What is a .25 bathroom?

[photopress:9t.jpg,thumb,alignright]Nine times out of ten when someone asks me this question, the house does not actually have a .25 bath. The mls here in the Seattle area requires us to count bathrooms in a specific, and somewhat outdated manner, causing many homes to appear to have a .25 bath that do not. 

[photopress:5t.jpg,thumb,alignright]I will shortly be listing a two bedroom condo in Kirkland at the north end of Lake Washington for about $200,000 that has 1.25 baths. While many homes show 2.25 baths or 3.25 baths, these homes do not actually have a .25 bath at all. A .25 “bath” is one extra fixture, usually not housed in a separate room at all. The 1.25 bath condo I will be listing has a sink and vanity area located in the master bedroom between the full bath (with jacuzzi) and the walk in closet. You enter this dressing area from inside the master bedroom. This is the best example of a real .25 bath. It is an area inside the master bedroom, just outside the full bathroom, where one can shave or put on their make up while the other is in the bathroom taking a shower.

Most homes that show 2.25 baths actually have 3 “bathrooms” involved that total this configuration. The most common setup is one “full bath” plus one “3/4 bath” plus one “1/2” bath, that totals 1 + .75 + .50 = 2.25 total baths. The 3/4 bath is most often attached to the master bedroom and has a shower stall and no tub, making it a toilet + sink + shower stall = 3/4 bath (3 fixtures – no tub). The full bath is usually located off the main hall and is used by the persons in the “other” bedrooms and has a tub (with shower in it) + toilet + sink equalling one “full” bath. A 1 3/4 bath home would normally be a rambler style on a single level, with the full hall bath doubling as the “guest bath”.

A 2.25 bath home would normally be a two story home with a 3/4 in the master, a full bath in the hall and a half bath on the main level, with a toilet and a sink only, so that one does not have to go up to the second floor to go to the bathroom. On the East Coast this is called a “powder room” from the old days when women pretended to be “powdering their nose” as opposed to relieving themselves 🙂 A 3.25 bath home would be similar, but might have four bedrooms rather than 3 with both a hall bath and a “Jack and Jill bath”. A “Jack and Jill bath” is a term used to describe a bathroom set between two bedrooms that can be accessed from either bedroom, but not from the hallway. I had one once, though in my case it would have been more aptly called a “Jill and Jill bath”, but I do not recommend it. The occupant of the bathroom enters from their bedroom and locks the door to the other bedroom from inside the bathroom while bathing. They are supposed to remember to unlock that door when they leave, but often don’t, causing the occupant of the other bedroom to be locked out from their side of the bathroom.

Another example of a .25 bath seen in some very old homes with basements, is a “below grade” toilet only, usually in the basement and sometimes called a “service toilet”. It is a stand alone toilet or a toilet in the washer and dryer area near the “utility sink”. It is often just sitting out in the open in an unfinished basement area used by a guy who is working on his car or in his workshop area in the basement, saving him a trip up the steps to the main bath.

I say this system is “antiquated” because housing trends have expanded, but the mls method of counting fixtures has not expanded with the times. For example, my master bathroom has a separate enclosure for the toilet area, a jacuzzi tub, two separate and distinct sink areas, and a large two headed shower stall. Technically that equals six “pieces” 2 sinks plus 2 showers plus jacuzzi tub plus toilet equals 6. But the mls makes no distinction between that type of elaborate master bath and a “full” bath. That is why you will often see the term “five piece bath” in the marketing remarks of a home, meaning there is a single head shower stall and a separate tub and double sinks. The “uitility sink” located in the washer and dryer area is never counted as a “fixture” when totalling up the bathroom fixture count.

So when you see a home listed as having 2.25 baths or 3.25 baths, stop looking for the .25 bath. It generally does not exist inside that home. Instead, expect to have a 3/4 bath with no tub in the master and a .50 bath on the main level with a toilet and sink only.

Timing is Everything…

On the Friday before the long-weekend I was handed a DVD from a friend at Move with only a basic overview. (He said something to the effect of “just watch it… it was produced by homestore in the dot com days and a bunch of office decorations and inside jokes will make a lot more sense…”)

[photopress:home_movie.jpg,thumb,alignright]Well, back in the dot com days when I was an engineer in a relatively boring industry, the people at Move (then known as HomeStore) were obviously having a lot more fun… Seriously, having a lot more fun is the only way to explain the “Chris Smith

The Importance of Using the Digital Darkroom…

Back in February I wrote my first and only article on Real Estate Photography for Rain City Guide with suggestions for improving the quality of real estate photography images. I guess I had high expectations. But sadly, there are still listings out there with what I’d have to call ‘awful’ pictures. I’m somewhat disappointed. I thought I could change the world, or at least the quality of marketing images of Real Estate. Today I picked up a very slick, glossy Real Estate publication of premier listings to ogle what I expected would be some awesome and inspiring interior photography and I really couldn’t believe what I saw. There were certainly good exterior photos, including aerial views of sweeping estates, but I saw several poor interior images on full page listings of multi-million dollar homes which must have been a significant advertising expense for the Realtor. Several of the interior images were much too dark to really show off what must have been beautiful interiors and many of them showed converging verticals created by the use of a wide angle lens, which may not have mattered much anyway as the images were so dark. I have to tell you, a digital camera in the hands of someone who doesn’t know what he/she is doing is a dangerous thing. I don’t know if the Realtors don’t think it’s important, they don’t recognize poor image quality or some other esoteric explanation.

However, I have a confession to make. Some of the images that come out of my camera are pretty darn bad. Fortunately no one sees them at this stage and I wouldn’t want you to. So how do I get people to pay me to photograph their listings? Well, the image capture with my camera is only the first half of the photographic imaging process. The other half is image editing or post processing that takes place on my computer with software such as Photoshop or Photoshop Elements. And it’s amazing what image editing tools can do to transform an image. Referred to as the digital darkroom, I learned fairly early at my entry into
digital photography to regard image editing as an extension of the camera. Although camera manufacturers strive to create cameras for the point and shoot crowd that will require little or no post processing, almost all images will benefit from some editing and the high end digital SLR camera’s are intended more for user involvement in the post processing. This involves making necessary corrections in lighting, color balance, saturation and perspective. Sometimes even a few more tricks are at our disposal for a photographic faux pas or a special touch like a sky replacement. Ideally, photographers consider a good original capture important and reliance on too much editing to be a bad strategy. In the case of interior photography for real estate professionals, I have a choice between bringing in and setting up lights (a time consuming process on location) or simply shooting with both flash and/ or available light and working out the results on the computer. For most homes, the Realtors or home owners are comfortable with about an hour of their time to be present while I’m shooting the interior. After about an hour for the average home, I’ve worn out my welcome, so I’ll only set up the lights in a situation where I consider it a necessity.

For the purposes of illustration, I’m going to be brave and show you how one of my images looked when it came out of my camera and follow it with what it looked like when I submitted it to my customer.

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Pretty bad, huh? Would you pay me for something like this? I could try to convince you that the carpenter was really incompetent to explain those slanting cabinets and walls, but would you believe me?

[photopress:kitchen_after.jpg,full,centered]

The final image may not be quite ready for the cover of Architectural Digest but most people (agents and buyers) when they see the ‘after’ image are likely to respond ‘wow, what a beautiful kitchen!’ After all, it’s one of the primary selling points of this home and it should make that impression. Do I make my point?

Coldwell Banker Bain’s new interactive map search launched today

Very similar to what John L Scott did (they were both done by the same dev company) but a little more localized as far as neighborhood drill-down. They also added sold property listings driven by address reference rather than map based, but still pretty handy.

As I’m an agent for Coldwell Banker Bain I’ll refrain from singing my praises of the improvements. I’m a little more interested in what everyone else thinks of it. Check it out at http://www.cbba.com/InteractiveMapSearch.aspx

“Man in the Bushes” Listing

[photopress:man_in_the_bushes.jpg,thumb,alignright]This article is in response to a reader’s request yesterday, that I describe what a “man in the bushes” listing means.

Over the years, I have used the term “man in the bushes” most often in response to the question, “Can I sell my home myself as a For Sale by Owner”. If they are ready, willing and able to do that, I tell them to try it for up to 30 days, even two weeks, to see if they have a “man in the bushes”. I once sold a home with 23 men in the bushes.

A “Man in the Bushes” property is usually a unique home that has something that no other house has, and is also one people have suspected may at some time be sold. In this case a stand out corner property in Mount Baker built at or before the turn of the last century in the late 1800’s with some Lake view. It also has an owner who for some reason, actually many reasons, never got around to moving into it. So it has been vacant on and off for some forty years.

There’s usually someone, or several someones, who drive by it on a regular basis (in this case visiting his brother who lives nearby) who has said to himself a skazillion times, “If that house ever goes up for sale, I’d like to have it”. Of course they don’t know for sure until it does go on market and they go in it. But they are already 70% sure they want it. That’s a “man in the bushes”. Not just someone who is the first one to view it when it is listed, but someone who has been waiting for that opportunity to arise for a long time.

A seller can either try a FSBO on that, or get a deeply discounted rate if the “man in the bushes” comes forward very quickly. Another option is to list it in the mls and “exclude” the man in the bushes from the listing with a timeframe. “If Mr. X arrives and makes an offer on the property within 7 days, the listing is null and void”. To do it that way, you need to know who Mr. X is in advance and put him in the contract by name.

Sometimes the Man in the Bushes is a relative who has indicated an interest in buying it over the years, but may be “all talk” and “no ability to do so”. You give them 7 days to “put up or shut up”. This way the family doesn’t have to hear for the rest of their lives that this guy would have bought it, but no one gave him the opportunity to do so. There should never be a fee connected, other than maybe a handling fee, for people to sell their home to a relative. So if you think you have a “Man in the Bushes” in your family, give them 7 – 10 days to at least put that interest on paper, with no or little fee paid if a family member buys the property in the early part of the listing.

Marketing my Home on the Internet

While my opinion that a good real estate blogger does not include their listings on their blog is well documented and much debated, there is always room for an exception… and marketing my OWN home is one of those!

[photopress:kids_at_easter.JPG,thumb,alignright]Essentially, we have about two weeks left before we put it on the market. We’re just waiting for the movers to take our stuff and then, after we refinish the wooden floors on the main floor, we’ll be ready to list!

So, here are the internet marketing items I have on my checklist (of course, we’ll do some off-line stuff like putting together fliers, but I’m more interested in exploring the online stuff!)

  • Add Our Home to the Free Directories. Craigslist and Google Base come to mind. Are there others I should consider?
  • Blog About Our Neighbors. I know that there is very limited things that a real estate agent can say about the family-friendly nature of a neighborhood, but not having a license gives me the freedom to talk in great detail about are wonderful neighbors. Things I’d like to mention are all the kids that live nearby (8 kids within a few houses!), our regular Sunday BBQs during the summer and our weekly game nights during the Winter. (And I’m sure the neighbors would love it if the new owners continued our tradition of hosting the annual neighborhood easter egg hunt!!!). When moving to a new home, one of the biggest mysteries is what are the neighbors going to be like and because the people on our street are so cool, I’d like to put together an extensive neighborhood blog post! (Honestly, the hardest part of accepting a position in LA was leaving the neighborhood!)
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  • Financing Options. Interestingly, I’m in a place where I could offer the “right” people some innovative financing options… Like a lease-to-own, or something similar (as long as it is a win-win for both parties, I’m game for any idea!). Does something like this normally happen through the usual MLS channels or is there a special market for these types of properties? (Hint: if you contact me before we list, we might even be able to cut out some obvious fees.)
  • Blog About Our House. I promise not to overdo this, but I think one blog post about all the cool features of our home that might be too “personal” for the typical MLS listing would be appropriate on Rain City Guide. I’m thinking of things like the tree house I built in the backyard and the original art deco fixtures… I’d also like to add a map of all the recently sold homes (or maybe I’ll be lazy and just link to the appropriate ShackPrices page!)
  • Unique Icon. Robbie says he’ll give our home a unique icon on the maps of listed properties… Any ideas for what the icon should look like?
  • Enhance listing on Realtor.com. Around Move, people are shocked at how often real estate agents pay to get showcase listings and then don’t spruce up their listings by adding additional photos and other extras. Considering that Anna’s broker already pays for this service, I’ll make sure we spruce up our home!
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  • Get on the Redfin Blog. If I provide a direct link from my blog to my listing on Redfin (and beg people to click on the link!) maybe I can blow out their single home stats for a day and thereby get a mention in their blog!!! (hmmm…. Is there a way to get on the Zillowblog?)
  • Newspaper Coverage? Is someone at the Seattle Times, Seattle PI, Seattle Magazine and/or any other local newspaper interested in writing a story about preparing and then selling a 1920’s Crown Hill (N. Ballard) home? We’ve got lots of great photos and I could probably write most of the story for you! 🙂
    (This reminds me… I did an interview for a real estate technology story that was suppose to be in the May issue of the Seattle Magazine. I never saw or heard anything about that story… Did this story ever go live? )
  • Picture Cloud. These guys just sent me a link for a free photo cloud. Interesting technology and easy enough to put together, so I think I’ll try them out with our home. (By the way, their branded option is free, but if you type the code “raincity”, they they will give you credit for five unbranded clouds for a penny.) If you try them out before I post my cloud, let me know what you think!

Any other ideas as I prepare the marketing plan for our home? Has anyone ever had any luck marketing a home on the internet? What did you do?

Buyer Agent Bonuses

[photopress:50_50_1.jpg,thumb,alignright]For the purposes of this discussion, let’s assume that in normal market conditions, the division of the total commission agreed to by the seller in the listing contract is divided evenly between the agent for the seller and the agent for the buyer. In the diagram, the blue portion represents the listing agent’s compensation and only the yellow portion will be the subject of this discussion.

When a seller or seller’s agent is having difficulty “moving the product”, that being the house, sometimes they will raise the “offering” to the Buyer Agent as an incentive. For instance, if the price of the house is $350,000, each percent of price equals $3,500. So the seller could offer the Buyer Agent a bonus of 1% or 2% above the area norm, and spend less than a price reduction. Let’s say that it would take a price reduction from $350,000 down to $325,000 to get the property sold. That would “cost” the seller $25,000. Instead, the seller might increase the “offering” to the buyer agent in the mls by 2%, which would only cost him $7,000 in this $350,000 example. Even if the seller doubled the “offered fee”, it would cost him less than the price reduction, as doubling the compensation to the buyer agent might cost him $10,500, and dropping the price to the point where it would sell would cost him $25,000. So increasing the offering makes total sense from the seller’s side of the fence.

OK, now for the tricky part. Click here and read this before considering the rest of this post.

[photopress:33_66_1.jpg,thumb,alignright] The seller is increasing the fee to persuade “YOUR” agent to “SELL you” his house. By doing so, “your” agent can double his money. The idea that increasing the buyer agent fee will be effective in selling the house, is a holdover from the days before buyer agency existed. As the agent for the seller, I would still use this strategy when advising the seller, as it is a more cost effective method of selling a home that isn’t “moving”. However, as a buyer agent, the concept that I might be motivated by a higher fee to me, is insulting. While I generally do not believe in buyers signing buyer agency agreements, this scenario points out one of the advantages to the buyer for doing so. Even if the buyer cannot negotiate the buyer agent fee below the area norm, the buyer can stipulate that any Buyer Agent Bonuses would go to the buyer, and not to the agent. However, a more appropriate strategy might be to ignore them entirely, and simply focus on the attributes and value of the house, without regard to these incentives.

The yellow portion of the fee is the amount that the seller offers “to the person who brings buyers to his home”. It is also, and simultaneously, the amount that the buyer perceives that he is paying to the agent for representing him, the buyer, in the transaction. Until we all agree that it is the latter and not the former, buyers will never truly have equal representation in the real estate marketplace.

This duality of purpose for the same monies, continues to be a problem in the industry. One that should be talked about a whole lot more than it is. So let’s talk. What do you think? While you can comment anonymously, please note if you are responding from the point of view of a seller, a buyer, an agent, or a giraffe.

This odd duplicity of purpose regarding the yellow portion of the fee (the mls offering/buyer agent fee) has been going on for about 15 years. It’s time we began the process of coming to terms with it, by discussing it openly. There are NO easy answers to this one, but engaging in a dialogue might help move the topic out of it’s current “holding pattern”. Until and unless agents all agree that they are in the business of representing people and not in the business of SELLING anything, we can’t get to the appropriate answer. And then the consumers would have to likewise view what is happening accordingly, and not hire an agent “to sell” their house, but to “represent them in the sale of the house”.

But we can, at least, open up Pandora’s Box in the hope that the discussions will begin moving things in the right direction.

What is a view worth?

[photopress:lake.jpg,thumb,alignright] The higest value attributable to the view component of a property, would be “an unobstructable panoramic view”. The lowest, would be a potentially obstructable “peek”, or a “winter view” meaning the view is totally blocked by deciduous trees, and the view only appears when the trees shed their leaves in winter.

The value of a view is built in layers. The value of the lot, with no house on it at all, contains the first layer of view value. Some people are amazed when they see a property with no view at all, that is practically falling down, valued at $800,000. Who would pay that? If the answer is that no one except a builder would pay $800,000 for that “house”, then the house becomes a “tear down”, as the “value is in the lot”.

How a house is constructed, and the positioning of the rooms, and the windows in those rooms, is ultra important to its value. Especially here in the Seattle area. If the best views are from outside on a deck, then the value is diminished to the number of days in a year you can be outside to enjoy that view. If the best view is from “all main rooms”, meaning those rooms where you spend most of your time and do most of your entertaining with guests, the value will be higher than if the best view is from a little “cozy art studio” perched high above the main living areas. If the view is only from a bedroom, the house will be worth more if the builder puts the master bedroom in that view corner, rather than one or two, or even all, of the “odd” bedrooms.

Then you have the “bad” side of the street and the “good” side of the street. For instance here in Kirkland, the Market Street side of 1st Street will have a lesser value than the opposite side of the Street, particularly in those blocks where the opposite side is higher…much higher. The noise factor from Market Street and the ability to see traffic going by at a steady pace, detracts from the value of the view, even if the long distance view is pretty much the same from both sides of the street. The house on the “bad” side of the street, blocks the view of Market Street from the “good” side of the street, so that house being there, adds to the value of the property across the street.

If all of the properties in your view have already been built out to max height, the value is more likely to be retained long term, than if all of the houses, between your house and the view, are older ramblers that could potentially be built up to max height. So when you look out the window, don’t just look at the view. Look to see if most of the homes, between you and the view, are newer construction at “max height”, or “tear downs”.

What is “max height”? You can do a quick and fairly accurate determination, by spotting the newest houses in each level of slope between you and the view. Construct a “view viewer” with your hands (thumbs together and palms up, the way movie directors used to do to construct a facsimile “frame”), and move your hands from the height of the newest house, scanning over the entire landscape in your vision. This is one of the cases when Zillow can’t value a property for you, because Zillow has no hands! LOL

When it comes to view…do not make the mistake of basing what you will pay, on “what you see is what you get”. You have to determine the long term probabilities of view retention. Don’t expect to be told by anyone that the view “may” at some point in the future, be obstructed. You are pretty much on your own in that regard, as what “might” happen to your view is usually not a disclosure item, unless the neighbors have already pulled permits to build. Even then, I have yet to see a property flyer say, “This great view is going to be obstructed by a condo complex going up sometime next year”.

All that being said, for a view-oriented person like me, a home with a view is indeed “priceless”. Waking up each morning to see the Seattle Skyline across Lake Washington, AND Mt. Rainier to the left, brings a joy to my life that is hard to place a “value” on. But being a real estate agent, I can place that value, and for my house it was $50,000 when I bought it, and hopefully will be $250,000, after I finish enhancing certain features to capture more of the view’s value.

So to Mr. Freakonomics, who asks “Why do agents get more for their homes than other people”? Maybe it is because we tend to choose homes where a seller “left money on the table”, and then make those minor changes that capture value, before we sell. Always choose an agent that helps you make the same kinds of decisions that they would make, if they were buying or selling the property themselves.

Passing the keys to the new owner

[photopress:DesiArnez_LucilleBall.jpg,thumb,alignright] An obtuse suggestion.

Ardell says, “I’ll meet you at the house with the key the evening the property records!”. I’m all excited.

Buyer: “Ardell we love you, truly we do”. BUT, uh…sometimes three’s a crowd”.

Duh, what was I thinking?!

Whether I am the agent for the buyer or the agent for the seller, I generally like to “pass through” the property after the seller is gone and before the buyer enters it for the first time. You would be amazed at what we find there sometimes! Most recent worst story I heard from an agent was that she had to hire TWO DUMPSTERS to remove junk from inside, but mostly outside, the property on the day of closing.

Most unusual request I have personally had, was a seller who called me after closing and said, “I forgot my gun that I have hidden on the ledge just inside the attic crawl hatch.” I escorted him back into the property, but I didn’t touch the gun.

On several occasions I have arrived at the property to find the seller, in a terrible state, trying to get everything out of the property. Mover was late. Friends that “promised” to help never arrived. I’ve carried mountains of clothes from the upstairs closet down into my car, and made several trips from the seller’s “old” house to their “new house”. I’ve rolled up my sleeves and carried mattresses down a flight of steps and out to the truck. I’ve sent handymen back after closing to fix scrapes or holes made, particularly in the staircase wall, when sellers were moving out.

It is the buyer agent’s responsibility to get the keys from the seller’s agent and get them to the buyer. My favorite method is to have the seller put all keys and garage door openers in a kitchen drawer along with any warranties and appliance manuals. I ask the agent to leave the lockbox with the key to the front door there for an extra day. I pull the key from the lockbox, walk through the property, address any issues. I make arrangements to pass that one key to the front door to the buyer, everything else he needs being inside the kitchen drawer.

Often the buyer prefers to pick the key up from me, away from the property, so that first step through the doorway is NOT with agent in tow.

$3,578,671,984 Homes with Granite Countertops!

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How many granite countertops does King Couny need?

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In 2005 alone, 6,428 properties, valuing $3,578,671,984.00 sold with granite countertops according to the mls, using “granite” as a search word in the marketing remarks section.

  • 2006 Year to Date – King County – 4,730 homes for sale, in escrow or sold with granite counters
  • 2005 – 6,428 homes sold with granite counters
  • 2004 – 5,027 homes sold with granite counters
  • 2003 – 3,614 homes sold with granite counters

Of course that doesn’t count all of the people who remodeled their kitchens using granite countertops, who did not sell their homes.

So what’s your guess? What comes after granite? Anyone seeing new homes with something OTHER THAN Granite countertops?