Philadelphia Real Estate Blog

Everyone thought Bob and Suzie were nuts to abandon their beautiful suburban oasis, replete with ducks flying to and from the pond, for a 17 foot wide row home in Philadelphia in 1992. A row house with no parking and no more than a small square slab of cement to call a back yard and four stories from basement to top floor.  Their move signaled a shift in the residential paradigm. Their parents left the city after World War II, and come hell or high water, they weren’t coming back. But Bob and Suzie think of themselves as far to cool and hip to spend their days in a five bedroom ranch house with a half acre of land, and a basement full of tools and half used accouterments. Remember, they are the generation that said words like “groovy”, and “right on”. The idea of never owning a lawnmower, or a garage full of half used brooms and shovels, appeals to many empty nesters. No more yard work, no more owning more than one car, and no more having to repair the roof. The thought of new surroundings, in a new luxury condominium, with much less responsibility (and therefore more freedom) is again very appealling.

Baby boomers, becoming empty nesters provided the fuel needed for many new projects that have recently been added to Center City’s skyline. Buyers of many luxury Philadelphia condominiums have made wonderful gains in the last twenty years, with respect to their real estate investments. Without the burden of private schools for the kids, the kids, and often during prime earning years it is the Empty Nesters’ turn to treat themselves, and the developers of many condominiums have positioned themselves to take advantage of that market.

The perception that downtown Philadelphia has really come a long way over the past twenty years.  Our City is cleaner, safer, and culturally more adept -are all reasons that contribute to the lure of the empty nesters. From friends who have also made the move, to museums, restaurants, shopping, and the bike trails up the Schuylkill river, Philadelphia is shaping up to be a fine residential attraction, and empty nesters have taken notice. And to think that Northern Liberties is now the place to see and be seen. Who would have thought?

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

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There are clearly a number of condos for sale in Philadelphia. Duh. But what about the unmentioned “Shadow Inventory” that might be creeping up on us all? Shadow inventory, in my mind, are the condos that are part of some non-performing new developments here in town. There are a number of buildings with a hefty amount of inventory that has been sitting for quite a while, and is not selling. And the bulk of it is high rise condominiums - in generally what most buyers term as “B” locations.

IF A BUILDING HAS NOT BEEN ABLE TO SELL 70% OF ITS UNITS IN SAY 3 YEARS- THE PRICES ON THOSE AVAILABLE UNITS AREN’T GOING TO RISE ANYTIME SOON.

Prices  have a tendency to come down in such situations. Sometimes a new buyer will come in and buy the inventory in bulk, sometimes a condo auction will reset the pricing structure, and sometimes the buildings become glorified rental buildings- which simply postpones the inevitable price restructuring in the building (Delay and Pray).

Will Center City’s Shadow Inventory Come back to Haunt the Pricing Structure for Condos in this Segment? Will Philadelphia Condo Buildings that are viewed as substitutes for this shadow inventory suffer as well?

Stay Tuned..I’ll tell you what I think.

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

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I recently sold an Old City condo to a physician. Great guy who knew what he wanted, and finding him the right condo was not an issue. We had fun, and he found something he really loved. And let me tell you- this condo rocked. All Good!

However, he wanted to do some Cock-a-mamie type of loan that I was sure would fall flat and go nowhere. Oh yes, my big-brain was sure this deal was going to suck.

However, I was proven wrong, and the deal actually was quite smooth. He applied for what is known as a Physician Loan, and was able to get a JUMBO mortgage (one over $500,000) with just 5% down- you heard me

Here are the basics that were offered by John P. Wagner, Sr. Loan Consultant from Tower Mortgage Corporation – 1.800.918.5400 – and he was great by the way.

He can offer zero down to Physicians with no PMI -
FYI, zero down to $500K, 5% down $500-650K, 10% down $650-850K, 15% down to $1M

The theory is that since they went to school for sooo long, and have a very LOW default rate, there are lenders that will bank on them with little down.

So if you are a doctor, give me a call, and lets find you the perfect Philadelphia Condo with little down!

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

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In the current real estate climate, getting a buyer and seller to agree on a price is tough enough. But that isn’t the toughest part of real estate today. I find that the most difficult aspect of my job as a Center City Real Estate agent is getting the deal done in terms of jumping through the hoops set forth by the mortgage company.

First the appraisal, which is becoming difficult, as I see very few lenders willing to be anything close to generous with the numbers they conclude to be the value of any given condo. I am not going to argue who is right and who is wrong here- suffice to say that hitting the needed number to make the appraisal work is more difficult than in the “Good Ole’ days”…..
Next, the condo has to fit the mold that the mortgage companies seem to favor- and just to list a few of those attributes:

1) Does the condo have enough owner-occupants as opposed to tenants?
2) Does the original developer hold more than, say 10% of the unsold unit?
3) Is there a reserve fund set up to put some money aside within the budget of the condo assn?
4) Has the association been turned over to the owners, and for a minimum of two years?

These are just a few of the hoops that not only YOU, but the condo you are buying MUST jump through in order to be approved for a mortgage. And this is just the tip of the iceberg.

Looking for help in determining your best strategy for obtaining financing for a Philadelphia condo you may find in the Center City condo market? Lets chat about some of the pitfalls and hoops!

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

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As a veteran Philly real estate agent, I find sooooooo many buyers here in town are visually motivated. Yet visualizing color, texture, furniture placement, and implementing solutions to visual challenges, are often the most difficult hurdles to jump when trying to emotionally put themselves inside a new condo here in Philadelphia.

  
I see so many buyers react to staging, wall color, furniture design, and layout, that the power of a well done model home cannot be overstated. Just look at Toll Brothers Naval Square Condos which do a fabulous job pulling in your emotions by allowing you to leave nothing to the imagination. I see my buyers react, and they are like “WOW”.

If you are considering buying, I suggest we sit down and chat about your visualizing skills. And lets see which units in town may be a good fit for you.

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

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…qualities in a condo for those looking to downsize in Center City:

1) A walkable location to restaurants, the arts, and “things to do”

2) One Level Living

3) Parking

4) A safe neighborhood

5) A guest bedroom and a guest bathroom

Now certainly not all Center City condo buyers looking to downsize in a condo in town are created equal, nor do they all have the same wants and needs. But based upon my 21 years experience selling condos in Center City Philadelphia, I would have to suggest, if pressed, that the above 5 qualities in a condominium are heavily favored by a lot of folks moving to town.
Thinking of a move yourself? What are your priorities?

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

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 I can neither confirm nor deny, but here is what I have heard over the past 21 years of selling Center City condos for sale:

1) The developer of the Philadelphian was so distraught over the perceived success of his building, that he jumped off the roof. 2401 PA. Ave is of course a hugely successful building today in terms of occupancy, resale prices, etc.

2) One of the developers of 101 Arch St. was killed at the opening ceremonies when a large chunk of the facade came crashing down. The Smythe Stores in Old City has a gorgeous historic facade.

3) Society Hill Towers was such a miserable failure when built (as apartments) that they couldn’t pay their electric bill.

4) The townhouses at 10th and Lombard (Society Square) were built upon an old graveyard.

5) Cianfrani park in Bella Vista was known as “Dead Body Park” because the mob would repeatedly dump bodies there after being successfully whacked.

Now I am sure some of these are pure bullshit, but they do make for interesting reading.  Want to unravel the mysteries of your condo? Call me at 215.521.1523 and lets chat!

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

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…in terms of buying Philly Condos?

OMG…I just did a deal in which the buyer of a Center City Condo was her own worst enemy in the deal. It was rather shocking….I thought 21 years experience would insure that I had seen it all- but this deal was a ball-buster. And I thought I was the crazy one in the bunch! The buyer just kept creating problems….for issues that were remote, and minuscule. After a week of haggling, the deal finally got signed- but not without significant arm twisting (reasoning).

Case in point-  Who gives a crap if the seller refuses to leave the curtain rods….are you kidding me? Am I on one of those hidden camera shows?  You mean to tell me that you are going to walk away from a $500,000 condo it took you six months to find because of a $100 detail?   Think about it…..are you nutty, or are you certifiable?

Keep your eye on the big picture….that’s my advice. Let go of the little details, and keep your focus. Too many times, I find that buyers and sellers are just in it to cause the other side pain, without regard to their own time and efforts….and long term happiness. So when negotiating, it is sometimes helpful to take a step back, and look at the big picture. Like a marriage, real estate transactions are all about giving and compromising…even when you think you are doing the lions share of the work!

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

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I get this question regularly from folks looking at condos for sale. The answer is yes and no. Philadelphia city code does not allow gas or open flame bbq grills on any outside balcony of any condo building. And most condo associations will mention that fact in their condo docs.

However….some associations will allow an Electric Grill….just not briquettes or gas grills.  I have seen some really cool electric outside grills…the assortment offered at many suppliers is growing in terms of quality and size. So do some looking around…and remember, just because you now live in a Philadelphia high rise condo, you may not have to give up your rights to BBQ!

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

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I don’t give a crap- I live in a condo and don’t own a snow shovel…

And I don’t need to stock up on milk and bread with the impending onslaught of a winter storm. I live in Center City, and the little corner grocery stores are always open in any  blizzard, as are almost all the restaurants. And who needs to shovel out the cars- there are plenty of taxis that will do my driving for me.
 
If you live in one of our fine suburbs- be it Gladmore, Havernova, or Bala Who-Knows-Where, and are getting tired of having to deal with the weather,or perhaps you own one of those lawnmowing things that I understand are used to cut grass (I have only heard of such contraptions)-Then isn’t it time you simplified and let someone else do the unpleasant tasks in life?
 
Yeah, I am a Center City Condo snob. I know it, and am kinda’ proud of it. Riding on a train to work, or driving on the Schuylkill isn’t something that is a part of my life….and the business of owning more than one car?! Uh, no thank you.
 
Want some bragging rights too? Then drop me a note, and lets chat. Lets get you into town, and into a more simple life. Membership into the “I am a Center City Snob” club is free

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

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