Tiny Home Living and Some Interesting Insights

From efficiency to affordability, many people are drawn to the idea of living in a tiny home. Tiny houses combine maximizing space with living minimally. Although the concept seems simple, there’s more to this lifestyle than you may think.
Minimalist Living
The tiny home movement combines mindfulness, environmentalism, and minimalism into an efficient lifestyle. For example, since the living space is only about 400 square feet, a tiny home’s windows can help heat and light its rooms, resulting in a small carbon footprint. In fact, these homes produce about 2,000 pounds of CO2 emissions each year versus the average American home, which produces about 28,000 pounds of CO2 emissions per year.
Additionally, due to its tight quarters, downsizing and decluttering are key components. Limited space leaves little room for furniture and other items. This encourages using space purposefully and creatively.
While some may be wary of giving up certain things, Seattle architects like Ryan Smith of Modern Shed say that it’s all about doing it the right way. “Living small could mean what’s left is the most important part of the experience.” Smith says his team designs these structures to “solve needs for space”. Smith has designed hundreds of small places that have served as summer homes, meditation rooms, offices, and winter cabins. Any of their leftover materials are used on the next project so there’s very little waste, and extra wood is used to heat the space.
Affordable Housing
Another advantage of living in a tiny house rather than a traditional single-family home is avoiding thousands of dollars of debt. The “tiny” alternative provides a big financial incentive. This appeals to retirees looking to downsize and live simply as well as young adults, especially since the average college student loan debt is about $37,000. Most tiny homes can be built within a budget of $50,000. There are some companies that even sell tiny house kits so you can build your own home. Alternatively, there are tiny home designers and architects who will draw a custom blueprint for you.
Additional Benefits
A tiny home can serve as an accessory dwelling unit (ADU) or an in-law apartment. It can also serve as a customized home for someone with special needs, a private living space for a caregiver, or a high-quality mobile home (some remain on wheels), enabling more opportunities to travel and see family. Additionally, a homeowner can rent out their large home while living in a tiny home on their property to save money, reduce their energy bills, and live a low-maintenance life while still enjoying their property and neighborhood.
Tiny Home Residents
Though this may seem like an obvious choice for millennials, there are many tiny home residents who are people age 50 and up. Some researchers expect this to increase with the rising number of baby boomers and Generation X retiring within the next decade.
In a recent study done with 80 tiny home occupants living in Washington, California, Oregon, and Texas, 38% were over the age of 50. In addition, 78% of tiny home residents owned their home compared to 65% of traditional homeowners. 55% of these residents had more savings than the average American, with a median of $10,972 in the bank.
According to Business Insider, Washington, Oregon, and California are among the most popular states for tiny living. Interestingly, cities that are known for the arts have high concentrations of tiny home residents. San Diego, Portland, and Seattle are popular places for tiny homeowners.
Learning from the Tiny Home Lifestyle
Although living in a tiny home may not be ideal for some, we can learn from those who enjoy this lifestyle. Most tiny houses have three areas: a kitchen, a bathroom, and a sleeping area. From storing dishes and spices to decorating each space – everything is done with care; every inch of space is utilized and appreciated.
Many residents practice releasing their dependence on material items. You might not be ready to do that, but decluttering is an important skill regardless of your home’s size. It is especially vital for those who are considering downsizing. Tiny homes also emphasize a greener way of living. You can move in that direction by composting, installing solar panels, and reducing your consumption of single-use plastic items. For more on this, check out these eco-friendly ideas.
Third Quarter Market Review for Central Kitsap

Our Central Kitsap real estate market continues to grow in volume. Keep reading for key highlights about our strong seller’s market.
Our Competitive Seller’s Market
Central Kitsap’s inventory and demand are higher than they were this time last year. More people are able to work from home and are ready to enjoy life on the Kitsap Peninsula. And, these eager buyers outnumber sellers – even with Central Kitsap’s growing sales volume. Our Brokers often see multiple offer situations, resulting in bidding wars. However, if you’re looking to buy, don’t let that discourage you. That’s exactly why you need a local real estate agent to serve as your advocate and provide insight into this competitive market.
Market Data
Our third quarter of 2021 continues to thrive, both in sales volume and the large demand for homes in Kitsap County, WA. Home prices are still growing at a consistent rate, just as they did last quarter. This strong growth will probably slow down as we near the holiday season. And, if price growth does slow, we might see the market shift away from favoring sellers to a more balanced state.
Central Kitsap’s sale prices are very strong. During our third quarter, they increased by 19.7% year-over-year. While affordability is becoming more of an issue, it looks like we may be heading toward a more balanced market. More on that in the next section.
Home Purchase Sentiment Index
In his most recent Monday with Matthew video, our Chief Economist, Matthew Gardner, analyzed the data from Fannie Mae’s most recent Home Purchase Sentiment Index. The data comes from a survey containing roughly 100 questions on housing-related topics. Fannie Mae collected 1,000 consumer responses from across the country. As Matthew Gardner says, “It’s the only national, monthly survey that’s focused primarily on housing.”
The survey shows that many Americans continue to think it is not a good time to buy because of the low supply and rapidly rising prices. However, many feel it is a good time to sell as consumers predict home prices and mortgage rates will go down. As Gardner explains, “most consumers continue to report that it’s a good time to sell a home, but a bad time to buy. They most frequently cite high home prices and a lack of supply as their primary rationale…However, the good time to buy component did tick up for the first time since March.” Gardner sums it up by saying, “Consumers tempered both their recent pessimism about home buying conditions and their upward expectations of home price growth.” So again, we are seeing the potential for a shift toward a more balanced market.
Second Quarter Market Review for Central Kitsap

Silverdale and Bremerton’s Central Kitsap market exceeded performance predictions during our second quarter. We’ve compiled key highlights below so that you can easily get informed about our local real estate market.
Our Strong Seller’s Market
In Silverdale and Bremerton, inventory is still low and demand remains high. Many people are now able to work remotely and that has enabled these buyers to consider areas outside major cities – like Central Kitsap. Now these eager buyers outnumber sellers. Our Brokers continue to experience situations where some buyers are outbid either by price or by an all-cash offer in this competitive market.
If you look at the last five quarters detailed in the graph below, the market is still growing year-over-year. This data indicates the summer market will continue to heat up.
Since our inventory remains low, the prices continue to rise. Historically low mortgage rates are enabling many buyers to purchase homes for higher prices. As you can see below, the listing and sale price divergence is shrinking now. So if you’re thinking of selling, now is a great time to do so.
Market Insights From Our Chief Economist
In his most recent Monday with Matthew, our Chief Economist, Matthew Gardner, begins with the staggering fact that “prices have risen almost three-fold, as the cost to finance has dropped by 72%.” If the number sounds too good (or bad) to be true, that’s because it is. To get an accurate picture, you also have to factor in inflation. Gardner explains that “just like other goods and services, the price of a house today is not directly comparable to the price of that same house 30 years ago because of the long run influence of inflation.” When you adjust for inflation, the rise in housing prices becomes less drastic. Without adjusting for inflation, “prices have risen by 268%”. But when you adjust for inflation, the “real prices have increased by 83.6%”. Therefore, the increase is much lower than what most people are discussing today.
Matthew also compares mortgage payments, another important piece of the puzzle. Although, without adjusting for inflation, “mortgage payments have increased by 74.3%,” the inflation-adjusted “real payments are 10.7% lower!” Of course, there are other monthly payments associated with home ownership. This includes property taxes, which do not change with market fluctuations. But this still indicates “that prices have been able to rise so significantly because mortgage rates have dropped”. It’s also because “inflation-adjusted home prices really haven’t skyrocketed – contrary to popular opinion.”
However, Matthew clarifies saying, “there are some markets across the country where the picture isn’t quite as rosy. In these places, prices have risen significantly more than the national average.” The Seattle metropolitan subunit (which extends around our local area) is one of these places. This is largely due to the increasing affluence as a result of the tech boom.
Not a Housing Bubble
Gardner’s bottom line is this: “there are quantifiable reasons to believe that we are not in a national housing bubble today.” However, he does point out that some markets will see a slowdown in price growth given “where prices are today in concert with the spectre of rising mortgage rates.” Ultimately, it’s still a strong seller’s market with an overall low supply and high demand. We expect to continue to see issues with affordability as prices and mortgage rates continue to climb.
Real Estate Investing 101

What is Real Estate Investing?
To put it simply, real estate investing is the process of taking space (real estate) and making a profit from it. There are many ways to do this. You can be investing in real estate just by renting out a room in your apartment or house. Managing rental properties is one of the most common types of investing. Another common type of real estate investing is flipping houses. (Think HGTV) We asked our agents what advice they would give to others about real estate investing and here are their valuable insights.
Are You Ready to Invest in Real Estate?
There are many advantages to investing in real estate, some include making extra money on the side and expanding your investment portfolio. Before going out and buying a property, it is important to check if you’re ready for this venture.
Broker Summer Davy has some questions she asks clients when they have this business venture in mind:
- Have you considered the additional costs of purchasing an investment property including repairs, taxes, management fees, and carrying costs until you have a paying tenant?
- Are you aware of the neighborhood conditions and the landlord-tenant laws?
- If you are buying a flip to rent, are you prepared to do the repairs/upgrades yourself or do you have a contractor or crew at the ready to begin working as soon as you purchase?
- How quickly can you get the property ready for tenants?
- Are you willing to manage the property yourself or do you have a trusted property manager ready to help you?
As you can see, real estate investing can be a lot of work and may not fit into everyone’s lifestyle. It’s essential that you are aware of the potential costs, time commitments, laws, and expectations associated with this type of project.
Rental Properties
If you’ve ever rented a place from someone, then you’ve participated in their real estate investment. With some strategic planning and foresight, you could soon benefit from your own rental property.
Joe Stevick, Broker, first advises that you, “Make sure to calculate rental income and appreciation when evaluating properties.”
What is most important in managing rental properties is making sure you have enough capital to do so. You’ll want to calculate the costs of maintaining and paying for the property and how much you’ll approximately gain from rent. For more information, read Windermere’s in-depth article, “Investing In Real Estate Rentals”.
Flipping
From “Property Brothers” to “Fixer Upper“, mainstream media has popularized flipping houses. Sure, it can be a lot of fun and quite rewarding. However, it doesn’t come without work and risks. If flipping houses is something you’re interested in, Broker Melisa Wight has some advice for you:
- Setting realistic expectations with real estate investing is key. It’s not as easy as it looks on HGTV!
- Putting together a budget is just one piece of the puzzle: accounting for closing costs, holding fees, and unforeseen expenses is how you make or break it in this business.
- Building relationships with trustworthy contractors is essential to running a flip smoothly. They’ll have your back if you have theirs.
Flipping houses require a lot of time and great connections with contractors in order to do it successfully. If you are looking for this type of project and have the skills and means to do so, it can be a great investment option. But before you are quick to snag the first fixer-upper you see, read our article “Buying A Fixer Upper” to learn more.
Commercial Real Estate Investing
If you’re eyeing a commercial space that you’d like to lease or buy, Managing Broker Julie Wurden Jablonski has some advice for you. “Create a business plan prior to buying or leasing commercial space. Mentoring and business resources are available for new and existing entrepreneurs through Kitsap SCORE, the Small Business Administration, Kitsap Economic Development Association, and Washington State University at Olympic College.”
For additional resources, check out “How To Get Started In Real Estate Investing” and watch NerdWallet’s video below. If you have questions, feel free to contact one of our agents.
First Quarter Market Review for Central Kitsap

Central Kitsap’s market bounced back in our first quarter after the seasonal slowdown. We’ve compiled key statistics to keep you up to date with our local real estate market.
Our Strong Seller’s Market
Central Kitsap just had a great first quarter after the quieter winter season. With Central Kitsap’s proximity to Seattle and Tacoma, it’s appealing to people who are moving away from bigger cities as COVID-19 changes the way we work. There are still many eager buyers outnumbering sellers as inventory remains low and demand remains high. Our Brokers can help you navigate this competitive market. Many current buyers are being outbid and it can be an overwhelming process. That’s why it’s so important to have a local expert as your guide.
In the last five quarters outlined in the graph below, there’s a similar growth trend when comparing 2020’s first quarter to 2021’s first quarter. And, we saw a 15% increase in closed sales year over year. Get ready for the market to continue to heat up as we move from spring to summer.
As you can see below, the listing and sale prices both continue to rise as sellers continue to benefit from our inventory shortage. Many buyers have still been able to meet the pricing demands of this seller’s market. But low inventory means we’ll continue to see even higher prices. These prices could reach an affordability ceiling where potential buyers will be priced out of the market.
Affordability Issues and Market Insights
Matthew Gardner, Windermere’s Chief Economist, continues to track this affordability ceiling in his most recent Housing and Economic Update: “If the pace of home price growth continues, many households will start to be priced out” of what people can actually afford. As Gardner points out, we need more supply, and we need home prices to drop to alleviate this market strain.
Unfortunately, that might not happen fast enough for many hopeful homebuyers to make their dream a reality. Gardner reminds us that the cost of materials, recent storms, and the current housing market prices have all added to the cost of building new homes. This, in turn, will add to the listing price.
Additionally, Gardner points out that mortgage rates have risen after “a jump in bond yields has led rates to spike” as the country re-opens and economic activity increases. The resulting potential inflation causes the 10-year treasury interest rates to rise in hopes of attracting more buyers. However, it is still far below standard rates and shouldn’t be a concern for buyers right now.
Ultimately, it’s still a strong Seller’s Market with an overall low supply and high demand. We expect to continue to see issues with affordability as prices continue to climb.
Fourth Quarter Review and 2021 Market Forecast

Silverdale and Bremerton’s Central Kitsap market finished 2020 with a strong fourth quarter. We’ve compiled a comprehensive review of Central Kitsap market statistics, as well as insights and predictions for 2021 from Windermere Real Estate’s Chief Economist, Matthew Gardner.
Our Strong Seller’s Market
Central Kitsap remains a seller’s market, like the rest of Kitsap County. Inventory is low and everyone wants to buy a house away from the bigger cities. Buyers, the market is in a regular seasonal slowdown – but not as slow as expected given COVID-19. With many determined buyers and consistently low inventory, the advantage goes to sellers. Our Brokers have seen an increase in situations where some buyers are outbid either by price or by an all-cash offer.
In 2020’s fourth quarter, the average sale price in Central Kitsap was up 6.4% year-over-year at $399K. Sale prices continue to hover close to listing prices, indicating strong demand.
2021 Market Forecast
In his final Monday with Matthew video of 2020, our Chief Economist, Matthew Gardner, shared his 2021 market forecast. He’s optimistic and for some good reasons.
First off, Gardners expects mortgage rates will not rise significantly on a local level, nor will they vary significantly throughout different regions across the U.S. Since mortgage rates are heavily tied to 10 year treasury maturity rates/yields, rates shouldn’t rise significantly until the entire market recovers from the COVID-19 slowdown. Another great sign is that Gardner expects home sales will grow significantly, from 5.55% in 2020 to 5.93% in 2021. That’s “to a level we haven’t seen since 2006,” Gardner explains. With the continuation of historically low mortgage rates and the consistent increase of home values, 2021 looks bright.
“No! There isn’t a housing bubble forming. But price growth will slow & sellers may feel like it’s a collapse … it isn’t collapsing, it’s just normalizing.”
Matthew reminds us that there are pitfalls to be wary of in this strong market. First and foremost: “we need more inventory.” With the shuffling to new homes, and the huge wave of “first-time buyers [that] will continue to be a major player in the housing market,” many are making moves in a flood that will not persist. Buying during the pandemic will slowly settle. People are expected to stay in their homes longer, especially homeowners who have chosen to refinance. House values will rise due to the lack of supply, and that may price out many buyers who want to purchase in our area.
Western Washington’s Market Report
For a big picture glance at how our local market compares, here are highlights from The Western Washington Gardner Report.
WESTERN WASHINGTON HOME SALES
- Total Sales: 26.6% increase from Q4/2019, but 8.3% lower than Q3/2020
- Homes for Sale: 37.3% lower than Q4/2019, and 31.2% lower than Q3/2020
- Pending Sales: up 25% from Q4/2019, but 31% lower than Q3/2020
- Average: $617,475 (up 17.4% from Q4/2019). This continues the trend of above-average appreciation of home values.
- Interestingly, prices between Q3 and Q4 of 2020 only rose by 1%. Is there a price ceiling we’re reaching?
- Mortgage rates will stay competitive as the market continues to charge toward a price ceiling and potential affordability issues.
- Average: 31 Days (16 days less than Q4 just one year ago)
- In Kitsap County, average days on market: 17
Conclusion
2021 will continue the trend of working from home, which keeps demand high. This, in turn, will drive sales growth, while affordability barriers will balance our current runaway appreciation for home values.
New Agent Spotlight: Joe Stevick

We are proud to feature Joe Stevick in our new Q&A spotlight series. Joe is one of our new real estate agents and brings a range of interesting skills and experiences to the table. He’s a lifetime local of Kitsap County who is involved in the communities he serves and he has also spent time working abroad. Read on to find out more about this caring professional who truly puts people first.
What drew you to real estate?
I was drawn to real estate because I love working in service industries and had recently returned to Kitsap County after a long stint overseas. I was also curious about the increasing costs of housing and the worsening problem of homelessness in our area.
What unique professional experiences or skills do you possess that enhance your abilities as a realtor?
I was in the Peace Corps for three years. This, coupled with working as an operations director for a small chocolate factory in Madagascar, has taught me a lot about people and the level of problem solving and patience that is required to get the job done. Peace Corps really teaches you to understand people and to help them in the best way possible.
What personality traits do you think are important in this profession?
I think patience and a knack for listening to people are important characteristics to have in any profession and real estate is no different.
Which areas do you serve and what do you love about those areas?
I serve all of Kitsap County and Mason County. I love these areas because there is a rural lifestyle that still has access to the city if need be. Also, we have an incredibly diverse group of people in these areas, which I love. Helping people integrate and better their new communities is a passion of mine.
How long have you lived here?
I grew up in Kitsap County, going to Esquire Hills Elementary, Ridgetop Junior High, and Olympic High School. COVID-19 brought me back to Kitsap but the people, lifestyle, and natural beauty of the PNW kept me here.

“My siblings and I. Where would we be without siblings?”
How are you involved in the community?
I am a member of the East Bremerton Rotary, through which I do a lot of work for the Illahee Preserve. Also, I help out at Olympic High School when I can, and still have affiliation with the Olympic High School baseball team.
What made you decide to work with Windermere?
I decided to join Windermere because I could tell right away that its affiliates were nice and welcoming. Windermere has a respected name and it is because its agents are professional and caring. This is what I wanted to be as a new agent.
We are so happy that Joe has joined us. We know his skillset, professionalism, and sincerity will be an asset to buyers and sellers across Kitsap County and Mason County. You can connect with Joe on Facebook, Instagram, or through his website.
Why We Love Working with Military Families

We proudly support our armed forces and their families, not just today on Veterans Day, but every day. Many of our real estate agents possess a wealth of experience working with those who serve. We are well-versed in helping families who are about to PCS (Permanent Change of Station, for our non-military readers). And, we enjoy helping newcomers find their ideal home here in Kitsap County. A number of our Realtors are either veterans themselves or have family members who are.
We greatly appreciate the sacrifices that our military families make and wanted to share a bit about why we love working with them, sharing experiences from three of our local experts: Nick Blickhan, Summer Davy, and Adam Moon.
Our Military Connections
“I am a Navy Veteran from the Surface Navy, with a couple of years stationed at SUBASE Bangor,” explains Realtor Nick Blickhan. “I understand the military language and the process that they go through. As a landlord for 25 years, I preferred to rent to active duty submariners. I would even rent to groups of single guys. We made arrangements for their deployments. Some of these single sailors also became clients down the road.”
“My husband proudly served four years in the Navy and I am a lifelong resident of Kitsap County,” says Realtor Summer Davy. “So many of my friends and family served in the armed forces. The presence of the bases has always played a factor in employment and the fabric of our community here.”
“Both of my grandpas served in the military – Marine Corps and the Navy,” says Realtor Adam Moon. “My wife’s grandfather served in the Marine Corps. My best friend’s father served in the Navy and was Georgia Blues Submarine Captain. They’re all heroes!”
We Enjoy the Interesting Challenges and Stories
“Timelines are critical when you work with military families that are buying or selling,” says Davy. “We need to work within the timelines given for a PCS, their reporting date, and whether or not the whole family is moving together or separately. I am especially proud of a recent experience helping a military family find the perfect home for their large family on a tight deadline – 6 kids, one with special needs requiring her own private living space, bedroom/bath. The house we found fit their family perfectly, was within budget and closed in 30 days. The sellers were also a military family relocating to Japan. Happy families all around!”
“I represented some first-time VA buyers about five years ago. In the next two years, while living in Washington, Mr. Buyer got orders to Hawaii and didn’t want to sell as they could possibly be moving back,” explains Moon. “So, they were referred to Windermere Property Management to get a tenant. About three months ago, Mrs. Seller called me and told me they weren’t coming back to the PNW as he just got orders to NY for school. So, we prepped it for the market strategically when the tenants’ lease was up. Work orders had to get done to make it market-ready. Thankfully, we were able to list the weekend after the tenants vacated. We received multiple offers and closed within 30 days and $30K over list price. In that time frame when my sellers bought, then rented, then sold, they made over $100K in the sale of their home, all being done while they were in Hawaii and getting ready to move to NY. Seamless.”
We’re Ready to Provide Guidance and Support
Windermere equips each agent with the local and global resources needed to ensure that every military family is in excellent hands. “The local lenders I work with specialize in VA loans and programs that benefit military families,” says Davy. “I feel very comfortable answering any questions from the military families that I assist with their relocation to Kitsap. I think about the questions I would have as a wife and as a mom and can provide answers and info on communities, potential commutes, activities, and shopping that will affect the daily lives of these families.”
“In my experience with military buyers, they have come to appreciate my honesty and communication throughout the buying and selling process,” says Adam Moon.
“As a Realtor/Windermere Agent for 27 Years, I have helped many active duty and veteran clients reach their real estate goals,” says Blickhan.
Every time we get to connect with a military family, we are grateful for the opportunity and even more appreciative of their service. It often becomes second nature for these families to adapt on the go and regularly make sacrifices. We admire their commitment, dedication, and selflessness. And, whenever our expertise is needed, we are ready to assist.
Central Kitsap’s Market: Third Quarter Review and Forecast

Central Kitsap’s market had a very strong third quarter. We’ve compiled key stats below to provide a comprehensive review of our market, as well as insights and predictions from Windermere Real Estate’s Chief Economist, Matthew Gardner.
Our Strong Seller’s Market
It’s a strong seller’s market here in Central Kitsap. Inventory remains low while demand is high. In our third quarter, the median sale price was up 11.5% year-over-year at $379K. Buyers should be aware that multiple offer situations have become more common in our area.
Market Predictions
Although mortgage rates remain historically low and demand is high, our Chief Economist, Matthew Gardner, has some concerns about how this may impact real estate down the road. “We may be heading towards a period where we see houses turn over at a far slower pace as we stay in our homes for longer than ever…this could be a problem as it leads to persistently low levels of inventory for sale, which itself could lead to prices continuing to rise at above-average rates and that would further hit affordability.” As for mortgage rates, Gardner does not expect them to rise significantly any time soon. However, he says, “We should all be aware that there could be consequences to very low rates”.
Western Washington Review
Let’s zoom out a bit and look at our area. Below are highlights from The Western Washington Gardner Report provided by Windermere Real Estate’s Chief Economist, Matthew Gardner.
WESTERN WASHINGTON HOME SALES
- Total Sales: 11.6% increase from Q3/2019, and 45.9% higher than Q2/2020
- Homes for Sale: 41.7% lower than Q3/2019, but up 1.6% from Q2/2020
- Pending Sales: up 29% from Q2/2020
WESTERN WASHINGTON HOME PRICES
- Average: $611,793 (up 17.1% from Q3/2019). Low mortgage rates and limited inventory are clearly pushing prices up.
- Prices will continue to increase as long as mortgage rates and inventory levels stay low. If this continues to be the case, affordability issues will become more apparent in many markets.
DAYS ON MARKET, WESTERN WASHINGTON
- Average: 36 days (an average of 4 fewer days than in Q2/2020 and 2 fewer days than in Q3/2019)
- In Kitsap County, average days on market: 20
Conclusion
In Gardner’s Western Washington Report, he states that, although we have a strong seller’s market that is very buoyant, he’s “starting to see affordability issues increase in many areas—not just in the central Puget Sound region—and this is concerning. Perhaps the winter will act to cool the market, but something is telling me we shouldn’t count on it.”