Whatcomtom's Weblog

Entries from January 2010

While looking at houses with clients…

January 19, 2010 · Leave a Comment

The chicken that ran after us and even followed our car a bit, can't tell if he was friendly or a guard chicken.

Swans and Old barn in Everson.

Another picture of the swans in Everson.

Amazing 2 headed swan.

Categories: Custer · Everson · Real Estate Stories

1-6-10 Whatcom County Home Sales

January 6, 2010 · Leave a Comment

Interesting article in the Bellingham Herald regarding home prices in the county.

Whatcom County homes sales up a bit in 2009,  but at lower prices

DAVE GALLAGHER – THE BELLINGHAM HERALD
click here for link to original article
A late-season rally put Whatcom County home sales about on par with the previous year, but the price continued to drop in 2009.

Last year Whatcom County real estate agents sold 1,992 homes, slightly more than the 1,981 sold in 2008.

The median price for homes sold last year was $258,950, down 6.5 percent compared to the previous year, according to Lylene Johnson of The Muljat Group. Johnson is a real estate agent who analyzes local housing data.

In a separate report, the Northwest Multiple Listing Service estimates 175 homes sold last month in Whatcom County, 65 more than in December 2008.

While the year-over-year increase is a sign that sales have stabilized, it was still just a small step toward recovery. Last year was the second lowest total for the decade, according to Johnson’s data. The peak was in 2003, when real estate agents sold 3,052 units.

The coming year appears to be an uncertain one for real estate because of the economy, said Gragg Miller of Coldwell Banker Miller-Arnason. High unemployment and foreclosure numbers could make 2010 look similar to 2009.

“I’m not as nervous as I was last year at this time, but there are still some things to be concerned about,” Miller said.

Johnson agreed, noting the threat of interest rates rising later in the year and the homebuyer tax credit program ending by summer could spur increased activity for the first four months of 2010. The trend after that is less predictable.

“It really depends on what is happening in the economy after the (government tax credit) program ends,” Johnson said.

While home sales activity has been up in recent months, distressed sales are playing a bigger role. According to Johnson, more than half of the sales under contract in Bellingham on Dec. 31 were either a short sale or a bank-owned property. Much of the spike has been in short sales.

“That tells me there were a significant number of people who needed to sell right now,” Johnson said.

Other trends:

• The demand for homes remains in the lower price ranges. There is a three-month supply for homes in Bellingham under $250,000, while there is a four-month supply for those between $250,000 and $500,000. Those supply numbers would typically mean it’s a seller’s market, but that hasn’t led to a rise in prices.

• Bellingham fared better than most of Whatcom County’s communities, seeing a 3.3 percent rise in sales while the median price only dropped 3.5 percent. “People continue to move into the city from the county,” Miller said.

HOMES SALES BY COMMUNITY

A look at the median sales price, average sale price, total homes sold and average days on market in 2009 and percentage change to the previous year.

Whatcom County:Median sales price, $258,950, down 6.5 percent; average sales price, $295,100, down 7.2 percent; total homes sold, 1,992, up 0.5 percent; average days on the market, 102, up 1 percent.

Bellingham: Median sales price, $288,444, down 3.5 percent; average sales price, $339,537, down 5.5 percent; total homes sold, 910, up 3.3 percent; average days on the market, 92, unchanged.

Lynden: Median sales price, $268,850, down 9.5 percent; average sales price, $288,852, down 11 percent; total homes sold, 154, down 15.4 percent; average days on the market, 108, down 10.7 percent.

Ferndale: Median sales price, $262,950, down 9.7 percent; average sales price, $287,920, down 6.9 percent; total homes sold, 247, down 4.3 percent; average days on the market, 98, down 4.9 percent.

Sudden Valley: Median sales price, $231,700, down 9.4 percent; average sales price, $246,909, down 7.8 percent; total homes sold, 152, up 7 percent; average days on the market, 108, up 4.9 percent.

Blaine/Birch Bay: Median sales price, $223,600, down 10.6 percent; average sales price, $266,843, down 5.6 percent; total homes sold, 251, up 5 percent; average days on the market, 131, up 72.4 percent.

Nooksack Valley: Median sales price, $214,950, down 10.1 percent; average sales price, $241,849, down 11.8 percent; total homes sold, 108, up 16.1 percent; average days on the market, 101, up 11 percent.

Mount Baker: Median sales price, $135,000, down 17.4 percent; average sales price, $146,760, down 19.5 percent; total homes sold, 123, up 3.4 percent; average days on the market, 102, down 1.9 percent.

SOURCE: Lylene Johnson, The Muljat Group

Reach DAVE GALLAGHER dave.gallagher@bellinghamherald.com

Categories: Bellingham · Real Estate Stories · business

Interesting story in the Bellngham Herald

January 4, 2010 · Leave a Comment

Here is to a fabulous year for 2010 and beyond…small business is what makes Bellingham tic so it would be great if the small business could continue to see success…

Cautious optimism from Whatcom County business owners heading into new year

DAVE GALLAGHER – THE BELLINGHAM HERALD
With about two years of increased company closures locally, the business climate is looking tough for 2010, but there is some cautious optimism seen by local counseling experts.According to records kept by The Bellingham Herald, 89 brick-and-mortar businesses closed by the end of December, up from 83 in 2008 and 35 in 2007.There were significantly fewer restaurant closures in 2009 compared to the previous year, but a significant increase in the number of other retailers, particularly ones that have been around more than five years. Tom Dorr, director at the Center for Economic Vitality, said that trend fits what he’s been seeing in the economy.PHILIP A. DWYER | THE BELLINGHAM HERALD – The Markets grocery store manager Jim Vanrijswijck welcomes customer Sheila Seelye of Custer after opening the store for the first day of business Wednesday morning, May 13, 2009, in Birch Bay Square, one of several new businesses in Whatcom County.” CLO-BIRCH BAY SQUARE

PHILIP A. DWYER | THE BELLINGHAM HERALD

“Restaurants are usually the first to close at the beginning of a recession, because the first thing people do is stop going out to eat,” Dorr said. “I’ve also felt the Bellingham area has been overbuilt when it comes to restaurants, so I expect more to close again in 2010.”
Dorr’s organization, which provides counseling services for local businesses and does research about the local economy, continues to see clients who have companies struggling to survive. Lately they’ve had more clients expressing cautious optimism, but they still have plenty in panic mode.

“The keys are getting costs under control and finding ways to save money in this economy, and some are now able to do that,” Dorr said.

It’s also encouraging that the number of business openings outpaced the number of closures in 2009. There were 105 openings, according to records kept by The Bellingham Herald. However, there was a net loss of jobs because many of those new businesses started with fewer than five employees, while many of the companies that closed had a bigger workforce.

With so many job losses in 2009, there normally would be a larger uptick in business openings as people decide to become their own boss, Dorr said. However, this is a different kind of recession, where laid-off workers are risk adverse, much like banks, which have tightened lending for business start-ups.

“This is a different business paradigm than what we’ve seen in previous recessions,” Dorr said. “That good from my standpoint: I’m not seeing clients who are tapping into their 401k to start a business.”

There’s an expectation by Dorr and others that Whatcom County will see a significant number of closures in the first and second quarters of 2010. Retailers generally make a decision whether to stay open after tallying the holiday sales numbers.

The second half of 2010 possibly could see fewer business closures, but it will depend on what happens with lending, said Dave Woods, a counselor for SCORE and a mentor at Whatcom Community College and Western Washington University.

“I see people who might have a good business idea, but they better have at least 20 percent down if they want to get a business loan,” Woods said. “I’ve seen the government come out with some programs, but they aren’t tailored toward people starting a business. It’s a very confusing period right now for someone trying to get financing.”

Confidence also will be a factor in 2010, Woods said. Many businesses have been able to survive by trimming costs and taking other measures to stay open. However, if it doesn’t appear the economy is turning around, he would expect more business owners to give up trying to ride out this recession.

“The survivors are more optimistic than a year ago, but they will need to see some signs that things are getting better,” Woods said.

In the meantime, Dorr said the focus of many businesses will continue to be to cut costs, including taking advantage of a state program that lets businesses share workers.

“More are hopeful, and it may lead to increased hiring if businesses are able to get access to credit,” Dorr said.

OPEN AND SHUT

Some of the significant Whatcom County business openings and closures of 2009:

Openings: The Market at Birch Bay, The Community Food Co-op (Cordata), Ferndale Ace Hardware, United Furniture, Scotty Browns, Tully’s and Sherwin Williams (Meridian).

Closings: Johnson Outdoors, Joe’s Sporting Goods, Circuit City, Boater’s World, BB Lumber, United Auto Electric, Car Quest, Goff’s Department Store, Eleni’s Greek Restaurant, Brown’s Beauty Supply on Meridian Street, Current Industries and Nancy Whyte School of Ballet.

Reach DAVE GALLAGHER at dave.gallagher@bellinghamherald.com or call 715-2269.

Categories: Bellingham · business