SEATTLE HOUSING MARKET REPORT
Market Insights, Statistics, Graphs, And Infographs
THE SEATTLE HOUSING MARKET STAYS STRONG AS WE PREPARE FOR NEW LISTINGS TO HIT THE MARKET
The Seattle Real Estate Market Analysis For the 4th quarter of 2018 Shows That The market adjusted towards buyers.
A few things that really stuck out to me as I was compiling the 4th quarter statsInterest rates continued to drop contrary to popular media reports. Click To Tweet
- Average Sales Price decreased slightly to $753,315 staying well below the $800k mark we hit last spring.
- There were 523 less homes put on the market this month than last month.
- The average sales price to list price dropped to 97.9% the lowest it has been in nearly 7 years.
- The average days on market 38 days for the first time in nearly 5 years
- The percentage of homes that sold in the first 30 days was only 9% an average market.
- Active listings decreased by 646 homes over last month
What this story tells me is that the buyer pool has been thinned out. We stayed at an even inventory despite a significantly lower number of new listings. Due to the winter season.
We continue to see a slight correction in the market that most people, except maybe retiring home sellers, feel was necessary. It is important to note that a correction is not a crash. In fact the Seattle housing market remains in a Strong status. That means that 35-49% of new listings go Pending in the first 30 days on the market.
The number of new listings that came on the market in October was 1,384, in Novmeber was 881 and December 357. As we are now seeing more pending sales than new listings it is a great time to get your home on the market.
“Following years of solid growth, 2017 was much of the same, with the state’s Economic and Revenue Forecast Council estimating the number of jobs in Washington grew by 3 percent last year.” (Seattle Times) “In 2018, the ERFC expects the rate of job growth to decrease slightly to 2.4 percent. ”
According to the Seattle Times and US Census Bureau Seattle is the fastest growing city in the country.
With still amazingly low interest rates, strong job growth, more people moving to Seattle than anywhere else in the country, and an increase in inventory the last couple of months the Seattle real estate market should remain strong for many months to come.
If you are selling the average sales price is still at all time highs, and 39% of homes are selling in the first 30 days.
If you are a buyer we finally have some inventory to shop and are seeing contingencies back on the table, seller concessions, and price-drops.
INSTANT HOME VALUATION
Use this tool to get an instant estimation of the value of your home.ESTIMATED HOME VALUE
DREAM HOME SEARCH
Use our complete list of NWMLS search tools to find your Snohomish County Dream HomeSEARCH FOR HOMES
NEW LISTING ALERT
Use our NWMLS powered home search tool to receive an alert as soon as new listings hit the market.CREATE YOUR ALERT
HOW MUCH CAN YOU AFFORD
Use one of our 3 Mortgage Calculator tools to figure out how much home you can buy.MORTGAGE CALCULATORS
Need more information, curious what your home would sell for, or need help finding your next home.CONTACT JOE & JASON
FAVORABLE MARKET RETURNS FOR HOME BUYERS
Two key factors have moved affordability in a positive direction for potential home buyers; interest rates, which have lowered down to the mid-4 range from the low-5 percentage range, and premium home pricing adjusted off the spring 2018 high back down to current market price.
Although unsold inventory of homes for sale is still considered a shortage, the larger number of unsold homes, combined with new listings, will moderate the price increases in the more affordable and mid-price ranges in 2019.
For the luxury market, we will see strong sales intensity up to 1.5 million, then selective buyer activity above that.J Lennox Scott
KING County Real Estate Data
SALES ACTIVITY AND INVENTORY
]With only 2.4 months of supply if no other homes were listed in the next 2.4 months we would run out of houses to buy.
New listings slowed down to a crawl in December.
If you are looking for homes above $1million you are seeing plenty of inventory with homes sitting 4.1 months.
As you can see from the table above anything below 5 months is considered low. Low inventory means higher demand. Higher demand drives the price up.
687 homes were sold in Seattle last month. That is down 83 from last month, down 160 from last year, and down 51 from 5 years ago.
As you can see in Seattle homes in the 350-750K price range are the most commonly listed and sold. However, homes in the 250k-350k price range sold the fastest.
Homes over 1 million are much less common and sit on the market longer.
DAYS ON MARKET
39% of homes are selling in less than 30 days in Seattle. That number is usually closer to 30%.
Although, houses in the 250k-750k price range are in the 40.5-45.7 range.
Because there are less homes for sale and there are still many buyers trying to buy… the homes that do list are usually selling very fast. However, we are starting to see homes sit a bit longer and they are not getting as many bids.
We have already seen where a low inventory should drive up prices. The average sale price for Seattle homes is $753,315. In comparison 5 years ago the average sales price was $489,179. That is a 35% increase over 5 years ago.
In addition the average home is selling for 2.1% lower than it is listed as. That means that people are listing their properties to high and having to drop their prices.
In order for it to be a sellers market there must be buyers. With the interest rates at an amazingly low rate of 4.61% a slight decrease from last quarter (source: Mortgage News Daily)
There are plenty of buyers that are in the market.
According to Zillows massive data set we are about to explode onto the busy season.
If your a buyer you want may still want to hop in ASAP before interest rates increase any further and the market starts heating up with the new season.
Sellers should be about ready to go on the market.
JOB AND POPULATION GROWTH
According to the Washington State Economic and Revenue Forecast Council Washington State should see in increase of job growth of 2.9% in 2017. With a healthy projection for 2018.
(Courtesy of Seattle Times)
According to the US Census Bureau Seattle was again the fastest growing city in the country.
According to Zillows massive data set early May is the best time to list a home to maximize value. November is the best time for buyers to maximize value.
Now is still a great time to sell as you will have less competition against your home, there are still a backlog of buyers, and the prices and selling times are still high.
These next 2 months are the best time for buyers.
The Seattle Real Estate Market Analysis INFOGRAPHIC
If you like our infographic or know someone that may like it please don’t hesitate to share it on your Pinterest, Facebook, Twitter, or Google+. If you would like to download the image: Download The Seatttle Market Report Infographic For Quarter 4 2018
PAST MONTHS REPORTS
We put this list together every month. If you are interested in seeing past months you can access the archive below:
Seattle Market Stats
- $753,715 was the average sold price for listings in Seattle.
- 357 new listings were added to the MLS for Seattle this month.
- 1,463 homes were for sale during the month.
- 528 homes went pending in Seattle.
- 687 homes sold this month
- 2.4 months of inventory available in Seattle
- 38 was the average days on market for a home to sell in Seattle
- 97.9% was the average listing price vs. sales price percentage
- $456 was the average price per square foot in Seattle
- $517,527,156 was the total closed sales volume for Seattle
- 4.61% was the interest rate
- 39% of homes sold in the first 30 days in Seattle
The total inventory saw 357 new listings, 1,463 homes remained for sale, while 687 homes sold in December in Seattle.
The average days on market increased slightly, the percentage of sale price to listing price remained below 100%, and the average sales price decreased. The percentage of homes that sold in the first 30 days decreased to 39%. Showing that while the job growth rate remains high and interest rates low, buyers are taking a rest. We have seen the market go from a Frenzy to surging to strong over the last couple months and the inventory go from severe shortage to shortage.
While we have seen a slight correction everything points to a normalizing market heading into the hot spring market.
Now is an amazing time of year to sell your home as we are still historically low on inventory and high on prices.
If you are considering a move up, a move down, or just want to sell your home… Months of inventory is still at well below average. Homes are selling at a rapid pace, the Interest Rates are still at below average lows, and the job market and population growth remains strong.
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