Current trends Anna Novikoff of Windermere is noticing with home buyers in the local market:

Some Seattle real estate home buyers still seem to think that they can get a “steal” by offering well below asking price and then wondering why their offer isn’t accepted. Here’s a chart showing that in King County, the average list (asking) to sales price is within 10%!

Link:  Condo list to sp Trendgrafix chart 11.16.11

I’ve attached another chart as well that shows the Month’s supply of inventory in King County (Greater Seattle Area / Eastside) for now vs 1 year ago. We have really transitioned into basically a balanced market which is why the list to sales prices are also now in the realm of reality.

Link:  Months supply 10.11

Provided by:

Anna Novikoff

425.466.1324

a.novikoff@windermere.com

1. Move must be closely related to start of work – Generally you can consider moving expenses incurred within one year from the day you first reported to a new location, as closely related in time to the start of work.
2. Distance Test – Your move meets the distance test if your new main job location is at least 50 miles farther from your former home than your previous job location was.
3. Time Test - You must work full time for at least 39 weeks during the first 12 months after you arrive in the general area of your new job location, or at least 78 weeks during the first 24 months if you are self-employed. If your income tax return is due before you’ve satisfied this requirement, you can still deduct your allowable moving expenses if you expect to meet the time test in the following years.
4. Travel – You can deduct lodging expenses for yourself and household members while moving from your former home to your new home. You can also deduct transportation expenses, including airfare, vehicle mileage, parking fees and tolls you pay to move, but you can only deduct one trip per person.
5. Household goods – You can deduct the cost of packing, crating and transporting your household goods and personal property. You may be able to include the cost of storing and insuring these items while in transit.
6. Utilities – You can deduct the costs of connecting or disconnecting utilities.
7. Nondeductible expenses - You cannot deduct as moving expenses: any part of the purchase price of your new home, car tags, driver’s license, costs of buying or selling a home, expenses of entering into or breaking a lease, security deposits and storage charges except those incurred in transit.
8. Form – You can deduct only those expenses that are reasonable for the circumstances of your move. To figure the amount of your moving expense deduction use Form 3903, Moving Expenses.
9. Reimbursed expenses - If your employer reimburses you for the cost of the move, the reimbursement may have to be included on your income tax return.
10. Update your address – When you move, be sure to update your address with the IRS and the U.S. Postal Service to ensure you receive refunds or correspondence from the IRS. Use Form 8822, Change of Address, to notify the IRS.

For more details, review IRS Publication 521, Moving Expenses, and Form 3903, Moving Expenses. IRS publications and forms are available at www.irs.gov or by calling 800-TAX-FORM (800-829-3676).

Form 3903 Relo Tax

Have you had to deal with or are you currently in a transaction with Bank of America to refinance?  After speaking with a colleague at Bank of America yesterday, we have learned of some news that would greatly affect timely transactions—information that is not disclosed to the consumer at the time of application.

Refinances with Bank of America are currently taking over 90 days to underwrite and over 4 months to close.  Industry standards for underwriting are approximately 10 days or less after loan submission to a lender and closing in 45 days or less.  B of A begins the underwriting process after 90 days.  After 3 months without communication from the bank and finally receiving notice of conditions needed for your loan, B of A allows only 48 hours to submit documentation; otherwise, your loan could be cancelled.   Remember they do charge a $400 application fee at the start of the refinance process.

After speaking anonymously with a B of A Loan Officer, we were told (twice) that refinances were closing between 30-45 days and purchases between 20-25 days.

Refinancing will continue with the low fixed rates and especially with the updates to the Obama Home Affordable Refinance Program (HARP).  With HARP you do NOT need to use your current loan servicer, feel free to contact us with questions or a pricing scenario.

With any refinance make sure you are receiving the best financial plan possible to meet your real estate and mortgage goals.  For updated mortgage news, please follow us at the Mortgage Reel^TM_.

Charming 4+ bed home in heart of Broadview. Spacious home with tons of classic details – hardwoods, archways, fireplace, dining room. Large upstairs bedroom plus office/den area. Main floor bath features period tile & pedestal sink. Finished basement with recreation room, 2 more bedrooms/bonus room, full bath and laundry room. Spacious eat-in kitchen with French doors opening to a lovely deck perfect for entertaining. 2 car detached garage with loft & alley access. Moments from Ballard/Carkeek Park.

Charming Seattle Classic home perched high on lot with territorial views of the mountains. Hardwood floors, fireplace, spacious eat-in kitchen, and partially finished basement with 2 bonus rooms currently used as bedrooms. Terraced lot is large (8000 sq. ft.) and perfect for gardening & outdoor play. Detached garage with alley access. This home is located on a dead-end street close to downtown, shopping at Westwood Village and the heart of West Seattle. Tons of potential and a great opportunity!

You’ve found it! Your peaceful paradise for under $100K! New wall-to-wall carpeting & vinyl floors, freshly painted, new refrigerator, dishwasher & Toto toilet. Clean & pristine home overlooks lush greenery from kitchen & balcony. Plenty of closets! Relax by the wood burning fireplace or set up a home office/sitting room or dining table in the bonus area. Located just behind Boehm’s Candies and close to Front St. — you’re near all of downtown Issaquah’s shopping, dining and fun! 10 minutes to Microsoft, Costco & Swedish Hospital. Easy access to I-90.

Extra spacious one bedroom home (over 1050 sq. ft.!) at Le Chateau-Bellevue’s Crown Jewel luxury condominium complex! Bring your California King bed, enjoy the spacious bathroom with double sinks, separate tub and step-in shower. Large kitchen w/pantry, extra closet space & cozy FP in LR! Garden level access, 1 secure parking  space & guest parking. Elegant European-style amenities include Grand Salon with kitchen, fitness center, pool, hot tub & business center. This home awaits your magic touch!

VA Home Loan Updates

FUNDING FEE CHANGES EFFECTIVE OCTOBER 1, 2011

1. Purpose: This circular announces changes in funding fees for Department of

Veterans Affairs (VA) loans closed on or after October 1, 2011.

2. Fee Changes:

a. For loans closed on or after October 1, 2011, the fee for subsequent use loans with less than 5 percent down payment and subsequent use regular refinance loans will be 2.8 percent for both active duty Service members, Veterans, and persons qualifying based solely on service in the Reserves or National Guard. This change is due to passage of Public Law 112-26, Restoring GI Bill Fairness Act of 2011.

b. Funding fees for loans other than subsequent use will also change for loans closed on or after October 1, 2011. These fee changes were already set to change based on previous legislation. The attached Exhibit A shows the upcoming changes.

c. Funding fees for Interest Rate Reduction Refinancing Loans and Assumptions will not change. They will remain at .50 percent.

3. Possibility of Future Funding Fee Changes: Should Congress pass legislation

making additional changes to the funding fee structure, VA will immediately publish a notice on our website and the VA Funding Fee Payment System (FFPS), and soon afterward, issue another Circular. Lenders should closely monitor our website and VA FFPS for information on funding fee changes.

4. Rescission: This circular is automatically rescinded on October 1, 2012.

Click the Link Below to View the Chart (Page 2). 

VA funding fee notification

In the past 12 months there has been a significant LOCAL shift in the real estate housing market.  As you can see on page two (Chart Below), the map compares August 2010 to August 2011 in specific areas around Pierce, King, and Snohomish Counties.  In 2010 you will see the green covering most of the map representing a great time for buyers to negotiate.  In 2011 the market has slowly shifted towards a balanced market. 

For further questions please contact us and/or Anna Novikoff at a.novikoff@windermere.com

Click Below:

View Stats

Real Estate Reel

Washington State County Loan Limit

Update as of September 1, 2011

New Loan Limits Apply to Both Conventional and Government Financing

King County                            $506,000

Pierce County                         $506,000

Snohomish County                $506,000

San Juan County                    $506,000

For More Information Please Contact Us!