Frequently Asked Questions
What is the construction timeline and targeted occupancy dates for The Neighborhood Collection?
Each property within The Neighborhood Collection is expected to receive Certificate of Occupancy by October 2018, with closings occurring immediately thereafter. Reservations holders will be permitted to tour the subject property in advance of the building completion subject to completing a waiver of liability, which is standard when participating in hard hat tours.
What is the sales process for The Neighborhood Collection?
The seller will complete the Public Offering Statement and related disclosure documents to enter into Purchase and Sale Agreements prior to completion of the project (“presales”). Prior to the commencement of presales, the seller will not accept or execute any purchase and sale offers; the seller will, however, enter into Reservation Agreements with members of the public starting on September 15, 2018 at 11:00 am PST.
What is a reservation?
A reservation is a private agreement between the seller and the prospective buyer to grant a first right of opportunity on a particular home within a stated price range. This is effectively a presale of a presale because it will identify the unit and a price range, while including reference information such as the preliminary floor plan, preliminary floor area and estimated finish specifications.
What is the benefit of a reservation?
A prospective buyer with a reservation will be in a preferred position to purchase the identified unit within a specified price range without the risk associated with multiple offers, price escalation or missing out on a home purchase within a competitive market. The reservation program is offered as a convenience to buyers (and to the seller) that are prepared to secure a home for future purchase using preliminary information. Unit reservations are quick and simple to execute and allows the buyer adequate time to review the opportunity and secure financing approvals prior to making a firm commitment to purchase.
What does it cost to secure a reservation?
A reservation requires a $5,000 fully-refundable deposit that is held in escrow with Ticor Title. A prospective buyer (or seller) may cancel a Reservation Agreement at any time without penalty by providing written notice to the seller and escrow agent.
When can I explore price ranges and availability?
Prospective buyers visiting the Neighborhood Collection Sales Center will interact with the availability chart, indicating which homes are available and which homes have a first, second or third position on them. When a desired home is selected, the Sales Team will request a price range quote for the property and pull the contract file to work with you to secure a reservation. Once a contract file is being worked on, it will be impossible for another prospective buyer to reserve that home, however time is of the essence. The Sales Team is not permitted to pull multiple files at a time.
May I reserve more than one home?
Yes, provided that only one home will be in a first-priority purchase position. The seller is allowing multiple reservations with the understanding that a buyer’s preferred home plan may not be available at time of reservation, but may become available if the first-priority reservation holder declines to purchase. Please note that upon mutual acceptance of a Purchase and Sale Agreement, any additional reservations held by the buyer will be cancelled by the seller. The seller is not currently allowing reservation holders to buy more than one home per building.
What inventory will be released for reservation?
The seller intends to release all units, but reserves the right to control the inventory.
What if my preferred home is already reserved?
Prospective buyers are encouraged to secure a backup reservation on another preferred home, in a second or third position, in addition to their first-position reservation. This approach ensures that at least one opportunity to purchase is presented when the seller moves forward with presales.
What’s the likelihood that a second position reservation moves up in priority?
This is completely subject to the first position reservation holder deciding to move forward or not. However, if the prior holder doesn’t meet certain financing pre-qualification standards, the prior reservation will be canceled and the second position will automatically move forward to a first position. The Sales Team is very experienced with using reservations and has processed hundreds of successful sales on this program. Generally speaking, about 75 percent of reservation holders move forward with purchasing, so there is usually opportunity and movement within the inventory over time. The Sales Team may also approach you with an alternative opportunity matching your preferences.
Can I be placed on a waiting list for available homes matching my criteria?
Certainly! The Sales Team will use best efforts to maintain a priority list of prospective buyers for certain home types, but will also prioritize second position reservation holders to move forward on first position opportunities, even if the units are different. Generally speaking, this reservation process rewards prospective buyers on a first-come, first-served basis. It’s a good idea to secure a back up reservation to ensure your preferred home is offered to you in priority sequence, rather than relying upon call downs on an interest list.
Do I need to be prequalified to reserve a home at The Neighborhood Collection if I’m planning to purchase all cash?
No, prospective buyers paying with cash are not required to be pre-qualified by a lender. However, prospective cash buyers must be able to provide verification of funds in excess of their intended purchase price within (7) days after mutual acceptance. Prospective buyers using financing are required to be pre-qualified by HomeStreet Bank within (7) days after mutual acceptance, and conclude said pre-qualification within (14) days, total, of said date, even if they have already been pre-qualified or pre-approved by another lender.
May I be represented by my real estate broker?
Of course! Simply register your real estate broker on the website at www.NeighborhoodCollection.com and the Sales Team will keep your broker informed of the reservation and sales process. Brokers can also register their buyers. Alternatively, The Neighborhood Collection will have brokers available on site to assist you with your reservation and purchase and sale of your current home, if desired. Brokers representing buyers unable to attend the event must be registered, alongside their buyers, 24 hours prior to the event.
Can I add my real estate broker later to my reservation?
No. The registration policy requires all brokers to be registered at www.NeighborhoodCollection.com prior to the event, even if they are in attendance with you during your reservation.
Can my real estate broker represent me during reservations if I’m unable to attend in person?
Yes. Your broker will need to attend in person and bring with them your payment, a copy of your identification and your signature on the Reservation Agreement. Your broker will need to be in communication with you about the available homes and select for you. The sales team will be observing one person, one unit and one reservation at a time.
Can a real estate broker represent multiple clients and multiple reservations during a single visit?
No. The Sales Team will distribute line priority numbers to each buyer, indicating the order in which buyers and brokers will be admitted to the Sales Center and does not indicate reservation order. If a broker is representing more than one buyer, he/she will be required to return to the Sales Center with each buyer when it is their turn to reserve. Once buyers and brokers are admitted to the sales floor, reservations are being offered on a first come, first served basis. The only exception to this rule applies if both of the buyers represented by a single agent are admitted to the Sales Center at the same time.
Can I send in my Reservation Agreement and deposit in advance or call in my preferences?
No. All buyers and/or brokers need to be present during the reservation event to select their desired home from the available inventory, which will be changing consistently. The seller is prioritizing prospective buyers that are present. The Sales Team will be observing a high volume of interest during the reservation event and may not be answering the telephone, emails or fax machine communications until the reservation activity subsides.
Do I need to confirm the intended use of the home I am reserving?
Yes. The reservation agreement requires you to disclose your intended use of the property as (1) a primary residence; (2) a second home; or (3) an investment property. The number of homes purchased as investment property affects the ability of other buyers to obtain “conventional” financing, meaning mortgages will be underwritten by certain standards to be sold on the secondary market. If there are too many investor buyers, then lenders will not be able to make conventional loans and the cost of financing goes up for all buyers. Therefore, the seller reserves the right to limit the number of investors.
How will I know when the investor limit has been met?
The seller will provide a notice during the reservation event and prospective buyers will be given the option to purchase as a primary residence or a second home, however they must qualify for such with the financing pre- qualification. The prospective buyer may still reserve the home as an investor, however the Reservation Agreement clearly states that the seller may elect to prioritize another reservation that is not classified as an investor sale.
What are the estimated Homeowners Association monthly dues and what will they include?
Based on prior experience, it is estimated that the condominium dues will fall in a range, estimated to be from $0.60-$0.65 per square foot, per month. At this rate, a 500 sq. ft. condominium would have estimated dues of $300-$325.00 per month. The offering materials will contain an estimated budget for the first year of operations and the resulting initial monthly assessments (HOA dues). At this time, it is estimated the dues will include all domestic water from a centralized system, professional property management, operation of building amenities including common rooftop deck, building maintenance and reserves. Each homeowner will be responsible for individual electricity, cable/telephone/Internet. All estimates are subject to change prior to the event.
How will parking assignments work?
The Neighborhood Collection has a limited number of parking stalls, at Wallingford 45 only. Additional parking options may become available for rental in a parking lot adjacent to Atrium. Parking will not be included with the base purchase price ranges offered during reservations. Certain homes will have the option of purchasing parking, which will be added to the base purchase price of the home. If the prospective buyer purchases parking, it will be reflected in an amendment to the Condominium Declaration as a limited common element assigned to that home. At this time, parking stalls will be offered with a price range of $50,000 to $75,000 for typical stalls. The seller is working on securing additional parking opportunities to lease from neighboring parking lots, but this cannot be guaranteed at this time. When parking is added to the home, its value should be reflected in the appraisal obtained for financing purposes.
When may I enter into a Purchase and Sale Agreement?
The seller expects to offer the opportunity to execute binding Purchase and Sale Agreements for the homes in the Fall of 2018. Until then, prospective buyers are encouraged to reserve their desired home via a Reservation Agreement. Alternatively, prospective buyers may wait for homes to be listed for sale as part of the public sales debut when the buildings are completed.
What deposit will be required by the Purchase and Sale Agreement?
At this time, the seller is planning to require a 5% earnest money deposit when the Purchase and Sale Agreement is mutually accepted. The earnest money deposit will be held in escrow by Ticor Title.
Is the seller planning options and upgrades and, if so, how will they work?
No. As these projects are near completion and preparing for occupancy, all specifications have already been selected and installed in each unit. Homeowners are welcome to make changes and updates after closing.
Will the homes at The Neighborhood Collection be listed on the Northwest Multiple Listing Service?
Yes. They will be listed when completed with pricing and other information required by NWMLS. At this point, the seller’s listing broker, Realogics Sotheby’s International Realty, has posted a Letter of Authority on the NWMLS. All promotions for The Neighborhood Collection are being offered by their respective Limited Liability Companies and prospective buyers are being directed to the seller’s designated Sales Director, Carlene Pride, who may be reached at Carlene@NeighbordhoodCollection.com or call 206.819.5080.
This is not an offer to sell or a solicitation of offers to buy. Offers to sell or buy will only be made through the public offering statement and the purchase and sale documents. Prospective buyers may only rely on the information contained in the public offering statement and the purchase and sale agreement. The information contained herein, in the website and in marketing materials is prospective and, while the seller believes it to be true, the information is subject to change and prospective buyers may not rely on it in making a future decision to buy a unit. All renderings, illustrations, measurements and figures are subject to change. The seller reserves the right to change the product offering without notice.