Insight — Who and What is Fueling West Michigan (Issue 1, May 2020)

insight

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who and what is fueling west michigan 1

Letter From The Editor Our mission as a company has always been to inform and educate our clients, above all else. This publication is born out of our passion to share with our community the information we see from the front lines, and in turn to make them savvy consumers.

As the second largest residential mortgage company in Kent and Ottawa counties, based in downtown Grand Rapids, we have an incredibly unique vantage point of the ever-changing economy and real estate market in West Michigan. We see firsthand, in real time, buying trends based on economic expansion and job growth, supply and demand, government incentives and legislation, and more importantly, who is buying and the types of properties they desire.

Our goal in creating this publication is to share with you the current real estate and mortgage trends and highlight industry leaders and local businesses that are shaping the dynamic city we call home. We hope you love reading this as much as we loved writing it.

Enjoy!

Insight is written, produced, and published by Treadstone Funding Contributors: Meghan Howard, Matt Muscat, Kari Radermacher, Kelsey Chisholm, Vaughn Hartley, and Aislinn Teachout

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www.treadstonemortage.com Treadstone Funding propelled by Neighborhood Loans NMLS 222982

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MORTGAGE NE WS

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RE AL ESTATE MARK E T STATS

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IN DU S TRY S TA N DO U TS

Josh May, Ashley Dietch-Schaefer, Rachel Major, and Wade Monsma

who and what is fueling west michigan

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10 C LIENT S TO RY

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There’s No Place Like Home G R CO M M U NIT Y

Community Coming Together

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LOCA L B U S IN E S S S P OTLIG HT

Studio Park

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HO M E & MOV ING TR EN DS

Home Sweet Home

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Down payment requirements, closing costs, and loan amounts are for illustrative purposes only; subject to credit qualification, not all applicants may qualify. Not a commitment to lend. Not affiliated with or endorsed by any government institution. Please contact us for an exact quote and for more information on fees and terms.

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MORTGAGE NEWS INTEREST R ATES Low interest rates in 2019 provided many the opportunity

NATIONAL INTEREST R ATES (30-YE AR FIXED MORTGAGE) 5.0%

4.5%

to save money or lower their term by refinancing. The start of 2020 has been even better for rates. Although volatility effects rates from day to day, there is still a

4.0%

3.5%

tremendous opportunity for most buyers and home owners to lock in a lower rate and save.

REFINANCE AND SAVE Many customers who have refinanced were able to lower their interest rate by anywhere from .5% – 1.5%. A 1.25% drop in interest rate could lead to an average 14% savings off your monthly payment.

Total savings will depend and differ based on your actual rate and loan amounts.

LOAN LIMITS INCRE ASED Loan limits are one of the guidelines established by government-sponsored enterprises Freddie Mac and Fannie Mae for conforming loans. The limit increase gives buyers more access to affordable financing. Exceeding loan limits requires a jumbo loan. Conforming loans offer lower down payment options and better rates than jumbo loans.

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3.0%

JAN

2019

MAR 2019

MAY 2019

JUL

SEP

2019

2019

NOV 2019

JAN

2020

MAR 2020

Example: $200,000 Loan Amount

$1013 $870 Current Payment

New Payment

ASSUMING A 4.5% RATE

ASSUMING A 3.25% RATE

$143 Monthly Savings

Conventional

$510,400

FHA

$314,827 for single family $608,150 for a 4 unit home

R E A L E S TAT E M A R K E T S TAT S GR AND R APIDS LISTINGS IN 2019 TOTAL LISTINGS

LOCAL AVER AGE SALE PRICES $600,000 $500,000

14,899

$400,000 $300,000

HOMES SOLD

12,932

$200,000 $100,000

GRAND RAPIDS

EAST GRAND RAPIDS

ADA

ROCKFORD

BYRON CENTER

HUDSONVILLE

2019 NATIONAL STATS The average American home sold last year was about

86% of buyers ďŹ nanced their home purchase.

1,850 square feet, had three bedrooms and two bathrooms, and was built in 1990.

89% of buyers purchased their home through a real estate agent or broker.

The average down payment for first time home buyers

First time buyers comprised 33% of all home buyers.

was 6%. While second time home buyers had an average down payment of 16%.

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industry standouts

Every industry has individuals that elevate the profession by going above and beyond, and the real estate industry is no exception. We have reserved a place in our publication to recognize these trailblazers who epitomize what the industry stands for. These individuals not only exemplify professionalism and leadership within the real estate industry but within the community as a whole.

By giving back through time and money, each one of them is helping to build and strengthen the West Michigan community. They are beacons within their field, and we salute them!

Thank you for your hard work, commitment to excellence, and your dedication to continually raising the bar of the West Michigan real estate community.

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Josh May

Ashley DietchSchaefer

Rachel Major

With over 20 years in the business

Ashley takes pride in leading a broker-

In her 6 years in real estate, Rachel

and 32 million in team volume, Josh

age that excels in superior market

has helped more than 325 families! In

and his team use their expertise and

knowledge, industry involvement, and

2019, Rachel was recognized on the

industry connections to bolster the

being well-connected. Hello Homes GR

National Association of Realtors 30

community. Josh is passionate about

embodies everything Ashley believes

under 30 list—and for good reason.

giving back and does so by patroniz-

in, for both life and work: passion,

She and her team seek opportunities

ing local businesses and supporting

culture, honesty, unwavering ethics,

to give back to local businesses and

his favorite nonprofits, Kids Food

attention to detail and, of course, fun!

help the community in every transac-

Basket and Heartside Ministries. Josh

Ashley has the honor of sitting on

tion they are a part of. Rachel fulfills

is the founder of Grand Rapids Young

numerous local, state, and national

this mission in part by supporting

Professionals which feeds his passion

committees to stay up-to-date on

311 Youth Housing, a local nonprofit

to connect and educate both clients

current events and issues and to be

dedicated to developing safe, afford-

and young professionals. Josh also

a frontline leader and voice for all.

able housing for youth. Additionally,

supports one scholarship annually

Aside from all that, her greatest honor

she and her husband have a talent

for a GVSU business student.

is being a wife and mother.

for finding, buying, and beautifying homes in our community.

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IN D U S T RY S TA N DO U T S

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Wade Monsma When it comes to hard work and integrity, Wade Monsma sets the bar high.

He is the epitome of a great loan officer, and the pride he takes in his work is unprecedented. One of Treadstone’s longest running employees—Wade has seen it all. He began with Treadstone in 2006 and truly encompasses the values of the company. Detail oriented and diligent, Wade does it right the first time and puts in the extra work to ensure a seamless mortgage process for all of his clients.

After many years in the manufacturing industry, a lay-off

them. Wade would rather meet in person than send an email any day—these are the connections that make his job meaningful.

Wade is incredibly proud of all of the work that he does.

Helping people achieve a dream of theirs is rewarding, and he loves playing a part in that.

“When you get to the closing with someone it represents a new chapter in their life, and it is truly is an honor to be able to help someone turn a page in their book of life.”

encouraged Wade to try something new. A neighbor mentioned possibly getting into the mortgage industry, which

Having been with the company since its beginning, Wade is

seemed off-putting to Wade at first. An incredibly active

proud of how far Treadstone has come. He loves working

and hands-on person, Wade was uneasy about taking a

for Treadstone because of the integrity and values of the

desk job. Nonetheless, he entered the financial industry

company. Wade believes that these are upheld in large part

and worked primarily with refinancing. When business

due to the people who work for Treadstone and explains

began slowing in the early 2000s, Wade applied for a job

that the owners have done a great job prioritizing these

at Treadstone. After two rounds of interviews, co-owners

values and staying true to them every day, even as the

Kevin Polakovich and Brendan O’Driscoll decided to give

company has grown.

Wade an opportunity. While they were wary of his lack of direct experience in home purchasing and sales, they saw

Outside of the office, Wade loves staying active and has many

his incredible potential. Wade’s work ethic and eagerness

fun hobbies. Not one to be caught sitting still, he loves doing

to learn, as evidenced by his career in manufacturing, made

anything outdoors—trout fishing, boating, snowmobiling,

him difficult to overlook. Fourteen years later, Wade is still

and dirt biking. In August, you can find him boating on Lake

originating loans with Treadstone.

Michigan with his family, and he takes several trips a year into Canada to four-wheel in the wilderness with his wife.

For Wade, the best part of the job is the client interaction.

Wade has been married for 33 years and has four children

He loves the application and closing meetings when he

and six grandchildren to accompany him on his endeavors!

can engage face-to-face with clients and really get to know

There is never a dull moment with Wade.

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C L IEN T S TO RY

s

e om

roads aren’t a straight path bu th e d e s

tinati o

n is

a ll t h

e sa m

t

e

Ryan’s dream was to purchase a home to put down roots and give his daughter stability. So he

Just as Ryan was about to close, his loan officer gave

worked hard, and he saved money with the intention of

him approval to deposit his down payment money. The

doing just that. When he was ready to begin the mortgage

next day, the loan officer informed him that because

process, Ryan began working with a loan officer at a

of the deposit, he now couldn’t close for another two

credit union. He was pre-approved for an FHA Loan with

months. The advice halted the process significantly, and

a down payment set aside for the purchase, and followed

Ryan was panicked and anxious. He had done exactly

his loan officer’s instructions every step of the way.

what the loan officer had told him to do.

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Desperate to get into a home for his daughter as soon as possible, Ryan decided to try another route. He had been referred to Mallory Strotheide at Treadstone by a friend,

“They made a dream come true for me, and the look on my daughter’s face when we finally got to move in was priceless...”

and he called her to see if there was anything she could do for him.

“Mallory made the whole process great, and she and her team were amazing. This was something I worked really

Hearing about Ryan’s struggle and knowing how import-

hard for and didn’t want to lose out on. I would recom-

ant the home was to him and his daughter, Mallory and

mend Mallory’s team to anyone. I couldn’t have asked

her team took over and went to work brainstorming ways

for more amazing people to work with. I’m truly grateful

to help. They thought outside of the box and figured out

for Mallory and her team,” said Ryan.

a way to use the down payment he deposited to pay off other debt which qualified him for the 0% down Rural

Ryan’s experience with Mallory is an exemplification of

Development Loan. The property was in an eligible area

Treadstone’s core values in action. They did the work to

and his income was within the limits to qualify for this

help Ryan achieve his goal, when other lenders fell short.

type of loan. Mallory and her team’s solution-based

That’s the Treadstone difference: Mortgages – Better.

thinking and mortgage knowledge enabled Ryan to move

Faster. Smarter.

in 30 days sooner! This made all the difference for Ryan.

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G R A N D R A PID S C O M M U NI T Y

Community Coming Together (BUT NOT CLOSER THAN 6 FEET)

Amidst the changes that COVID-19 brought into the lives of Grand Rapidians, these trying times demonstrated just how strong and community-driven West Michigan is. The way the community came together to help one another is just another reason why Grand Rapids is truly such a wonderful place to live. The culture of philanthropy and giving back has been a light, and although many of us practiced social distancing, in a way it’s brought the community close together. Here is a list of just some of the things Michiganders did to make a difference and share positivity.

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COMING TOGETHER

For the Unemployed and Those in Need of Food Assistance As one of the hardest hit industries, many hospitality and service industry employees found themselves jobless.

While many school districts have been delivering food via school bus routes and designated pick-up areas for children in need, many other food assistance programs have been implemented throughout Grand Rapids to help people struggling to keep food on the table during these trying times.

Garage Bar and Grill:

$10 for 40 Challenge:

This local restaurant pledged to give

Wood TV 8 and Feeding America West

away 100 meals per day to people who

Michigan teamed up to launch an

were out of work as a result of the

online fundraising campaign to get

coronavirus response. The original

people the food they need. Every $10

goal was to donate 3,000 free meals,

donated provided 40 meals worth of

but in extending the giveaway, they

food.

planned to donate 1,500 more meals.

Not only did the initiative help feed

Uccello’s Heart of Hospitality:

the community, it also kept Garage

The East Beltline location of Uccello’s

Bar and Grill employees working.

provided free meals in a drive-through

Pioneer Construction, Custer Office,

style in their parking lot. Aimed at

Mercantile Bank, and Car City are

helping those in the service industry

some of the sponsors that helped

that have been impacted, this event

make this possible.

lifted spirits and fed members of the

Photo Via: Uccello’s Ristorante Facebook

community.

Grand Rapids Service Industry Network Donations:

Mobile Food Pantries:

Jake Prell, a longtime piano player for

Feeding America West Michigan,

Mojo’s dueling piano bar, found himself

which provides food and groceries

out of a job like many others. Given

to people in need and added extra

the circumstances, Prell decided to

Mobile Pantries to account for the

use his time to organize a network of

increase in struggling households in

food donations. Several restaurants

West Michigan. The mobile pantries

in the area pitched in and donated

have been operating in a drive-through

food and time to contribute to the

format, and they plan to continue this

cause. The volunteers worked out

until people can go back to work.

of Flanagan’s Irish Pub, where they

Photo Via: Feeding America West Michigan Facebook

repackaged and distributed the food.

With the outpouring of support, the network provided over 200 families with food!

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COMING TOGETHER

To Help Protect Medical Professionals Given the limited supply for personal protection equipment and other medical supplies, business and individuals took the challenge upon themselves and engineered ways to help fill the demand. People got creative and sewed masks to donate, while local businesses shifted their normal production to cater to demands. People and companies alike banded together to do what they could in these unprecedented times.

Advanced Oral Surgery:

Steelcase:

A local dentist answered the call

Steelcase worked with Spectrum

from medical workers who needed

Health’s vice president of surgical

more protective masks. The dentist

services to create a protective shield

organized a donation day where spas,

to protect hospital visitors from

construction workers, painters, and

the virus. Within a matter of hours,

other businesses contributed their

Steelcase had designs ready to be

unneeded supplies to be donated.

manufactured, and 50 screens were

Together, they were able to donate

made just a few days after.

Photo Via: WZZM 13

180,000 gloves, 16,000 masks, many gowns, and gallons of disinfectants

Grand Valley State University:

and sterilization wipes.

Given that classes were suspended for the rest of the semester, the Sci-

Eastern Kille Distillery:

ence programs at Grand Valley State

In collaboration with Coyote Logistics,

University were able to donate 90,000

this distillery quickly shifted from

gloves to Spectrum Health.

manufacturing spirits to producing hand sanitizer to address the nation’s

The Sassy Olive:

growing shortage. Over 2000 bottles

A West Michigan boutique shifted

of hand sanitizer were shipped to

gears to make homemade masks to

truck drivers around the country.

donate. They were able to make 200-

Photo Via: Coyote Logistics

250 masks a day!

Die Tech and Engineering: The Wyoming-based manufacturing

MIX East Grand Rapids:

company’s team of engineers kicked

As part of MIX’s Pay it Forward

things into high gear as they began

campaign to support those on the

developing and producing parts for

frontlines, the health-oriented juice

life-saving ventilators. Although they

bar has delivered several rounds their

had never created something like this,

immunity boosting teas and shakes

they have been adaptable and eager

to medical professionals in Grand

to help—a theme consistent through-

Rapids free of charge.

out West Michigan.

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Photo Via: MIX Facebook

COMING TOGETHER

To Create Hope & Happiness During Quarantine As many of us transitioned to life in quarantine, maintaining normalcy proved to be difficult at times. Technology provided tools to help businesses and organizations adapt to sharing through online platforms. Many neighborhoods organized themed window decorations to spread joy and help keep the community in good spirits. While the uncertainty can feel overwhelming, it is nice to know that the community spirit of Grand Rapids endures.

Funky Buddha:

Local Spins:

For yoga lovers, Funky Buddha live

For the local music connoisseurs,

streamed yoga classes daily for all to

Local Spins live-streamed music

watch. The best part—they made the

performances on their website—a

classes available to everyone, not just

great way to enjoy the music scene

their members!

and support local artists while adhering to social distancing guidelines.

The Rainbow Hunt: Throughout Muskegon, people made

Be Nice Mental Health Foundation

pictures of rainbows and hung them

of West Michigan:

in windows to share cheer with their

A new podcast aimed at discussing

neighborhoods. This also promoted

how to navigate mental health during

physical activity, as people were

quarantine was started by the Be Nice

encouraged to go for walks to see all

Foundation. Each Wednesday, a new

the rainbow creations.

episode is published that addresses

Photo Via: FOX 17

the impact the outbreak may have on Grand Rapids Children’s Museum:

you or your loved one’s mental health.

Each day, the Grand Rapids Children’s Museum posted a different activity

MediLodge Nursing Home:

for children to try while away from

In Grand Haven, volunteers took their

school. There was a different theme

dogs parading through the courtyard

associated with each day of the week,

of MediLodge Nursing Home. Since

and the activities revolved around

human visitors weren’t allowed to

education and being active. This has

enter the building, it brightened the

been a wonderful resource for bored

senior residents’ days to see all the

children and parents that didn’t know

dogs through their windows!

Photo Via: Grand Haven Tribune

what to do with them!

Hudsonville Schools: Teachers paraded through their students’ neighborhoods in their cars to brighten up their days.

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LO CA L B U S IN E S S S P OT L IG H T

The new, 62,500 square foot, $160 million-dollar mixed-use development complex in the heart of Grand Rapids is sure to be a feature point for downtown. Accounting for the increased downtown living, Studio Park plans to have a little of everything, and it’s so much more than just a movie theatre.

Phase one of the development opened last Fall, featuring a movie theatre, a music venue, loft apartments, a 900-space parking ramp, and an outdoor courtyard with a big screen to host movies in the Summer.

Celebration Cinema Movie Theatre The nine screen Celebration Cinema theatre brings luxury movie-going to the heart of downtown Grand Rapids.

Theatres are equipped with heated recliner seats, where refreshments from the cinema’s bar and concession stand can be brought to you—it doesn’t get much better than that! Movie-goers can park for free in the Studio Park ramp attached to the theatre.

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Listening Room A live music venue with amazing acoustics is situated on the second floor of Studio Park. With just 200 seats, this venue offers a more intimate concert experience. Listening Room boasts a full bar featuring cocktails, craft beer, and wine. The venue will feature all different genres of music with performances several nights a week and can be rented out for presentations and private events.

Studio Park Lofts The new urban living complex has 106 brand new loft apartments for rent. The one or two bedroom apartments are pet friendly, have many amenities, and some even have a patio where you can enjoy the piazza and all that Studio Park has to offer from your back door.

Funky Buddha Yoga Hothouse Funky Buddha has expanded into downtown. The Studio Park location opened in January, has showers, and features 45-minute classes to provide more flexibility. They also plan to offer free yoga classes in the courtyard in the Summer.

Canopy by Hilton The four-star hotel will be opening Summer of 2020. Plans include a bistro and a rooftop bar overlooking Studio Park, which will be accessible year-round.

Acrisure Insurance The new headquarters for the insurance broker company will be situated in an office building in Studio Park and is projected to bring 400 new jobs downtown.

RESTAUR ANTS & E ATERIES One Twenty-Three Tavern Malamiah Juice Bar Leo’s Coney Island Pump House Frozen Yogurt 17

HO M E & M OV ING T R EN D S

Interior Design Trends to Transform Your House into a Home

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Lounge-Worthy Family Room One of the most important rooms in any home, the family room brings your loved ones together. It’s where you go to relax and connect, so it’s important that it’s cozy, inviting, and functional. The sofa is the centerpiece of the family room, so it should be inviting, beautiful, and of course, very comfortable. When purchasing a new sofa, sit before you buy, and ask about the durability of the fabric. Throw pillows­­are a great way to add coziness while bringing color and texture into the room. You can never have too many throw pillows! A tip to help keep your living room clutter-free is to use a large woven basket to tuck away blankets or kids toys. This way your items are easily accessible without taking away from the aesthetic of the room.

What’s a family room without some personal touches—display family photos, travel momentos, or even family heirlooms to make your living room feel like home.

Plants In The Home When is the last time you saw a home on Pinterest or Instagram that didn’t have at least one leafy green plant in it?! Expect to see the houseplant trend continuing well into 2020—and for good reason! Houseplants are a great way to bring the freshness of nature indoors while adding warmth and color to your home. One of our top houseplant picks is the fiddle-leaf fig. This plant needs plenty of sunlight to thrive and varies in size, so it’s a great plant to place near a window. Another good pick are succulents, which come in many shapes, sizes, and textures. These sun-loving plants don’t require much water, making them great for beginners.

Curating A Gallery Wall There are few things more eye-catching than a well-curated gallery wall. Gallery walls tell a story by making your personal memories into art and can take the pressure off finding one “perfect” piece of art for your home. The easiest way to keep your gallery wall cohesive is to use a consistent frame color. Mix and match the frame sizes and textures to add dimension and interest. Pro tip–get creative with different frame layouts on the floor before hanging them to avoid unnecessary wall damage!

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