Leavenworth Real Estate

Archive for the 'Leavenworth Vacation Homes' Category

Leavenworth real estate update

Leavenworth’s real estate market seems to be following Westside trends. Home prices continue to climb, but fewer homes are selling according to data comparing the first half of 2006 to the first half of 2007.

 

Through June 30, 2007 the number of single family homes in the Leavenworth market that have been on the market is up 9% from 2006. Pending sales and # of homes sold are both down 15%. (These numbers exclude condo sales and manufactured homes.)

 

Sales volume for the first half of the 2007 is up only slightly (5%) over 2006 at $21.8 million dollars.

 

The continuing rise of prices in the area is probably leading to the slowdown in sales. Average home sales prices are up 25% over last year to $376,000, while median sales prices are up 17% to $305,000.

 

As of July 30, there are 111 single family homes for sale in Leavenworth at an average price of $518,000. Currently, there are 14 homes pending or under contract with an average price of $467,000.

 

Anecdotally, I am seeing the same trends I have been seeing for years. Most buyers in Leavenworth are looking for vacation property – this might be a condo in Leavenworth or at Kahler Glen , or maybe a cabin in Ponderosa or at Lake Wenatchee. These buyers are looking for good values between $200,000 and $400,000. They will spend more to be on the water – lakefront properties on Lake Wenatchee or Fish Lake, or Wenatchee riverfront.

 

The homes that are coming on the market tend to be either homes located in the city of Leavenworth that are very much like “vacation homes” or cabins, or they are priced above the price range that is popular with vacation buyers.

 

Despite the glut of homes on the market today, there is a dearth of cabins for these vacation buyers to purchase. The numbers make it look like some sort of “bubble” is about to burst. On the contrary, cabins and condos will continue to sell at a healthy clip, and everything else will plod along as it has.

 

Click here to search for your Leavenworth vacation home

Leavenworth Home Tour – This Weekend!

Windermere Real Estate in Leavenworth is holding an open house event with about a dozen homes throughout the Leavenworth, Plain, and Lake Wenatchee area.

 

Homes on the tour range from small cabins to larger homes on the Wenatchee River. Prices range from under $200,000 to over $800,000.

 

We will be hosting this event from 12-3 on Saturday. Maps will be available at our office on Highway 2 in downtown Leavenworth and at each of the homes on the tour.

 

 

Three drawings for dinner at Leavenworth’s newest restaurant – South – will be held. Enter the drawing at each of the homes you visit. Increase your chances and visit them all!

 

Click here to see some of the Leavenworth Homes on tour.

Leavenworth Real Estate Market Update

The Leavenworth real estate market is made up of a number of different sectors that always seem to be moving in slightly different directions.

 

The majority of consumers, whether they are local homeowners looking at an increased tax bill or out of town investors, look to the growth of prices to gauge the strength of the market.

 

Home prices in Leavenworth WA are certainly up. At the end of May the average list price for a single family home in the Leavenworth area (including Lake Wenatchee and Plain) was $518,000. This is the number that tends to excite people and this is the number that most folks see when browsing the internet or looking in local homes magazines.

 

Of course the number that has more importance is the average SALES PRICE which is what the buyers are willing to pay. Considerably less – $354,000.

 

But as I said before, this is a tale of multiple markets wrapped up in each other.

 

The bulk of the Leavenworth real estate market is single family homes under $600,000 that are not on the water. We could even narrow the range to between $200,000 and $400,000, but the story is much the same.

 

 

At the end of May 2007 there were 45 of these homes on the market. Looking at the sales data, we have 5.7 months of inventory. More or less a balanced market with neither buyers nor sellers having much of an advantage. ( I would say that generally, home sellers outside the city limits probably have a stronger market that those inside the city, but that data will be saved for another day.) Last year, there were 39 homes on the market with a 3.9 month supply. Though supply does seem to be rising, we did have 63 homes on the market in August and September of 2005, so it is hard to say if this is a short cycle or a longer term trend.

 

Homes over $600,000 are the luxury segment of our market. In the past year, 6 homes (non- waterfront) sold in this price range and the 13 homes on the market at the end of May represent 26 months of supply. While few of these sellers are highly motivated, it is by any indication a buyers market. (And has been for some time.)

 

 

Waterfront homes are a different beast. Generally, these really just include homes on Lake Wenatchee and Fish Lake, and riverfront homes on the Icicle Creek, Chiwawa, White, or Wenatchee Rivers. At the end of May, there were 11 homes on waterfront or 7.8 months of supply. I think this market sector tends to be pretty balanced, despite ever growing price points.

 

Leavenworth WA real estate – Should you be investing?

Are you curious about investing in the Leavenworth or Lake Wenatchee real estate market?

Seems like everyone is interested in real estate investments these days.

I see or hear about three types of “investors” most often in our local market. I use the quotes because most of these are “would be” investors who can’t find what they are looking for in the Leavenworth or Lake Wenatchee real estate market. (I read this article from Broker Agent News, (Top 7 Tips,) after I started my post. Notice the similarities including the use of quotes around “investor”.)

1. Make sure the zoning allows it. In Leavenworth, “nightly/weekly” rentals are only allowed in areas with Commercial Zoning. For the most part, this means a condo, although some older houses are located in commercial areas. In unincorporated Chelan County the zoning isn’t as big of a problem.
2. Be prepared for Management Fees and Condo Association Fees. Managers for vacation rentals locally are charging 40-60% of the rental rate. Some will even charge you a cleaning fee to use your own property. Additionally the monthly condo fees can be a few hundred dollars. These fees make Cash Flow a difficult proposition.
3. When are you likely to use the property? If it’s just an investment- great. Most folks hope to come over for a few long weekends and holidays. Christmas, New Years, Spring Break, MLK Day, Oktoberfest – these are the big money makers for vacation rentals. The quiet times? Mid week (Tuesday through Thursday) and the in between seasons. Can’t golf or go skiing because the weather won’t cooperate? This is the quiet season. There is a great article about making money from vacation rentals here.

Fish Lake Real Estate

In an earlier post on Active Rain, I introduced you to Fish Lake just outside of Plain and Leavenworth, WA. This post is specifically about the real estate opportunities that can be found on Fish Lake.

 

Fish Lake is a smaller and more intimate lake than Lake Wenatchee. It is also mostly bordered by U.S. Forest Service land. The amount of private waterfront is very limited and even homes near the lake are hard to come by.

 

This is the last waterfront home sold on Fish Lake.

 

 

 

 

 

 

 

 

 

 

 

 

I sold it in May of 2005 for $470,000. In general, real estate in the Leavenworth and Lake Wenatchee area has been appreciating at 15 to 20% a year. Considering it has been two years since a home on Fish Lake has been available, I think the appreciation here has probably been higher. I usually tell buyers looking for a home on Lake Wenatchee to plan on spending at least $1 million. I don’t think Fish Lake has quite reached that mark, but it isn’t far off.

 

These two houses sold in the past year.

 

 

 

 

 

 

 

 

 

 

Neither of these homes were located on the lake, but both were within walking distance. The home on top sold in May of 2006 for $350,000. The other home sold in March of 2007 for $375,000.

 

If you are looking for a home on or near Fish Lake I have two obvious pieces of advice. Be patient and be prepared to pay a premium for waterfront.

 

If you have a home or lot to sell on Fish Lake or even nearby, you are sitting on some very valuable real estate. Please don’t hesitate to contact me for current market analysis.