Bainbridge Island Real Estate

The 2018 Bainbridge Island Good ole’ 4th of July Parade.

Flag-Waving Season

Summer has come to our island, and with it our only-on-Bainbridge annual celebratory activi- ties. We had an energetic Third of July street dance, a festive Fourth of July parade, and a successful Rotary Auction thatgrossed more than $600,000. When we move our attention to local real estate statistics, everything appears to be equally sunny. Our median price is up 12.5%, home sales over $1,000,000 are up almost 28%, and condominium sales are up 36%! Still, if you talk to the experienced agents, they are detecting a shift. Let’s explore all the reasons why.

Buyers Behind the Wheel

We talk all the time about buyers’ markets and sellers’ markets. But it’s really the buyers who drive any market. Even in an ascending sellers’ market, buyers and their actions create the excess demand over supply and rising prices.

Bainbridge has always been blessed with a sophisticated and knowledgeable buyer pool. They are well educated and usually quite disciplined. These days, it appears they’re also beginning to be more cautious. Maybe that’s due to the state of the world, a possible coming interest rate hike, or just the general assumption that we’ve been on this run for more than a cou- ple of years and we must be close to the top of the climb. You might ask, then, why in the midst of this caution our statistics are so positive. There are several factors at work; signs that the market is not as “heated” as last year and is stabilizing. Here are a few specifics:

  •   Inventory, something we’ve lacked for a while, is creeping up.
  •   We’re also seeing more price reductions and fewer multiple offers, with more buyers saying,  “Let’s just wait and see what happens.”
  •   The number of homes under contract (“pendings”) is down 17.3% from last year and hasn’t bounced back in the firstpart of July.

Bainbridge Island Real EstateThe Bigger Picture

We are also hearing of a cooling in other markets, both to the east and the west. This is not really a cause for concern, as our market is very dynamic and this sort of shift requires adjustments in strategy rather than extreme actions. Good and knowledgeable advice will help both buyers and sellers negotiate the changes and still achieve their (realistic) goals.

When one speaks of the dynamism of a market, the statistical chart vividly shows the changes in our market. In the first half of 2012, 48 homes sold in the 0-$400K price range. By 2014, that number was halved to 24 and has plunged all the way to 4 this year. These homes didn’t disappear; they just moved up into another price range. Right now there is only one home for sale for less than $400,000 on Bainbridge. In 2014 (just four short years ago), 78 homes sold for less than $600K, while this year that number is only 19. But there’s an important point to make about what’s happening at the other end of the pricing spectrum: In 2014, only 31 homes sold in the $800K-$1.5M range and this year there were 101 sales in the same price range. So even if our market does “stabilize” a bit, we have to acknowledge that it has appreciated dramatically.

A Busy Condo Segment

What about those condominiums? With 62 sales in the first half of this year, you’d have to go back to 2007 to find a more active January-June period. Also, the median was up 13.6% to $468K, matching the all-time median condominium price set in 2007. The condominium market has lagged behind the home market in price recovery from the peaks set in 2007 (the residential median got back to the high set in 2007 by the end of 2015), but the market has shown steady strength in the past year and a half. The condo market has benefited by being able to offer resi- dence on Bainbridge for less than it costs to buy many homes. It’s also shown an active upper end as people have down- sized (which has been driven by success in the upper end of the house market). This success has happened in spite of some very low condo inventories.

On LandBainbridge Island Real Estate.

The median price of land sales for the first six months also finally matched this segment’s 2007 peak. (In 2007, the median was $406K and in 2018 it was $400K.) As with condominiums, it has been a long road back to our previ- ous highs, but they have arrived. The volume of 22 sales exceeded 2007’s 18 sales in the first six months, but fell shy of 2015’s peak of 33 sales through June.

Bainbridge Island Real Estate Data 2018

A Positive Tilt

All in all, we are giving our first six months of 2018 a very high grade. Condominiums and land have had a great half of the year and so have homes. We detect some stabilization and cooling off in the home market, but all of us at Windermere are prepared to employ our strategic know-how to guide both buyers and sellers toward their goals, whatever shifts are taking place. And when you’re not pondering your next real estate adventure, get out there and enjoy the predictably spectacular beauty of a Bainbridge summer.

 

8411 Wyatt Way NW for sale by Jen Pells Real Estate.

This adorable cottage on the west-end of Winslow is a must see. Open today (Saturday) 1-4.  Loads of charm and fine finishes inside and out. Three bedrooms, two baths and a private, flat, grassy yard. A great package – in town, close to the ferry, schools and trails.  Contact me if you would like a private tour.

Open House: Saturday 1-4pm

Quaint living spaces with original oak flooring from the 1940’s.

Crisp new kitchen with white wood cabinetry, high end appliances and quartz countertops.

Large dining area flows to the west-facing back deck. The perfect spot to enjoy summer dinners.

Main floor master suite.

Gorgeous master bathroom with frame-less shower door, marble vanity and modern tiles and fixtures.

Family room in the walk-out daylight basement. Also has office space, laundry and a private bedroom.

Patio space in the fenced area of the back yard. Grassy and flat. The motorized awning was recently added and remote controlled.

Details about the home:

Charming remodeled 3 bedroom cottage featuring original oak flooring, beautiful crown molding and crisp new custom kitchen with fir floors, stainless steel appliances and quartz countertops. Main floor master, luxurious baths with marble vanities. Easy entertaining with French doors to deck, patio and backyard. Newer roof, siding, furnace, hot water heater, retractable awning, shed, blinds, custom closet systems, and lighting. Easy commute with nearby trails to ferry, shops and restaurants.

  • Offered at $610,000
  • 3 bedroom/2 bathrooms in 1,974 sq feet
  • .65 acres, partially fenced
  • Extensive remodel in 2016 including plumbing, electrical and foundation
  • Remodeled kitchen with white wood cabinetry, quartz counters and high-end appliances
  • Main floor master suite
  • Spa-like master bathroom with dual sinks, marble countertops and modern fixtures
  • 1940’s oak flooring in living spaces
  • Fir flooring in kitchen
  • Second bedroom and bathroom on the main level
  • Bonus space, office space and private bedroom in daylight basement
  • Extra storage and laundry closet in daylight basement
  • Hunter Douglas Blinds throughout
  • Custom light fixtures throughout
  • French doors
  • Elfa Closet Systems & cedar closets throughout
  • Motorized awning over back patio
  • Fenced, flat, grassy backyard
  • West-facing deck off the dining area
  • 160 sq. ft. shed under the deck
  • Paved parking area with drainage and new gravel added to drive
  • Close to Winslow, schools and walking trails
  • Terrific condo alternative – no HOA dues

To see the full Windermere listing, click here.

 

The 2018 market is ramping up fast, but I wanted to make sure I got to my favorite annual blog posts, my top 10 homes on the island for 2017. Last year 439 homes sold on the island – up from 369 last year – wow!  I am proud to say I personally toured the majority of them (that is a lot of laps around the island) and these are ten of my favorites. The list spans the island from north to south and represents the various price ranges, although that is not how I planned it, it just sort of ended up that way. The themes that jump out at me about last year are quality and character.  As speculation builders creep into our market more and more, quality construction and charming character homes continue to be harder to find. Homes that I love have soul.  The homes on this list are indeed soulful.

The sales prices continue to shift upward as the economy maintains its health and the Seattle area continues to be tech destination. Again, like last year, only two homes on the list are waterfront homes, which shows the desirability throughout our island; from inland pastoral, to convenient close-in neighborhoods, to the ever sought-after view and waterfront homes.The lack of inventory continued to be the predominate theme in 2017, which is why you will again see many multiple offers noted below in the list. In 2017, like 2016, the multiple offer scenarios crept up over the $1M mark, to the higher-end sales in several cases.

This is my 10th annual list. Wow, time flies when you are having fun.   To get a feel of the homes I personally enjoy touring and see all ten of my annual lists in one place, click here.  Have a fun virtual tour.

#10 | Sunrise Dr NE

#10

Original List Price $598,000

Sale Price $615,000 (multiple offers)

Days on Market – 6

Date Sold 6/28/2017

Click here for more photos and the full listing detail.

For #10 we start on the north end of the island on Sunrise Drive.  This home came on the market in the frenzy of the summer market and had multiple offers.  This home is surrounded by lush, established gardens and the interior style is bold, colorful and quirky. There are very few straight lines or boring colors in this home.  At just over 1,400 square feet the home lives large, making use of every inch and spills out to the garden spaces. The three stories gave you the feeling of being perched atop a magical tower and of course captures all possible light and views too.  A great start to the list that appreciates and celebrates non-cookie cutter style.

Jen Pells Real Estate Bainbridge Island

#9 | Clayton Place NW

#9

Original List Price $738,000

Sale Price $738,000

Days on Market – 10

Date Sold 6/14/2017

Click here for more photos and the full listing detail.

For #9 we move into Winslow to Clayton Place. In-town homes were in high demand once again last year.  Price per square foot is pricey in Winslow, where you trade lot size for Winslow convenience. Clayton Place is a quiet, small cul-de sac right at the edge of Winslow.  This home is just under 1,800 square feet and was listed at the beginning of summer at a price that some thought was aggressive. Yet, it took merely 10 days for the sellers to find the right buyer.  This home was originally spec built, but the sellers remodeled and styled the home into anything but ordinary.  The light and bright beach vibe is fun, colorful and downright likable.  The sellers added trim and wainscoting and chose great colors inside and out and I am always a fan of a modern metal roof.

Horizon View Place sold by Jen Pells Bainbridge Island Real Estate

#8 | Horizon View Place

#8

Original List Price $859,000

Sale Price $885,000

Days on Market –  4

Date Sold 5/24/2017

Click here for more photos and the full listing detail.

For #8 we stay in town and move over to Horizon View Place near the high school.  This modern rambler/farmhouse was built and sold to my buyers in 2015.  I was happy to re-list it for them in 2017 when they decided to move further out onto the Kitsap Peninsula and buy farmland.  This newer, one-level living home with finer, modern finishes, vaulted ceilings and an open floor plan was sought after by many.  The in-town proximity plus being adjacent to the newly renovated Rotary Park was a rare package. And right now, the new home options in Winslow are generally in developments, which this home was not.  We were thrilled to see an aggressive offer the first weekend, which helped my buyers quickly get to their next chapter.

#7 | Sorrel Way NE

#7

Original List Price $859,000

Sale Price $850,620 (multiple offers)

Days on Market – 20

Date Sold 11/13/2017

Click here for more photos and the full listing detail.

For #7 we head to the south end, to Sorrel Way, which sits above the Crystal Springs Neighborhood. I have always had a sweet spot for this home. It was a favorite back in 2009 when these sellers bought it.  The home does not scream anything overtly special, but the mellow hues, clean lines, whitewashed paneling, large west facing lot (which makes for epic sunsets) with custom designed  landscaping and a really good Rich Passage View, make it a rare, peaceful package on the south end. I had buyers crushed in 2009 when they could not get here fast enough to snap this one up. I was thrilled to help my buyers in 2017 be the winners in a multiple offer show-down.

#6 | Taylor Avenue NE

#6

Original List Price $975,000

Sale Price $1,060,000 (multiple offers)

Days on Market – 6

Date Sold 11/21/2017

Click here for more photos and the full listing detail.

For #6 we move to the south-central area of the island for Taylor Avenue NE. I don’t think Taylor Avenue could better represent what I characterize as the Bainbridge Package – the charming farmhouse with smart, modern updates on a large sunny lot.  Plenty of space for chickens and all that fun stuff.  This oh-so-cute home on Taylor Avenue was sold by sellers who enjoyed and loved it for 30 years. My buyers were one of five or six offers and they really, really wanted it.  The good thing was the sellers wanted to sell to buyers who really, really wanted it. It is not always about the highest price, but about the offer and all its parts and pieces.  My buyers are thrilled to be living in their ideal Bainbridge Package after living in town for seven years.

#5 | Mandus Olson Road NE

#5

Original List Price $934,900

Sale Price $1,085,000 (multiple offers)

Days on Market – 10

Date Sold 5/30/2017

Click here for more photos and the full listing detail.

For #5 we move to the center of the island and Mandus Olson Road NE. I have always really liked this area of the island because it is still close-in but feels very rural.  This larger, well built home on flat acreage caught the attention of many buyers.  This house makes the list for me for its large, fabulous, open kitchen. And it is a white kitchen, my favorite. I also really loved the open backyard and large deck space plus a bonus room over the connected garage.  The sellers had a fun mid-century modern style which made the house show really well too.  I recollect this home saw eight offers and had a steep escalation, one of the highest of the summer at $150,000. Here again is an example of the Bainbridge Package.

#4 | Parfitt Way SW

#4

Original List Price $1,175,000

Sale Price $1,250,000 (Contingent)

Days on Market – 14

Date Sold 9/27/2017

Click here for more photos and the full listing detail.

For #4 we stop at Parfitt Way SW back in Winslow. This home really made me swoon.  One of the many fabulous things about it is the very private, very lush patio room.  The plantings and design are fantastic.  The trickling of the fountain makes Winslow seem a world away, yet you are in the heart of it. The interior was re-imagined by Tom Kuniholm and re-designed by Michelle Burgess and Smallwood.  A fantastic revamp with high end finishes, clean lines, a soothing color palette and thoughtful use of spaces.  While I was previewing this home I sat down for a moment to pet the cat basking in the sun and I did not want to leave. Ever.

#3 | New Sweden Avenue NE

#3

Original List Price $1,550,000

Sale Price $1,600,000 (multiple offers)

Days on Market – 6

Date Sold 4/28/2017

Click here for more photos and the full listing detail.

For #3 we go back down south to New Sweden Avenue to this fantastic farmhouse on over 2.5 acres.  This home sits atop sunny acreage and is one of the best examples of an older home being lovingly restored to still look and feel old. The house also saw an add-on that flowed and worked really well.  I loved the house for its fantastic old world kitchen and fabulous woodwork and built-ins.  A prior owner was a master craftsman and built cabinets, an island, and built-ins that looked like they were in place since the turn of the century.  This house also saw multiple offers and again shows the popularity and desirability of quality, character homes on large properties. The Bainbridge Package.

#2 | Pleasant Beach Drive

#2

Original List Price $2,098,000

Sale Price $2,150,000 (multiple offers)

Days on Market – 7

Date Sold 5/9/2017

Click here for more photos and the full listing detail.

For #2 we stay on the south end and head over to Pleasant Beach Drive.  Known as the Gold Coast of Bainbridge Island, Pleasant Beach always draws a crowd, no matter the home, but this one was pretty amazing.  The owners completely remodeled the main home and guest cottage.  The main home was not large at about 2,000 square feet, but being all on one level it flowed easily outside to the south and west facing decks and primo low bank waterfront.  The walls of windows were a major showstopper and the kitchen was clearly designed for impressive entertaining. The butler’s pantry was appointed with a cookbook display wall and thoughtful storage.  And the guest cottage is so quaint and well designed guests will not want to leave.  It is no surprise this home saw multiple offers and a price escalation of over $50,000.00.

#1 | Euclid Avenue NE

#1

Original List Price $2,675,000

Sale Price $2,420,000

Days on Market – 125

Date Sold 11/10/2017

Click here for more photos and the full listing detail.

For #1 we go up to the north end again and end our list in Port Madison at Euclid Ave NE.  This home did not sell quickly and it did not have multiple offers, but it is fabulous none-the-less.  This home ticked all the boxes for me. Simplicity refined.  The sellers, who designed the home, clearly lived similarly to how we live in our home and I appreciated the design of the kitchen, living spaces and especially the LARGE mud room and laundry room. This is one of the best laundry rooms I have ever been in.

I also truly loved the use of wood and tall walls of windows and walls of concealed storage.  I also really appreciated how the bedrooms were not large (wasted space in my opinion), even the master. But, they did all have primo water views. Wow. This home just felt right to me the moment I walked in and tugged at me every day it was on the market. This medium-bank waterfront home sits toward the mouth of Port Madison and the boat traffic is a joy to watch. And beyond all of that, the home is in one of the best neighborhoods on the island with great sense of community plus shared beachfront and trails.

As we head into 2018 I am already on the lookout for special, soulful homes and I am making my list.  See you out there.

Again, to get a feel of the homes I like personally and see all nine of my lists in one place, click here.

9175 Ferncliff Avenue NE is a quality constructed Craftsman home in the convenient Ferncliff Area of the island.  The home emulates the quintessential Bainbridge style and is anything but cookie-cutter.  Custom built by VanWinkle, this property offers a 3,367 square feet on a lovely, private, .47 acre lot tucked behind a mature laurel hedge.  Public beach access is across the street on Yaquina Avenue. Only 2.2 miles to the ferry this property offers elbow room from your neighbors, but incredible proximity to the ferry, Winslow, and schools.

Open House

Sunday, January 28th from 1pm to 4pm

Welcome to 9175 Ferncliff Avenue NE listed by Jen Pells of Windermere

Welcome to 9175 Ferncliff Avenue NE

This home sits on a large, private property, conveniently close to Winslow, the ferry and schools. The home is 3,367 square feet with three bedrooms, a family room, living room, home office and guest suite with full bathroom, all on a large .47 acre fenced lot.

Peek-a-boo Puget Sound and Seattle views from the front porch, living areas and master suite.

You can feel the warmth and quality as you walk into the home. Hardwood floors, fir trimmed windows, solid wood doors and box beam ceilings make for a grand first impression as you step into the living room.Thoughtful built-ins, custom lighting and large windows can be found throughout the home.

The kitchen is the heart of this home. Large and open with quality fir cabinetry, ample counter space on the butcher block island or granite counters, high-end Viking appliances, a breakfast booth, and a walk-in pantry (and a second pantry around the hall too).

The dining area, kitchen and family room in the home.

The upstairs master suite. Find a five piece master bath with claw foot tub and spacious walk in closet with fir shelving.

The charming master bath has classic tile, the claw foot tub, double sinks, a large walk-in closet and a private water closet.

The private guest suite/nanny suite is spacious, with its own sleeping room/bonus room, full bath and private stairs off the back hall. There are two staircases in the home.

The home is across the street from beach access. It is .2 miles away at the base of Yaquina Avenue.

Details about the home:

  • 3,367 square feet on private .47 acre lot
  • Classic Craftsman style home built by VanWinkle in 2007
  • 3 bedrooms and 3.5 baths with a full guest suite/nanny suite upstairs
  • Home office and half bathroom on the main floor
  • Living room and family room on the main floor
  • Large eat-in kitchen with Viking appliance package and breakfast booth
  • Spacious master suite with a five piece bath and classic clawfoot tub
  • Ample storage with walk-in master closet and two pantries in the kitchen
  • Hardwood flooring on the main floor
  • Two staircases
  • Fenced backyard
  • Oversized two car garage
  • .2 miles to public beach access at the base of Yaquina Avenue
  • 2.2 miles to the Seattle Ferry
  • Peek-a-boo Sound/Seattle views
  • Offered at $1,098,000

Charming Craftsman home on a private in-town lot close to ferries, Winslow and public beach access – at the base of Yaquina Avenue. Peek-a-boo Sound and Seattle views. Chef’s kitchen with Viking appliances package, fir cabinetry, cozy breakfast nook and granite counters. Three bedrooms plus an additional guest suite (or nanny quarters) with full bathroom plus bonus room. Downstairs has a home office and family room. Quality craftsmanship with box beam ceilings, hardwood floors and custom lighting. A rare in-town home that exudes warmth and style.

Click here to see the full Windermere listing details.

Click here to visit this home’s dedicated website.

On January 26, 2018, in Home Tours, Listing, Open Houses, by

Celebrating a New Year

Fort Ward on Bainbridge Island by Jen Pells Realtor

A Look Back

As we welcome a new year, we explore some of the dynamics that played out while we marched through the 2017 cal- endar. Our market saw a decline in the number of homes sold between 2013 and the start of 2017, despite healthy buyer demand. In each of those years, we identified lack of inventory as the cause of this phenomenon. One thing will always be true in real estate: Buyers need choices. And in the midst of these several years of limited inventory, buyers learned to become wary. We hadn’t moved far enough past the economically challenging years between 2007 to 2011 for people to feel confident that they wouldn’t get caught in another correction. Many buyers were still not comfortable stretching their budgets to get what they wanted. However, although we once again struggled with inventory in 2017, we also saw a shift in buyer confidence and people were willing to spend more to get what they wanted. The result was an 18% increase in the number of homes sold last year. There were 435 home sales in 2017 – the first time we’ve seen more than 430 sold on the island in any year since 2005’s 442 sales. (The low was 187 in 2008).

Other Factors to Consider

Even with an uptick in sales, we are not experiencing the same craziness as our Seattle neighbors. Our average cumulative days on market (the measure of how quickly homes are selling) was 52, well more than double Seattle Metro’s 20-day average. Our average price increased by a healthy, but not record-breaking, 10.7%, compared to Seattle’s 17%. (The record was set at 26.74% in 1990, followed by 21.5% in 2005.) There were many homes that experienced substantial price reductions and others that failed to sell at the sellers’ desired numbers. But when homes were properly priced and presented, buyers were willing to act when they found the homes that spoke to them, even if it meant spending more than they originally anticipated. This willingness can only come from a place of confidence that the value is there and the investment is sound. We were assisted by strong buyers from Seattle and California, a rising stock market, smooth financing and appraising with rates that have remained “comfortable,” even with a rising prime rate.

Real Estate for Sale on Bainbridge Island Jen Pells RealtorThe View from the “Top”

A prime beneficiary of this strong market was our “upper end.” There was a 44.6% increase in sales of homes over a million dollars and sales doubled for homes over $1.5M (133 total with 52 over $1.5M). Home sales increased 49% in the $800-$1M range. On the flip side, our lower-priced homes became more scarce and sales of homes priced less than $600K decreased 34.7% from last year. This overall shift in the market pushed our median price up more than the average (>13%) and our condominium market was affected by these market forces (more on that in a minute). It also illustrates our trend away from affordability and diversity. We struggled with this in the early- to mid-2000s. But as a result of the 2007-2011 “correction,” we welcomed a more diverse pool of buyers. As our market strengthens, community leaders should be mindful of a tilt toward homogeneity.

Regarding Condos and Land

Our condominium marketplace benefited from these improved conditions in a couple of ways. The number of sales grew more than 21% (from 104 in 2016 to 126 in 2017) and the median price jumped 31% (from $400,750 to $525,000). Even though sharply higher, the median price of $525K was substantially below the 2016 single home median of $838,000. Consequently, we saw more individuals and families coming to the condominium market because they wanted to be on the island but couldn’t afford a house. Condo sales were also helped by the strong upper-end residential market. There are a lot of people who have been waiting on the sidelines for their homes to get to a price point where they felt comfortable selling and downsizing to smaller, low- or no-maintenance hous- ing, i.e. condominiums. Projects like The Grow Community, Residences at Pleasant Beach and The Roost all experienced strong sales last year as they brought condominiums to the market. “Development” is often thought of as a blight to a community, but one needs to re- member that developments often bring products to markets that are not only wanted, but also needed. Desirable communities such as Bainbridge will always experience growth pressure in times of economic strength. And if you cannot expand your supply, the result is ever-increasing prices and stratification. The trick is to develop wisely. Bainbridge has been pretty successful in that arena by concentrat- ing density in development centers (Winslow, Lynwood Center and Rolling Bay). The only sector of our market that struggled last year was raw land. This category was hampered by a lack of good choices, financing difficulties, hurdles at the city level and contractors who are busy and experiencing rapid cost escalations.

Bainbridge Island Real Estate Jen Pells

On the Horizon

It is hard to find any economist predicting a substantial slowdown in our area’s economy or real estate in the near term. That is not to say that there aren’t clouds. The new federal tax law is not beneficial to a higher-end market like ours; financing inter- est and property tax deductions will be more limited. The prime interest rate will undoubtedly rise and even though mortgage rates have been largely insulated from the Fed’s actions, rates will probably go up but stay below 4.5%. Our new Bainbridge Island City Council has already put a moratorium on new construction, including some single family residences. But we hope these factors will only act as “checks” that will keep the market from heating up too much without sapping its strength. In the midst of all this activity, one thing re- mains constant: Bainbridge Island is a great place to live.

Bainbridge Island Housing Market 2017

 

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