Philadelphia Real Estate Blog

We received this useful bit of information here in Center City Philadelphia this month from Prudential Fox and Roach’s Research Division. The numbers indicate that Philadelphia sellers need to be very cautious when pricing their homes andcondos for sale in the current market and they may experience somewhat longer than expected marketing time. Month’s supply of inventory refers to how many months it would take to sell the inventory (homes for sale) based on the rate of sales (homes sold).

Month’s Supply of Inventory by Price Range, July 2007-July 2009:

Price Range                 July 2007          July 2008          July 2009          % Change 07-09

All Price Points                7.3                     9.4                    9.8                     34.4

$1,000,000+                    23.7                    26.9                 43.4                    83.6 

$1,000,000-$750,000       12.4                    17.2                 24.2                    95.1 

$750,000-$500,000            9.3                     12.4                18.0                    92.9 

$500,000-$300,000           7.9                     10.1                  12.0                   51.6 

$300,000-0                       6.5                     8.6                     8.1                   25.5  
————————————————————————————

Philadelphia Buyers on the other hand, have a larger inventory from which to select their home and interest rates remain at a very low, affordable level. First time home buyers also have until November 30 to take advantage of the $8000 tax credit.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

….or risk killing a deal
   
 
  
Most tenants are buttheads. Come on, let’s be real here. I can list dozens of reasons why tenants can be deal killers. All from my own personal experience. They are not on this planet to make sure a buyer buys your Center City Condo, or that you get the most money possible. They can interfere greatly. Consider:

-Tenants who keep YOUR home looking like crap, with filth and crap strewn about your condo.
-Tenants who will keep shades drawn, as they laze around watching daytime TV when a showing occurs. Yeah, that’s going to help you sell your condo.
-Tenants who follow home inspectors along saying things like “Yeah, the roof keeps leaking all the time”.
-Tenants who say they will be home to let you in, then magically don’t answer the door.
-Tenants whose lease is up on say May 30th, and shockingly aren’t prepared to move (haven’t signed another lease)
-Tenants who leave all kinds of crap behind.
-Tenants who lock the one lock on the front door to which you do NOT have a key
 
Tenants are not on this earth to make your transaction easy. A lot of times, they don’t want to move. And allowing realtors to show their residence is not something they generally get excited about.

So…make a plan to keep your tenants happy while you market your Philly condo. Give them some incentive for making showings easy. Keep them in check, and do not allow them to call the shots. You and your future buyer will be much happier if you do not allow your tenant to cause all kinds of potential problems.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

Your front Center City Condo doorman is kinda’ rude, he has no real training, and your management company is charging your buyer $200 to answer routine questions that should be listed in your condo docs, or on your resale certificate. Oh, and there is a dirty mop bucket inside one of your broken elevators which sits wide open in the lobby, with the lights off.  WAY TO MAKE A GREAT IMPRESSION ON POTENTIAL BUYERS!

Oh, and did I mention that your management company rep won’t return my phone calls, and takes 3 weeks to get me condo docs?? And your common hallways smell icky, and they need cleaning (my buyers parents can see the dust accumulation on the hallway baseboards from about a mile away). Oh, and in addition to charging your future potential buyer money to ask questions, they are going to charge him or her $300 to assemble a standard set of paperwork that is required for you to sell your Philadelphia condo. Then they have to pay a $250 move-in fee. AND YOU DON’T HAVE A CLUE.

Perhaps you need to look into this. Then do something about it. Because my buyer isn’t made of money, but it appears your management company is making money hand over fist. Oh, and the lack of training of your doorman? BLAME YOUR MGMT COMPANY.

Then blame your condo board for not objecting to this shortcoming! If you think my buyers aren’t going to notice…you are WRONG.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

A lot of smart elements helped make this building a success!

It can be no secret that a few buildings in town are struggling to sell their units. Some buildings have had a much greater degree of success. The shining example would have to be Locust Point Condominiums at 2425 Locust St. here in downtown Philadelphia. With a total of 110 units, the building offered a great residential location, coupled with on-site parking, nice common areas, and a great mix of one and two bedroom units. Add other relevant factors- like being right next to the entrance of the Schuylkill River jogging trail, and close proximity to Univ. Of Penn- and Viola!….

The building is now all sold out!

Of course, having a smart and friendly sales staff headed up by Marianne Harris didn’t hurt sales a bit! The sales staff made it very easy to show- and they flung the doors wide open when it came to cooperating with the real estate agents in Philadelphia.

The developer also was very smart in rehabbing the common areas of the building, making sure hallways, lobby, elevator, and exterior were presentable. He also replaced all the windows in the building, and made sure Locust Point get FHA approval.

Other developers should take note. This was a brilliant business model. The right building, done the right way, with a good sales staff equaled an unprecedented sell out.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

I am often asked what the 6″ metal star shaped thingies are that are often seen on the facade of many of Center City Condominium buildings.

Simply put, they are called star bolts. Though they come in many shapes, the star seems to be most prevelant here in downtown Philly. The purpose of the star shaped bolts are to prevent the facade from bowing out, or to perhaps to stop the process of the facade of many old rowhomes from bowing. They have a long rod that runs through the joists of the home, and is held in place by the endcap- the star bolt.
They are not for decorative purposes, rather as a structural element to prevent the facade from moving out of place from over exposure to water seepage (and freezing of that water). etc. These bolts were also added as protection from earth quakes. For example, all the old houses in Charlston, SC had these bolts installed after a large earthquake destroyed parts of the city.

So there you have it. Those bolts are doing more than just looking cute on the facade of many Society Hill homes.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

Though the first minute and a half is a pep talk about why you should buy now, this is a great and easy explaination of the tax credit.

https://www.davidknox.com/foxandroach/
 
Let me know if you have any questions!

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

Here is what I suggest you do for all resale properties- get a home inspection. Yeah, even for a Rittenhouse Square condo, or an Old City loft.

Generally speaking, you can at least ask the seller to fix something…even if that something is about the same cost as the home inspection- like a one year home warranty.

When I buy a property, I look for two things- safety issues (which are almost always electrical in nature) and structural items. I am well aware that the hot water tank is going to go on the fritz in the next 5 years. Yeah, I also know the heater needs to be serviced to run optimally.

What I don’t want is for the total of the needed major defects to be so great that it impacts my perception of the value of my purchase of any variety of new Philadelphia condos.

Owning a piece of Philadelphia real estate is like owning a car. You have to regularly change the oil, tune it up, get it detailed, and shampoo the carpets to maintain value.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

You gotta’ problem with that?

Though as fancy as we urbanites profess to be, allow me to brake rank and confess my love for two things- formica and linoleum. I don’t admit this freely (usually) and I may deny it, should you bring it up to me in casual conversation at a party of some black tie affair here in Center City Philadelphia.

I have found that  the selection, price point, and durability of these two (once scroned) elements of new construction make these two items almost desirable. Certainly neither have the cache of real tile floors and granite countertops, but in certain areas, I really don’t object to their usage even in a Rittenhouse Square Condo.

For instance, in a laundry room- perfect. Kids bathroom- touche. Basement work areas- perfection.
No, I wouldn’t go as far as to splash a lovely acre of linoleum in my new kitchen, but in certain places, spaces, and quantities, linoleum and formica may be your best alternative. Especially in a mud room (linolum) or say a crafts area (formica).

It wasn’t easy for me to admit the above. But honesty is the best policy-even if I have to lie about it.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

No, it is personal property:  

Yes, It is included in the sale:

 
 
This question, often asked, is really simple to answer. In the state of PA., IF a window air conditioner is simply sitting in a window, it is defined as chattel (personal property), and is not included in the sale of a home unless specifically listed as included in the sale.

However, if a special cut-out or pass-thru has been made in a wall for that unit, then it is included in the agreement of sale without mention. This question does arise in some lowrise/Brownstone condos in Philly.
 
Question? Call me…lets chat!

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106

…can best be described as thorough.

 
It is no secret I love showing and selling Philadelphia real estate. The hallmark of the 2009 Philadelphia buyer is one of complete and utter thoroughness.

Though they are buying, and doing in fairly good numbers, there is no sense of urgency, and they want to see everything. Everything. If I had a dollar for every property I showed in the spring of 2009, I would go buy a new Lexus. Or perhaps take a cruise and drink a lot.

Such behavior is actually a good thing for an old timer like myself. I get to see sooo many places, that it really does add to my already stuffed brain. I know the size of the kitchen in unit 1902 at the xxx building. I am familiar with the condition of the 2nd Floor Front condo at 19xx Spruce St., and I see for myself why the condos at XXX and Bainbridge aren’t selling so well.

The equation here is a simple one:

Buyer Market- no sense of urgency- they can look at 18 other places, and come back to this particular unit they liked

Sellers Market- Hurry and buy. If you don’t, the unit you loved may be gone. Perhaps it already is gone.
 
The Philadelphia housing market is in a bit of a buyers market in 2009. I will let you know when that equation changes.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106