Blogging lazy. A follow up on the state of the market from the NAR.

I thought I would write a follow up today on my last article about the state of the market. However, I am just going to be lazy and re-post this excellent article from the National Association of Realtors on the current state of the housing market. These are national statistics but I think they do reflect what is happening here in Silver Spring and the DC area. Just add a few points to everything figure that they cite. That is, the market for this area is actually looking slightly better than the national average. Based on this report and the current lack of decent inventory all through the Washington Metro area, I can find no reason why we should not have a very strong market in 2014. I think we might just "blast off." Interested in taking a peek at what homes are selling for in your area. Usually, I put a direct link to my web one web site's search engine. However, I actually have two sites and there is a different search engine on that one powered by Wolfnet. I think it is a great one to use and it has a bit more chrome than my regular engine. Take a look.

Market report. What to expect in Silver Spring in 2014

As we begin to shake of the cold and look forward to the spring selling season in Silver Spring and surrounding areas, I would like to talk a little about where the real estate market is currently and what I look to see coming for 2014. I want to also examine the factors that I think will affect the market in the long term.

Personally, I expect the coming year to be a good one for home sellers and for home buyers. How can that be for both sellers and buyers? Well for buyers, although home values in the area have gone up for the past few years the increases (unless you are looking in DC) have not been dramatic and housing values compared to five years ago still are fairly low. There are not so many "steals" out there as in the past few years but there is plenty of value and I expect any home sold this year to appreciate over time and prove to be a good investment overall. The bad news for buyers is that interest rates have gone up from last year. With the improving economy both locally and nationally it is impossible to sustain the super low interest rates that we have seen in the past. However, rates are not expected to go up sharply this year and should remain in the 4.5% range. This is an excellent rate and well below the historical average for the past 30 years Having worked this business since 1985 I think any rate below six percent is pretty darn good.

For home sellers it should be a good year as well. Homes in Montgomery county are steadily appreciating. Appreciation has been stronger in the western portion of the county but Silver Spring. especially those neighborhoods near the beltway and metro, is doing just fine. Our biggest problem today and this will benefit those who are considering selling is that the inventory of homes on the market is very low. The active homes on the market for this past December was the lowest that I have seen in quite a long time. This translate into demand as the weather and market heats up. I will say this and it was true at this time last year, any home that is in top condition and not overpriced is selling very fast. Multiple price offers are not uncommon. On the other hand, tired homes that have not been updated seem to sit on the market for a very long time. Things have changed and the tastes of consumers has changed with the times. I think most buyers these days are not interested in buying homes that need work and thus are discounting their offers to reflect the condition of the home. To get top dollar today it is very important to take the time and bring your home up to market. If you need some advice about your home just let me know. I will be glad to come out and consult with you about the market and your home. I you would like to do some research on your own, you can go to my IDX search engine and check out the activity for your neighborhood

A visit to the National Park Seminary in Forest Glen

These days the redevelopment of the National Park Seminary is old news to many long term Silver Spring residents. I personally think it is one of the most successful cooperative efforts between developers and the community to both preserve and enhance a historical property that we have seen in a long time. Once an exclusive girls boarding school and then purchased by the army during World War II for the care and rehabilitation of wounded soldiers, by the early 1980s. most of the National Seminary campus had fallen into disuse and decay. It can be argued that the army allowed a local treasure to decay over the past three decades but it is also true that if the property were not owned by the government it would have not been preserved at all and developed long ago into some sort of residential housing.

Two years ago some of the detached homes on the property were placed on the market. All of these unique homes were in horrendous shape and needed total rehabilitation.  Eventually they were purchased and today all save one home have been rehabbed. Part of the problem is that most of these properties were designed and built to accommodate the different sororities at the school and were not designed as residences. As a result most of these homes were not only in poor condition but were what we call "functionally obsolete." due to the floor plans. The challenge was how to preserve the unique interiors while designing  spaces that could accommodate single families.

Did it work? Well, I suggest that you go visit the site and see for yourself. It is a great place to take a walk. The main buildings of the site had previously been converted to condos and now that the single family homes are  restored the place just oozes charm. There is one home remaining that is in private hands and needs to be restored but all others are completed or near completion. A major restoration of the old Gymnasium is now under way. It is a massive project due to the sad condition of the space but should look stunning when it is complete. Forest Glen is one of the nicest communities in Silver Spring and due to the redevelopment of the downtown area home values have been rising at a nice pace.. One of the restored seminary homes (the Swiss Chalet) is currently on the market for sale, and another (the Windmill Home) is offered for rent.  If you have further interest, you can visit my web site to see what other properties are selling for in Forrest Glen and it's surrounding neighborhoods.

Let's talk a little more about radon.

Did you know that for non-smokers radon gas is the number one cause of lung cancer? A while back I wrote a blog post about radon and radon testing in a home purchase. This past December I sold a nice property in Howard County where we had an experience with radon in the well water supply to the home. Although radon can be found anywhere, it is less likely for you to see it in a home in lower Montgomery County. Communities near the Washington Beltway do not commonly see positive radon tests. That by no means does not mean you should not do a radon test when purchasing a home. No matter where you buy a home you should be testing for radon. However, when you go to the northern and western portions of the county and on into Howard, Frederick and Anne Arundel counties you can expect to see a higher frequency of  positive radon tests with much higher levels of gas exposure. The reason is granite. As you go north and west from DC the country tends to become more hilly and under those hills the rock of choice is granite, and granite typically goes hand in hand with radon. The other thing that you tend to find in these areas are homes that are not on public water but have individual wells. And the rule of thumb should be that if you find radon in the air of a home and that home has a well then you then should be testing the well water for radon. A lot of people are mis-informed about radon in water including home owners and more important, Realtors.


Radon in water acts differently from radon in the air. It is not necessarily drinking the contaminated water that puts you at risk. The real  risk with radon in your well water is when the water vaporizes and radon gas escapes into the air of your home. This can happen when you are washing dishes or taking a hot shower. The hot water is agitated and releases radon gas into the air. Not surprising is that the worst culprit in a home is usually the washing machine. Due to the agitation of the water in a clothes washer it is estimated that 90-95% of the radon in the water escapes into the air. The other issue with radon your home water supply is that the highest levels of radon in the air is going to occur at the worst times. That is, when you are home and using water at peak levels. (morning and evening) If radon is released into the air from your water the level of radon and the risk to you can vary. If you have your windows open  and the home well ventilated then the exposure is low but if you are in your shower with the glass doors shut then you are bound to be exposed higher levels of radon gas.

Remediation for radon in well water is not too complicated but it can cost a little money. Perhaps $3,000 to $6,000 so it is important when purchasing a home that you have your Realtor negotiate clear and concise contingencies into your contract for radon tests. Make sure that standard Board of Realtors forms are used that specify exactly what actions are going to take place and are time sensitive. Radon testing in water and correcting any problems with retesting before settlement will take longer than simple home inspection issues. I highly recommend that you make your initial offer with a greater length of time before settlement to allow for this. At least six weeks is a good idea. Unlike radon in the air, there is no standard safe EPA level currently set for public drinking water. However there is a proposed level of 4,000 PCI/L that is expected to become law in the future. Bear in mind that this applies to public drinking water as the EPA does no regulate private wells. However, it seems reasonable to apply this proposed level when negotiating with a seller in a real estate transaction where a well is involved. Below is a good, if not a little scary, informational video on the risks of radon in your home.

Priced out of Washington DC? Did you ever consider Baltimore?

This is the third in my series of articles for those prospective buyers who just can seem to find an affordable home in the District. This time I would like bring up the possibility of  Baltimore  Even though I have called the DC area my home for most of my life, there was a time back before I was a Realtor when I spent ten years as a merchant seaman. My old Union Hall was located near the Old Shot Tower on East Baltimore Street. That was back in the 1970s and 80s and it really was a dangerous and seedy part of town. Some of you are old enough to remember the famous "Block" of Baltimore. Well, things have changed and the area around the inner harbor of Baltimore is very nice these days-drawing thousands of tourists annually and offering a fine walk-able communities featuring excellent dining and entertainment. One of the most beautiful baseball stadiums ever built is located in the downtown area at Camden Yards, I can think of no better place to watch a ball game. Washington DC and Baltimore are like oil and water. It is amazing how two large cities located so close to each other can be so different. While I have always considered DC to be a magnificent and stately city, I have always had a place in my heart for Baltimore which always seemed to have more soul. The first thing that comes to mind is that Baltimore is a blue collar city and there is a lot of history up there to remind you of the town's working class origins.

While not as wealthy as Washington, Baltimore features some really fine neighborhoods and substantially lower home prices than DC. And, if you are working in the DC area, Baltimore is right on the main Amtrak rail line for the Northeast Corridor. You probably can ride the train into the District a lot easier than you could drive from DC's outlying suburbs, and while on the train can get a lot more done with your spare time. Personally, I would find commuting by train a lot more desirable than driving.

While I said Baltimore has a lot of nice neighborhoods to live in, the neighborhoods that come to my mind for those looking for a friendly urban lifestyle would be Federal Hill, Locust Point and Fells Point. All are near the water (and Baltimore's great water taxis) and have a great community feel about them. Baltimore homes in this area are a mix of historic old row homes and modern high rise condos. Both offer a lot for the money when you compare them to similar properties in the District. The old row-houses are quite nice. They tend to be narrower than DC row-houses with narrow staircases but have the same historic charm. The roof top deck which is beginning to gain popularity in the District has been a staple of the Baltimore scene for many years and it seems like a lot more homes have them. You can expect the cost of living to be much less in Baltimore.I highly recommend that you think about Baltimore if you are about to give up your search in the District. You can check out my own website and  my  free search IDX to see some of the properties for sale in the downtown Baltimore area. I am sure you will be pleased.