Getting Warmer

Bainbridge Island Real Estate Market 2017Winter Dormancy

In many ways, the first quarter of 2017 reflected the past two years of the Bainbridge Island real estate market and, for that matter, the markets of most of the neighborhoods around us. Seasonably low inventories limit buyers’ choices early in every year. Meanwhile, inclement weather (which we believe had a greater than normal influence this year) tends to dampen the enthusiasm of sellers getting homes ready as well as buyers who would rather stay in than venture out to go look at properties. Finally, there’s a perception that the market doesn’t really “begin” until spring. These factors all conspire year after year to make the first quarter the quietest.

A Snapshot of Activity

Looking back to 2016, there were 72 residential transactions (defined as both homes and condominiums) in the first quarter, compared to 129 in the second quarter, 156 in the third and even 117 in the fourth (also perceived as a slow quarter). So we were prepared for the “slow time” this year. We hoped for more inventory because we knew there was demand. As it turned out, in spite of the weather, we got a little bit of what we wanted. We had 83 residential home and condominium sales in the first quarter of 2017, up 15% from last year’s 72. It should not be a surprise that our active inventory (homes not under contract) was up 29% from last year when measured on February 2nd. In a sellers’ market, inventory is the fuel that pushes the machine (as opposed to buyers being the fuel in a market they control). But there’s a footnote to these numbers: the condominium market had 27 sales – the best first quarter we’ve had since 2007 – and condominium sales were up 68.8% over last year’s first quarter figures. If we set aside the increase in condominium sales, our first quarter sales were essentially flat.

Perception Versus RealityBainbridge Island Real Estate Market 2017

The media has painted a pretty rosy picture of our market for sellers: just put up a for-sale sign, set any price you want and wait for multiple offers to roll in! In reality, while a strong market can make it easier to sell a home, there are certain goals that need to be in a seller’s mind regardless of the market.

The first is to sell the home within an acceptable timeframe. On the chart below, you’ll see the “active” inventory (homes that haven’t sold) is higher than it’s been since 2013. Also, even if you have an interested buyer, it doesn’t necessarily mean that buyer will end up purchasing the home. This quarter, there were 16 “failed sales” or homes that fell out of contract, down from 37 last year. Sales fail for all sorts of reasons: buyer’s remorse, which can come from price; realization of property condition; and reality checks are the most common. Also, getting the home sold in an acceptable timeframe is important to most sellers. In this past quarter, the average days on market was 71, up 22% from 2016! Yes, some homes sell right away, but they are usually the exception.

The second goal is to maximize the net yield to the seller. Condition, disclosures and presentation all affect buyer perception and price consideration. Buyers are smarter than ever, especially on Bainbridge. They usually conduct their own market research online and on foot and are often represented by professional agents. Now, as always, we need inventory for buyers to make choices. They will not just buy anything at any price, and their price ceilings are dictated by their perception of value. It’s true there are some multiple offers, but only 29% of homes sold in the first quarter went for over asking price (which may be fewer than some people would think) and the percentage of the overage was a scant ~3%. The boom of 2007 was not that long ago and most buyers (and their agents) clearly remember the risks of overpaying.

Bainbridge Island Real Estate Market 2017 Jen Pells

Closing Thoughts

Yes we’re in a sellers’ market, and yes there are multiple offers, and yes prices are rising. But Bainbridge is not Seattle; our market is smaller, less active and has a smaller (and, frankly, a bit smarter) buyer pool. To gain maximum benefit from this market, sellers should keep all this in mind (which is what professional real estate agents do). It’s also important to consider the buyer’s perspective, where there is another labyrinth to negotiate. About 40% of Bainbridge sellers end up on the other side of the table when they later become Bainbridge buyers, so they eventually experience the flip side of our market. Working with an experienced professional will help you achieve the best result and understand the many nuances, whichever role you occupy in the Island real estate market. So let’s dive in together into this busy season. It’s going to be an exciting ride.

Happy to present my newest listing in Winslow built by one of my favorite local builders, Jefferson Fine Home Builders.  Only two years young, this home, built in 2015, has clean lines, modern style and one level of living.  Quality construction in the heart of Winslow, walking distance to everything convenient, especially the ferry. The home is open Sunday (5/7) from 1-4pm or contact me for a private showing.

653 Horizon View Place NW listed by Jen Pells Windermere Bainbridge

653 Horizon View Place NW on Bainbridge Island.

 

Quality Construction by Jefferson Fine Home Builders.

Quality Construction by Jefferson Fine Home Builders.

Gracious entry with slate tile and vaulted ceilings.

Gracious entry with slate tile and vaulted ceilings.

 

A bright white chef's kitchen. Perfect for entertaining.

A bright white chef’s kitchen. Perfect for entertaining.

A view from the kitchen into the great room.

A view from the kitchen into the great room.

Plenty of run around space on this .30 acre fenced lot. A gate in the fence has easy access to Rotary Park, your neighbor.

Plenty of run around space on this .30 acre fenced lot. A gate in the fence has easy access to Rotary Park, your neighbor.

Details about the home:

  • Built new in 2015
  • Three Bedrooms
  • 2.5 bathrooms
  • 2,435 square feet all on one level
  • .30 acre lot directly adjacent to Rotary Park – gate for easy access
  • Clean lines and modern finishes
  • Great room concept
  • Mature Landscaping
  • 2 car garage with loads of storage under the house and RV parking
  • $859,000 asking price

Better than new! An urban oasis with easy access to downtown Winslow, the Seattle Ferry and schools. Quality construction by Jefferson Fine Home Builders. Smart one level floor plan has clean lines and impressive modern finishes including hardwoods, granite counters, SS kitchen, slate entry, ribbon fireplace, convenient built-ins, and modern light fixtures. Excellent western exposure from your back deck and adjacent to Rotary Park and popular Owen’s Playground.  Mature landscaping and privacy fencing round out the package.

Visit this home’s dedicated website here.

For more details about the home visit the Windermere Listing here.

 

 

It is officially the spring listing season!  Happy to share my latest listing in the convenient Ferncliff Area of Bainbridge.  Only 1/2 a mile to the ferry terminal in an established neighborhood with larger lots. Excellent price point at $589,000. The home is open today, Thursday 4/27/17 from 10am to 1pm and again Sunday (4/30) from 1-4pm.

651 Eagle Cliff Rd NE listed by Jen Pells Windermere Bainbridge

Main, front view of the home.

651 Eagle Cliff Rd NE listed by Jen Pells Windermere Bainbridge

Great room with harwood floors, wood fireplace and slider to the backyard and deck.

651 Eagle Cliff Rd NE listed by Jen Pells Windermere Bainbridge

Open kitchen with an eat-in bar.

651 Eagle Cliff Rd NE listed by Jen Pells Windermere Bainbridge

Sitting area and office space in the master suite.

651 Eagle Cliff Rd NE listed by Jen Pells Windermere Bainbridge

Multi-level decks and backyard.

651 Eagle Cliff Rd NE listed by Jen Pells Windermere Bainbridge

Large neighborhood common area/playspace is directly adjacent to this lot, giving this lot an extra-large feel.

Details about the home:

Comfortable spacious home and lot just over half a mile to the ferry. Your commute and daily errands will be a breeze living in Winslow. Updated four bedroom home has an open kitchen, great room on the main and a large family room in the bright daylight basement. Oversized master suite has space for a sitting area or office. Large back deck. This lot also enjoys extra elbow room backing up to the neighborhood’s open space of sunny green grass – this means no homes directly behind you.

  • Four bedrooms
  • 2.75 baths
  • 2,687 square feet
  • .26 of an acre and lot is adjacent to neighborhood common area for the feel of an extra-large lot
  • Updates and add-ons over the years
  • Great room concept upstairs
  • Family room and 4th bedroom downstairs
  • $589,000 asking price

For more information visit the full listing here.

Excited to share my newest listing on popular Point White Drive. Come visit me tomorrow, Thursday 10am-1pm or Sunday 1-4pm and tour this Northwest Contemporary home in person. Reijnen Co. custom built this home back in 1997 and the current owners have added modern updates throughout the years. But, the view of Rich Passage and southern exposure are the real show-stoppers. Come see for yourself.

3169 Point White Dr NE listed by Jen Pells at Windermere Bainbridge

3169 Point White Dr NE listed by Jen Pells Windermere Bainbridge

3169 Point White Dr NE listed by Jen Pells Windermere Bainbridge

3169 Point White Dr NE listed by Jen Pells Windermere Bainbridge

3169 Point White Dr NE listed by Jen Pells Windermere Bainbridge

3169 Point White Dr NE listed by Jen Pells Windermere Bainbridge

Details about the home:

Nestled atop a bluff on the southwest tip of the island, youll find the one youve been waiting for. Quality built by The Reijnen Company, this custom home was sited on the shy 2 acre lot to realize optimal light and water views. Walls of windows make the ferry streaming through Rich Passage hard to miss. Exposed beams and warm woodwork were crafted from timber on the property. Private master suite. Artful exterior hardscaping and professionally designed gardens round out this rare package.

  • Four bedrooms
  • Two baths
  • 2,789 square feet
  • 1.95 sunny, mostly cleared acreage
  • Built in 1997 by The Reijnen Company with significant updates through the years
  • Asking $899,000

For more listing info, please click here to visit the Windermere website.

Click here to visit this home’s dedicated website.

Traditional Fletcher Bay Home

Excited to share my new listing in Fletcher Bay on Bainbridge Island. Fantastic, flexible floorpan with room to breathe on over half an acre of property that backs to three more acres of open space. Come visit in person Sunday 1pm-4pm. And please feel free to reach out for more info.

Details about the home:

Room for everyone in this classic three bedroom home that also offers two offices and an extra-large bonus room. The eat-in kitchen opens to a vaulted great room that connects to another office/media room. Ideal for entertaining-easily move from the open kitchen to dining room to landscaped yard. While outside enjoy the waterfall, garden beds, lawns, fire pit and connection to three acres of open space adjacent to home and shared by the four homes in the enclave. Close to Winslow and ferry. Easy walk to beautiful public beach access at Fletcher Landing.

  • Three bedrooms
  • Two offices
  • Bonus Room
  • 2,740 square feet
  • .51 acres that backs to 3 acres of open space
  • Built in 2004 by Raven Construction
  • Asking $748,000

Click here for more info.

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Wild Cherry on Bainbridge Island - for sale by Jen Pells

Click here for more info.

On March 16, 2017, in Listing, Open Houses, Real Estate Business, by