NWMLS Releases March Stats

News from NW Multiple Listing Service
FOR IMMEDIATE RELEASE: April 4, 2008

Northwest MLS Brokers Report Stable Prices, “Great Opportunities” for First-time Buyers

KIRKLAND, Wash. (April 4, 2008) – Stable housing prices and strong real estate fundamentals are creating an attractive market for buyers, according to officials from the Northwest Multiple Listing Service. Commenting on just-released figures for activity for the month of March, MLS director Matt Deasy noted prices have been stable for six months and conditions have changed to a buyer’s market.

Abundant supply and a slower pace of sales are among factors favoring buyers. Brokers added 13,274 new listings of single family homes and condominiums during March. With those additions, there were 46,358 active listings in the NWMLS market area, which covers 19 counties. That inventory is about 34 percent larger than a year ago, when there were 34,463 active listings.

Seattle differs from many U.S. cities, Deasy emphasized, citing “more moderate price appreciation, fewer subprime loans, fewer foreclosures, a strong local economy and geographical and land use issues that make supply more limited.”

Prices have been stable for six months. “The year over year price decrease the press is reporting is old news,” Deasy suggested, noting that price correction happened in August and September of 2007.

MLS figures show the median price of a single family home in King County has fluctuated by only $4,050 over the past six months. The median price for a single family home that sold in King County last month was $439,900. That’s down about 3.3 percent from a year ago, but up $10,000 (2.3 percent) from February. Last month’s median selling price in King County reversed a downward or flat trend that started in July. For the MLS area overall, prices have fluctuated during the past six months:

Pending sales of single family homes and condominiums (combined) in the MLS system topped the 6,000 mark for the first time since October. Brokers notched 6,040 pending sales (offers made and accepted, but not yet closed) last month, improving on February’s figure of 5,563 transactions. Compared to the same month a year ago, the volume was down about 35 percent.

"The current market offers great opportunities for first time buyers,” said J. Lennox Scott, chairman and CEO of John L. Scott Real Estate. “Home values in our area are still holding strong, yet there is less competition for homes, so buyers can afford to be more selective and less aggressive,” he added.

Continued low interest rates combined with new government-backed loans are providing first time buyers with more options for reliable mortgage products, according to Scott. “Prices are predicted to increase in the coming years due to population growth, a strong local economy, and the highly anticipated impact of Generation Y — many of whom will soon be entering the housing market," he commented.

“Gen Y” and other first-time buyers, along with empty-nesters (all among market segments that are prime prospects for condominiums) currently have an unprecedented selection across a wide price spectrum.

According to NWMLS figures for March, there were 7,708 condominiums offered for sale at month end, about 64 percent more than a year ago. Despite plentiful inventory, prices have been trending upward since October. At that time the median sales price area-wide was $259,950. For last month’s sales, the median price climbed to $263,000. That’s up nearly 4.4 percent from the year-ago median selling price of $252,000.

In King County, the median price for a condo that sold last month was $294,000. That compares to the year-ago figure of $281,000 for a 4.6 percent increase.

NWMLS director Dick Beeson believes the local market has “reached bottom – or pretty darn close.” Even though inventory continues to grow, Beeson acknowledged, “so does optimism among buyers, sellers and agents.”

Beeson, the broker/owner of Windermere Commencement Associates in Tacoma, points to the pace of pending sales in Pierce County as a positive sign. The number of pending sales in the first quarter of 2008 increased at a faster pace (53 percent) than first quarter of 2007 (45 percent), he noted.

Renewed interest in higher end properties is also notable, according to Beeson. This bodes well for properties at or below median prices, he suggested. “Trickle down or up really works in real estate.”

Despite some challenges with credit markets that make it difficult to qualify some buyers, Beeson said there is “vigor and energy in the local markets that we have not seen in more than six months.”

Northwest Multiple Listing Service, owned by its member brokers, is the largest full-service MLS in the Northwest. Its membership includes approximately 31,000 brokers and agents. The organization, based in Kirkland, currently serves 19 counties, mostly in western Washington, plus Grant, Kittitas and Okanogan counties in the central part of the state.

Statistical Summary by Counties: Market Activity Summary – March 2008

March 2008 Single Family Homes + Condos	LISTINGS		PENDING SALES	CLOSED SALES
	New Listings	Total Active	# Pending Sales	# Closings	Avgerage Price	Median Price
King	4985	14260	2314	2011	$491,537	$405,000
Snohomish	2057	6801	911	828	$370,636	$335,000
Pierce	2190	8008	1014	804	$290,381	$258,405
Kitsap	612	2570	281	222	$334,169	$277,637
Mason	203	830	75	48	$216,323	$194,000
Skagit	298	1328	132	108	$338,555	$272,000
Grays Harbor	183	883	78	71	$155,159	$145,880
Lewis	152	717	68	57	$202,065	$186,500
Cowlitz	152	765	82	71	$201,971	$184,500
Grant	166	637	84	50	$168,977	$149,500
Thurston	626	2058	369	314	$283,135	$249,925
San Juan	78	346	10	10	$578,200	$412,000
Island	252	1142	89	79	$332,958	$260,000
Kittitas	116	574	40	38	$270,360	$234,950
Jefferson	89	489	29	26	$328,335	$309,800
Okanogan	72	415	19	18	$189,050	$152,500
Whatcom	509	2004	231	217	$299,568	$264,900
Clark	179	888	75	80	$288,157	$247,500
Pacific	73	405	17	12	$139,408	$139,950
Others	282	1238	122	100	$217,902	$202,000
MLS TOTAL	13,274	46,358	6,040	5,164	$377,617	$314,500

4-County Puget Sound Region Pending Sales (SFH + Condo combined)
(totals include King, Snohomish, Pierce & Kitsap counties)

	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
2000	3706	4778	5903	5116	5490	5079	4928	5432	4569	4675	4126	3166
2001	4334	5056	5722	5399	5631	5568	5434	5544	4040	4387	4155	3430
2002	4293	4735	5569	5436	6131	5212	5525	6215	5394	5777	4966	4153
2003	4746	5290	6889	6837	7148	7202	7673	7135	6698	6552	4904	4454
2004	4521	6284	8073	7910	7888	8186	7583	7464	6984	6761	6228	5195
2005	5426	6833	8801	8420	8610	8896	8207	8784	7561	7157	6188	4837
2006	5275	6032	8174	7651	8411	8094	7121	7692	6216	6403	5292	4346
2007	4869	6239	7192	6974	7311	6876	6371	5580	4153	4447	3896	2975
2008	3291	4167	4520

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