Seattle Real Estate Market Update

Local Market Update – June 2021

May was a record-breaking month for the real estate market. Inventory hit all-time lows, and home prices reached record highs. With the supply of homes so tight, this sizzling seller’s market is expected to continue throughout the summer.

High demand hammered inventory in May. While the number of new listings increased, homes sold within days, leaving the market with just a few weeks of available inventory. There were 43% fewer homes on the market in King County at the end of May as compared to a year ago.  The supply of homes was particularly dire on the Eastside where inventory was down 71%, leaving just 239 single-family homes for sale across the entire area, which stretches from Issaquah to Woodinville.  Snohomish County saw the same trend, with inventory down 60% year-over-year.  With the local economy remaining strong and population continuing to grow, don’t expect demand to slow down any time soon.

With inventory so scarce, it was yet another record-breaking month for home prices.  The median price of a single-family home in King County last month jumped 29% to an all-time high of $869,975. Home prices in Seattle soared 20% to a record $919,000. The Eastside posted a median price of $1,298,475, down slightly from its all-time high, but soaring 37% from a year ago. Slim supply and high demand resulted in 78% of homes on the Eastside selling for over the list price.

A 62% jump in pending condo sales in King County indicates that some buyers are opting for a more affordable home option.  At a median price of $459,000, condos look like a relative bargain when compared to single-family homes.  Snohomish County home values rocketed up as well. With some of the tightest inventory in the region, home prices there shot up 35% to a record $697,000.

It’s a challenging market for buyers, and it looks like it will continue to be that way for quite some time.  Now more than ever, you need a broker who can help you set your priorities, strategize your options and negotiate successfully on your behalf.  And sellers need someone who really understands this fast-changing market and who can create a plan to get you the greatest return on your investment.

The charts below provide a brief overview of market activity. Every Monday, Windermere Chief Economist Matthew Gardner provides an update on the US economy and housing market. You can get Matthew’s latest update here.  If you are interested in more information, your broker can provide you with a detailed analysis of your specific area.

Madison Park realtor

Posted on June 17, 2021 at 7:28 pm
Chris Reis | Category: Market Updates | Tagged

Seattle Real Estate Market Update

Seattle Real Estate Market Update – April 2021

Despite a bump in new listings the supply of homes still can’t keep up with the demand. The result? Multiple offers, escalation clauses, and record-breaking prices. If you’re considering selling your home, you’d be hard pressed to find a more lucrative market than what we have today.

March marked the first post-COVID/pre-COVID comparison, and the results were dramatic.

The drop in the number of listings was profound.  In King County there were 54% fewer single-family homes on the market at the end of March than the same time a year ago.  The Eastside had 68% fewer listings. There were just 216 homes for sale on the Eastside, which stretches from Issaquah to Woodinville. Extensive new investments there, including Amazon’s plan to add 25,000 jobs in Bellevue, will only increase demand for housing. North King County, which includes Richmond Beach and Lake Forest Park had just 26 homes for sale. In Seattle, the 498 listings there represents a drop of 18% from a year ago.  Despite the comparatively greater number of listings, Seattle still has only two weeks of available inventory.   The situation was even more dire in Snohomish County. With the number of homes for sale down 68%, the county has just one week of inventory.

So why is inventory so low?  The pandemic certainly has played a part. People now working from home have bought up properties with more space in more desirable locations.  Nervousness and uncertainty about COVID compelled many would-be sellers to postpone putting their home on the market. Downsizers who may have moved into assisted living or nursing homes are staying in place instead. But there are other factors as well.

For more than a decade, less new construction has been built relative to historical averages, particularly in the suburbs. Interest rates have also been a factor. Windermere Chief Economist Matthew Gardner noted, “I think a lot of the urgency from buyers is due to rising mortgage rates and the fear that rates are very unlikely to drop again as we move through the year, which is a safe assumption to make.”  Homeowners who refinanced when rates were at record lows are staying in their homes longer, keeping more inventory off the market. And those same low interest rates have compelled many homeowners who bought a new home not to sell their previous one, but to keep it as a rental property.

While the number of listings tanked, the number of sales skyrocketed. That’s the recipe for soaring home prices. Housing prices here have been growing at the second-fastest rate in the nation for a full year. Nearly every area of King County saw double-digit price increases, with the exception of Seattle.  In King County the median price for a single-family home in March was a record-high $825,000, up 15% from a year ago and an increase of 10% from February. The median home price topped $1 million for every city on the Eastside, where the overall median price surged 30% to $1,350,000, the highest median price ever recorded for the area. Seattle homes prices were also record-breaking, rising 4% to $825,000.  Snohomish County prices set yet another all-time high as the median home price jumped 22% to $640,000.

The appeal of our area just keeps growing. For the second time, Washington took the No. 1 spot in the U.S. News Best States ranking – the first state to earn the top ranking twice in a row. The bottom line: the local real estate market is extremely competitive, and it shows no signs of slowing down. Successfully navigating today’s market takes a strong plan. Your broker can work with you to determine the best strategies for your individual situation.

The April 2021 update chart below provide a brief overview of market activity. If you are interested in more information, every Monday Windermere Chief Economist Matthew Gardner provides an update on the US economy and housing market. You can get Matthew’s latest update here.

Madison Park realtor

Posted on April 19, 2021 at 6:46 pm
Chris Reis | Category: Market Updates

Seattle Real Estate Market Update

Local Market Update – March 2021

Neither the snowstorm nor the increase in mortgage rates dampened buyer demand in February. Lack of inventory continues to be a frustration as there are way more prospective buyers than there are homes for them to buy. As a result, prices continued their upward climb.

While the number of homes for sale edged up, it was still far shy of demand. This is especially true of single-family homes. There were 41% fewer homes on the market in King County in February than the same time last year. In an indication of just how competitive the current market is, the entire Eastside ended the month with just 224 homes for sale.  Inventory was even more scarce in Snohomish County where the entire county had just 283 homes for sale, a drop of 58% from a year ago.  Condo shoppers have more options as the number of units on the market in King County increased 56% from last February.

With inventory so slim, competition is fierce. 57% of King County properties that sold in February sold over the list price. The median sale price paid was 9% over list price. Both are record highs. Competition doesn’t show signs of easing any time soon. A hike in interest rates is expected to only increase buyer urgency. An average rate of 3.02% for a 30-year fixed-rate mortgage for the week ending March 4 is the first time since July that the benchmark mortgage rate climbed above 3%.

The enormous imbalance between supply and demand sent single-family homes prices soaring throughout the region. In King County, the median home sold for $750,000, 11% higher than a year ago. Most areas in the county saw double-digit increases. Home prices on the Eastside jumped a whopping 28%. Seattle home prices were up 9%.  In Snohomish County, the February $624,075 median price was up 21% from a year earlier and far surpassed the previous all-time high of $599,990 set in January.

With seller review dates, escalation clauses and multiple offers now the norm it’s more important than ever for buyers to work with their broker to create a strategy that balances their wants and needs with their budget.

The March 2021 market update charts below provide a brief overview of market activity. If you are interested in more information, every Monday Windermere Chief Economist Matthew Gardner provides an update on the US economy and housing market. You can get Matthew’s latest update here.

Madison Park realtor

Posted on March 10, 2021 at 9:35 pm
Chris Reis | Category: Market Updates

Seattle Real Estate Market Update

This winter’s real estate market is looking more like a typical spring market. Sales were up, competition was fierce and prices continued to rise.

Lack of inventory still presents a huge issue. At the end of January there were only 1,055 single-family homes on the real estate market in all of King County, 33% fewer than a year ago. If that wasn’t tight enough, Snohomish County had only 298 single-family homes for sale, 63% fewer than a year ago. Condos remain a bright spot for buyers frustrated by the frenzied market. January saw a nearly 50% increase in the number of condos for sale in King County.  However, the increase in inventory didn’t translate into a drop in price. The median condo price was flat for the county, up 10% in Seattle and up 7% on the Eastside. Those looking for a relative bargain should consider Southwest and Southeast King County where the median condo prices were $254,275 and $269,900 respectively.

The large imbalance between supply and demand sent prices higher. Home prices here are climbing at the second-fastest rate in the nation. The median price of a single-family home in King County was $725,000, a 15% jump from a year ago. Seattle home prices increased 10% to $791,471. Inventory on the Eastside was down 58%, sending the median home price soaring 29% to $1.15 million. Snohomish County saw prices rise 18% to $599,990, well surpassing its previous high of $575,000.

While low interest rates take some of the sting out of rising prices, multiple offers over asking price have become the norm and are expected to continue. The easing of COVID restrictions may add yet more competition. Both King and Snohomish counties have moved into Phase 2 of the Healthy Washington plan, which allows open houses to resume with up to 10 people socially distanced.

All signs point to this strong seller’s market continuing for some time. The person who represents you as a buyer can make the difference in owning a home or not.  Brokers are advising buyers to create a plan that prioritizes their wish list and sets realistic expectations in this hyper-competitive market.

The charts below provide a brief overview of market activity. If you are interested in more information, every Monday Windermere Chief Economist Matthew Gardner provides an update regarding the impact of COVID-19 on the US economy and housing market. You can get Matthew’s latest update here.

Madison Park realtor

Posted on February 19, 2021 at 9:10 pm
Chris Reis | Category: Market Updates | Tagged

Queen Anne Update January 2021

January 2020

January 2021

was a Seller’s market in Queen Anne!

Property Sales (Sold)

January property sales were 36, up 100% from 18 in January of 2020 and 2.7%
lower than the 37 sales last month.

Current Inventory (For Sale)

Versus last year, the total number of properties available this month is higher by
20 units of 125%. This year’s bigger inventory means that buyers who waited to
buy may have bigger selection to choose from. The number of current inventory
is down 16.3% compared to the previous month.

Property Under Contract (Pended)

There was a decrease of 4.7% in the pended properties in January, with 41
properties versus 43 last month. This month’s pended property sales were
127.8% higher than at this time last year.

 

The Average Sold Price per Square Footage in Queen Anne is Depreciating*

The Average Sold Price per Square Footage is a great indicator for the direction
of property values. Since Median Sold Price and Average Sold Price can be
impacted by the ‘mix’ of high or low end properties in the market, the Average
Sold Price per Square Footage is a more normalized indicator on the direction of
property values. The January 2021 Average Sold Price per Square Footage of
$578 was up 6.4% from $543 last month and up 15.4% from $501 in January of
last year.

The Days on Market Shows Neutral Trend

The average Days on Market (DOM) shows how many days the average
property is on the market before it sells. An upward trend in DOM trends to
indicate a move towards more of a Buyer’s market, a downward trend indicates a
move towards more of a Seller’s market. The DOM for January 2021 was 49, up
48.5% from 33 days last month and up 14% from 43 days in January of last year.

The Sold/Original List Price Ratio Remains Steady

The Sold Price vs. Original List Price reveals the average amount that sellers are
agreeing to come down from their original list price. The lower the ratio is below
100% the more of a Buyer’s market exists, a ratio at or above 100% indicates
more of a Seller’s market. This month Sold Price vs. Original List Price of 96% is
down 2% % from last month and up from 2.1% % in January of last year.

 

The Average For Sale Price is Depreciating

The Average For Sale Price in January was $2,024,000, down 20.5% from
$2,545,000 in January of 2020 and up 8.2% from $1,871,000 last month

The Average Sold Price is Neutral

The Average Sold Price in January was $981,000, up 2% from $962,000 in
January of 2020 and down 10.2% from $1,093,000 last month.

The Median Sold Price is Neutral

The Median Sold Price in January was $860,000, down 6.4% from $919,000 in
January of 2020 and down 17.7% from $1,045,000 last month.

 

Months of Inventory based on Closed Sales

The January 2021 Months of Inventory based on Closed Sales of 1 was
increased by 11.2% compared to last year and down 17.2% compared to last
month. January 2021 is Seller’s market.

Months of Inventory based on Pended Sales

The January 2021 Months of Inventory based on Pended Sales of 0.9 was the
same compared to last year and down 10% compared to last month. January
2021 is Seller’s market.

 

 

 

 

Search Queen Anne Real Estate 

Madison Park realtor

Posted on February 11, 2021 at 5:10 pm
Chris Reis | Category: Market Updates, Queen Anne

Queen Anne Update November 2020

Queen Anne Realtor

November 2020

was a Seller’s market in Queen Anne!

Queen Anne Homes Sold
Property Sales (Sold)

November property sales were 34, up 70% from 20 in November of 2019 and17.1% lower than the 41 sales last month.

Current Inventory (For Sale)

Versus last year, the total number of properties available this month is higher by 15 units of 31.3%. This year’s bigger inventory means that buyers who waited to buy may have bigger selection to choose from. The number of current inventory is down 20.3% compared to the previous month.

Property Under Contract (Pended)

There was a decrease of 44.4% in the pended properties in November, with 25 properties versus 45 last month. This month’s pended property sales were 4.2% higher than at this time last year.

 

 

 

 

 

Price per foot queen anne

The Average Sold Price per Square Footage in Queen Anne is Depreciating*

The Average Sold Price per Square Footage is a great indicator for the direction of property values. Since Median Sold Price and Average Sold Price can be impacted by the ‘mix’ of high or low end properties in the market, the Average Sold Price per Square Footage is a more normalized indicator on the direction of property values. The November 2020 Average Sold Price per Square Footage of $570 was down 0.2% from $571 last month and up 5.9% from $538 in November of last year.

 

 

 

 

 

 

 

 

 

Queen Anne Days On Market

 

The Days on Market Shows Neutral Trend

The average Days on Market (DOM) shows how many days the average property is on the market before it sells. An upward trend in DOM trends to indicate a move towards more of a Buyer’s market, a downward trend indicates a move towards more of a Seller’s market. The DOM for November 2020 was 22, up 57.1% from 14 days last month and down 24.1% from 29 days in November
of last year.

The Sold/Original List Price Ratio Remains Steady

The Sold Price vs. Original List Price reveals the average amount that sellers are agreeing to come down from their original list price. The lower the ratio is below 100% the more of a Buyer’s market exists, a ratio at or above 100% indicates more of a Seller’s market. This month Sold Price vs. Original List Price of 98% is down 2% % from last month and up from 2.1% % in November of last year.

 

 

 

 

 

 

 

Average sold price

The Average For Sale Price is Depreciating

The Average For Sale Price in November was $1,718,000, down 0.7% from $1,730,000 in November of 2019 and down 1.7% from $1,748,000 last month.

The Average Sold Price is Neutral

The Average Sold Price in November was $1,411,000, up 7.6% from $1,311,000 in November of 2019 and up 10.7% from $1,275,000 last month.

The Median Sold Price is Neutral

The Median Sold Price in November was $1,133,000, up 3%

 

 

 

 

 

 

months of inventory

 

 

 

Months of Inventory based on Closed Sales

The November 2020 Months of Inventory based on Closed Sales of 1.9 was decreased by 20.8% compared to last year and the same compared to last month. November 2020 is Seller’s market.

Months of Inventory based on Pended Sales

The November 2020 Months of Inventory based on Pended Sales of 2.5 was increased by 25% compared to last year and up 39.9% compared to last month. November 2020 is Seller’s market.

 

 

 

 

A comparatively lower Months of Inventory is more beneficial for sellers while a higher months of inventory is better for buyers.
*Buyer’s market: more than 6 months of inventory
Seller’s market: less than 3 months of inventory
Neutral market: 3 – 6 months of inventory

Search Queen Anne Real Estate 

 

Madison Park realtor

 

Posted on December 10, 2020 at 3:25 am
Chris Reis | Category: Market Updates, Queen Anne