The Seattle Condo Blog

The Parc condominium in Belltown is currently offering a pretty good rate buy-down promotion on their remaining homes. Based on the rate info they provided, the 2/1 buy-down can lower the rate down to 2.875% for the first year, then 3.875% the second year, finally locking in at 4.875% for the remaining loan term (30 year fixed).

The promotion runs for a limited time but is available to any of the remaining 20 homes that’s under contract by February 28, 2009. The buy-down rate, which is subject to change, is based on a 30 year fix loan with 10% down payment through their preferred lender, Countrywide. It does not apply to re-sale properties.

As an example, the Parc currently has a 1,237 square foot 2-bedroom unit available for $429,000. With the rate buy-down the first year’s payment would be around $1,600, excluding PMI and taxes.

Late last year Belltown welcomed the completion of two condominium projects – The Parc & Mosler Lofts. With resale units in both projects hitting the market, it’s as good a time as any to take a peek at what investors are looking to score.

The Parc
To date, there have been nine resales at The Parc; seven are active listings and two have sold. The two resales garnered a 12.4% & 13.9% increase in value over their pre-sale price, respectively. That’s a decent return given Belltown’s slowing appreciation rate which dipped into the single digits in 2007.

Here’s a look at the seven active resales (information subject to change). For the most part, the sellers are realistic. Though, I anticipate more resales popping up which will likely suppress values over the short term.

Mosler Lofts
As of today there are eight resale listings at Mosler Lofts (competing with eight developer listings), one pending transaction, and one sold resale unit. The owner of the unit that sold realized an 11.9% return on their pre-sale investment. I’d expect a higher rate of return, however, this was the first resale to sell and the seller was an agent.

Most of the owners actively flipping are hoping for higher returns. The list prices are not unreasonable for a new concrete & steel building in Belltown. Though, a few seem unrealistic given the current market conditions combined with the characteristics of their specific units.

Here’s a look at the eight active resales (information subject to change).

The Parc, currently under construction, is a two-tower residence on 1/2 a city block in Belltown. It sits on Western, between Clay and Cedar and a short walk from the new Olympic Sculpture Park. To the east is an office building and Avenue One. Avenue One will block the views of most of the east-facing units in the North tower. Conversely, when completed, The Parc will block the expensive water views in Avenue One. The Parc’s grand entrance is on Western across from the Vine Building.

The Parc’s amenities include a 24-hour concierge, a 3rd floor garden courtyard, expansive roof top deck, a state of the art fitness center and an owners lounge with a catering kitchen and entertainment system.

Click here to check to see if any units are currently available in South Tower.

Click here to check to see if any units are currently available in North Tower.