Building Up : A Look at Bend Developments in the Pipeline

 
 

The City of Bend is quickly becoming just that: a city. As what was small town just 30 years ago metamorphosizes into a small city, it comes with distinct growing pains as more and more people try and find space in a fiercely competitive housing market.

Bend historically has been made up of single-family homes, but as costs rise and the population grows (and the state relaxes zoning codes to foster more multi-family housing) the City is attracting more large developments. But there are several obstacles these developments must navigate before breaking ground. Here’s a look at some of the bigger developments in the works.

Box Factory

In 2016 Bend re-zoned what it called the Core Area for more urban development. In short, buildings could be taller and could house both commercial and residential uses. “I would say the Box Factory project is completely aligns with that, they’re proposing five to six stories, a mix of residential and commercial or retail uses,” said Allison Platt, the Core Area project manager with the City of Bend. “We really see that as being kind of exactly what the vision for this area would be that would accommodate both future housing and employment growth and more of an urban scale development.”

The 300-unit development from Portland-based developer Killian Pacific is in its pre-application phase, meaning it has submitted a proposal to the City but hasn’t started a formal application. The ground floor will be dedicated to retail and the others will have one, two and three-bedroom units. Platt said the developers have met with local stakeholders and have gotten generally favorable feedback.

“My understanding is that the Old Bend Neighborhood Association and the Southern Crossing Neighborhood Association are excited about the project but concerned about transportation. impacts from those projects,” Platt said.

Transportation impacts can often be less drastic than neighbors expect. Platt points to the relatively minimal effects on traffic from the 240-unit Hickson Apartments at Westside Yard, which concerned a lot of nearby residents but hasn’t led to massive traffic jams.

“They’re just wanting to make sure that there's an overall transportation plan for that entire area, because there's the need for a new East/West collector and a North/South collector,” Platt said. “There's a desire for a mobility hub for our transit systems we located in this area and then the goal for multimodal travels by bike and ped improvements to be considered.”

Blue Dog RV

Bend-based developers Brooks Resources Corporation proposed a five-story, 169-unit mixed use building on Franklin Avenue that’s currently the home of Blue Dog RV.

“The plans include a number of key amenities, including a variety of unit types from small studios up to two-bedroom units, a dog park, brewery, outdoor gathering space, retail and more at the ground level,” said Dale Van Valkenburg, Brooks Resources director of planning, in a press release. “In addition, our concept includes secure on-site parking for each unit as well as an existing CET [Cascades East Transit] transit stop adjacent to the building entrance that will be enhanced through the project.”

The project is still in the pre-application process, and needs Brooks Resources’ Board to submit a formal land use application before moving forward.
“It's a $38 million investment on their end. So they want to move forward, but there's a lot of risks. I think that they are still looking for the City to signal some infrastructure investments that we could make on Franklin Avenue to help them feel more comfortable with moving forward,” Platt said.

Hooker Creek

Bendites are wary of Californians moving in, but what if they bring apartments, affordable senior housing, homes, offices, a hotel and retail space? Well that’s what Beverly Hills-based developer Kennedy-Wilson plans to do on a 21-acre site owned by Hooker Creek, a Bend-based construction material company. Hooker Creek used the property to store construction vehicles and RVs until a roof collapsed under heavy snow in early 2017.

“They're looking at over 1,000 units between those 30 acres,” Platt said.

The property is located just south of downtown Bend and adjacent to the Old Mill District east of the Deschutes. Kennedy-Wilson said the development will align with the goals set in the Core Area Plan adopted in 2020. The land was just purchased on New Year’s Eve, and plans are still being developed, but the developer said they’re aiming for a vibrant, connected and walkable community.

Developing Hooker Creek brings a different challenge than infill projects that typically build up in areas with existing infrastructure. There’s a significant amount of infrastructure that needs to be built before breaking ground.

“There’s a pretty robust process where they’ll work with the City for up to a year to develop their site plan concepts with the City, what their transportation network will look like, what their roadway cross sections look like, how they'll be developed, how wide will their sidewalks be and where will the bike lanes be,” Platt said.

Developing infrastructure is one of the biggest barriers to urbanizing Bend, and not just for Hooker Creek. On Bend’s far-east side, the Stephens Road Tract offers 261 acres where the City hopes it can build housing to address the rising cost of living, and developing infrastructure is key to its creation. Project coordinators are in the outreach process, and concept plans are scheduled to be drawn up by May.

Read more on The Source Bend.

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5 Ways to Trick Yourself into Decluttering Your Home

 
 

While there are some people for whom a good decluttering session sparks joy, there are other people who need to tricked into tackling that unwieldy pile of papers or that overstuffed front-hall closet. This post is for the latter.

Here are five decluttering hacks for people who don’t like decluttering.

Invite Guests Over

My favorite decluttering hack is to invite guests over. It can be for any reason, but knowing people are coming to the house is all the motivation I need to flatten all of my Amazon packaging, sort and fold the clean laundry, and go through the mail, so I’m confident there’s some equivalent decluttering task that you will be inspired to do before your friends or family arrive.

P.S. If you have a junk room or closet where you usually throw all of this stuff when people are coming over, please don’t do that this time. The whole point of this hack is to help you declutter, not help you create a nagging nightmare down the hall. 

Pretend You’re Moving

My father served in the U.S. Air Force for most of my childhood, so we moved every third June, ready or not! Our home stayed clutter-free in large part because of these frequent PCSes (permanent change of station). There’s nothing like having to wrap, pack, and label every little thing you own to make you want to burn it all in a dumpster!

Lucky for you, you probably don’t have to move in the middle of your high school career like my sister and I did. But you can use this concept, i.e. pretend you’re moving, to get rid of a lot of weird clutter you are holding on to. If you don’t love an item enough to wrap it up and carry it up and down the stairs, it’s time to say goodbye. 

Take a Photo

Once it’s been there for a long time, clutter can become invisible. The secret to making it more visible? Take a photo and then go into another room, or even another building, and pull up the photo on as large a screen as you can find. 

This removed point of view should give you a new perspective and increased objectivity. You may find yourself thinking, How did I not see this unsightly thing here before? and promptly getting rid of the offensive item.

Ask Your Type-A Friend to Help

If this photo trick feels too abstract for you, you may prefer this method: Ask your Type-A friend to help you declutter. You can tell them your objective and leave the room, or you can stay and help; either way, trust their fresh eyes.

If you’re nervous that they’ll get rid of something valuable, you can ask them to put anything they remove in a laundry basket for you to assess. It’s up to you if you want to move these items to a storage area or get rid of them.

Turn Off Phone Notifications (and Set a Timer)

I like to believe I’m pretty focused and good at finishing what I start. But let me tell you something: I am no match for pretty pictures on Instagram or a juicy text from a friend! Turning off phone notifications helps me to do everything faster, including decluttering.

When you’re not distracted, projects take so much less time than predicted. Don’t believe me? Set a timer for 10-15 minutes and see how much you’re able to get done.

Get more tips like this.

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Turnkey Home vs. Fixer-Upper: Which Is Best for Investors?

 
 

Investing in the real estate market by buying and renting homes is one of the best ways you can grow your income on the side. However, buying a new home can be daunting even if you’re not planning to move into it.

If you’re thinking about investing in your first rental home, you may be wondering what kind of property makes the most sense for you. Here are seven tips to help you decide whether a turnkey home or a fixer-upper is best for you.

Personal Goals

Although there are many factors to consider, it’s important to start by clarifying your goals for this project. Take some time to consider why you want to be a landlord. What goals are you trying to achieve? How will this step change your life?

Once you’re clear on your goals, you’ll have a roadmap that can help you evaluate the pros and cons of turnkey homes versus fixer-uppers. Write down your goals and keep them in a prominent place so they’re fresh in your mind for the rest of the decision-making process.

Total Costs

Cost will be a major factor for which kind of home is right for you. Although real estate prices vary by location, turnkey homes are generally more expensive to purchase than fixer-uppers. The high cost is a trade-off for having less work to do before you can start renting.

Many homeowners who want to rent start with a fixer-upper and invest in it before they start renting. Both methods can be profitable, but which is most profitable depends on many different factors. Before making a decision, you should do extensive calculations and research to ensure you’ll make a profit.

Financial Aid

Most homeowners who want to rent don’t have the means to purchase a rental property outright. For turnkey properties, you can apply for a typical mortgage loan. There are many loan options available for turnkey properties, including 15-year fixed and 30-year FHA loans. After you’ve completed the purchase, rent payments should more than cover the mortgage cost.

You can also apply for a conventional mortgage to help you purchase a fixer-upper. However, most people who buy fixer-uppers prefer loans that cover both mortgage and renovation costs. These loans may have restrictions on how renovations are done, but they make the process more affordable for homeowners.

Sweat Equity

Turnkey homes get that name because they’re completely finished–all you have to do is turn the key and walk in. Since any remodeling or updates are done before you buy the property, this kind of rental requires very little work from you. Additionally, the work of finding renters and handling daily issues is usually done by a managing company that you partner with.

In contrast, fixer-uppers are a lot of work. Older homes may be missing important modern amenities, and they may contain toxic materials that you’ll need to hire professionals to handle. To streamline the process, find a trustworthy contractor who can reduce your workload.

Tricky Timing

Timing is another factor to consider before you decide which type of property is best for you. Since turnkey homes are ready to go when you buy them, you can start renting and earning income very quickly after you complete your purchase.

However, fixing up a home typically takes anywhere from three to nine months, depending on how much work you need to do and how much time you have available to spend on the project. If you’re working a full-time job, it may take longer to complete the renovations, find a renter and start making an income.

Market Impact

The housing market is always fluctuating, and it will affect the cost and availability of what’s on the market. As of February 2022, the U.S. has been experiencing a seller’s market for several years. This means the supply of homes is low, demand is high and sellers have the upper hand in transactions.

In a seller’s market, turnkey properties are more expensive than usual. Many homeowners are turning to fixer-uppers as a cost-effective option in the current market. However, supply chain issues also mean lumber and other building supplies are costly and sometimes unavailable. You should consider the market and supply availability in your area before committing to a project.

Phase of Life

Don’t forget to consider your phase of life. Think about your current responsibilities and whether flipping a house makes sense for your life right now. If you're working a full-time job and raising kids, a turnkey option might be better for you.

It’s easy to romanticize fixer-uppers, and it feels good to restore the value of something that’s run-down. However, fixer-uppers are a lot of work, and it’s important to be realistic about whether that’s where you want to spend your time. On the other hand, if you’ve weighed the cost and are still interested, flipping a home may be the perfect way to reach your goals.

Consider Your Options

Choosing the right property for your goals isn’t a one-size-fits-all approach. If you’ve got the time and can afford to wait on rent, a fixer-upper may be best for you. Conversely, a turnkey property is ideal for those who want to be more hands-off.

Use the tips listed above to help you determine whether a turnkey property or a fixer-upper is the best way for you to start investing in real estate. Both types of properties are an opportunity for you to build your income and expand your experiences.

Keep reading on RISMedia.

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What Does an Appraiser Do?

 
 

When you’re considering buying a house, there are two sides to the story: the seller’s asking price and the actual value of the property. This is where an appraiser steps in.

Is the new home you’re looking at priced too high? A real estate appraisal can let you know whether the amount being asked is a fair purchase price.

Here’s more on the home appraisal process, so you can learn the true value of your future home.

What does an appraiser do?

An appraiser’s job is to determine the current value of a property for the potential buyer. Most of the work to determine the value of a real estate appraisal is done during an on-site inspection, where the appraiser will:

  • Conduct a room-by-room walk-through to appraise the condition of the interior

  • Walk the length of the real estate property for an appraisal of the condition of the exterior

  • Appraise the value of any amenities, such as a swimming pool, finished basement, or built-in bar

  • Note any health or safety code violations for the appraisal report

  • Record the layout of the property, inspect the square footage, and determine whether or not it’s a single-family dwelling

  • If you’re buying commercial real estate, a property appraiser may conduct a business valuation to determine market value in much the same way.

Off site, the appraiser may also evaluate the current real estate market, considering comparable properties in the neighborhood, to help evaluate the home’s value or fair market value of the property.

A home appraiser will report on the value of similar properties in your area, so you can determine whether your upcoming real estate transaction is a smart one.

How do you know if an appraiser is qualified?

Typically, your lender will choose an appraiser. The appraiser should be licensed by the state or have other certification—the Appraisal Foundation, for example, has been authorized by Congress to set qualifications for becoming an appraiser. However, not all states require appraisal certification, so do some research into appraisal value before you start.

Who hires the appraiser?

Usually, the lender or financing organization will hire the appraiser. Because it’s in the best interests of the lender to get a good appraisal, the lender will have a list of reputable appraisers it has hired in the past to discern the value of a home.

Who pays for the appraisal?

The loan agreement normally contains a set value for the appraisal of property. Whoever takes out the loan pays for the appraisal, unless the contract specifies otherwise. Then the buyer pays the appraisal fee in the closing costs. If the sellers are motivated, they may pay for the appraisal to back the asking price, which benefits the buyer by reducing closing and transaction costs.

The lender may not adjust the fee after hiring the appraiser. Expect an average range of $300 to $600, depending on the size of your real estate, property value, and location. Different types of appraisal report take various amounts of effort, which may affect the price.

How long does an appraisal take?

One or two hours is the average time spent for most property appraisals. You should receive the report in an average of three to seven business days. The amount of time it takes to complete an appraisal can depend on the type of report, the size of the property, and other factors.

What are the benefits of an appraisal?

Think of the appraisal as an investment of your time, money, and effort. It is important to know what your house or real estate is worth, and an appraisal will help you get your loan approval. Hopefully, this step and the rest of the house-buying process will go smoothly.

Get more info like this on Realtor.com

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Are Accessory Dwelling Units Worth It? The Pros and Cons of Buying a House With an ADU

image courtesy of Building an ADU

As home prices continue to rise and inflation sends the cost of daily living into the stratosphere, more people are looking for simple ways to make paying the bills easier.

Many homebuyers are hoping that accessory dwelling units, or ADUs, do just that. At its most basic, an ADU is a separate living space on the same property as the primary residence. The ADU belongs to the main property owner, and as such, is generally required to be sold with the main home in one package.

ADUs have been gaining in popularity in recent years. The number of first-time listings with an ADU has increased in the past decade, growing 8.6% on average per year, according to a recent Freddie Mac study. The study found that close to 70,000 properties with an ADU were sold in 2019, compared with only 8,000 properties in 2000. And the ADU trend seems to be hitting the hardest in the South and the West, with double-digit growth in Portland, OR; Dallas; Seattle; Los Angeles; and Miami.

But is the ADU a savvy solution to the housing and money crunch? The short answer: It depends.

Below, we break down the most important details to consider before buying a home with an accessory dwelling unit that you plan on renting out.

Pros of buying a house with an ADU

The most obvious benefit of buying a home with an ADU is the passive income it generates. The amount of income will vary depending on where it is located and the rental market in the city. Keep in mind that some of that income will need to go toward any necessary repairs and cleaning fees if you’re renting it out for short-term use on sites such as Airbnb.

An ADU can also add value to your home. According to Porch, homes with an ADU are priced 35% higher than homes without one. Even if it’s not being used as a rental unit, an ADU can be used for guests or family members.

Cons of buying a house with an ADU

There are a number of costs and responsibilities involved in owning a short-term rental unit, which eat into the passive income the ADU generates.

“Maintenance, repair, and renovations are just the start,” says Ben Wagner, real estate investor and house flipper at Leave the Key in Amityville, NY. “Landlords must also take into account miscellaneous expenses like insurance coverage and cleaning fees.”

(Insurance for additional structures can be covered by most homeowners insurance policies and, at most, would cost in the low hundreds.)

Supples and cleaning costs will vary. If you are renting out the ADU for short stays and need to pay to have it cleaned and stocked with basic supplies like paper goods and hygiene products, you will want to earmark $2,500 per year.

Aside from costs, operating an ADU can also affect the homeowner’s lifestyle. Your renter will require access to certain parts of your property, so you want to make sure you feel safe with renters coming and going as they please.

“An ADU has the potential of completely disrupting your privacy,” says George Beatty, founder of Problem Property Pals in Philadelphia. “That’s not everyone’s cup of tea.”

ADU rules to keep in mind

So you’ve crunched the numbers and decided the additional income will be a net gain. But before pulling the trigger on operating an ADU, you should know that state and local rules about ADUs and vacation rentals vary considerably, and new rules are issued by municipalities every day. To avoid costly surprises and keep your operation above board, be aware of your region’s zoning requirements, dwelling laws, and taxes.

“You have to make sure the property has been appropriately zoned for an ADU,” says Rinal Patel, a licensed real estate agent and co-founder of We Buy Philly Homes in Philadelphia. “And it’s critical to ensure that the property has the necessary permits in place.”

It’s also important for homebuyers to know that regulations may change.

“In DC, for example, new rules went into effect this year restricting and regulating short-term rentals,” says Amber Harris, a real estate agent with Keller Williams Capital Properties in Washington, DC.

You also don’t want the money generated from your ADU to be your primary income.

“I always advise buyers to make sure they’d be able to carry on if something took that rental income away,” says Harris. “The [COVID-19] pandemic has shown how things outside of our control can change market dynamics, and local regulations can change quickly.”

Learn more on Realtor.com

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