Q: We want to buy a home on Vashon this year.

We’ve been reading about all the foreclosures around the country and are looking forward to getting a real deal. Prices are really dropping everywhere so we think this is a great time to buy. Should we wait until mid-spring and see if prices really go down, or start looking now?
A: Since Vashon is a “boutique” market you may find that there will be no real “deals” here. The market has indeed “softened” and is adjusting to national economic realities. On Vashon that just means that prices are stabilizing rather than going up. Sellers can’t expect huge jumps in value the way we’ve seen it in the last couple of years. However, that doesn’t mean that prices will be going down.
As for foreclosures, those are rare here. Most people facing foreclosure put their house on the market prior to having the bank take it over. We have witnessed only a few foreclosures over the last 10 years and those resulted in the bank becoming the seller. Frankly, banks and lending institutions are often more difficult to deal with than the original owners, so it’s best if the current owners put their house on the market before there is a real possibility of foreclosure.
As for the best time to buy, that should be determined by your needs. It’s an active market now, even in the dead of winter. There will be more inventory in the spring but the main issue is finding a home that best fits your needs regardless of time of year. That can often take awhile since there is always a small selection of houses in each price range.
I would suggest that if you want to shop for a good deal, you begin shopping for the best financing package. That can ultimately mean more in terms of savings to you than a few thousand dollars difference in price. I’d be happy to make some recommendations of lenders I trust and have worked with in the past. Just give me a call at 463-4060.