Philadelphia Real Estate Blog

A LOT of  the recent talk in Center City Real Estate circles has been about the number of multiple offers on various parcels, and how some places are sitting on the market for a only a week, and being sold in short order. This is clearly a change from the previous four years. Maybe not be true in all segments, but certainly becoming more and more common this year.

I think what most buyers in the Philadelphia Real Estate market have to come to terms with is that they may need to make their offer as attractive as possible on those homes that are in short supply, and in heavy demand.  Even a gradual shift from a buyers market to a sellers market is difficult for buyers to grasp. Those in the know are going to fare much better than those who perhaps think they can come in at super low offers like perhaps that might have done in 2009.

As demand increases, and supply decreases, we will see the gradual escalation of values here in town. But remember, Philadelphia Real Estate values generally don’t skyrocket…they meander up or down depending upon market conditions. This certainly lends  strength to the fact that
“All in All”, the Philadelphia housing market is relatively stable…relatively speaking.

We have not seen the peaks that perhaps NYC, Miami, or parts of Southern California have seen over the years, and in turn, we are not seeing the loss in value as many other big cities have seen over the years.

Be happy you live in Philadelphia.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach Realtors
530 Walnut St. #260 Phila., PA 19106

Check it  out…

Residential Sales in 19146, 19147, 19107, 19106, 19102, 19103, & 19130 – Jan 1-July 15, 2012

Thanks to all for sending me their friends and family looking to buy and sell in town. Much Appreciated!

The Biggest Cheerleader for Condo Living in Center City,
Mark Wade
www.CenterCityCondos.com
Berkshire Hathaway Home Services Fox Roach Realtors
530 Walnut St. #260 Phila., PA 19106

1) The Move-Up Buyer

Ten years ago, these younger Center City folks with growing families would have a child or two, and BOOM- they were destined for the ‘burbs. Not always the case any longer as Center City Condos become more “Kid Friendly” and popular with the younger family set. These buyers tend to already live in town, and simply move into larger quarters, while remaining inside the downtown area.

2) The Out -of -Towners

Becoming much more common than most current Center City owners are aware. These buyers are looking for an urban weekend place. Generally empty nester folks who have done the beach and the burbs, and are now excited about buying their second or third home in Center City. Space is usually not a huge issue for many of these buyers, but walk-ability ranks very high on their list of priorities.  I also find that many gravitate towards less than “full service” buildings as they look to avoid full service condo fees.  And usually (I am generalizing here) will swing more towards hip and groovy interiors.

Mark Wade
www.CenterCityCondos.com
Prudential Fox And Roach Realtors
530 Walnut St. #260 Phila., PA 19106

When you’re trying to make your space more alluring to potential buyers, it’s all about presentation.

Most people know that. Before a showing, they make sure the place is picked up, cart out extraneous furniture and, take out the trash. But what about the lighting?

Lighting is the one thing that can give your condo a warm, inviting atmosphere. Follow the tips below, and you’ll have buyers making offers:

-Use the sun to your advantage. Natural light is an incredibly attractive feature, so use what you’ve got. Trim any outdoor plants that are blocking that sun from streaming in, take down bulky window treatments, and move furniture away from the windows.

-Layers are key. The basics of lighting design involve incorporating at least three “layers” of light in each room. One layer is general lighting – you get that with ceiling fixtures. One is task lighting – that includes your floor/desk lamps and any focused lights such as under cabinet fixtures or desk lamps. One is accent lighting – that’s what will really highlight your decor and bring in the majestic feel. One of the most popular forms of accent lighting is indirect cove lighting via LED light strips installed in a recessed portion of the ceiling.

-Be critical. When you’re selling a condo (this especially applies if you’ve lived in it for years), you have to put yourself in a stranger’s shoes. If you were seeing the place for the first time, what would you think of the light fixtures? It’s easy to accumulate outdated light fixtures and forget to judge them with a discerning eye. Replace any tacky light fixtures with a more contemporary style.

-Go green. Sustainability is such a selling point for potential buyers. They want to hear they won’t get slapped with a huge power bill after move-in. They don’t want to go to the trouble of replacing inefficient light bulbs you installed. If possible, replace light bulbs with low-energy models. You can add it on to the list of benefits you tout to the buyer.

Emily Widle
E-Commerce Marketing Specialist
Pegasus Lighting
P 724.846.5137 x 102
F 724.846.8833
www.PegasusLighting.com
“Unique Lighting Products for Your Special Needs”

Before you buy, Mark Wade of Berkshire Hathaway Home Services  Fox & Roach in Center City, who specializes in low- and mid-rise condos, recommends careful scrutiny of the condo association.

“The association can influence value,” Wade said. For instance, if it doesn’t monitor the owner-occupancy ratio – that is, if there are more than the acceptable number of renters vs. owner-occupiers,  it may make it difficult for a buyer to get financing.

Condos not approved for Fannie Mae, Freddie Mac, or Federal Housing Administration-backed financing are known as “nonwarrantable” and offer few options for buyers or those refinancing.

“This scenario ultimately lowers demand for a building, and reduces resale values as well,” Wade said. “A review of the condo budget, money on hand, and knowing what is included in the condo fees should be considered when buying a unit.”

Click to check out some other articles in which I have been quoted speaking about Philly Condos!

Mark Wade
www.CenterCityCondos.com
Berkshire Hathaway Home Services Fox and Roach
530 Walnut St. #260 Phila., PA 19106

Like Hair-Do’s and Trendy hot spots around town, the popularity and demand for specific Philadelphia condominiums can fall in and out of style. The following ten Center City condo buildings have withstood the test of time, and generally garner more interest from buyers than sellers. Usually noted with low inventory levels, a good track record of previous sales, and/or a strong association, these condos rise to the top of the Philadelphia condo market. In no particular order, here are some notes on what many believe to be the Best Center City Philadelphia Condo buildings:

1. The Ritz Carlton – 1414 S. Penn Square

Towering 46 stories just south of City Hall, The Ritz Carlton houses nearly 300 condominiums in a variety of sizes from one bedroom condos to a jumbo Penthouse- nearly unrivaled in Center City in terms of size, views, and style. With some new pricing, the Ritz Carlton is poised to be 2011 and 2012’s hottest selling Philadelphia high rise. Condo fees are higher than most, but the services and amenities lend credence to the monthly fees. Pet Friendly, tax abated, and Towncar service for residents. Floor to ceiling windows and beautifully finished throughout.

2. WaterFront Square- 901 N. Penn St.

Probably the most overlooked building in town, WaterFront Square offers quiet, water front living in an environment that is nothing short of relaxing. Three towers- The Reef building being the newest and boasts a gracious tax abatement, river front gym and pool, not to mention shuttle service into Center City. Room layouts are well thought-out, and most unit have private balconies. A gated community with on-site management and concierge. Pet friendly.

3. The Hopkinson House- 604 S. Washington Sq.

The “Toyota” of Center City high rise living. Reliable, dependable, good resale, and a strong Washington Square location. Perhaps not high on “Glamour”, but consistently a strong buy in any real estate market. Roof top swimming pool, 24 hour doormen, on site management, garage rental parking, and the building offers Studio, One and Two bedroom condominiums. No dogs. South facing units offer great sun, and north facing units look onto Washington Square. All utilities included in condo fees.

4. The Clinton – 1023 Clinton St.

In terms of low rise condos in town, it is hard to beat the quality and location of the Clinton St. condominiums in Washington Square West. A lovely tree lined street with little thru-traffic, bricked sidewalks and historic street lighting. The condo building consists of 20 units- from one bedrooms to larger two bedroom bi-level units. A few of the condos include parking- and a rental garage sits directly across the street. Lovely interior finishes, and a well managed building. Pet friendly, and attractive rear common garden area. Often overlooked as a quiet, in-town option for condominium living.

5. The Philadelphian- 2401 Pennsylvania Ave.

The largest condominium building in the state of Pennsylvania. Known for it strong management, and services, the building boasts an assortment of activities, services, and on-site retail- including a restaurant, pharmacy, and small super market. South facing units are afforded a terrific view of downtown Philadelphia and the Art Museum, and the Penthouse units are nothing short of mansions in the sky. Condo fees include all utilities, and rental parking- when available is can be found in the lower level of the building. Two pools, and a shuttle into and around town.

6. 117 S. 16th St. AKA- 1551 Samson St.

Truly unique- This six story mid-rise condo building has but one unit per floor. Elevator opens directly into unit. A surprisingly well located building that even many Center City Realtors could identify. A plethora of windows, reasonable condo fees, and extra basement storage. Pet friendly and proximity to shopping and activities in town is strong. Modest condo fees and a fantastic light are the hallmarks of 117 S. 16th St.

7. Locust Point – 2429 Locust St.

With 110 units, on-site parking, and next to the Schuylkill River Jogging Trail, this building really shines. Great value, a terrific sales record, and FHA approved, Locust Point demonstrated it’s desirability by selling out when other buildings in town stood still. Not to mention the integration into a fine residential neighborhood, and proximity to University Of Penn. A great mix of one and two bedroom condos. Common areas have been refinished, and many common elements replaced (windows!) throughout the building.

8.  Saint James Court- Walnut/Locust between 5th and 6th Streets

The perfect cross between a modern townhouse and condo living in a Society Hill locale. Upper and lower units- each with it’s own distinct advantages. Lower units have very nice gardens, and upper units have soaring living room ceilings. Rental parking at Independence Place, and many units face the quiet off-street courtyard. Ranging from 1300+ to nearly 1500 sq ft., every units is a two bed, two bath with a small den area overlooking the living room. All units are bi-level, and even upper units have a balcony/outside space. Perfectly adept at customizing into a modern, or more traditional style, St. James Court Condos were built as a low rise supplement to Independence Place. Nice curb appeal and well managed. These late 1970’s units can go strikingly contemporary, to a more muted traditional feel.

9. The Dorchester- 224 W. Rittenhouse Sq.

Sitting proudly on the southwest corner of Rittenhouse Square is probably one of the best known building in Center City- The Dorchester. With roof top swimming pool, rental garage parking, and variety of sized units, 224 W. Rittenhouse continues to churn up more supply than demand. Units within the building have a tendency to sell fairly quickly and not languish on the market. High floor command strong prices, and have sweeping city views. Twenty Four hour doorman building and on-site management. A smart buy, if you can find a unit to purchase.

10. Acme Piano Condominiums- 201 Queen St.

This Boutique converted warehouse sits in the heart of Queen Village and units rarely become available for sale. All units are of substantial size (2000 sq ft+/-) and most include garage parking. Pet friendly and quiet building noted for high ceilings, over sized windows, and original detailing complement the scale and dimension to the rooms. Nicely finished with upgraded kitchens and baths. This project is approximately seven years old, and a great addition to the neighborhood.

Mark Wade
www.CenterCityCondos.com
Berkshire Hathaway Home Services Fox and Roach
530 Walnut St. #260 Philadelphia, PA 19106

Snarky, yes- But I truly am not a bitter Philadelphia Real Estate agent. Most would agree that I am kinda’ happy go lucky. Except when another agent pees on my leg and tries to tell me it is raining outside. Then I get kinda’ angry. I am not a fan of someone lying, or trying to twist the truth to my clients. And I have listened to my share of crappy real estate sale pitches over the past 23 years, but here are some of the more memorable:

1) “The cabinetry is A Wenge Dutch Maple laminate with a caramelized soapstone countertop”
To Which I respond: PUKE. Could you be more pretentious? Nobody gives a crap for all your
namedropping. The kitchen is small, not real attractive (some would say ugly)…no matter how much fabulousness you try to heap on it.

2) “We are 60% sold”
To which I respond …perhaps you have trouble telling the truth- I know you are lying, and you should know that I am going to tell my customers. I am not on “your” side. I work for my clients.

3) “The Developer said we will not negotiate on the prices”
Tell me if that is the case in 6 months when your bank is putting pressure on you to hold an auction. Actually, in some rare cases, this is true. More often than not, it is BS. I recently got
this song and dance from a high rise in 19103. The one that isn’t selling.

4) “I have a buyer for your condo!!”
I hate it when Realtors send these fake postcards to potential  sellers….trying to induce them to sell/list with whoever is sending the mailer. More often than not, this just a sales pitch.

5) “This condo includes parking”
No it doesn’t. You have induced your seller to buy one year of rental parking down the street, but you want to advertise that your condo has parking- hoping it will draw more attention. That is like lying to your therapist, or saying on eharmony that you are 29 when you are 48.
Do you think the world is full of idiots?- I mean, what is the point of lying here?

Looking for the straight scoop? Let me by your agent and I will sing like a canary! 🙂

Mark Wade
www.CenterCityCondos.com
Berkshire Hathaway Home Services Fox and Roach Realtors

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Mark Wade
www.CenterCityCondos.com
Berkshire Hathaway Home Services Fox and Roach Realtors
530 Walnut St. #260 Philadelphia, PA 19103
215.521.1523  Mark@CenterCity.com

So we hear all the time about the glut of condos on the market. But that is not always true in specific segments of the Philadelphia condo market. For instance, if we look at four very popular existing condo buildings here in downtown Philadelphia we see that the opposite is the case.

According to TrendMLS, on September 20, 2011 there are only three (3) active condominiums for sale in the following buildings:

-The Dorchester at 226 W. Rittenhouse Square

–The Hopkinson House at 604 S. Washington Square

-Independence Place (Buildings I AND II) at 233 and 241 S. 6th St.

-The Wanamaker House at 2020 Walnut St.

So out of nearly 2000 possible available units, there are 3 units for sale. Go figure.

Mark Wade
www.CenterCityCondos.com
Mark@CenterCity.com
Berkshire Hathaway Home Services Fox and Roach Realtors

Like people in a swimming pool, some float, and some sink. The question is why.

Obvious factors are the showing ability and emotional impact that a particular condo unit does or does not possess: cleanliness, natural light, wall color, furniture, even the smell of a condo can add or subtract from the emotional beauty, and leads to a huge impact on a condos value. In my twenty years of selling real estate, I have never had a buyer tell me to find him the dirtiest, or the worst decorated condo available. Easily, as much a ten percent difference in value depending upon showing ability. And of course interior condition can also have a major impact on value. Beige bathtubs and appliances can crimp value fairly quickly in a lot of cases. 

In addition, the physical charactoristics of any given unit can help or hurt the units value (think- huge closets, a tax abatment, high ceilings,etc). Styles, like appliances and carpeting have a tendency to age, and that is usually accompanied by a slower rate of appreciation. Clearly, more recently rehabbed, say, Rittenhouse Square condos are going to retain their value better than a unit in a state of disrepair or decline in its finishes. Also prohibitive condominium association rules and policies can deter many buyers from specific buildings. A host of factors can cause units to sit on the market longer than normal, and almost always guaranteeing a lessened resale value.

Location is also a huge factor to the rate of either appreciation or depreciation. Stronger locations in town 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. Recall the principles of supply and demand. I would argue that a strong location is going to depreciate less -because IF in a weakened marketplace, the first condos to remain unsold are in the weaker locations. (The flip side is that you might be able to strike a significantly improved deal, should you be looking away from an “A” location.)

I am just brushing the surface here, but know that not all condos in town will appreciate or depreciate at the same rate. Or sell within the same given timeframe. The best tools you have to insure your value remains intact is twofold:

1) Buy it at the right price in the first place and/or

2) Keep your unit looking like it just jumped off the pages of Town and Country Magazine.

Easier said than done, I am aware!

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