The Wethman Group’s Real Estate News – June 2018

June 2018

MARKET UPDATE
May was another record-breaking month in the DC Metro housing market. Prices ticked up to the highest in a decade, but not by much, rising just 1.1% $5,000 over May last year, but up a seasonal 3% or $15,000 over just last month. This is correlated with the lowest active inventory we have seen in May since 2013, despite new listings being up a seasonal 3% from last month, those new listings are being absorbed in record time. Median Days on Market (DOM) is down to just 9! Half of the homes that come on the market now are under contract in less than 9 days! This is 1 day fewer than last year and in line with the 9 day average we saw in 2013.
Interest rates bounced up and down over the past month, but have ended up back in the same starting point, which is good news for buyers still hoping to make their move by the end of summer. Despite the competitive market, our clients are still finding their home of choice and we are handing over keys all the time! Thinking of buying? Let us walk you through what this market means for your search strategy, or get started by attending our upcoming free webinar THIS WEDNESDAYJune 20th (registration details below). For many buyers, depending on your individual circumstance, we still think buying this year, even with all of the competition, will be better than waiting until next.
With the continued emphasis on inventory and seasonality in your favor, if you are thinking of selling, get in touch now to have us create the best strategy for you to sell for top dollar! The market is hot, but taking advantage of that competition requires the right marketing strategy and team to optimize your exposure to buyers. Check out our listing highlights below- 2 recent listings sold within days of hitting the market!
CLIENT APPRECIATION EVENTS
Baseball Game- Sunday, July 8th– Clients, it’s that time of year, you’ve received your invitation to our annual baseball game and you’ve responded! The event has proven so popular we are already on a waitlist for tickets, but we are determined to make sure we can get as many clients in a possible, so DO sign up for the waitlist if you are interested and root, root, root for the home team with us! If you haven’t received your invitation, please email us at events@wethmangroup.com and we’ll get you sorted out.
UPCOMING CLASSES
First Time Home Buyer Webinar: THIS WEDNESDAY, June 20th at 7pm
Our popular First Time Home Buyer class covers deciding to buy, financing, your home search, trends in the local market, and even the implications of the new tax law! If you want a refresher before diving into the Spring market, join us for this free class and send your friends who are thinking of buying! Register here to join.
Senior Seminar: Downsizing and Preparing Your Home for Sale
We joined TAD relocation last Thursday at Grand Oaks Assisted Living for a special seminar for seniors preparing to downsize and thinking about selling their long-time home. We had a great response and would love to share this information with any groups who are interested! Let us know if you have a group (or individual) who would benefit from downsizing information. We’d be happy to reach out!
As always, if you or someone you know has a real estate need, please reach out. We are here to help!
The Wethman Group
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JUST LISTED: 1414 Belmont Rd NW #102 Washington DC

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The spring market is here, and we’re excited about our newest listing in DC! This modern condo is located at 1414 Belmont Rd N at the Solea in bustling Columbia Height neighborhood.

Details on the unit:
A spacious studio that lives like a one bedroom!
The unit features 670 sq feet of living space, 12 ft ceilings, gleaming wide plank, bamboo hardwood floors and fresh paint throughout.
Ideal layout with plenty of space for a bedroom and living area.
Updated kitchen with granite countertops and newer cabinets.
Spacious foyer perfect for an office nook.
Walk-in closet with custom shelving.
Expansive bathroom with large vanity, shower/tub, and tiled floor. Stacked washer and dryer in unit.
The front door opens to a private and secured courtyard with outdoor furniture.
Reserved parking spot, just steps from your front door.
The building was built in 2008, is pet-friendly, and offers a low condo fee.
Ideal location, just 1 Block to Meridian Hill Park- 4 blocks to Metro- Mins to 14th St, U St, and Columbia Heights!
Plenty of retail & restaurants nearby: Busboys & Poets Kapnos, Provision no 14, Marvin, Policy and more!

This unit is unique because it’s almost twice the size of other studios and features convenient access right off the private courtyard. Other studios in the building have sold for $280K-$330K, depending on their size and updated. One bedroom units in the building have sold for $390K-$420K, depending on their size and amenities.

This unit is being listed for $389,900. Please contact us for a private showing!

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The Wethman Group’s Real Estate News – January 2018

January 2018

Greetings!

In the News 
  • Local Market Update
  • Tax Law Update & Market Impact
  • Wethman Group PERKS! Client Appreciation Program Launches
Local Market Update
December was busier than normal for sellers and buyers!
In the DC area, the market remains hot. There were 695 sales, which topped the December average of 673 homes sold. Pending sales and active listings were also higher than previous years. The month’s supply dipped to just below 1.5 months of inventory! Most homes were on the market 18 days or less.
In the Northern Virginia area, there were 2,599 sales in December which is lower than the five-year average. This is similar to the number of sales the same period in 2016. Pending and active listings were lower than previous December averages, but more homes were sold throughout the entire year compared to volume in 2016. The month’s supply also dipped to 1.4 months (from a 2.0 average) confirming that there is less inventory for buyers. The average days on market also decreased in most counties compared to sales in December 2016. The market is still strong in most counties.
Thinking about selling your home in 2018? Don’t wait for Spring! The serious buyers start looking as early as February, and we typically see higher prices and multiple offers for our sellers *very* early in the season! Contact us to get a free consultation for your home and updated market analysis of your neighborhood.
( Data & graph from SmartCharts by Showingtime)
 
Tax Law Update & Market Impact
 

The tax bill is now final and is largely the same as what was in the combined bill coming out of committee.  A brief refresher:
– The bill allows a “pass through” deduction of 20% of income to an LLCs, S-Corps, and partnerships for income up to $315,000 (phases out completely at $415,000).  Details are still being studied by CPAs everywhere, but this could be a good tax-saving opportunity for owners of rental properties.
– The bill allows mortgage interest on the first $750,000 of debt to be deducted.
– Itemizers can deduct a combined state and local tax PLUS property taxes but CAPS the combined deduction at $10,000.
– The “2 out of 5 years” exclusion on capital gains on the sale of a primary residence remains.
In our area, we don’t expect to see a significant impact on the immediate real estate market as a result of the tax bill.  While homeowners with mortgages > $750k will certainly be impacted, it’s not likely to cause large numbers to change their home buying or selling decisions. The cap on SALT deductions has a larger impact on more home owners locally, but the increase in the standard deduction, combined with lower rates overall, makes it unlikely that most home owners will see a change significant enough to impact the buying and selling (at least until the individual cuts sunset down the road).  Of course there are always exceptions, but in general, I do not expect a big shift in our market currently.  We’re already seeing a lot of buyers and sellers getting ready for spring, and while they’re all curious about the new law’s impact, we’re just not seeing it change anyone’s plans yet.
The law *will* eventually have an impact on first time buyers, who will see less of a tax advantage, or no advantage at all, to buying vs renting.  Of course there are other incentives, financial and otherwise, to owning, so buyers won’t disappear, but it may take longer for it to make financial sense for first time buyers, which will slow down their entry into the market and have a ripple effect upwards.
Client Appreciation Program and Events 
 
WG PERKS Client Appreciation Program Launch
 
We are always looking for ways to show our clients how much we value you! We are excited to roll out a new Client Appreciation Program for 2018: WG Perks! As part of the program we will continue to offer our moving truck, client appreciation events, and loaner library, and have added for 2018 free office services (copies, faxes, and notary service), new loaner library equipment, and monthly drawings for some great prizes! If you are a client and did not receive your invitation to participate, please email us at wgperks@wethmangroup.com.
WG PERKS LOANER LIBRARY ADDITIONS:You probably know we have a free moving truck, but we’ve also now added 2 warming buffets, a large coffee urn, and a 4 foot table, available for your short-term use. Need to take down those holiday lights? Ask us about our 22′ ladder! Just email us at wgperks@wethmangroup.comto reserve an item for pickup.
 
First Time Home Buyer Classes – Coming Soon ONLINE!
In 2018 we are taking out popular First Time Home Buyer Classes online! Beginning in February, we will be offering a free online webinar that covers: deciding to buy, financing, your home search, and trends in the local market, among other topics. Register here and we will keep you in the loop when the dates are set, or forward this to a friend who is thinking about starting their search!
As always, if you or someone you know has a real estate need please reach out. We’re here to help!
The Wethman Group
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SOLD! 1140 23rd St #508 Washington, DC

Congrats to our clients, Emily and Dan for selling their condo in West End! They had a 1 bedroom/1 bath unit at The Gibson with a courtyard view.

1140 23rd St NW 508 Washington-MLS_Size-044-32-Front Exterior-2048x1536-72dpi
The unit featured over 750+ sq ft, with a bright living area, cozy bedroom with balcony access and renovated the bathroom.

Units at the Gibson are priced from $370K for 1 bedroom/1bath, up to $735K for a two bedroom, two bath unit with a garage parking space.

The Gibson condominium is a well-maintained building with new elevators and roof.
The building also offers front desk concierge service, a party room, and rooftop deck!
The building is located in a thriving area, just minutes to Trader Joe’s, Equinox, Soulcycle, Sweetgreen, Whole Foods, Rock Creek Park, Starbucks, and much more.
Quick access to four metro stops, K St, Georgetown University campus, Dupont Circle and downtown DC.

This unit was listed for $375K and sold for $370K.

Contact us today for pricing and market trends in your neighborhood!

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The Wethman Group’s Real Estate News – December

December 2017

Greetings!

In the News 
  • Local Market Update
  • Tax Bill Update
  • Fed Increases Rate
  • New Loan Limits
Local Market Update:
November was a busy month for sellers and buyers! While we are approaching a slower time of year, serious buyers are still out looking, in hopes of taking advantage of lower interest rates.
There is about 11% less inventory on the market, compared to November 2016, with the majority of the difference tied to a decrease in available detached/single family homes. Sales are about the same for townhouses, condos, and coops. Almost all areas are experiencing fewer days on market, compared to the same period in 2016. The average days on market for sellers in November/December can take a bit longer than the spring, but serious buyers are still out looking!
The average sales price has increased about 7.5%. This is good news for owners, even if their home takes a bit longer to sell.

As expected, the fed increased short-term rates for the 3rd time in 2017, but left their rate outlook unchanged for the upcoming years. Interest rates were hovering around 4.25% earlier this year, but have remained lower this Fall at around 4%.
Thinking about selling your home in 2018? Don’t wait for Spring! The serious buyers start looking as early as February, and we typically see higher prices and multiple offers for our sellers *very* early in the season! Contact us today to get a free consultation for your home and updated market analysis of your neighborhood!
( Data & graph from SmartCharts by Showingtime)
Fed Rate Increase
As expected, the Fed raised interest rates.  Mortgage (long term) rates came DOWN in the first 2 days following the increase because the increase was expected, and indicates the markets are taking cues from the Fed, but with the economy improving in jobs and tamed inflation (so far), we can expect steadily rising rates in 2018.


Tax Bill Update
 

As you may know, both the House and Senate passed different versions of the tax bill, and the bill has now emerged from committee with some compromises.  We’ll have more extensive commentary if and when the final bill passes, but here are the key real estate-related provisions to date:
– The bill allows a “pass through” deduction of 20% of income to an LLCs, S-Corps, and partnerships for income up to $315,000 (phases out completely at $415,000).  It appears that if you own rental real estate in an LLC, then 20% of the income (up to the limit) could be tax exempt.  Maybe it’s time to buy that rental property?!  (This part of the bill remains under intense scrutiny and may face adjustments before passing.)
– The reconciled bill allows mortgage interest on the first $750,000 of debt to be deducted.  (This is a compromise from the House limit of $500,000 and Senate version of the current $1,000,000).
– Both versions increase the standard deduction and eliminate personal exemptions.  This means that for many homeowners, it will no longer make sense to itemize on Schedule A, especially since the state and local tax deduction is also capped (currently at a combined $10,000), further limiting the tax advantage that homeowners typically enjoy over renters.  The reconciled bill allows homeowners to deduct a combined state and local tax PLUS property taxes but CAPS the combined deduction at $10,000.
– Both versions had altered the “2 out of 5 years” rule for tax free gains upon the sale of a principal residence. But the reconciled version does NOT have any amendments to this part of the tax code.  So the capital gains exclusion of $250,000 for singles and $500,000 for couples filing jointly, if you’ve lived in the property 2 out of the last 5 years, appears to remain intact for now.
Stay tuned!
New Loan Limits
The conventional conforming loans limits have been increased for 2018, making it easier to get an affordable mortgage at a slightly higher price.  For the DC metro area, our loan limits are $453,100 and $679,650(significant increases from the previous $424,100 and $636,150.)
Client Appreciation Program and Events 
As always, we’re so appreciative our all of our clients and their referrals!  We loved seeing everyone at our Thanksgiving Pie Day party and our Breakfast at the Movies with Santa.
Stay tuned for more details about our new “Wethman Group Perks” program launching in 2018!
LOANER PROGRAM ADDITIONS: You probably know we have a free moving truck, but we’ve also now added 2 warming buffets, a large coffee urn, and a 4 foot table, available for your short-term use. Yard full of leaves? We have a leaf blower and shredder, too.  Need to clean the gutters?  Ask us about our ladder!  Just email us to reserve an item for pickup.
First Time Home Buyer Classes – Coming Soon ONLINE!
In 2018 we are taking out popular First Time Home Buyer Classes online! Beginning in February, we will be offering a free online webinar that covers: deciding to buy, financing, your home search, and trends in the local market, among other topics. Register here and we will keep you in the loop when the dates are set, or forward this to a friend who is thinking about starting their search!
As always, if you or someone you know has a real estate need please reach out. We’re here to help!
The Wethman Group
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1140 23rd St NW #508 Washington, Dc

Just Listed! 1140 23rd St NW unit #508

Rare opportunity to live in upscale, thriving, and centrally located West End!
This immaculate unit features an open and inviting floor plan with large picture windows, neutral finishes, and a private balcony with garden views.
Functional kitchen with cabinet and counter space, complete with a pass through to the dining room.
The relaxing bedroom features two closets, built ins and a second entrance to the balcony.
Updated master bathroom with newer vanity & granite countertop, tile floor and shower/tub combo.
Washer & dryer are located inside the unit.
The Gibson condominium is a well-maintained with new elevators and roof.
The building also offers front desk concierge service, a party room, and rooftop deck!
Thriving area, just minutes to Trader Joe’s, Equinox, Soulcycle, Sweetgreen, Whole Foods, Rock Creek Park, Starbucks, and much more.
Quick access to the metro, K St, Georgetown University campus, Dupont Circle and downtown DC.
This unit is in a prime location, and is move-in ready!

Condos in the West End neighborhood range from an affordable $297k to an upscale multi-million dollar unit. One bedroom condos range based on size and upgrades from $297k to $658k .One bedroom units rarely are listed below $400k, in face, only 2 since the beginning of 2017 have been sold below $400k. This West End condo has been well maintained by the current owners and shows well.

Contact us for a private showing!

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JUST LISTED: 3303 Wyndham Circle #248 Alexandria, VA

-Beautifully renovated 2 bedroom/2 bath unit at Pointe at the Park!
-Garden style unit, located on the second floor.
-Updated kitchen with new granite counters, breakfast bar, maple cabinets and stainless appliances.
-Inviting living and dining room with crown molding, wood burning fireplace and relaxing balcony. New wood laminate flooring installed 2017.
-Roommate style layout with bedrooms separated by living area.
-Both bedrooms feature brand new carpet, walk in closets and en-suite bathrooms.
-Bathrooms have been renovated to include: newer vanities, sinks, faucets, mirrors and brushed nickel light fixtures
-Full sized washer/dryer in unit, new hot water heater 2016 & AC installed in 2011.
-Large storage closet off balcony. Community bike storage available.
-Community includes: pool, fitness center, community room, Basketball Court, grilling area and secured entry to community.
-Community fee provides free shuttle to Pentagon City Metro (M-F)
-Ideal location! Just minutes to Bradlee Shopping Center with Safeway, Fresh Market, Starbucks, Atlantis, and more. Target and other shopping 5 minutes from community!
-Convenient to 395, Pentagon, Crystal City & Downtown DC

We made specific recommendations to the seller on the flooring, kitchen and bathroom updates to help appeal to potential buyers. The unit was also staged, to help buyers envision the space, and size of the larger bedrooms and living areas.

Sales at Pointe at Park Center range, depending on size and upgrades in the unit. Units that have not been updated, or have older finishes, have sold in the $260-$270K range. More updated units have sold between $280-$295K, depdning on size and location. This unit is listed for $290K.

Contact Katie for more details or private showing!

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520 John Carlyle St. #437 Alexandria, VA 22314

• 4th floor studio in prime Alexandria location overlooking courtyard
• 15ft+ ceilings with loft feel
• Ideal layout with alcove for bedroom
• Updated kitchen with maple cabinets, granite counters and stainless appliances and electric range
• Inviting living area with large picture windows
• Two large closets leading to bathroom, with plenty of storage
• Spacious master bath with granite counter, updated vanity and shower/bath tub combo.
• In-unit stacked washer and dryer
• Three building elevators for use
• 1 assigned underground garage parking spot
• $100/year pool membership available
• Various retail shops on main level of building including a Pho restaurant, dry cleaners, nail salon, on-site post office, etc.
• Beautiful landscaped courtyard
• Starbucks is located across the street.
• Whole Foods Market is just minutes away
• Convenient to Old Town Alexandria, King St Metro and more!

Email Katie@wethmangroup.com for more information or to set up a showing.

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SOLD- 212 T St NE #1 Washington, DC

Congrats to our client, Damon for selling his investment property in DC! This property have over 39 showings in 4 days and received 5 offers in total, all offering 10k+ above list price at a minimum. Several offers even waived Home Inspection and appraisal contingencies.

This was a beautiful 2 bedroom, 1 bath, garden style condo in Eckington. Properties in this area range in price, and where from $250K up to $450K. The prices are reflected in the size and amount of upgrades in each unit.

Those most comparable properties were two bedroom units, ranging from $336-$450K. Some boast more square feet, and more updated kitchen and bathrooms compared to the subject, but should help substantiate a $320K list price.
Additionally, we sold unit 4 in the same building late last summer, when the market was slower and also received multiple offers over $310K for a very similar layout. The market is much more active now, and demand is higher. We initially listed our unit at $289K, with a reasonably updated kitchen (granite counters, newer cabinets, stainless appliances) and hardwood floors throughout. The unit also had two brick accent walls, and a bay window.
We close at $320K, and $1500 in seller subsidy.
Contact us today to help get top dollar for your home.

 

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