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re:PDX is presented by Claire Widmark, broker affiliated with M Realty LLC in Portland, Oregon.
Phone: 971-275-3691
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Portland Braces For a Run on Allen Wrenches
Editorial note: I wouldn’t normally burn a couple real estate blog entries on a retail store premiere…but one of the all-too-rare perks of blogging is occasionally getting an invite to speak, write, or in this case, an opportunity to attend a pre-grand-opening…opening.
My recent entry on the new IKEA store in Portland earned me a ‘press’ badge for their media day on Wednesday. (I so wanted to put Wolf Blitzer on my name tag….)
So my wife and I roamed the Swedish furniture and housewares retailer with reporters from Willamette Week, the Oregonian, Oregon Home, a few radio and TV stations, and a fellow blogger from Metroblogging Portland. After a brief lunch of Swedish gravalax, potato salad, meatballs, lingonberries and a quick speech from store managers, we were led on a tour through their labyrinthine store layout.
Even in the absence of this weekend’s upcoming crowds, the store’s staged rooms and displays were visually overwhelming. The upper floor contains all their room displays with items shown in context to help you with design ideas. The lower floor has all the individual merchandise and the warehouse stock. IKEA’s merchandising is impressive–they even show the entire room dioramas with an all-for-one price in case you like every single piece in their staged room.
I’m no IKEA furniture fanboy, but I was impressed with the organization and preparation for what will undoubtedly be a legendary retail onslaught this upcoming weekend Wednesday, July 25. Five days away from opening and the store was 99% ready for customers already. Employees appeared to be focused and driven to finish their merchandising preparation–yet each was exceedingly patient while we lolly-gagger ‘journalists’ ogled the merchandise and slowed their progress.
That said, heaven help anyone bound for the PDX airport this weekend next week, ‘cuz it’s going to be ugly. The routes in and out of Cascade Station are limited and there have been historic traffic jams, even tramplings, in previous IKEA openings.
IKEA officials are braced for the mayhem with lots of extra traffic police, etc. They are even encouraging the party atmosphere with planned festivities like a campout in the IKEA parking lot, starting as early as Monday night (July 23). The first 100 adults in line get a very nice leather chair. They are also handing out 2,500 mystery bags with various coupons and prizes to early-birds in line.
Even without the grand opening party (and despite its unpopular big box footprint), IKEA would have done very well in Portland anyway. They have a good record of sustainable production practices, a good corporate stewardship reputation…and good grief, the stuff is exceedingly affordable (I will stop just short of ‘cheap’). They will even give you a $10 home delivery credit for taking the MAX to the store this weekend.
What does this have to do with Portland real estate? Not much, but I was impressed by their kitchen cabinets, counters, faucets, and range hoods. We toured with the Willamette Week writers, and one told me he had done his entire kitchen for under $1,000 with IKEA cabinets and counters. The drawer units I tried had those slow-close rails and felt substantial to the touch. While their designs continue to be predominately modern and spare in nature, many major furniture item designs were moving more toward the mainstream, and I have a feeling we’ll be seeing more IKEA-designed kitchen remodels in Portland in the near future.
[tags] IKEA, Portland, Oregon, grand opening, retail, furniture [/tags]
Best Remodel Bang for the Buck
If not in the market to upgrade or downsize your home, you may be looking to plow some money into a remodel project. I am often asked, “What are the projects that will yield the best return at the time of resale?”
REMODEL Magazine (and the National Association of Realtors) attempts to answer those questions annually in their “Cost vs. Value” study. They survey over 100,000 agents and appraisers across the nation to determine the value estimates for various home improvements. Here is a sample of their findings for Portland (and the West Coast*) vs. the national average:
| Job Cost | Resale Value | Cost Recouped |
National Avg. |
|
| REMODELS | ||||
| Minor Kitchen Remodel |
$18,241
|
$16,855
|
92%
|
85%
|
| Bathroom Remodel |
$14,731
|
$15,013
|
102%
|
85%
|
| Home Office Remodel |
$20,936
|
$14,037
|
67%
|
63%
|
| Basement Remodel |
$62,103
|
$57,381
|
92%
|
79%
|
| ADDITIONS* | ||||
| Bathroom Addition |
$34,311
|
$31,195
|
91%
|
75%
|
| Deck Addition |
$16,297
|
$14,846
|
91%
|
77%
|
| Family Room Addition |
$88,731
|
$72,247
|
82%
|
72%
|
| Master Suite |
$111,157
|
$95,916
|
86%
|
73%
|
| REPLACEMENTS* | ||||
| Roofing (midrange) |
$17,060
|
$15,160
|
89%
|
74%
|
| Siding (fibre-cement) |
$13,859
|
$13,783
|
102%
|
88%
|
| Window (vinyl) |
$15,200
|
$14,679
|
97%
|
85%
|
Siding and window replacements appear to have a 1:1 return ratio, along with a bathroom remodel. I tend to think the Portland/West Coast* returns are higher primarily to a stronger housing market than the rest of the nation.
Perhaps your first decision should be to repair any obvious defects or worn-out features (a subject for a future article). If you intend to sell your home in the near future, and you think some items will be flagged by a professional home inspection, get them fixed now.
Other remodels and upgrades can improve energy efficiency, curb appeal, and livability, but some won’t pencil at resale time. You might want to check with an agent before investing in a major remodel or addition. Will granite counters and solid wood floors be out of place in your neighborhood? Will that family room addition make your home the largest on the block? Will you get your investment back, lose money, or come out ahead if you intend to sell in the near future?
* ADDITIONS and REPLACEMENTS data are regional numbers (AK, CA, HI, OR, WA), whereas the REMODELS information is specific to the Portland market.
Contact me for more information from REMODEL magazine’s report.
[tags] real estate, home, house, remodel, replacement, addition, value, construction [/tags]
Remodel Blogs: Modern-day Support Groups
With the housing market in a bit of flux currently, we’re seeing more owners are taking the opportunity to plow their money into fixing up their existing home as opposed to cashing out and moving on.
The DIY and remodeling craze (along with social networking resources) has a cottage industry (pun intended!) of blogs devoted to documenting owners’ projects. Today’s Oregonian (go to bottom of the page of this link) briefly touched on the appearance of diaries devoted to homeowner’s remodel projects.
Many of the reno-blogs I’ve seen offer before-and-after shots and helpful advice about sourcing materials and construction basics. Many invite comments and pose questions to their readers. But some also document the emotional and financial drain (in addition to the disruption of everyday life), that these projects can cause. (Anyone remember the Money Pit, made before Tom Hanks became a perennial Oscar nominee?)
If you’re a fan of rehabbing, remodeling, restoration and the like, log on to houseblogs.net, a fairly comprehensive and tight-knit community of remodel-bloggers. Share the pain and the joy, the agony and the ecstasy, the trials and tribulations, the flub-ups and the workmanship pride of these intrepid rehabbers. May they serve as inspiration (or at least, a good warning)!
Local remodel blogs:
- http://www.bungalowinsanity.com/
- http://www.houseinprogress.net/
- http://1926bungalow.blogspot.com/
- http://10kkitchenremodel.blogspot.com/
- http://1900farmhouse.blogspot.com/
- http://greengateranchremodel.blogspot.com/
- http://psymonetta.com/houseblog/
Comprehensive list of Houseblogs tagged with “Oregon”.
[tags] Portland, Oregon, real estate, remodel, blogs, houseblogs.net, home improvement [/tags]
Photo by: Ted Ernst, used under Creative Commons license.
Green Livin’ and Recycled Houses
Portland gets another merit badge for their green, eco-friendly reputation.
The RMLS, the area’s multiple listing service, has released its latest database incarnation and it provides the ability to market homes with environment-friendly features, such as renewable flooring materials (cork or bamboo), solar energy, or 90%-efficient furnaces, for example.
Also, if a new construction home qualifies for Earth Advantage, Energy Star, or LEED standards for energy efficiency, agents can denote that as well in the listing. Potential buyers may be interested in the energy savings, but it remains to be seen if mortgages, appraisals, or home insurance rates will be positively affected.
I’m not sure if RMLS is the first multiple listing service to adopt ‘green’ features, but reports are that it is likely the largest. The green features aren’t searchable on the RMLS public website, but your agent or broker can filter for properties by your preferred criteria.
Here’s coverage by the Oregonian.
Meanwhile the Brits are taking home recycling to a whole new level:
[tags] environment, MLS, green, LEED, Energy Star, homes, Portland, Oregon, REALTOR [/tags]
Dartmouth St. Listing in Oregonian Home Section
Warning: Shameless self-promotion ahead.
The front page of the November 19 Sunday Oregonian Homes Section features my listing at 425 W Dartmouth in Gladstone.
I wish I could say the feature is due to my superior marketing skills, but alas, this week the Home section highlights properties that have undergone thorough remodels, and the writer happened to bump into my listing through the multiple listing service.
In this case, the home at 425 W. Dartmouth was redone from the studs out, including new plumbing, wiring, sheetrock, kitchen, windows, bathrooms, flooring, and paint.
At $279,000, it features 2,063 sq. ft, 3 bedrooms, 2 bathrooms, a 8,750 sq. ft. lot and a huge (365 sq. ft.) master bedroom with fireplace.
I will be holding the home open on Sunday, November 19 between 1 and 4 pm. Come visit. Here’s a map.
[tags] remodel, home, house, Oregonian, open, Gladstone, article [/tags]
Paint Chips, Web 2.0 style (beta)
From the productivity-maven LifeHacker (motto: Don’t live to geek; geek to live) comes this handy, online paint color selector application for Behr paint. Called ColorSmart, it’s a nifty example of a Web 2.0, consumer-friendly interactive site.
While you can always find printed color-chip guides at the home center or paint store, with ColorSmart you can click and pick swatches from the comfort of your own chair. Choose one of Behr’s pre-configured palettes, or if you’re creatively inclined, make up your own body+trim+accent selection.
If you’re selling your house soon, my advice is: go with the pros’ color selections. Trust me, very few will really like your ‘artistic’ turquoise exteriors or lavender interiors.
You can save your color choices for later review, and print out chip codes to get your paint ordered. With ColorSmart, you can buy an 8 oz. trial size to check your colors first. If you choose a paint that doesn’t sell samples in small amounts, then go ahead and buy a quart. I recently painted my home’s exterior, and my first choice….well, let’s just say that the $9.00 I spent on the tester quart was an excellent investment. We went with choice number 2.
One reviewer of the Behr site mentioned Sherwin Williams’ version, the Color Visualizer, which I thought was cool because they actually simulate different rooms and architecture styles with your color choices. Just drag-n-drop the color on the walls. You can even preview different faux finish techniques.
[tags] remodel, paint, web 2.0, sherwin-williams, behr, home, improvement [/tags]
Week Links – June 16
A collection of real estate articles, posts, and thoughts from the past week:
Harvard University Predicts Soft Landing for Housing Market – Wall Street Journal
Hidden houses: As buildable land shrinks, flag lots offer urban rarity: privacy, space, affordability – The Oregonian
Real Life: Wine and cheese ease transition for condo trailblazers – The Oregonian
Five web tips for home sellers – Time Magazine
First Time OLD Home Buyers: Know What to Look for in Your Dream House – NW Renovation Magazine
Mid-Century Modern Interiors – NW Renovation Magazine
Welcome to The Neighborhood: Reimagined show debuts on metro east side with eight homes, countless possibilities – The Oregonian
Move Over, McMansions: Microhouses Are on the Rise – Wall Street Journal
Google’s not-so-very-secret weapon – NY Times
[tags] links, stories, renovation, Google, advice, microhouse[/tags]
Photo by small world.
Where are the Fixers?
Looking for a renovation project or distressed property with upside for profit? Where are these properties in the Portland area? If my analysis is any indication, you’ll be looking in Northeast or Southeast Portland.
My unscientific poll of the over 6,000 actively marketed properties in the local multiple listing service (RMLS) shows a grand total of 142 properties whose description or remarks fields include the word ‘fixer’.
| Southeast Portland |
37
|
| Northeast Portland |
20
|
| West Portland |
12
|
| Gresham / Troutdale |
11
|
| Oregon City / Canby |
10
|
| Columbia County |
10
|
| Milwaukie / Clackamas |
9
|
| Hillsboro / Forest Grove |
8
|
| Beaverton / Aloha |
6
|
| Yamhill County |
5
|
| North Portland |
4
|
| Lake Oswego / West Linn |
4
|
| NW Washington County |
3
|
| Tigard / Tualatin / Wilsonville / Sherwood |
3
|
Granted, the definition of ‘fixer’ is broad and subjective. The multiple listing service merely describes fixers as properties that ‘need repair’. The choice of describing homes as fixers is purely up to the seller and their listing agent. With the Portland market still showing strong performance for sellers, many do not wish to market homes in clear need of maintenance or upgrades as a ‘project’ house.
Considering the subjective nature of choosing ‘fixer’ as a descriptor, you can be assured that there are many more homes with deferred maintenance issues than the above survey shows. Also, many do not make it into the multiple listing service due to the proactive efforts of speculative investors and private, by-owner sales.
For a list of fixer properties, just contact me.
—-
Source: RMLS, June 12, 2006.
[tags] fixer, renovation, do-it-yourself, investment+property, distressed [/tags]
Casting Call – Flipper Wanted
No, not the dolphin.
I received a note from the casting company for A&E’s popular Flip This House reality lifestyle show, looking to restock its 2nd season with an engaging host–perhaps from the Portland area.
If you haven’t seen it, the first season of Flip This House featured a hard-driving South Carolina real estate developer/investor/broker group that worked to find distressed, under market-value properties, buy them at auction, and in their words, ‘Get in. Get out. And go home.’ In other words, turn a big profit.
I found it very entertaining. Some problems the flippers experienced were more endemic to the South (i.e. termites). Other issues, like contractor reliability, were universal themes.
According to the casting director, the series is conducting a national search for a real estate company (or person or group) that . . .
“buys rundown homes, quickly renovates them, and sells them for a profit. The chosen company will be one that has a team of characters who can ‘walk & talk’ the cameras through their daily adventures in “flipping”. Companies should flip at least 10 homes per year.”
If you are interested, give me a shout and I’ll put you in touch with the casting company. Could be your big break…..
Photo by pilgrlIMAGE.
[tags]flipping, remodeling, Hollywood, A&E, casting[/tags]
Past Projects without Permits in Portland?
If you are a homeowner in the City of Portland and are considering putting your home on the market, save yourself some headaches and be sure to research the permits pulled on your property.
If you’ve done some of your own work, or inherited remodeled features from the previous owner, your sale could be put at risk if a real estate broker, lender, or buyer asks if the work was done under permit. Much of that information is public, found at the city’s PortlandMaps resource.
Here’s a list of projects that require permits in Portland (requires Adobe Acrobat).
In cases where permits were not secured in advance, the City of Portland has extended a program, Get Legal, to help homeowners get their property straight with city and state permit requirements.
The Get Legal application fee is $350 and it covers:
- Consultation inspection performed at your property.
- An in-person meeting with the Get Legal Team to discuss plans and options for legalizing the work done at the property.
- A customized work plan developed and mailed to the applicant after the team meeting.
- A team specialist to assist the applicant to prepare and submit an appeal application. If an appeal is not necessary, $100 of the initial application fee will be refunded.
- A team specialist to assist the applicant in the Development Services Center with obtaining all necessary permits needed to legalize work.
This is not a ‘Get Out of Jail Free’ card. Note the fee does not include any of the permit fees themselves, but gains you access to city employees and information to get your property legal. You also have to complete permitted work within 1 year.
You could plead ignorance. But the prospects of a stalled home sale and the potential liabilities due to faulty work are not worth the risk.
Links:
- Bureau of Development Services
- PortlandMaps.com (search by address, then click ‘Permits/Cases’)
- Get Legal Program (requires Adobe Acrobat)
- Projects that require permits (requires Adobe Acrobat)
Image by Mr. Greenjeans
