Philadelphia Real Estate Blog

My good friend Tom who introduced me to Center City in 1987 told me that the “Hop House” was known as one of the best values in downtown condo living. Ask anyone today and I think they will repeat that assertion about The Hopkinson House. I call it “The Toyota Of Center City Values”….reliable, dependable, and an easy resale if you need to sell your condo at 604 S. Washington Square. Since that time we have sold probably close to a dozen units at Hop House- And I always find that demand outweighs supply- especially in the spring market when the med students come into town and want proximity to Jefferson Medical Hospital.
My brother and I used to own a unit in the building which we flipped…and I think the management is a strong attribute to the appeal of the building (many of the very friendly front door staff is still around after 20 years). Know that all the corner units in the building are two bedroom units (unless modified from the original plan by individual owners) and a portion of the two bedroom units are 1.5 baths- HOWEVER, those units can be modified and made into TWO full bath units.
All units face either North or South- And I honestly have never found there to be a preference in terms of resale ability, or demand. South units have great sun and the higher floors have killer river views. The North facing units at The Hopkinson House have great views of Washington Square park. The Heat and Central Air are supplied by the building and I believe is done so via a TWO PIPE system, which means the Hopkinson House dictates when the condo building as a whole switches from delivering heat to delivering central air. The condo building does not allow dogs- though they do allow cats. Rental parking is in the lower level, so no one owns parking at Hopkinson House. I have had parking in the building on a monthly basis for a few years as our office is very close- staff is very friendly and helpful. Management is tops in town and really couldn’t be any nicer. A small but well-stocked food market is on the first level of the building and hailing a cab from here is never an issue. Oh, and there is one Kick-A** pool on the roof which rocks! 🙂
The condo association has recently upgraded their hallways (which is a huge visual improvement to the common areas), and has replaced all interior windows and sliding glass doors to individual condo units. What I find interesting is that 604 S. Washington Sq. has more Realtors who live in the building than any other condo building in town- And I think that speaks volumes. One other thing I know is that a TON of info about the building can be found publicly on their condo’s website, which many folks find helpful. Know that I have a number of friends, colleagues, and past buyers who live in the building- So my current clients should contact me if they want additional insight into the “Hop House”.

Monthly Statistics for the Date Range Selected

Inventory Accumulation for the Last 12 Full Months

*Current Inventory is based on the actual available properties on the date this report was created.

**Average Monthly Sales is the average sales for the last 12 full months

***Inventory accumulation (in months) = Current Inventory Units / Average Monthly Sales

Pricing Details of Sold Units for the Date Range Selected

Inventory Accumulation figures are only calculated when Report End Month is the current month 

Check out this 1999 Article on Mark’s Society Hill Rehab Featured in the Remodelers Show !

“It’s More Than Just For Show Mark Wade, Who Buys, Guts And Rehabs Properties In Center City, Was Handpicked To Produce A Model Home For A National Show. Eventually, It Will Be Someone’s $1.25 Million Residence.

Click here to read more! 

New condos that have never been occupied are a strong draw for many buyers here in Center City and there are premiums to be paid for that novelty/aspect of any particular new condo in town. And there also is a premium for floor height and view in all of our new construction pieces.

If we do see any initial depreciation of a new construction condominium, we generally see that played out in the premiums paid for floor height and any such depreciation usually occurs within the first year or so.  Buying a new condo then trying to resale within the first year can result in a somewhat mild “hit” on the value of the condo. Sellers are taking away the shine or appeal of the premium paid for a unit being brand spankin’ new and will often see a drop in value. Though usually not a striking drop in value, but a drop in value none the less.  We see this most often in condos where the seller has paid for upgrades that may suit their needs, but don’t always suit the needs or tastes of the buyers that follow.  And sometimes the attribute that pulls the value down is the premium paid for floor height.  Subsequent buyers come at the building looking for an average sale price of a given type of unit and want to pay based upon that figure.  Stronger locations in town, like Rittenhouse Square, have a tendency to be a bit more elastic- they are the first neighborhoods to see a drop in inventory with any influx of buyers to the market. That’s a good thing.

This scenario and resulting depreciation is usually wiped off the books after year one. It is the initial depreciation of a new condo that is loaded towards the front of ownership- like in the first year. Once that hurdle is cleared- the possibility of depreciation lifts as well.

1.  “The sellers didn’t leave the condo as clean as I thought they might or as clean as I would have liked them to”

The contract/agreement of sale calls for broom swept clean condition with no debris left behind. Beyond that- Even most Rittenhouse Square condos are indeed transferred a little less than spotless.

2) “I will probably never use that Jacuzzi style hot tub.”

I find if the tub is new and never used, buyers view it with a shrug. If it old and used- that amenity really becomes a detractor of value.

3) “I guess I don’t really and truly need a 3rd bedroom”

Many buyers have a 3rd bedroom on their wishlist, though most buyers  will eventually opt for a two bed plus den. Even a fair number are opting for a large one bed with a nice den.

4) “Walk-ability is high on my wish list”

And for good reason. But many buyers realize that just being in Center City gets them out and about – and that is kinda’ the idea to city life. Getting out of your condo and shopping/dining/exploring the city can be done regardless of the proximity. Think Uber for a lift to where you want to go.

5) “The ability to rent the condo is of importance”

Indeed. I also think the appeal and ultimate rent-ability of the condo is heavily based upon interior condition and showing ability in addition to the time of year in which you seek to rent the unit. If it shows well, it will rent well….every time.

Mark Wade
www.CenterCityCondos.com
BHHS Fox & Roach Realtors
Mark@CenterCity.com

How can buyers sweeten their offer in lieu of coming in at a strong price?

*Shorten your settlement date- especially if the home is vacant.

*Shorten your contingency dates- have your home inspection in a week instead of 15 days

*Put more money down ( to be held in escrow- go a full 10% if warranted)

*Add an “As-Is” clause- doesn’t mean you are giving up your rights to inspections- just lets a seller know you will not be renegotiating after the home inspection.

* Write a really nice note about how much you love the seller’s home and why you are buying it

*If a property is vacant- but still has unwanted clutter and dirt- tell the seller you will buy as the property sits today and that you do not expect them to come back and clean or get rid of debris.

Many things in a Philadelphia real estate transaction are not logical, but are emotional. Sweeten that emotional pot and you might find you are going to save a few dollars. Happens more often than you think.

Mark Wade
www.CenterCityCondos.com
Berkshire Hathaway Home Services | Fox & Roach Realtors®
530 Walnut Street  |  Suite 260  |  Philadelphia PA 19106
direct: 215.521.1523  |  main: 215.627.6005  |  fax: 215.402.1044

How best to respond to a super low-ball offer?

I suggest sellers ignore it and pretend it never existed. Do not entertain or respond.

How to best respond to a lower than desired offer?

I suggest you counter in such a way that keeps the buyer engaged, but you don’t give away the farm on your first move. Buyers rarely make their “highest and best offer” initially.

How to respond to a really great offer?

Sign it. ASAP. Do not try to tempt fate or be greedy. Sign it. It is very rare that such a strong offer can or will be duplicated.

1. Change light bulbs- make your home brighter
2. Spend a $1000 or so to touch up all painted walls and baseboards
3. Re-Caulk around the bathroom tubs and showers
4. De-clutter. Then de-clutter again.
5. Clean. And I mean clean- including the outside of your stainless steel appliances, your carpets, your tile floors, your ceiling fans, interior and exterior windows.

If you want the most for your home– you have to put your best foot forward. Kinda’ like going on a date for the first time. This is a dog and pony show….and you wouldn’t go out on a date without flossing your teeth, or wearing clean clothes, or washing your hair would you? Of course not….

1. Lower your asking price.
2. Hire a professional photographer if you didn’t do so initially
3. Further de-clutter and try some fresh paint on specific walls if needed
4. After say 180 days- Personally, I would hire a new listing agent.

Homes do indeed get stale as the “days on market” clock grows. Value has a tendency to decline as the “d-o-m” clock grows and all sellers should be pro-active in dropping their price as time goes on. If you are not allowing your Realtor to do open houses- change that ASAP. Open every other week at a minimum. Install a for sale sign if you have yet done so.

Spending $5,000 to go repairs, upgrades, staging, etc is so MUCH MORE IMPORTANT than dropping your price $10,000. It may not seem logical to you- but look at your home through the eyes of potential buyers. That $5,000 you spend is going to put your home in a whole new light-

A $10,000 price drop may not. This final rule of thumb does not apply if your home is already super duper gorgeous. If that is the case then your only option is to drop your asking price.