Olathe Kansas Real Estate Update – March 2010

Checking The Pulse Of The Kansas City Real Estate Market
Real Estate Info for The City of Olathe KS
Recent
15 Days of Olathe Kansas Market Activity

Using the past 15 days of market stats in the chart below, we can figure the absorption rate in Olathe Kansas. Defining an areas absorption rate then allows us to compare the demand of homes against the current supply of Olathe Kansas real estate inventory. At the current absorption rate, there’s 7.2 months of inventory on the market in Olathe Kansas. This is high and we need to see more than a 134 sale per month pace to work off the 962 homes that are currently for sale in the city.

Type
#
Average $
Avg DOM
Listings Past 15 Days
184 $222,306
Total Active Listings
962
Newest Contracts Written
134 $198,747 65
Newest Sold (Closed)
67 $213,394 84

* The Average $ of Newest Contracts considers the price the homes were listed at when they went under contract. Data pulled from Heartland MLS and deemed reliable but not guaranteed. Low samplings in any category can skew results. Stats may not be an exact 15 days from date of this post. DOM = Days On Market.

Whether you’re considering selling or buying an Olathe Kansas home, we look forward to assisting you. If you’re considering selling your home, we give you the straight facts to help you make the most informed decision possible. We don’t blow smoke or manipulate the market stats in any way as it’s important for you to consider the factors that buyers, buyer’s agents and appraisers are going to be considering when looking at your home. If you’ll be buying an Olathe home, we do a CMA (like we do for sellers), so you can get an excellent view of what’s going on with the specific Olathe real estate market that matters to you.  When it’s time to contact an Olathe Kansas Realtor, I look forward to learning more about your real estate situation.

View Past Real Estate Stats On Olathe KS

Buyer’s Agents In Olathe KS

Seller’s Agents In Olathe KS

Relocating to Olathe KS

View All Listed Olathe KS Homes For Sale


Olathe Kansas Tip of the Day…
Olathe Installing New Water Meters

Posted by Jason A. Brown

Be Sure To Factor In Cost Of Living Differences When Relocating To Johnson County KS

Checking The Pulse Of The Kansas City Real Estate Market

If you’re making the move to Johnson County KS, Overland Park or a surrounding Kansas City area, you’ll surely be weighing many factors. A better job, being closer to family or maybe it’s the reasonable costs of living in the Midwest. These are certainly some of the common factors I hear with clients relocating to the area. But in addition to the housing and employment considerations when relocating, you’ll also want to consider the cost of living difference of one city to another.

There are many great tools out there and one is the city comparison tool at About.com. I compared Kansas City to Palos Verdes Estates in California and found that it’s 285% more expensive to live in Palos Verdes! Which is why I’m no doubt seeing more people relocating to Kansas City from the coasts. Another great tool is Bankrate.com’s cost of living comparison tool, which factors in real estate costs, utilities, transportation, health care and even grocery prices. You can also find a cost of living calculator tool that factors in income differential from one place to another at Salary.com.

Of course many people are moving irregardless of cost of living factors because they have the need for large city amenities that comes with a suburban feel, or other factors that are driving their decisions.  Still, the dollars and cents of making the move will matter in the long run, so it’s recommended that factors like gasoline prices, groceries and commute costs are considered. If you think about it, gasoline costs and/or length of commute to work could be valid reasons for making a relocation. If you’ve ever traveled to another state and said to yourself “gas is expensive here” or “dining is expensive here”, then you know what I mean. Now imagine living there and dealing with those prices day in and day out.

Posted by Jason A. Brown

Briarwood Subdivision Statistics ~ Briarwood Homes For Sale In Olathe Kansas

Checking The Pulse Of The Kansas City Real Estate Market
Briarwood Real Estate Market Stats
Briarwood Is A Subdivision In Olathe KS

Looking over the Briarwood market statistics dating back to March 2009, 21 homes were put on the market and 18 homes were sold over the same year period. The average sales price in Briarwood was $201,478 and the subdivision saw a sale price range of $148,000 to $259,000.

Comparing the 4 Active listings in Briarwood to the 12-month sales rate in the community, there’s 2.7 months of inventory currently on the market. This is excellent in our today’s real estate market. Having less than 3 months of inventory, especially with the number of sales seen in the area, indicates that Briarwood has a good volume of homes selling. It should be noted that the average current list price of the 4 Active homes is $229,713, which is a bit higher than the $201,478 average sales price seen the past year in the community. Briarwood is a popular Olathe Kansas subdivision and located near dining, shopping and parks and not far from access to I-35 running through the city of Olathe.

Briarwood In Olathe Kansas

Briarwood In Olathe Kansas

Briarwood is located in southern Olathe Kansas and is served by the Olathe School District. Many of the homes in Briarwood were built from 1980 through 1994.  If you’re considering moving into or selling a home in Briarwood or any other Olathe Kansas home community, please contact me for assistance. I look for to helping you with your Olathe Kansas real estate needs.

View Homes For Sale in Briarwood

Buying A Home In Briarwood

Selling A Home In Briarwood

Relocating to Olathe Kansas

Posted by Jason A. Brown

The Seller Never Promised You A Rose Garden When Buying That Kansas City Home… Did They?

Checking The Pulse Of The Kansas City Real Estate Market

There has been many a dispute between Kansas City Home Buyer and Kansas City Home Seller when it comes to just exactly what is a fixture and stays with the home. I’ve even had my own personal dispute as a home seller (when selling my own home). In that instance I had a $500 half bath mirror that was hanging on the wall. The mirror was not “attached” by glue, nail or screws. It was hanging on a screw and in my mind that meant it was personal property and not part of the home. The buyer disagreed to the extent that I was put in a very difficult situation. Due to my higher level of responsibility as a licensed Kansas City Realtor, I decided it was in my best interest to return the mirror. I didn’t feel I owed or promised the Buyer the mirror but brought it back anyway. I had a client one time who took her mother’s rose garden with her when she moved. Landscaping is a fixture but my Seller told me to tell the Buyer’s Agent that she hadn’t promised the buyers the rose garden…

… couldn’t resist working that in. So you get the idea now of the possibilities that could arise from a seller taking an item they felt is personal property but the buyer feels is a fixture and should have stayed with the home. The base Residential Real Estate Sale Contract approved by my own Kansas City Regional Association of Realtors attempts to clear this up by indicating the following items as real estate fixtures (assuming they are attached and owned)…

Attic and ceiling fans
Garage door openers
Bathroom mirrors (wall mounted)
Outside cooking units (if attached)
Gas heaters
Owned propane tanks
Central air conditioning
Gas logs and fireplace grates
Shelving (if attached)
Central vacuum & attachments
Heating and plumbing equipment
Soft water conditioner (if owned)
Fences (including invisible)
Storm windows, doors & screens
Fire, smoke and burglary detection
Humidifiers
TV antennas
Keys to all doors
Satellite dishes
Fireplace screens and/or glass doors
Kitchen appliances (if built-in)
Sprinkler systems & controls
Lighting and light fixtures
Window coverings and components
Floor coverings (if attached)

I’ve probably missed a few in trying to type them in here from the actual contract documents, but you get the idea. If you don’t see the item listed in your contract and you feel there’s ANY chance that there could be a misunderstanding, always use the Addition Inclusions or the Additional Exclusions paragraphs of the contract to clear things up.  Despite everyone’s best intentions, sometimes things are clear as mud. So who decides when a buyer and seller are at a stalemate (after going under contract or after closing) on a particular item?  Well, it may take a judge to decide matters in the worst of scenarios, but usually calmer heads prevail and one side gives in or some other common ground is found.

Here’s a few more items that I’ve personally seen have to be cleared up in a real estate contract… air conditioner window unit, hanging bathroom mirror (yep, that was my own deal), unattached wet bar, free-standing kitchen center island, family air loom light fixture, rose garden (get that song out of your head), stacked shelving in a garage, artwork attached to a wall by a frame that’s secured into the wall, window treatments and refrigerator — on this last item, did you know in some states its common practice for the sellers to LEAVE the refrigerator. In other states, like Kansas and Missouri, it’s common for Sellers to TAKE the refrigerator. This is important to know if you are relocating to another area. One of my favorite items is curtains. It’s impossible to know if a Seller plans to take or leave the items or whether the buyer even wants them. This is the most common item (along with refrigerators) that I see cleared up one way or the other in the contract. A couple other items are outdoor play sets and hot tubs. These are usually considered personal property, so if seller wants to leave those items, the should be very clear about it.

Now remember, although I play an attorney when in a dispute with my wife, I’m just a Kansas City Realtor and you should obtain legal representation if you are in  a dispute over what is a fixture in your real estate dealings. Personally, I’m always thinking that if an item is nailed, screwed, cemented or glued  to the home then it’s a fixture. If it’s hanging on a nail or screw it’s personal property. A refrigerator isn’t attached in any way, so to me it’s clearly personal property. The rest of the kitchen fixtures are attached, so they’re fixtures to the home.

Posted by Jason A. Brown

Wilderness Valley Subdivision Stats ~ Wilderness Valley Homes For Sale In Overland Park KS

Checking The Pulse Of The Kansas City Real Estate Market
Wilderness Valley Real Estate Market Stats
Wilderness Valley Is A Subdivision In Overland Park Kansas

Looking over the Wilderness Valley market statistics dating back to March 2009, 17 homes were put on the market and 13 homes were sold over the same year period. The average sales price in Wilderness Valley was $486,031 and the subdivision saw a price range variance of $411,000 to $661,000.

Comparing the 10 Active listings in Wilderness Valley to the 12-month sales rate in the community, there’s 9.2 months of inventory currently on the market. This is high but not unusual in our current buyer’s market. The average current list price of $560,435 is also quite a bit higher than the average sales price ($486,031) the past 12 months in the community, but there’s a good selection of homes for buyers in the community. Wilderness Valley is a popular Overland Park Kansas subdivision and located near parks, dining and shopping amenities and near access to 69 Highway.

The Wilderness In Overland Park KS

The Wilderness In Overland Park KS

Wilderness Valley is located in the quiet southeast Overland Park Kansas area and is served by the Blue Valley School District. Many of the homes in Wilderness Valley were built from 2001 through 2007. If you’re considering a move into or out of Wilderness Valley or any other Overland Park Kansas area, please contact me for assistance and to discuss your real estate situation.

View Homes For Sale in Wilderness Valley

Buying A Home In Wilderness Valley

Selling A Home In Wilderness Valley

Relocating to Overland Park Kansas

Posted by Jason A. Brown

Lenexa Kansas Real Estate Update – March 2010

Checking The Pulse Of The Kansas City Real Estate Market
Real Estate Info for The City of Lenexa KS
Recent
15 Days of Lenexa Kansas Market Activity

Using the most recent 15 days of Lenexa Kansas real estate market stats to figure the absorption rate in Lenexa KS, there’s 5.5 months of inventory on the market. This is improving on previous stats and indicates a supply and demand for homes in Lenexa that is more in line with a stable market, than the clear buyer’s market we’ve been seeing. It is important to note though that the average new listing the past week went on the market around $294,000, while the average home that sold over the same period did so for a less expensive average of about $239,000.

Type
#
Average $
Avg DOM
Listings Past 15 Days
61 $293,993
Total Active Listings
285
Newest Contracts Written
34 $254,479 102
Newest Sold (Closed)
26 $238,788 104

* The Average $ of Newest Contracts considers the price the homes were listed at when they went under contract. Data pulled from Heartland MLS and deemed reliable but not guaranteed. Low samplings in any category can skew results. Stats may not be an exact 15 days from date of this post. DOM = Days On Market.

If you’re considering selling or buying a Lenexa Kansas home, you’ll definitely need to see more than just 15 days of market stats to make a judgment on Lenexa Kansas property values. I’d look forward to assisting with your real estate needs in the Lenexa Kansas and surrounding areas.

View Past Real Estate Stats On Lenexa Kansas

Buyer’s Agents In Lenexa Kansas

Seller’s Agents In Lenexa Kansas

Relocating to Lenexa Kansas

View All Listed Lenexa Kansas Homes For Sale

Lenexa Kansas

Lenexa Kansas

Lenexa Kansas Tip of the Day…
City of Lenexa’s 2009 Year In Review
Posted by Jason A. Brown

Donating Excess Items To Charity When Moving Out Of Your Kansas City Home

Checking The Pulse Of The Kansas City Real Estate Market

The average Kansas City home seller has lived in their home for about 6 years.  A LOT of items, much of it junk, can build up in a home’s living and storage areas during that time. You’ve probably seen some of the worst case scenarios if you’ve watched the TV show Clean House. But even mild problems need addressed when selling your home.  In some of my previous posts, I’ve covered the options of disposing of items and also storage of items when preparing your home for sale. But there’s another excellent option for the items that fall in between “worthless” and “keepers”. You can donate the items to charity. In addition to helping those in need, it can also be tax deducible if done the right way.

You know that when it comes to de-cluttering, it can not come at the expense of another room or even the home’s storage areas. So, after you’ve organized the items you no longer you need, you can move forward the plan to donate those items. First of all, make sure you take details notes on the items you’re donating. When it comes to valuing the items, there’s no exact formula used by the IRS for verifying the amount you place on the items. But if you drastically overestimate the value of your donations, you’re asking to get audited. Consult a tax advisor as it relates to donating item for tax purposes. (Thank you random italicized voice.)  Should you ever get audited, you’ll be glad you have good records detailing the items you have given to charity. Most of us probably don’t have the receipts from when we purchased the items, but it’s important that you do assess a value to every item. Know this much, the value is going to be something less than what you paid for the item.

Should you ever get audited, it would probably help if you have taken photos of the donated items. To  help you “do the right thing” when assessing the value of donated items, here’s an IRS link for Determining The Value Of Donated Property and here’s a short YouTube video from the IRS It’s my understanding that if you donate less than $500, there’s no special document necessary to take the deduction at tax time. It can get more complicated after that and if you’ve donated items over $5,000  I’ve heard that an actual appraisal is required. Tax rules change all the time and this article is not tax advice.  Remember, I’m just a Kansas City real estate agent talking to you about donating items when selling your home. Always contact a CPA for tax advice.

If donating items when readying your Kansas City home for sale is in your future, here’s some great options in the metro area...

SALVATION ARMY – KS & WESTERN MO
GOODWILL – EASTERN KS & WESTERN MO
VIETNAM VETERANS OF AMERICA – JOHNSON COUNTY KS
BIG BROTHERS BIG SISTERS – GREATER KC


Posted by Jason A. Brown

Highlands Ranch Subdivision Stats ~ Highlands Ranch Homes For Sale In Leawood Kansas

Checking The Pulse Of The Kansas City Real Estate Market
Highlands Ranch Real Estate Market Stats
Highlands Ranch Is A Subdivision In Leawood KS

Looking over the Highlands Ranch market statistics dating back to March 2009, 9 homes were put on the market and 7 homes were sold over the same year period. The average sales price in Highlands Ranch was $665,071 and the subdivision saw a price range variance of $485,000 to $957,500.

Comparing the 5 Active listings in Highlands Ranch to the 12-month sales rate in the community, there’s currently 8.6 months of inventory on the market. This is high but not unusual in our current buyer’s market.  The average current list price in Highlands Ranch is $982,580 and significantly higher than the average sales price (665,071) seen in the community over the past year. Still Highlands Ranch is a popular Leawood Kansas home community and located near shopping, dining and park amenities.

Highlands Ranch In Leawood Kansas

Highlands Ranch In Leawood Kansas

Highlands Ranch is located in a quiet area of southern Leawood Kansas and is served by the Blue Valley School District. Many of the homes in Highlands Ranch were built from 1998 through 2004. If you’re considering buying or selling a home in Highlands Ranch or another area of Leawood Kansas, I look forward to assisting you!

View Homes For Sale in Highlands Ranch

Buying A Home In Highlands Ranch

Selling A Home In Highlands Ranch

Relocating to Leawood Kansas

Posted by Jason A. Brown

There’s More Than Just LOWER Prices To Consider When Purchasing Kansas City Real Estate

Checking The Pulse Of The Kansas City Real Estate Market

9 out of 10 Kansas City home buyers tell me that locating a home at a PRICE they can justify is the most important factor in their home search. I can easily show those nine how that can be flawed thinking. We are seeing historically LOW interests rates and rates that I may never see again in my lifetime.  Today’s interest rates are so low in fact that they need weighed just as much as a home’s price when making the decision whether to purchase. Don’t believe me? Then check this out…

Scenario: Over the next 18 months, prices decrease by 5.0% but interest rates increase by 0.5%:

123 Oak – Current Market:
123 Oak – Future Scenario:
Home Price is $200,000 Home Price FALLS 5% to $190,000
Interest Rates are 5.0% Interest Rate RISES 0.5% to 5.5%
Monthly Payment = $1,074 Monthly Payment = $1,079
Note: monthly payments above include principal & interest only (no property taxes, homeowner’s insurance, etc.)

So using the above scenario, let’s say I take you out and we locate the perfect $200,000 home. It even has a jetted master bathroom corner tub (that your spouse loves) but you tell your spouse, “I wear the pants in this family and I won’t pay a dollar more than $190,000.”  All this despite the fact it’s the perfect home and I show you the market stats indicating the home is priced perfectly in our current Kansas City real estate market. You interject, “It’s not a deal, if it’s not a steal. We’ll wait to see if we can buy the home later for 5% less”.

Well that home sells the next day, your spouse leaves you and the home search is over. 18 months later, you’ve reconciled with your spouse and we locate an identical home, in the same subdivision on the same type of lot, etc. Both homes even face west.  Everything is exactly the same as the home you lost out on… except this home’s corner tub isn’t jetted. Your spouse doesn’t say a word on this given day, but you know you’re never going to hear the end of it… You tell me and your spouse that everything is going to turn out rosy because you’re going to be able to purchase THIS home for just $190,000. At this point, I break the following news to you: Although we can buy the home for 5% less than the same home 18 months ago,  interest rates have gone up  from 5.0% to 5.5%. So your $190,000 home with a 5.5% interest rate has virtually the same payment – actually $5 higher – as the guy who paid $200,000 but got a 5.0% interest rate – oh, and don’t forget the corner tub on your home isn’t jetted. Or that you lost out on the mortgage interest deduction the last year and a half. Or that you had to deal with that landlord and the neighbors while living in that rental.

I’m not kidding people. If you were to wait to buy and home prices DROP 5% but interest rates RISE just 0.5%, you have a wash on your hands. The scenario works the same if home prices DROP 10% but interest rates RISE 1.0%. See the pattern? And if you don’t think interest rates could be at 6% in 6 or 12 months, I have history to show you otherwise. The Fed even has plans to stop buying mortgage-backed securities in the next month, which some analysts are predicting could jump interest rates a FULL PERCENT by the end of 2010. Home prices aren’t in a free-fall here in the Kansas City area and I can’t imagine any scenario where home prices would drop 10% quicker than interest rates would go up 1%. They may not fall at all. But I bet interest rates rise. Do you agree?

If you think interest rates will rise, here’s one last scenario for you to ponder…  If you wait 2 years and a $300,000 home (today) can be purchased for $270,000 (a 10% drop) BUT interest rates go up from 5.0% (today) to 7% at that time, your monthly payment would be $187 HIGHER ($1,610 versus $1,797).  This despite the fact that you bought the home for $30,000 less by having waited! Oh, and I haven’t even mentioned the tax credit that’s here today but gone tomorrow. So, do you still want to wait to buy that perfect home?

Posted by Jason A. Brown

Forest Park Estates Market Stats ~ Forest Park Estates Homes For Sale In Shawnee KS

Checking The Pulse Of The Kansas City Real Estate Market
Forest Park Estates Real Estate Market Stats
Forest Park Estates Is A Subdivision In Shawnee KS

Looking over the Forest Park Estates market statistics dating back to March 2009, 10 homes were put on the market and 9 homes were sold over the same year period. The average sales price in Forest Park Estates was $314,111 and the subdivision saw a price range variance of $175,000 to $391,000.

Comparing the 5 Active listings in Forest Park Estates to the 12-month sales rate in the community, there’s 6.7 months of inventory currently on the market. This is a little high and the average current list price of $380,980 is much higher than the average sales price ($314,111) seen over the past year in the community. Still, Forest Park Estates is a popular Shawnee Kansas subdivision and located near parks, dining and shopping amenities and located near access to I-435 highway, providing easy travel to the airport in the northland.

Forest Park Estates In Shawnee KS
Forest Park Estates In Shawnee KS

Forest Park Estates is located in central Shawnee Kansas and is served by the  Shawnee Mission School District.  Many of the homes in Forest Park Estates were built from the 1992 through 2007. If you are considering a move in or out of the Forest Park Estates area or another Shawnee KS community, please contact me directly for assistance.

View Homes For Sale in Shawnee Kansas

Buying A Home In Shawnee Kansas

Selling A Home In Shawnee Kansas

Relocating to Shawnee Kansas

Posted by Jason A. Brown