2018 Real Estate Predictions

2018 housing
Below are predictions for the 2018 real estate market, based on data that was available at the time this was written:

Interest Rates – With the Tax Reform Bill and new infrastructure, we expect interest rates to rise. A climb to 4.0%-4.5% is probable but it is possible that if the economy grows at a good clip next year, we could see rates as high as 5%. We believe the average for the year will be about 4.6%. Although this rise will cause some buyers to regroup, it will not be enough to make a strong market shift and cause buyers to leave the market in droves.

Home Price Growth – With double-digit percentage price increases in many markets across the country in 2017, we believe we will move back to price inclines below 10% in those busy markets. In fact, it is foreseeable that the average for those areas that did see such strong increases in 2017 will scale back to about 4-7% gains in 2018. Nationally, prices are expected to increase about 3.2%. Between November 2016 and November 2017, in Whatcom County the median sales price grew by 9.8%; in our Lynden market, it grew 16.5%.

New Construction – Our country needs about 1.5 million new starts per year to maintain inventory, but since 2009 we have been short a cumulative almost 6 million units. This is one of the primary causes of our inventory shortage and what is driving prices up – demand outweighs supply. Local issues in many areas such as zoning and water rights are also capping new construction opportunity. In addition, the cost of building supplies is causing problems for our builders and we expect this problem to worsen in 2018.
Housing Inventory – Although there are improvements in this category because we are adding some new housing units, it may take years or more for inventory levels to get back to a balanced level. Additionally, it is predicted that more buyers will be entering the market for a home as our economy is strong with low unemployment, which we suspect will get even lower due to our economy. According to the Bureau of Labor Statistics, the national unemployment rate stands at 4.1% for November 2017, which is the lowest it has been since December of 2000. it is predicted unemployment to be in the high 3% range by the end of 2018.

Market Stability – we are often asked when the bubble will burst or we will see another crash. We do not foresee this in the upcoming year. Although we are seeing prices rise quickly, the conditions that our national market is facing now are not the same as what we saw just a decade ago. There isn’t the easy access to credit as there was before the last crash when banks were more de-regulated. There aren’t enough new or resale homes to satiate current demand, unlike the building boom of the mid-2000s. Buyers are not overleveraged and, in many cases, have to put more cash down to compete in multiple-offer situations, allowing buyers to start in a higher equity position. Based on our history and the facts that are in front of us, I don’t believe another crash is likely at all.

The Muljat Group North real estate office is excited for what 2018 has in store! For additional information and predictions on our local market, please call our office at 360-354-4242.

Northwest Raspberry Festival

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The Northwest Raspberry Festival is this weekend, July 14-15, 2017, in downtown, Lynden. Don’t miss out on all the fun events happening in “Berry Beautiful Lynden”
The Muljat Group North Real Estate office will be presenting the 19th Annual Curt Maberry Memorial Classic 3-on-3 Basketball Tournament on Friday & Saturday. This is a huge event that draws 200+ teams from multiple counties and Canada. Teams play right smack in downtown on Front Street with thousands of people cheering on their favorite 3-on-3 basketball team.
The $2 icecream with raspberries is supplied locally by Edaleen Dairy and Curt Maberry Farms. This dessert is so popular that it has ran out in previous years. So get in line for this refreshing treat.
On Saturday the 3-on-3 basketball games continue to be played! The Razz and Shine Classic car and truck cruise in is happening on Saturday with classics parked along tree-lined Front Street. The weather will be beautiful this weekend in the eighties. Perfect weather to stroll around the polished classics of yesteryear!
A street stage will be set up on 6th Street on Friday, July 14, and will feature, Scot Ranney from 3:00pm-5:00pm and The Anissa Quartet, from 5:30pm-8:00pm. On Saturday the Street Stage will host at 11:00am-12:00pm, the Bellingham Youth Jazz Band; 12:30pm-2:30pm Out of The Ashes; 3:00pm-5:00pm Clearbrook Dixieland.
A variety of family fun events for all! Check them out right here or contact the Lynden Chamber of Commerce for more details. The Lynden Chamber of Commerce telephone number is 360-354-5995. We look forward to seeing you this weekend at the RAZZ!
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Escalation Clause With Competing Offers


It’s a hot real estate market! The brokers at the office are dealing with competing offers and some buyer’s are willing to pay more that what the seller is asking. With multiple-offer situations, we see escalator clauses being more widely used. Adding an escalation clause to your offer is strategy you can use when competing with another bidder. It is designed to keep your offer competitive and there is no guarantee that the seller will accept your offer, even if it is the highest bid. A seller is free to accept the offer they choose to work with. In some instances, a seller sees a lower cash offer being better than a higher financed offer. Buyers should write an escalation that retains an appraisal contingency, so that the actual price will conform to the lender’s appraisal.
Check out the graph depicted showing the median amount of days that homes are on the Market – Whatcom County being the green line and the red line being homes in Lynden. What a difference from 2015 to 2017!
Call our office 360.354.4242 and we will set you up with a licensed Realtor that knows the Whatcom County real estate market. It’s a seller’s market out there – don’t hesitate!

Happy New Year!

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Jansen Art Center

The Jansen Art Center has a number of interesting classes to join all year round. The studio workspaces are located on the lower level with the largest being the Ceramics studio opening to an outdoor patio. The studio contains electric kilns and a gas kiln. You can learn to paint silk, weave, make jewelry and paint. There are two large dance studios with sprung wood floors. The Northwest Ballet Academy offers classes in balley, modern and lyrical dance. Yoga and violin and guitar lessons are also available. Browse some of the classes right here: Jansen Art Center Classes
Jerry Blankers, our Managing Broker & Realtor® recently rented the Chamber Hall for his holiday party. The room was beautiful with the natural lighting and hardwood floors. The Jansen Art Center was very accommodating with buffet tables and chairs and helping us set up sound. Here are a few pictures from Jerry’s event that was held in the Chamber Hall:
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We would highly recommend renting a room from the Jansen Art Center for an event that you may be hosting. Contact Margaret @ 360.354.3600 and ask for Rentals & Events.
The Center also has an impressive art exhibit that rotates. Some of the artworks are available for purchase whether it be a water color, oil painting, pottery or jewelry. Right now they have a fundraiser for the ceramics studio. Buy one of the designated bowls or mugs and enjoy free chili, hot chocolate or coffee from the Firehall Cafe. The café is open Tuesday – Saturday. It is located inside the Jansen Art Center and takes part in the mission for artists to create, teach, share and engage the community if the arts. Lindsy Saldivar is the café manager and she has developed an innovative approach to dining that you don’t find anywhere else on Front Street. Each recipe is made with fresh ingredients and homemade sauces. The Café has weekly events with free live music, café coloring, happy hour and so much more!
Interested in going to an event visit their site to purchase tickets for live music performances or for their upcoming New Year’s Eve Bash!

Lynden City-Wide Trick or Treat

City-Wide Halloween Trick-or-Treat 2016The front lobby of the office was filled with all sorts of spooky characters on the afternoon of October 31st. It was so much fun handing out treats to all the children. We happily gave 400+ pieces of candy to goblins, ghosts, princesses, football players, butterflies, construction workers, aliens, Scooby Doo….you name it we had it! See you next Halloween! We plan on purchasing a lot more candy as we anticipate this event getting spookier in a good way!

City-Wide Trick-Or-Treating!

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Our office is participating in the City-Wide trick-or-treating event. We can’t wait to see all the children dressed up in their costumes on October 31st.
We will be handing out candy from 3:00-5:00 pm. Businesses that have orange balloons will be handing out treats!
Visit The Lynden Chamber of Commerce to find out more information on all upcoming community events!
Rita Rudner
Halloween was confusing. All my life my parents said, “Never take candy from strangers.” And then they dressed me up and said, “Go beg for it.” I didn’t know what to do! I’d knock on people’s doors and go, “Trick or treat.” “No thank you.”

Home Buyer Confidence on the Rise

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Home purchase sentiment reached an all-time survey high this summer, an indication that Americans are feeling more upbeat about the housing market, according to Fannie Mae.
Overall sentiments rose 3.3 points to a reading of 86.5. Each of the index’s six components including selling outlook and personal finances – also rose last month. One interesting potential bright note for housing in July survey is that younger households may finally be shifting toward buying rather than renting in greater numbers. Whether the shift in sentiment in July toward buying rather than renting on their next move holds up or is a temporary reaction to their view that rents are on the rise and mortgage rates will be lower, we will see.
Here are some findings from the latest survey:
* 33% of Americans say it’s a good time to buy a house, a 1 percentage increase over June.
* 20% of Americans say it’s a good time to sell a home, a 2 percentage point increase from June (a new survey high).
* 41% of Americans believe home prices will rise, an 8 percentage point increase from June.
* 36% of Americans believe mortgage rates will drop over the next year.
* 69% of Americans say they are not concerned with losing their job, a 1 percentage point increase from June.
* 11% of Americans say their household income is significantly higher than it was 12 months ago, a 3 percentage point increase from June’s sharp decline
Source: Fannie Mae

Real Estate Market Heating Up Locally

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On June 29, 2016, Jerry Blankers, from our firm was interviewed by Tim Newcomb of the Lynden Tribune Newspaper about the hot real estate market. Here are some of the highlights from the interview.

Right now, anything under $400,000 in Lynden is selling well, fitting into the sweet spot of single-family housing. Jerry Blankers, managing broker for Muljat Group North said that as inventory remains short – “there’s not a lot out there” – and interest rates hold low, often under 4 percent, prices of homes have begun to increase. That said, predictors of rising interest rates have moved buyers into the market. “If people are going to get in, they better get in,” Jerry says. “Inventory is down, almost scary low. There is not a lot out there.
As prices go up, the low interest rates still make it affordable to buy. You buy according to what you can afford. If rates go up, it makes a huge impact on what you can afford to buy. It isn’t only homes in Lynden selling well, as property – both residential and commercial has strengthened across north Whatcom County. The local uptick really started earlier this year with the prediction of higher interest rates by the end of 2016, and the initial wave of higher pricing on homes started in Bellingham and few months before moving north.

So if you are planning on buying a home you better jump right in! Contact a Muljat Group North Real Estate Broker today, 360-354-4242

BLOCK PARTY ON JULY 4 – DOWNTOWN, LYNDEN!

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Lynden will be celebrating winning America’s Main Streets competition with a – Block Party on July 4 | 11am-2pm | 5th Street (between Front & Grover Street)
The Downtown Business Association will celebrate the $25,000 cash award. The presentation of the oversized $25,000 check will begin at noon with the national anthem performed by the King’s Men of Song, followed by a proclamation by Mayor Scott Korthuis. Bill Brunelle, co-founder of the Independent We Stand coalition supporting local business districts, will then present the winning check.
There will be free food, drinks, t-shirts & mini-flags for the first 300 people. Queens Bluegrass will be performing live. Enter your name for three grand prize drawings, one for a new STIHL, leaf blower and two for Van Wingerden’s hanging baskets. You must be present to win all drawings.
At least a dozen businesses will be open throughout the celebration. Some businesses will offer 25% discounts and each store will have a drawing for $25 gift certificates. So come on downtown on July 4 and be a part of the Block Party Celebration!