Tuesday, October 5, 2021

The Reverse Mortgage looks Attractive Right Now

 Originally posted on "Retire to Washington" September 28th, 2021by Rod Sager

The Reverse Mortgage as a purchase tool in the current market is perhaps stronger than ever before. With rates under 3% possible and inflation at record levels, this product is a solid tool for any retiree with some cash on hand or large amounts of equity. Generally a younger retiree, say 65 years old will need at least half the purchase price in cash. Selling a home with a large amount of equity and downsizing can lead to a large down on the new house. Now the retiree can live in the house indefinitely without paying a mortgage payment. In some cases if the property was free an clear, the bank will pay a monthly payment to the homeowner indefinitely. The low interest rates make reverse mortgages an attractive alternative to more conventional financing methods. It is not for everyone, so borrowers should consult a trusted mortgage professional.

The premise is this: Borrower puts a large down payment or refinances a free and clear property. The older the borrower the more flexible the terms. Generally 50% down is a minimum requirement. The borrower makes no payments. The interest accrues as normal so every month a little bit more interest is applied as the loan balance grows. When the borrower leaves the residence, the bank collects the full amount of the balance. Typically this would be done by selling the house and paying off the mortgage with the proceeds. Any left over amount after closing would be returned to the borrower or to heirs. Retiring without a mortgage is a nice idea and some may not be able to buy a house completely free and clear. The reverse mortgage allows the borrower to have no payment and that can be rather reassuring especially in the hyper-inflation scenario we see brewing right now.

Tuesday, September 7, 2021

Cape Disappointment fails to Disappoint, again.

Cape Disappointment State Park is always a pleasure to visit. I recently visited the park and took the easy stroll up to the North Head Lighthouse. The Cape Disappointment Lighthouse on the Columbia River side is a longer hike, not really LONG though just a bit more than a stroll. Some nicely restored and  maintained buildings are in the area along with the lighthouse standing watch atop a high cliff.

Cape Disappointment State Park is rather beautiful with a diverse cross section of Washington terrain. The rugged windswept cliffs yield picturesque views similar to the Norther California coast line. Just a matter of yards in away from the sea lies lush fern gardens and classic Western Washington fauna. 

I love this state park and it offer more than just day trip opportunities. You can camp here as well and they  have a wide range of yurts, cabins, and even some houses available. Whether you live at the beach like my sister or just visit form the city like me, stop in to this excellent state park and enjoy another little treasure on the Peninsula. 


 

Tuesday, August 3, 2021

Long Beach Peninsula Prices Surge

Year over year housing prices have surged along the SW Washington coast. Although much of Washington State has seen low inventory and steep rises in median home prices, the Long Beach Peninsula has been much more aggressive. For years now, the beach has been a value proposition with prices well below the metropolitan inland areas of Portland-Vancouver and Seattle-Tacoma. The peninsula has also been a great value when compared against the northern Oregon coast communities of Astoria, Warrington, Seaside, and Canon Beach.

It stands to reason that the stars have aligned, so to speak; call it the COVID inventory crunch, but inventory has been tight and that is coinciding with the "discovery" of the great opportunity in Pacific County. The greatest real estate value op' on the West Coast has apparently been discovered, but it still remains a better value than places like the Oregon Coast.

Some may think that prices are being driven up by Californians moving in, and that may be partially true, but more than likely it is retiring people from the Puget Sound area and Portland-Vancouver. Prices in those regions are highly inflated and the coast looks too good to be true from their perspective.

As for those pesky Californians, you may be surprised to find that once out of the Central and Southern coastal areas, California real estate is actually cheaper than most of Western Washington. I wrote this article with data from the MLS and the National Association of Realtors® recently comparing Clark County, Washington (Vancouver) and King County, Washington (Seattle) against California. It is safe to say that 40% of Californians live in areas with LOWER home prices than Clark County and 70% of them live in areas with lower median home values than King County! 

Did you see that coming?

Here is the article from Rod's Real Estate News posted last Friday, click here.

Tuesday, July 6, 2021

Detached Condo at the Beach

This go round I'll take a look at a property listed locally on both the RMLS and NWMLS, by Anchor Real Estate. This is a small 630 square foot bungalow that is detached like a traditional home. It is however part of a gated condominium community that directly fronts the beach. The home has access to the beach via trails. 

This little house is a condo however, you own the space between the walls rather than the land and structure which is owned collectively by all the homeowners. There are ten total. This is a lovely little community.

The price is listed at $359,000 and is worth a look should you be looking for oceanfront property with minimal maintenance needs.

If you have any questions about this or any other property drop me a message or call at 360-737-4600

Tuesday, May 4, 2021

Here you go, I'm lazy this month :)

Yes sometimes I pull a rabbit out of a hat and sometimes I pull a re-run out. SW Washington's coast is still a great opportunity for retirees. There are not many coastal beach towns that are reasonably priced, but the Long Beach Peninsula area is. So with out further ado, here is an article from a few years back, that still rings true today.

Originally posted 2/6/2018 on Evergreen Coastal Living, by Rod Sager

Many people that move to the Southwest Washington Coast are retired. It makes sense, really as retired people do not rely as much on the availability of high paying jobs as do those still in the working years. The coast is not exactly a hotbed of high tech nor is it filled with factory jobs. The only real stumbling block is that the coast is a fair distance away from the larger cities along the Oregon-Washington Interstate 5 corridor. The Long Beach Peninsula enjoys very reasonable housing costs and that can be a big bonus for fixed income retirees.

However there does come a time when we get older and need to visit our doctors a little more often. It is here that living on the quasi-remote coast can be an issue. There are plenty of physicians operating a practice on the Long Beach Peninsula and on the northern Oregon Coast, but hospitals and specialists may require an inland run to Longview which is 60 miles away.

This is probably the primary concern for retiring to the coast. If the medical services are adequate for your needs the rest is easy. Who doesn't want to enjoy the spectacular Pacific Ocean coastline? The weather at the coast is also more mild with wintertime temps a solid 8-10° warmer overnight and summertime highs an easy 10-15° cooler than most of the Portland Metro Area. Although the temps tend to be better moderated the rainfall is not. The coast can take a lickin' from frequent winter storms and that can mean a lot of rain and wind. Long Beach receives on average 79 inches a rain a year and that is double what Portland and Vancouver get on average. It's not that it rains more often, but more that it just rains harder.

But the coast is not that much different in terms of weather patterns and a nice long period of relatively dry conditions which arrive in July and stick around through the middle of September most years.

Yes friends, retiring to the beach isn't for everyone, but it could be just the ticket for you so check it out!

Here's are-run from a few years back..

Yes sometimes I pull a rabbit out of a hat and sometimes I pull a re-run out. SW Washington's coast is still a great opportunity for retirees. There are not many coastal beach towns that are reasonably priced, but the Long Beach Peninsula area is. So with out further ado, here is an article from a few years back, that still rings true today.

Originally posted 2/6/2018 on Evergreen Coastal Living, by Rod Sager

Many people that move to the Southwest Washington Coast are retired. It makes sense, really as retired people do not rely as much on the availability of high paying jobs as do those still in the working years. The coast is not exactly a hotbed of high tech nor is it filled with factory jobs. The only real stumbling block is that the coast is a fair distance away from the larger cities along the Oregon-Washington Interstate 5 corridor. The Long Beach Peninsula enjoys very reasonable housing costs and that can be a big bonus for fixed income retirees.

However there does come a time when we get older and need to visit our doctors a little more often. It is here that living on the quasi-remote coast can be an issue. There are plenty of physicians operating a practice on the Long Beach Peninsula and on the northern Oregon Coast, but hospitals and specialists may require an inland run to Longview which is 60 miles away.

This is probably the primary concern for retiring to the coast. If the medical services are adequate for your needs the rest is easy. Who doesn't want to enjoy the spectacular Pacific Ocean coastline? The weather at the coast is also more mild with wintertime temps a solid 8-10° warmer overnight and summertime highs an easy 10-15° cooler than most of the Portland Metro Area. Although the temps tend to be better moderated the rainfall is not. The coast can take a lickin' from frequent winter storms and that can mean a lot of rain and wind. Long Beach receives on average 79 inches a rain a year and that is double what Portland and Vancouver get on average. It's not that it rains more often, but more that it just rains harder.

But the coast is not that much different in terms of weather patterns and a nice long period of relatively dry conditions which arrive in July and stick around through the middle of September most years.

Yes friends, retiring to the beach isn't for everyone, but it could be just the ticket for you so check it out!

Tuesday, April 6, 2021

Coastal Communities need some Normalcy

Will this year get back to some semblance of normal? Coastal communities rely on summer tourism to survive and last year was a lethal blow to business. The state at large has entered phase 3 of the reopening. That certainly makes things a bit easier on businesses particularly those offering outdoor activities. But ultimately the restaurants and shops need to be able to serve a full capacity of customers because the coast gets 90% of its revenue in the summer.

Meanwhile everyone in the city should plan a trip to the beach or two this summer. Why not? Its a two hour drive, it's fun, and a heck of a lot easier than flying somewhere what with all these COVID protocols. According the the Long Beach Peninsula website, the Razor Clam Festival is happening this year but rather than the traditional April it will be the first weekend in May. That is good news so all you clammers, get ready for some fun!