LEXpert Neighborhood Video Tour: Harrod’s View

by John Rice

Ask anybody in LEXington what is a good neighborhood in the southwest part of town with the best schools and plenty of amenities close by and almost everybody will say Palomar or Beaumont.  Both of those areas are some of my favorites too, but I’ve had a chance to spend some time in a neighborhood that is just as nice……even better in some ways.  It is called Harrod’s View.

I had a client that really fell in love with the neighborhood.  We looked at about every house that came on the market for about a year and a half.  Sure, we’d look in Palomar and other nice neighborhoods in this part of town, but the more we saw, they more these people really wanted to be in Harrod’s View….and I can’t blame them!

I think what makes this neighborhood unique is that it is a little area tucked away right between Palomar and Beaumont.  It is a neighborhood that many in Lexington drive past, but since it is so small and has no through streets, few ever have a reason to go into it.  You also have many businesses, restaurants a library & a YMCA just a few stops signs away.  Easy living…I guess that is what I call it.  You know, the type where you feel all calm and peaceful when you’re home or walking down your street, but you can also leave your house at 5:55 for your 6:PM reservations at Malone’s and make it on time.

 

CLICK TO SEE THE VIDEO!!!

Some Real Estate Memories of 2012

by John Rice

This is the time of year that I like to grab a cup of coffee and remember all the places I’ve been and people I’ve met through the year.  I’ve been all over LEXington and the surrounding area……here are some of my memories:

1)  After living in LEXington since 1985, I finally ate at Burger & Shake on the north side of New Circle Road.  When I moved here, you could get either a burger or a shake for 29 cents.  They are now 99 cents.  I was out with Rob looking at houses for his family on that end of town.  It was lunch time, and Rob like unique places, so we tried it.  Sat out front on a picnic table and had a good lunch together.

2)  Normally you don’t want to meet the seller if you are the buyer’s agent, and you normally want to keep the same distance for your buyer.  Krystal was soooooo pregnant that I was worried she would have the baby during the home inspection……which didn’t go so well.  As we left, the seller, an older gentleman, came to the house and talked to us.  I sent the listing agent a very lengthy repair list.  They did EVERY repair.  Don’t know if that would have happened if they had not have seen her pregnant.

3)  I sold two houses on the same street.  That is a first for me.  Both to great families who just recently met at a mutual neighbor’s Christmas party.

4)  Keith and his large family needed a very specific type of house and needed it quickly since they were relocating here.  Nothing was really working out.  Right when I was starting to get nervous about finding them something in time, I got wind of a house that had not even hit the market yet.  It was just about as perfect as possible-the right floor plan, high end finishes, their first choice in neighborhood.  I am thankful my agent friend Donna and I talked or else we might have had to settle for something less due to their time constraints.

5)  I use to live in Kenwick before it became such a trendy place……my parents have always known what was cool before everybody else “discovered” it.  I sold my first house in the neighborhood to Elizabeth and Jason this year.  It was new construction on a lot where a small, worn out house had been.  The builder was probably the best builder I have ever seen.  Their house is awesome.

I guess one of the things I am most proud of as I look back at all the people I have helped this year is that all of them have reached out to me.  I haven’t done anything to solicit any of the work I have done.  Most people were return clients or referred to me by past clients, or people who have been following me.  That is a good feeling 🙂

Sooooooo, I’d like to thank the 30+ people/families who have let me come into their lives and solve their real estate problems for them.  Here they are:

Chris & Sara

Rob & Danielle

Jim O

Pam

Krystal & Josh

Sam

Duane & Dacian

Elizabeth & Jason

Tom

Gabe & Whitney

Justin

Becky

Ted & Michiyo

Matt & Kaz

Wendy

Scott & Stephanie

Zac & Tomika

Ken & Michele

Greg & Lisa

Dave

Ron & Sheila

Elizabeth & Jason

James & Elvira

Sue & Joe

Ronnie & Phyllis

Brett & Farishta

Steve & Shelly

My wonderful wife Rhonda since we bought a house this year too!

Xiang

Donna & Keith

Kris

Don & Nina

 

To catch a Buyer, gotta think like a Buyer

by John Rice

One of my favorite parts of listing a house is writing the marketing remarks and organizing the pictures.  I know I’ve got to keep it fun for a buyer to keep their interest or they just hit the back button and move on to the next one.  That’s why I organize the pictures from the best to the least rather than just dump them online in the order they were taken.

I recently picked up a listing that was referred to me from another client who has sold two houses with me…..I think this client thinks I am more of a magician than a realtor since I sold both houses in a terrible market and did it pretty quickly.

The new listing had been on the market right before I got it and received little interest from buyers.   Hard to believe since it is a beautifully decorated move-in ready house….they kind that you wish you could get your own house to look like!!  It also has the absolute best lot in the whole neighborhood:  At the end of a cul-de-sac backing to a farm.  Only problem is, the last agent didn’t really do much to let a buyer know all this.  It was as if there was just a template used  to market the house.  The problem with template type marketing is that it just doesn’t stand out, and you end up losing the soul of the house trying to squeeze it in the template.

They had 2 showings in 30 days during the last listing period.  I’ve had it on the market 11 days and had 3 showing and have two more already scheduled for this week.  We also got an offer on it last night that may (or many not) work out.  Just a few grand apart.  Crazy thing is that I told these sellers not to expect too much action since we put in on the market between Thanksgiving and Christmas, which usually is a pretty slow time of the year.

It’s the same house, what made the difference?  Marketing.  Most listing agents think like a seller.  I just try to think like a buyer.  A buyer is online asking each house they see “Why should I come see you?”  I just try to answer that question for them.

6% appreciation in 2 years….REALLY?

by John Rice

 

Here’s another property that shows the market is improving.  This house was on the market in 2009 for quite some time.  It sold for $350k.  It was a relocation house, which means the seller was transferred and a relocation company was involved.  Those houses always seem to sell for less than market value since most are vacant and many agents hate dealing with relocation companies because they have 27 times the paperwork.

I showed this house to 3 buyers when it was on the market as a relocation house, so I was quite familiar with this property.  It is in Beaumont, which is one of Lexington’s most preferred neighborhoods.  It sold again less than a year later for $357k.  That extra $7k really just shows how most buyers and their agents prefer a non-relocation sale and the difference an occupied house makes compared to one that is vacant.

Now, this is where it gets interesting.  I saw this house came back on the market, so I saved it in my cart.  Just about every house I have every been in, I save so I can see how accurate I was on what I thought it was worth.  When this one went pending in 7 days, I couldn’t wait to see its final sale price.  Ready?  It sold for $379k.  Yeah, that’s 6% appreciation and the house is identical to when I was in it.  I don’t even think it has been painted!

That is just where we are with Lexington real estate right now.  It is starting with the most preferred neighborhoods and will trickle down to the rest of the market.  After several years of telling people their house was worth much less than they hoped, it is refreshing to write posts that are good news!!

 

Did that house REALLY appreciate in Value?

by John Rice

 Wondering what the real estate market in Lexington Ky is like right now?  This house here is a prime example.  This place came on the market on 11/9/09 for $217,500.  It sat there, was reduced to $212,900, then $209,900, and finally sold on 8/20/10 for $209,500.  On top of that, the seller paid $3911 in the buyer’s closing costs, so the “Net” sale price was $205,589…….It just sold in 13 days for $219,000.  That is a gain of almost 7% in less than 2 years!

I was in this house before it sold in 2010 and have studied the pictures to see if the seller put any money in improvements.  I also looked at the disclosure to see if the roof or HVAC had been replaced since the sale.  Nada.  Same flooring, same cabinets, same counter tops.  About the only thing the seller did was landscaping.  The house was vacant when it sold last and was fully furnished for this sale.  I might say 1-2% of the appreciation could be due to those reasons.  But one thing we do know, taking almost a year before selling in 2010, the buyer didn’t get a bargain.  Houses that were bargains even back in the worst of the past several years still sold quickly.

Now that the market is improving, here is where we are:  The most sought after neighborhoods have already gone up in value.  The rest of the market is still pretty flat.  It is like a train starting…..first the locomotive moves and pulls the first car, then the locomotive AND the first call pull the second car, then the locomotive, first and second car pull the third, and so on until the whole thing is moving.

You are late to the party if you were wanting a deal in one of the most desirable neighborhoods in Lexington.  There is still time at the moment to grab a deal in other neighborhoods though.  I usually recommend the best neighborhoods for resale potential, but if you can get a good enough bargain, I think there is room to come out ahead as the market continues marching back to the future.