Why the Real Estate Opportunity May Be Hiding in Plain Sight

A Market Perspectives Conversation with Dean Jones and Carese Busby of Movement Mortgage What if today’s market hesitation becomes tomorrow’s greatest missed opportunity? And could Seattle be approaching the same AI-fueled renaissance already unfolding in San Francisco? In a provocative new podcast conversation, Dean Jones, President & CEO of Realogics Sotheby’s International Realty (RSIR), joins Carese Busby of Movement Mortgage to examine the forces reshaping the Pacific Northwest housing market. From Washington’s evolving tax policies and interstate wealth migration to artificial intelligence, mortgage rates, generational wealth transfers, and a potentially historic opportunity in downtown Seattle condominiums, the discussion challenges conventional thinking about where the market is headed next. Their central observation: Real estate markets can change much faster than consumer sentiment, and those who recognize the trendlines before the headlines may be best positioned for the next cycle. Six Takeaways Worth Watching 1. The Great Wealth Rebalancing: Outbound Millionaires, Inbound AI Fortunes Washington’s changing tax environment is prompting affluent households to reconsider domicile, investment strategies, and their real estate portfolios. Yet Jones sees an important counterbalance: a new generation of wealth creation emerging from artificial intelligence. With AI companies expanding their Pacific Northwest presence, Seattle and Bellevue may be positioned to capture an incoming wave of technology employment, equity compensation, and future liquidity events. The provocative question: Could Washington simultaneously experience an exodus of established wealth and an influx of newly minted technology millionaires? 2. The San Francisco Signal: Could Seattle Be Next? Jones points to San Francisco’s recent recovery as a potential preview of Seattle’s next chapter. After years of downtown challenges, commercial vacancies, and weakened consumer confidence, San Francisco has experienced renewed momentum associated with AI investment, business activity, and luxury residential demand. Jones believes Seattle possesses many of the same ingredients: an established technology ecosystem, substantial office infrastructure, international connectivity, and a lifestyle that continues to attract talent. The takeaway: Today’s underutilized commercial real estate could become tomorrow’s runway for economic expansion. 3. Downtown Condominiums: A Generational Buying Opportunity? Among the conversation’s most compelling observations is the widening gap between existing condominium prices and the cost of delivering new residential towers. Jones estimates that certain downtown Seattle condominium values have corrected approximately 20%–30% from earlier presale pricing, while construction costs have increased substantially. With limited new condominium development underway, he sees the possibility of a future supply-demand imbalance as confidence and buyer activity recover. he opportunity: Buyers may be able to acquire completed luxury condominiums at prices that would be difficult to reproduce in the next development cycle. 4. Don’t Just Watch Mortgage Rates—Watch Purchase Prices Busby challenges the conventional wisdom that buyers should wait for substantially lower interest rates before purchasing. Her argument: when rates decline, additional buyers may enter the market, increasing competition and potentially pushing prices higher. While financing costs and monthly affordability remain essential considerations, the purchase price and down payment can have lasting consequences. The takeaway: Buyers should evaluate the entire financial equation rather than allowing a single interest-rate headline to dictate their decisions. 5. The Living Inheritance: Why Generational Wealth Should Move Sooner One of the most actionable discussions centers on helping younger generations enter homeownership. Busby encourages families to explore transferring wealth while parents are alive, rather than waiting until assets pass through an estate. With thoughtful professional guidance, earlier financial assistance may help adult children establish equity, improve their financial well-being, and participate in long-term real estate appreciation. The opportunity: Real estate advisors and mortgage professionals can initiate conversations that connect homeownership with broader family wealth and estate-planning goals. 6. The Future of Real Estate Is Personal, Global, and Consultative As brokerage consolidation, technology, and AI continue to transform the industry, Jones believes the most successful advisors will distinguish themselves through trusted relationships and sophisticated market intelligence. RSIR’s global referral network, integrated marketing resources, and Futurecast Forum research are designed to help advisors recognize emerging opportunities across markets and property categories. The discussion also highlights innovation in new development, from the evolving resort lifestyle at Suncadia to waterfront redevelopment in Bellingham and the collector-oriented Terminal One Motor + Yacht Club in Seattle. The takeaway: The next generation of real estate advisors won’t simply facilitate transactions. They’ll help clients navigate entire property portfolios, lifestyle transitions, and multigenerational wealth decisions. IN THEIR OWN WORDS Dean Jones | President & CEO, RSIR On Seattle’s recovery potential:“I think Seattle is too great to fail.” On the downtown condominium opportunity:“To me it’s a five-year layup.” On buying versus waiting:“You can always refi, but you can’t rebuy.” On the future of the brokerage business:“I think luxury will lead us out.” Carese Busby | Movement Mortgage On mortgage rates and purchase prices:“The most important thing is the price you’re paying for that property.” On generational wealth transfers:“Give the wealth with a warm hand versus giving it with the cold hand.” On the enduring importance of relationships:“AI is never going to replace that.” A MESSAGE TO RSIR NATION Listen. Learn. Lead. This conversation offers an important reminder that our greatest value as Global Real Estate Advisors is not simply knowing what properties are worth today—it’s helping clients understand what may influence their value tomorrow. Consider the opportunities to initiate more meaningful conversations about: • Wealth migration: Helping clients navigate changing domicile preferences and interstate property decisions. • Condominium opportunities: Educating buyers about current pricing, replacement costs, and future supply constraints. • Mortgage strategies: Partnering with lending professionals to evaluate financing options and purchasing power. • Generational wealth: Encouraging families to explore homeownership assistance with qualified financial and estate-planning professionals. • AI and economic development: Identifying emerging employment centers, wealth creation, and potential future housing demand. • Lifestyle real estate: Connecting clients with opportunities across urban, waterfront, resort, and international markets. WATCH OR LISTEN TO THE FULL CONVERSATION https://vimeo.com/1246409933 RSIR Brokers: Invest an hour in your own market intelligence. Listen to this discussion, identify three observations relevant to your clients, and consider how you can turn those insights into meaningful conversations. Our opportunity is to be more than participants in the next housing

Buy Up in a Down Market and Own the Opportunity

What if the best time to buy your next home isn’t when mortgage rates are lowest, but when your negotiating power is greatest? As we approach the final weeks of 2026, an unusual alignment of market conditions is creating opportunities for prospective homebuyers, particularly those considering new construction. A softer resale environment, elevated new construction inventory, slower sales velocity, and motivated developers are giving qualified buyers negotiating leverage that may not persist when the next housing cycle gathers momentum. And here’s the opportunity that deserves more attention: In some cases, developers are offering financial incentives that exceed what competing resale properties can provide. For buyers contemplating a move into a larger home, a luxury condominium, or a resort residence, this could be an opportune moment to buy up in a down market. THE MARKET SIGNAL: CONDOMINIUM BUYERS HAVE MORE CHOICES The Northwest Multiple Listing Service’s October 2026 market update reinforces a changing dynamic across the region. Condominium buyers are navigating a market with greater selection and more negotiating opportunities than during the pandemic-era housing frenzy. The November 6 market coverage from Seattle Agent Magazine highlights the latest NWMLS findings, providing another important indicator that today’s housing conditions are markedly different from those of several years ago. For sellers, that means pricing and presentation matter more than ever. For buyers, it means the ability to compare properties, evaluate concessions, and negotiate favorable terms has returned. And for buyers considering new construction, the opportunity may be even more compelling. The market isn’t necessarily offering a discount on every home. It offers a chance to negotiate the right home under more favorable conditions. WHY DEVELOPERS MAY BE MORE MOTIVATED THAN HOMEOWNERS Consider the economics. An existing homeowner may have substantial equity, a historically low mortgage rate, and the flexibility to wait for another market cycle. A developer with completed inventory faces a different financial equation. Construction financing, insurance, property taxes, maintenance, and capital tied up in unsold homes can create substantial carrying costs. Developers may also be working toward lender milestones, year-end financial objectives, or the next phase of construction. As a result, some are willing to offer significant concessions to secure qualified buyers and close transactions. In short, the value of their returned equity may be more important than the original profit projected on a community. National research underscores this trend. Recent builder surveys have shown widespread use of purchase incentives, including price reductions, mortgage-rate buydowns, and closing-cost assistance. The developer’s cost of waiting can become the buyer’s negotiating advantage. A CASE STUDY: THE RESIDENCES AT SUNCADIA SOCIAL One of the most compelling examples in our own new-development portfolio is unfolding at The Residences at Suncadia Social, where NW Roots Construction is offering substantial year-end incentives on newly constructed resort homes. For qualified buyers who can complete their purchases by December 31, 2026, the developer is offering packages valued at: UP TO $100,000 IN CREDITSFor detached Mountain Bungalows UP TO $40,000 IN CREDITSFor newly constructed Rowhomes Rather than requiring buyers to accept a single predetermined incentive, the program offers flexibility to allocate available credits among eligible benefits, including: • Mortgage interest-rate buydowns, with advertised financing as low as 3.99%.• Curated interior furniture packages to help furnish a new mountain residence.• Other eligible closing-cost credits. The result is an opportunity to customize the financial benefits around the buyer’s priorities. Some purchasers may prefer to reduce monthly carrying costs. Others may value furnishing their new residence or minimizing cash required at closing. The opportunity isn’t simply to buy a new home. It’s to negotiate a more complete ownership solution. WAIT, THERE’S MORE? The Residences at Suncadia Social also offer an additional dimension of ownership: income to offset the cost of personal enjoyment. When owners aren’t using their homes, eligible residences can participate in resort-supported short-term rental programs, with preferred revenue arrangements and management services available through Suncadia Resort. This creates the potential to offset a portion of ownership expenses while maintaining access to a mountain retreat. Imagine spending Thanksgiving, Christmas, or the winter holidays at your own residence in Suncadia, then having the opportunity to generate rental income during eligible periods when the property is otherwise unoccupied. Combined with the village environment at Suncadia Social, resort amenities, outdoor recreation, and eligible membership opportunities, the proposition extends beyond a conventional second-home purchase. Rental participation, eligibility, management arrangements, revenue, and expenses are subject to applicable program terms. Rental income is not guaranteed. FOCUS ON THE STRIKE PRICE—NOT JUST THE MORTGAGE RATE In a recent Market Perspectives podcast with Carese Busby of Movement Mortgage, we discussed a persistent misconception in today’s housing market. Many prospective buyers are waiting for mortgage rates to decline before making their next move. But what happens when rates fall? More buyers may enter the market, competition can intensify, and sellers may become less inclined to negotiate. As Carese observed during our conversation: “The most important thing is the price you’re paying for that property.” I offered a related observation: “You can always refi, but you can’t rebuy.” The principle is straightforward. A buyer may have opportunities to change the financing later, but the original acquisition price is fixed. That doesn’t mean mortgage rates are irrelevant. Financing costs, affordability, and monthly cash flow remain essential. It means buyers should consider the entire transaction rather than allowing today’s mortgage rate to dominate the decision. A lower purchase price, a substantial developer credit, and an attractive financing package can collectively create a compelling ownership opportunity. THE REAL ADVANTAGE: BUYING UP IN A DOWN MARKET Consider a hypothetical homeowner selling a $1.5 million residence to purchase a $2.5 million luxury property. In a softer market, suppose the existing residence sells for 5% below its earlier market value, while the desired luxury home can be purchased for 10% less than its previously asked price. New construction inventory may even be more compelling. The existing home sells for $1,425,000. The new home is acquired for $2,250,000. The difference between the two transactions is $825,000, compared with the