

One approach often suggested by lenders is that a buyer request the seller foot the bill for all of the costs involved in closing the buyer’s loan.

Depending on the status of the current market or perhaps if a home listing has languished on the market, a seller “might” be willing to pitch in and contribute. However, as is most typical in my greater Pacific Northwest area of quick sales and multiple offers, it’s not realistic to expect a seller to pitch in and help in order to sell their home. That seller is unwilling to reduce the proceeds of their sale (their bottom $$) to pay a portion or all of a buyer’s purchase costs. In the mind of a seller, after all, if a buyer doesn’t have sufficient resources to pay their own way, another buyer will be coming along in the next 10 minutes!

Another strategy is to stack any loan costs on top of the purchase price, with the request that a seller then pay the closing costs out of that increased purchase price. That scenario might look like this:

Purchase Price $307,500
Loan Fees (1½%) $4,500
Prepaid Expenses (1%) $3,000
Total Closing Costs Paid by Seller $7,500

Note that you must be a bit careful with this type of approach. Not only must you, as the buyer, qualify for a higher loan amount, the actual dollar amount of the closing costs will increase based on the higher price and, perhaps most importantly, the home must also appraise at the higher purchase price. With rapidly escalating prices in my area, adding closing costs to a purchase might be just enough to effect a low appraisal–below that all-inclusive purchase price.

Keep in mind, also, that a seller has their own closing costs to pay, which may include brokerage fees, recording fees, notary, HOA dues, etc, and excise or other taxes. Many of these fees are based on the purchase price and if you’ve added closing costs into the purchase price, the seller must pay fees on that inflated price. You may need to offer a seller a slight bit more to cover their extra expenses.

Obviously, if you can pay your own closing costs as part of your purchase, your offer may be looked upon more favorably by the seller and you may have a greater chance that your offer will be accepted. If you do need assistance, be sure to review all of these factors when obtaining loan approval. I’ve seen many offers fail because a buyer asked a seller to pay closing costs … and I’ve seen transactions fail when appraisals come in low.

Your loan officer should provide you with an estimate of closing costs for your purchase. Your real estate representative should provide you with thoughts an options about how to structure a purchase that includes consideration of closing costs.

Another 568 Homes Sold at 9 AM!

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The Difference an Hour Makes

The Difference an Hour Makes [INFOGRAPHIC] | MyKCM

Some Highlights:

  • Don’t forget to set your clocks forward this Sunday, March 8 at 2:00 AM PST in observance of Daylight Savings Time
  • Every hour in the United States, 568 homes are sold and median home values rise by $1.92.
  • As we “spring forward” this year, let’s get together to see how you can take advantage of every hour in the housing market.

Thinking of Selling?

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Thinking of Selling? Now May Be the Time.

Thinking of Selling? Now May Be the Time. | MyKCM

The housing market has started off much stronger this year than it did last year. Lower mortgage interest rates have been a driving factor in that change. The average 30-year rate in 2019, according to Freddie Mac, was 3.94%. Today that rate is closer to 3.5%.

The Census Bureau also just reported the highest homeownership rate since 2014 for people under 35. This is evidence that owning their own home is becoming more important to Millennials as they reach the age where marriage and children are part of their lives.

According to the latest Realtors Confidence Index Survey from the National Association of Realtors (NAR), buyer demand across the country is strong. That’s not the case, however, with seller demand, which remains weak throughout most of the nation. Here’s a breakdown by state:Thinking of Selling? Now May Be the Time. | MyKCMNationally, demand for housing is high, but supply is extremely low. National Association of Realtors (NAR) also just reported that the actual number of homes currently for sale stands at 1.42 million, which is one of the lowest totals in almost three decades. Additionally, the ratio of homes for sale to the number purchased currently stands at 3.1 months of inventory. In a normal market, that number would be nearly double that at 6.0 months of inventory.

A look at the local picture….

In Pierce and Thurston County the current inventory is 0.6 months.  What does this mean?  If no new listings were added, the supply of houses for sale would be exhausted in 18 days!  Lewis County inventory is at 1.5 months or 45 days.  Of course new listings are added each day but not nearly enough to keep up with the demand.

What does this mean for buyers and sellers?

Buyers need to remain patient in the search process. At the same time, buyers must be ready to act immediately once they find the right home.

Sellers may not want to wait until spring to put their houses on the market. With demand so high and supply so low, now is the perfect time to sell your house for the greatest dollar value and the least hassle.

Bottom Line

The real estate market is entering the year like a lion. There’s no indication it will lose that roar, assuming inventory continues to come to market.

30 Year Mortgage Interest Rates Reached 18.63% (In 1981)

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For the week of 10/9/1981 the 30 year rate was a whopping 18.63%! According to Freddie Mac, mortgage interest rates today are currently hovering near a five-decade low.

 

Some Highlights:

  • With interest rates hovering at near historic lows, now is a great time to look back at where they’ve been, and how much they’ve changed over time.
  • The impact your interest rate has on your monthly mortgage payment is significant. An increase of just $20 dollars in your monthly payment can add up to $240 per year or $7,200 over the life of your loan. Maybe it’s time to lock in now while rates are still low.
  • Note: Your own interest rate may vary depending on your qualifications or loan type.
  • Contact you own loan officer or one of these lenders to get your personalized loan rate.

20 Tips to Buying a New Construction Home

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Buying a new construction home is a bit different than purchasing a resale home – one that’s been previously owned by someone else. You’ll need to be familiar with a few tricks of the trade, along with understanding a bit about how the process works. These 20 tips to buying a new construction home are just the starting point on your way to the new construction home of your dreams. When you’re ready, I’d be delighted to be of assistance to you!

1. Use your own Broker/Agent

ALWAYS use your own Broker/Agent; doing so will help ensure that you get what you want. Understand that the sales reps you meet at a new construction community are likely really representatives of the Seller – the Builder, corporate owners, developers, whomever – that are there to present their product, answer your questions … and do the best job for the Seller that they can.

YOU want the same thing, but from your standpoint. You want to see the product, get your questions answered, but have your needs be number one. By using your own Broker/Agent, you can be assured that there’s no conflict of interest.

Most importantly, if at all possible, be sure to contract with a Broker/Agent before you start shopping. Often the policies at a community require that your agent be present at the first showing and then at every showing. If they’re not, you may find yourself working with the site rep even if you didn’t intend to do so. And your agent, who comes along later, may not get paid either – or perhaps will be paid a significantly less amount because the site rep was the person who registered you. 

2. Don’t expect price reductions

imageYes, it does happen. But overall, remember that Builders, etc., have established a set of prices that they feel best makes their product (the houses) marketable with an expected profit margin. Furthermore, lowering the price on a house drops the comparable value of other houses in the community, thus bringing the entire suite of houses down in price. Typically a pre-sale home … one that has not yet been built … will be slightly higher in price than a home that the builder erected as a “spec” house – one that was built to attract Buyers to the site. Note also, that very often homes that have not sold for a period of time will not drop in price – they actually go up in price at a new home development, thus supporting the builder’s position that materials and labor costs increase. 

3. Look instead for builder concessions in the form of additional upgrades

Rather than price reductions, you may be able to gain a few upgrades from the Builder at no cost, or for less money. Perhaps the Builder would be willing to include a fence, landscaping, upgraded carpeting, or appliances as part of your purchase without charging you extra. 

4. Builder incentives in the form of interest rates, etc., may not be coming from the builder

Lots of new communities boast incentive programs that cite things like “3.75% financing for 30 years” or “Zero Closing Costs.” What’s important to know is that the Builder may not be the one actually paying those closing costs, or reducing the interest rates. Typically, those types of incentives are coming from the Builder’s preferred lender who is counting on a sufficient number of loan transactions in order to recoup the cost of the incentives.

While Builders can’t require you to use their preferred lender in order to purchase a home from them, they can require you to use their lender in order to gain the benefit of the incentive. You’ll want to check with your own lender first to see if they’ll match the incentive or can give you a benefit in another fashion before deciding to switch gears and go with the Builder’s lender. Remember that nothing’s really free, so be a bit cautious when making decisions like this one. 

5. Expect to use the builder addendum

imageIn almost every case, new construction homes require the use of a Builder’s contract or at least a lengthy addendum in addition to the typical purchase forms used by a Broker/Agent. Generally those Builder forms include language specific to the terms of the building process and can be many many pages long full of tightly packed terms. While much of the language is common sense, be sure to read the contract thoroughly yourself (as will your Broker/Agent) and then consult with a qualified real estate attorney if you have questions or concerns. Agents, even those sales reps for the Seller, aren’t allowed to (and shouldn’t) attempt to advise you or interpret what those custom forms really say. 

6. Builder warranties vary

Not all builder warranties are the same. Some builders warrant their work from top to bottom for several years, some only for one. Many builders will offer a warranty of up to about 10 years for structural-type issues, with other warranty time frames for things like plumbing leaks. In addition, you’ll find that your new home will likely have individual warranties for appliances, roofs, windows, etc. Be sure to carefully review the warranty offered by the builder of your desired home before signing the final contract for your Purchase. 

7. The floor plan isn’t the floor plan

imageThe little floor plan you see when viewing your potential home at the builder site isn’t an exact representation of what your home may look like. For example, you may see a nicely drawn oval bathtub with rounded edges on the drawing only to find out when the home is almost finished that the actual tub is rectangular. Room sizes are close estimates, but usually measurements are rounded. Sometimes the location of outlets will move around. Sometimes your chosen particular lot requires other modifications in order to fit the home properly. 

8. Rarely can you modify the floor plans

imageUnlike building a custom home, most community sites where several homes are being built by the same or a group of builders are based on a preapproved set of plans that have already received the stamp of approval from the local building authorities. Conversely, in a custom home situation, your set of plans can be modified prior to building or even during the construction process if you want to pay the extra associated costs.

In these preapproved communities, fewer options for modifications are generally allowed. Doing so would significantly increase the amount of time the builder wants to spend on any one house, while also increasing his/her costs. Changes to floor plans, even to add extra outlets, etc., must be included in the particular permit and approved, which can involve new drawings and perhaps repeated permit processes. If you do want to make changes, be absolutely certain you’ve worked this out as part of your purchase contract.

9. Expect changes

While everyone starts out thinking all of the choices have been made, finishes chosen and the idea that the new home will look just like the model, realistically suppliers run out of or change products or prices, thus affecting the appearance of your home. Builders typically reserve the right to substitute materials and finishes, sometimes leading to surprises. Try to tour a finished home or two and do ask lots of questions about the sorts of things that the builder might substitute. It’s nice to know upfront what you might expect! 

10. Expect about 5 months after permit or approximately 100-120 days after lumber drop

Every builder, City, County, etc. has different time frames that historically work for them when completing a home. For most builders in the greater Thurston and Lewis County areas, I’ve found that it takes approximately four months for a builder to complete a home after lumber drop – i.e., the date on which that huge stack of wood is delivered to your home site. Remember that lumber drop occurs after the construction permit from the city/county/etc. has been received by the builder … and after the foundation is complete. Those two tasks can add another month or even two to the process. 

11. Add an extra month or so to the anticipated build-out time

imageAs part of your pre-sale purchase, the Builder and/or sales rep will provide an estimated date of completion for the building of your new home. What’s important to remember is that the estimate is just that – a projection of when the home will be complete and ready for occupancy providing everything goes according to plan. Realistically, however, plans don’t work out exactly on time. In my experience, I’ve found it best to add about an extra month to the whole thing. Go ahead and include the Builder’s date in your contract, but in your heart expect delays. 

12. Be sure to include your Broker/Agent in every walk through; cc them on all conversations, etc.

As indicated in Tip #1, your Broker/Agent is a critical part of your purchase team. With that in mind, be sure that you’ve asked your Agent to attend every walk through and meetings with the builder, and that you’ve included them in email conversations, etc. Note that some builders really try to restrict Agent attendance, but in my experience, you need an extra, knowledgeable set of eyes and ears to help keep things on track. You’ll want to negotiate or handle any restrictions they may have to this at the time you work through your Purchase agreement. 

13. Don’t expect perfection

As much as we feel we’d like to control every piece of the building of our new home, realistically the house won’t be perfect when it’s complete. For example, the quality of wood used to frame the walls of your home is just not what it used to be. You’ll see knot holes, crooked boards, perhaps what look like curious framing practices, and so on. Unless you see significant problems, however, remember that each step of the build process has been inspected not only by the foreman in charge of your project, but also by the local building inspector who should be keeping an eye on things to be sure that the local building codes have been met. If you do see problems, be sure to bring them to the attention of your own Broker/Agent who will assist you in working out any issues with the builder. 

14. Walking the site will get you into trouble

Stay away from the construction site, especially during working hours. There are a lot of physical hazards involved – workers are carrying lumber, shooting nails, stringing wires, spraying drywall compounds, etc. Most job sites require workers and visitors to wear hard hats in an attempt to prevent injuries.

Equally as important is the fact that you don’t really want to disrupt work flow. You want your house finished. By getting in the way of the current project, you’ll cause inordinate delays. Those workers can’t make changes and, as odd as it may seem, probably won’t even talk with you. They’re there to do their jobs, not chat with the Buyer.

Your purchase contract will probably state that you cannot visit the site without making an appointment with the seller rep who will then set up an appointment with the project superintendent or foreman. And then, of course, you’ll also want your Broker/Agent to also be in attendance so that there’s a good record of who said what and when. (Your Broker/Agent should also be conversant and knowledgeable enough with the process to help interpret what’s going on and what could be done to satisfy everyone involved.) 

15. Be nice to the foreman!

You may only meet the construction foreman for your home build a few times, but these folks are gold when it comes to completing what you need. They’re usually very nice … but very busy … trying to coordinate several projects all at the same time and making sure that everything is done correctly. Remember, they have a critical job to do, but you want them to also be your advocate. They want the job done right too! 

16. imageTake lots of pictures

Each time you have the chance to take a walk through of the home or when you do visit the home site, be sure to take your camera along. I can almost guarantee that you’ll want to hang a shelf on a wall at some point – and wouldn’t it be great to know approximately what’s behind that drywall? Not only that, it’ll be fun to look back at the process … later.

17. Ask for leftover paint, vinyl, granite tiles, carpet scraps, etc.

Most of the bigger builders will put together a very nice box of touch-up paint for you as normal practice, but if you can, you may want to also request that leftover vinyl flooring, the sink cut-out from your granite counter, and the leftover hardwood flooring pieces and carpet remnant be left for you. These can be helpful patching materials when accidents happen and it’s nice to have everything match. Note that many of the finishing steps are done by subcontractors, however, and it may just not be possible to capture any of the leftovers. In addition, significant leftover materials may be used in other homes or even returned to the supplier. It never hurts to ask! 

18. Do your own inspection

j0282788More precisely, prior to closing on the purchase of your home, be sure that your purchase contract allows you to bring in a qualified home inspector to test the various workings of your home … checking outlets, plumbing fixtures, walking the roof, the crawlspace and attic, and so on. Typically the items found on your independent inspection will be repaired by the Builder, but will not affect timely close of your purchase. Builders often retain a time period after closing to repair defects. 

19. The “certificate of occupancy” is probably not a certificate at all

The final step before the Builder releases the home to you for closing of your purchase will involve receiving signatures on the final inspections by the City/County, etc. thus allowing the home to be occupied. The term “certificate of occupancy” is a phrase used to indicate that the final signature was received and you’re ready to go! 

20. Move-in day is the sweetest day on earth

champagne toastWell, of course it is for every Buyer for every home … but there’s just nothing like the unparalleled excitement that seems to surround moving in to a brand new home in which you made all your own choices. On the day before the furniture arrives, buy a roll or two of that tacky carpet protector stuff or paper to cover the walking paths on the rugs and floors so that you and the movers don’t track the great outdoors into your new home.

… And then take a moment for a big smile! Take a few minutes to sit on the floor, on the deck, on the sofa in the middle of the room (because you can’t figure out where to exactly position it) and reflect on what you’ve accomplished. This was a BIG deal!

 

 

4 Critical Facts When Selling Your Manufactured Home

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Selling a manufactured home on land is a bit different than selling a stick-built home. There are a few more inspections and requirements, not to mention finding a lender that will lend!

Here in Western Washington, I’ve had the dubious pleasure of working through a few sticky manufactured home transactions over the last few months. Now, don’t get me wrong — working with the buyers and sellers was truly a pleasure! It’s just that there are so many different steps to be taken that sometimes clients can feel a bit overwhelmed by the whole process;  and it’s so necessary to be the knowledgeable hand that helps guide the sale.

With a couple of caveats that every transaction is truly different and that different jurisdictions have slightly different requirements, here are a few starter points.

1.       Not every manufactured home qualifies for traditional financing methods – only those built after June 15, 1976. Your home built on May 31, 1976 won’t qualify for traditional financing — you’ll need to appeal to a buyer that has all cash or some source of private funding.

2.       Know that in order to get any sort of financing for the purchase of a manufactured home, the home must have gone through a title elimination process. A bit of background – when a manufactured home is purchased, it’s personal property – like a car or boat. Title is maintained by the Department of Licensing just like the title to a car. This is likely a testament to the fact that a manufactured home is towed down the road on its own axles and tires, which are then typically removed when the home is placed on its foundation.

That personal property title must be eliminated and the home married to the real property (the land) on which it sits. Home loans are for real property – not for vehicles.

3.       Speaking of Foundations — this gets a bit tricky. Prior to 1996, manufactured homes were often trucked to their site and then set up on a series of concrete blocks. Those blocks often sat on poured or prefab cement slabs. Then tie downs were attached to the underlying steel beams that run the length of the home and subsequently secured to the earth or the cement slabs, or whatever. In our area, which is generally not subject to enormously high winds such as hurricanes, some homes were installed without the tie downs and just sit on the blocks.

Now then – bear with me – FHA and VA loans are often used for manufactured homes. It used to be that conventional funding was a bit more lenient with requirements, but I’ve found lately that conventional and FHA/VA requirements are similar. So here’s the thing. In 1996, HUD (Dept. of Housing and Urban Development) placed a requirement that all manufactured homes on private land must be secured to a “permanent foundation,” which they defined. These permanent foundations are designed to prevent the home from shifting or moving away from their supporting structures.

HUD guidelines state that compliance with the guidelines must be certified for all re-sales.

This means that a homeowner must ensure that the foundation system complies with the guidelines by hiring a licensed professional engineer to examine the current foundation structure and certify, in writing, that the foundation is compliant. If not, the homeowner must have the foundation retrofitted prior to sale.

 

4.       One additional step can also be critical, and yet is so often overlooked by an existing manufactured home homeowner. Prior to adding anything to the exterior structure of the home, such as deck, porch, awning, an extra room, etc., you should have obtained an L&I permit in addition to obtaining the appropriate jurisdictional building permit (if required). That’s right – the Dept. of Labor and Industries must also permit and inspect your addition and certify that it meets the manufactured home standards.

See, manufactured homes are designed to be dismantled from their foundation and pulled down the road. That means all exterior structures surround the house must be self-supporting. For example, that deck must have supports and beams of its own – not merely attached to the home by means of a ledger board.

Similarly, electrical modifications, replacing your hot water heater, adding a wood burning or pellet stove, etc. must be approved by L&I. You’ll likely need proof of the modification. If you did not obtain the L&I permit before altering your home, you may need to obtain an L&I inspection before your home can be sold.

Absolutely your manufactured home can be sold. Paying attention to these 4 Critical Facts when selling your manufactured home can make all the difference in an easy sale!

 

Find Your Match in Thurston and Lewis County

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In today’s real estate market finding “the one” is more like speed dating than developing a relationship with a house over several days or weeks.  As you have probably heard, the market is red hot.   

According to the MLS, as of end of January 2020: 

In Thurston County (think Olympia, Yelm, Lacey, Tumwater, etc.): 

  • The average sales price of a home in January was $391,859, an increase of 14.2% over January 2019. 
  • Inventory was at a staggering 0.5 months (January 2019 it was 1.2). That means that it takes only ½ a month to sell every listed home! 

In Lewis County (think Centralia, Chehalis, Napavine, Doty, Mossyrock, etc.): 

  • The average sales price of a home in January was $277,032 (up 16% over January 2019). 
  • With 1.8 month’s supply of inventory, which is a 25% drop when compared to January 2019’s 2.4 months. 

Text or call me at 206-300-8421 to help you find the perfect match!