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Here are the latest market charts from the MLS.
Click on each image below for a larger version.
Active Listings vs. Sold Listings
![Active_Sold_414[1]](http://eastsidehomes.com/wp-content/uploads/2014/05/Active_Sold_4141.jpg)
Number of Pending Listings
![PendingListings_414[1]](http://eastsidehomes.com/wp-content/uploads/2014/05/PendingListings_4141.jpg)
Median Sales Price
![MedianSalePrice_414[1]](http://eastsidehomes.com/wp-content/uploads/2014/05/MedianSalePrice_4141.jpg)
For more information our the Seattle and Eastside Real Estate Market contact Tony Meier here:
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Housing activity in Western Washington ranges from “red hot” to “slowly healing”
KIRKLAND, Wash. (May 6, 2014) – Brokers report some skittishness among both buyers and sellers, but the latest statistics from Northwest Multiple Listing Service indicate the housing market is continuing to rebound. Both the number of pending sales and the number of new listings added to inventory during April reached their highest levels in 11 months.
Closed sales of single family homes and condominiums were slightly below the year-ago volume, while the median sales price rose slightly (up about 1.9 percent).
“The residential market is red hot,” reported J. Lennox Scott, chairman and CEO of John L. Scott Real Estate. He said multiple offers are the “norm” for new listings, with about two-thirds of homes near job centers selling in the first 30 days. That’s about twice the normal rate, according to Scott.
Many areas outside the Greater Seattle job centers also show signs of positive activity, but at a more moderate pace.
“The real estate market continues to show positive signs both locally and nationally,” stated John Deely, one of the directors of Northwest MLS.
MLS members reported 9,590 pending sales of single family homes and condominiums during April, about even with the same period a year ago when brokers tallied 9,600 mutually accepted offers. Last month’s total marks the highest level since May 2013 when the MLS reported 10,045 pending sales across its 21-county area.
Improving inventory is helping to boost sales, but MLS officials say the number of distressed sales in some areas, and shortages of the “right kinds” of inventory persist, are causing some drag on activity. Some brokers also expressed concern about the sluggish pace of new construction.
Members added 11,043 new listings to inventory during April, about 700 more than a year ago for a 6.7 percent gain. At month end, there were 21,390 listings system-wide, up nearly 7.9 percent from twelve months ago when active listings totaled 19,826.
“A lot of potential sellers who would like to move up are reluctant to list due to uncertainty that there will be something on the market they would want or be able to purchase,” said Northwest MLS director Diedre Haines. Changes in the new construction segment are also affecting activity, she suggested.
Other brokers had similar comments about current inventory.
“We are still desperate for inventory in spite of statistics indicating we have more listings,” commented MLS director Kathy Estey. Inventory is being held back because potential sellers fear they will sell their home and not find one to move into, said Estey, the managing broker at John L. Scott in Bellevue.
The result is a catch-22 situation “because nearly no one will accept a contingent offer,” according to Estey. Also, she explained, “bridge financing is scarce and risk tolerance is low” as a result of the hangover from the recession.
The imbalance between supply and demand is reflected in the market indicator known as months of supply, a ratio of active listings and sales. Industry experts say a balance occurs (favoring neither buyers nor sellers) with four-to-six months of supply. The National Association of Realtors® tends to use six months of supply as its gauge.
MLS figures show there is slightly less than 3.5 months of supply area-wide, but amounts vary widely around its service area. Eight counties are below the 6-month threshold, including three counties with less than four months of supply: King (1.74 months), Snohomish (2.47) months, and Pierce (3.6 months).
Tight inventory is creating bidding wars in some sought-after neighborhoods, resulting in some price escalation.
The median price on last month’s sales area-wide was $275,000, rising from the year-ago figure of $269,950 for a gain of nearly1.9 percent. Twelve counties reported year-over-year increases. For single family homes the median price was $287,500, up about 2.7 percent from a year ago. The median price for condos that sold last month jumped nearly 8.3 percent from a year ago, rising from $203,000 to $219,750.
In the Puget Sound region, price changes for sales of single family homes and condos were mixed. King County had the sharpest gain at 9.7 percent versus a year ago, followed by Snohomish County, up about 7.6 percent. Prices dipped slightly in Pierce County (down 0.9 percent) and were basically unchanged in Kitsap County (down 0.15 percent).
Deely, the principal managing broker at Coldwell Banker Bain in Seattle, noted a surge of sales of high-end properties in King County. His analysis of year-to-date sales shows the number of closed units is up about 25 percent, rising from 377 for the first four months of 2013 to this year’s total of 473. He cites research by Core Logic that shows a correlation between million dollar homes sales and stock market gains. “We are experiencing that effect here as well,” he remarked.
South Puget Sound seeing impact of distressed properties
Distressed properties are still influencing activity and prices in the South Sound, reported Dick Beeson, principal managing broker at RE/MAX Professionals in Tacoma. According to his analysis of Northwest MLS data, about 30 percent of April’s sales in both Pierce and Thurston counties were distressed properties, either bank owned or short sales. He noted this appears to be more than twice the ratio in King County.
Buyers are indecisive, Beeson noted, explaining, “They can’t decide if they like a bigger selection or not, especially if much of the inventory is not in the greatest physical condition, which describes many distressed properties.”
Despite the relatively high proportion of distressed properties in Pierce and Thurston counties, multiple offers are occurring on “right priced, right conditioned” listings, remarked Beeson.
Commenting on the minor price drop (down 0.15 percent) compared to a year ago, Beeson believes it is due to the high number of bank owned properties and short sales that were in the mix. He indicated his analysis revealed a median price of $240,000 for non-distressed single family homes, or about 30 percent higher than the distressed component. The gaps in King County, with a smaller proportion of distressed sales, were not as pronounced.
Snohomish County hoping for more balanced market
Haines, who is Coldwell Banker Bain’s regional managing broker for Snohomish County, said even though brokers there have seen “a slight increase in active listings, there are still shortages, especially in the south portion of Snohomish County.” Buyers, sellers, and those in the industry “long for a more balanced market,” she stated, adding, “Of course, to reach that goal, we need more inventory.”
Haines said brokers in Snohomish County aren’t seeing as many widespread multiple offers as during some prior periods. “Multiple offers do exist but seem to be located more in pockets within south and north Snohomish County,” she reported.
Opportunities abound in Kitsap County
Most of Kitsap County continues to experience a healthy balanced market with a 4.3 month supply of inventory, said MLS director Frank Wilson. “As a result our prices are stable with plenty of opportunity for buyers who wish to move to Kitsap,” he added.
Wilson also commented on multiple offers in Kitsap County where his office is located. Sales for homes priced from $200,000 to $350,000 are “pretty fast paced,” he commented, often drawing multiple offers. “Bainbridge more closely resembles the Seattle market, with only about a 2.2 month supply, and thus attracts many multiple offer situations,” added Wilson, the district manager and branch managing broker at John L. Scott Real Estate Poulsbo.
Slower pace of new construction and “buyer fatigue” worrying some brokers
In reviewing the latest MLS report, some brokers commented on changes affecting new construction.
“Most of the new construction we are seeing are by big builders who were able to buy up much of the foreclosed approved plats, raw land and new developments that were lost by the smaller builders during the recession,” noted Haines, a broker in Snohomish County. “The smaller plat developers and builders who are trying to recover and rebuild their business are, understandably so, a bit gun shy.”
Also, Haines continued, “We are seeing for the first time the big developers/builders utilizing in-house employees to manage and sell their plats as opposed to the historical practice of listing them through NWMLS by using traditional real estate firms and their brokers.”
Beeson also noted some “problematic” shifts in this segment. “New construction is mostly limited to a few large production builders,” he observed.
Other sources of worry for some MLS members are “buyer fatigue” and consequences of bidding wars.
“We are seeing some “push-back” by buyers who have seen prices rising so fast and are tired of competing in multiple offer situations,” reported Estey. For example, she noted, sellers sometimes set a “review date” for considering offers. Buyers preview the house but may wait to make an offer until that date passes. “In some situations the day to review comes, but offers do not. Then one or two days later, several offers materialize.” This same phenomenon took place late last spring, according to Estey.
In markets where multiple offers are common, “it is even more imperative that sellers demand that their home be exposed to the full market,” Wilson urged. Such full exposure to all MLS brokers and active buyers will help ensure sellers receive full market value, he explained.
Despite some anxiety, Beeson characterized the market as “stable and slowly healing, save new construction.” Despite a shaky start, he said he expects “a smooth real estate ride into 2015, as excitement builds in Pierce County and beyond when the men’s U.S. Open Golf Tournament will take place at Chambers Bay, a public course owned by Pierce County. Organizers project the event will have an economic impact of $144 million.
Multiple Listing Service, owned by its member real estate firms, is the largest full-service MLS in the Northwest. Its membership includes more than 21,000 real estate brokers. The organization, based in Kirkland, Wash., currently serves 21 counties in Washington state.
KIRKLAND, Wash. (April 3, 2014) – Northwest Multiple Listing Service brokers reported rising prices on fewer sales during March compared to a year ago, citing inventory shortages as the main reason.
Members of the MLS reported 9,183 pending sales (mutually accepted offers) during the month, about 300 fewer than the same period a year ago for a 3.2 percent drop. Compared to February, pending sales surged 26.7 percent in March, or by 1,936 transactions.
“The only thing holding back sales is the lack of inventory,” said John Deely, a member of the Northwest MLS board of directors. He said one recent listing priced at a fair market value drew more than 40 offers. “The depth of buyer demand appears to have no bottom in the most popular price ranges,” added Deely, the principal managing broker at Coldwell Banker Bain in Seattle.
Closed sales were about the same as twelve months ago – 5,753 completed transactions last month, which compares to the year-ago total of 5,745 closed sales.
The median price on last month’s sales of single family homes and condominiums that sold across the 21 counties in the MLS report increased 6 percent, rising from the year-ago figure of $258,500 to last month’s price of $274,000.
Adequate supply to meet demand is a continuing concern, according to Northwest MLS representatives who commented on the latest numbers. Many industry leaders expect the imbalance to persist.
“Once again we entered the year with a low inventory of homes for sale, and we believe the shortage will persist through this year and into 2015 in price ranges where 90 percent of sales activity is occurring,” said J. Lennox Scott, chairman and CEO of John L. Scott Real Estate.
MLS members added 9,598 new listings to the database during March, slightly more than a year ago when they added 9,332 new listings. While last month’s additions were about 33 percent more than February when 7,234 new listings were tallied, brisk sales meant supply remained low.
At month end, the Northwest MLS reported 19,736 active listings of single family homes and condos across its service area. That’s up about 6.7 percent from twelve months ago.
The MLS said there is about 3.6 months of supply, which is down from the end of February when the service reported about 4.6 months of supply. King County has only about 1.8 months of supply, while Snohomish County was slighter better with 2.2 months of supply.
In general, industry analysts say four-to-six months is the supply needed for a balanced market. “We need a housing supply of over 6 months to have a generally balanced market between home buyers and sellers,” stated Lawrence Yun, chief economist and senior vice president of research at the National Association of Realtors®.
“There are many reasons potential sellers should consider selling now,” said Mike Gain, CEO and president of Berkshire Hathaway HomeServices Northwest Real Estate in Seattle. There is less competition now at the beginning of the spring selling season (usually the busiest time of the year) and interest rates are still very low but will likely rise, he noted.
“Now is a great time for move up sellers/buyers who can sell their home quickly and secure another at today’s prices and today’s lower interest rates,” Gain suggested, emphasizing, “Buying a home today is going to prove to be a smart investment in the long run.”
Commenting on March activity, OB Jacobi, president of Windermere Real Estate, said he expects market conditions of low inventory, strong competition among buyers, steadily rising prices – and rising rents – will continue in the foreseeable future. “Rents are on the rise, and when this happens, there’s often a shift where people get priced out of the rental market and move into home ownership. This leads to more demand for homes and upward pressure on prices,” he stated.
Stiff competition among buyers is creating frequent multiple offer situations, according to Gain. “We have way more people wanting to buy than we have appropriate homes to sell in the right locations and at the right prices,” he remarked, adding, “Our market is literally starving for good inventory in desirable neighborhoods.”
Gain also said there are more first-time buyers than he has seen in many years. “Many are very well qualified for a mortgage and have more than minimum down payments.” As an example, he mentioned a resale townhome listing in West Seattle with an asking price of $439,950. Within a few days of it being listed, it had four offers, all with accelerator clauses. The property sold for $459,950, prompting Gain to say, “It’s heartbreaking to have so many good purchasers and not enough good inventory to satisfy their needs.”
Not all markets in the MLS service area are experiencing the same pressure.
“Despite low inventory and falling market time, our prices are still flat overall in Kitsap County,” said Frank Wilson, Kitsap district manager and branch managing broker at John L. Scott Real Estate Poulsbo.
Wilson noted distressed properties (short sales or bank acquired homes) are still a factor. “Those home owners are now renting and most will not be able to buy again for a few years as they get the credit ding of a short sale or repossession behind them.”
As these sidelined buyers reenter the market, Wilson expects inventory will drop lower and prices will rise. Qualified purchasers who are thinking about buying “should take advantage of the stay of rate increases,” he suggested, referring to statements by Federal Reserve Chairwoman Janet Yellen, who made assurances earlier in the week that the Fed intends to keep interest rates low for now.
Pending sales in Kitsap County were about even with a year ago, while 12 of the 21 counties in the MLS system reported declines.
The condominium component ended on a positive note during March, with pending sales rising nearly 7.9 percent from a year ago. MLS members reported 1,345 pending sales, up from the year-ago total of 1,247.
Closed sales rose 2.4 percent, but prices on those sales jumped 14.7 percent. The median sales price on last month’s condo sales was $220,000, up from twelve months ago when it was $191,750.
Northwest Multiple Listing Service, owned by its member real estate firms, is the largest full-service MLS in the Northwest. Its membership includes more than 21,000 real estate brokers. The organization, based in Kirkland, Wash., currently serves 21 counties in Washington state.
Here are the latest market charts from the MLS.
Click on each image below for a larger version.
Active Listings vs. Sold Listings
Number of Pending Listings
Median Sales Price
For more information our the Seattle and Eastside Real Estate Market contact Tony Meier here:
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Here are the latest market charts from the MLS.
Click on each image below for a larger version.
Active Listings vs. Sold Listings
Number of Pending Listings
Median Sales Price
For more information our the Seattle and Eastside Real Estate Market contact Tony Meier here:
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The housing market has turned a corner. Two years of solid appreciation in the Seattle area shows that to be true. In addition, the Federal Government is easing their support for the bond market, so the ability to get a loan at a discounted rate is coming to an end.
Here is the change seen on the Eastside from 2012 to 2013:
What will waiting cost you in 2014?
If we take a conservative look at value and rate increases…
The costs above are for each year of ownership. If you plan to own a home for 5 years or more, the cost of waiting goes up dramatically!
If you want to find out if now is the right time for you to buy a home or move up in the market, feel free to contact me.
Yes, in fact it is one of the best investments you can make! The graphic above is based upon national numbers, here is what King County looks like:
Residential Median Price in 2000 = $250,000
Residential Median Price in 2013 = $415,000
Total Increase = 66%
As much as my investment adviser would hate for me to tell you this, the Seattle area’s real estate market remains one of the best places to invest your money!
Whether it be purchasing your first home, moving up or buying an investment property, I can help! With 25 years of experience, I will make sure you next real estate move is a profitable one.
Contact me here:
Tony Meier
425-466-1000
Or fill out this form:
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Investors Target ‘Hipster’ ZIPs for FlippingHipsters usually refers to a subculture of 20-something or 30-something men and women who follow the latest lifestyle trends and fashion. Many hipsters have delayed forming their own households and are living with their parents longer to get more control over their finances and find steadier employment, RealtyTrac reports. But some investors are banking on the hipsters’ flood into the housing market soon.
“The low hipster home ownership rate of the past five years translates into a market of potentially millions of first-time home buyers looking to find a home that matches their budget and fits into their hipster lifestyle,” RealtyTrac reports.
Some real estate investors are targeting affordable communities where this growing hipster demographic may decide to settle.
The average gross profit nationally of a single-family home flipped in 2013 was more than $58,000. But areas known for a high number of hipsters are offering much higher returns on flips, according to RealtyTrac’s analysis.
RealtyTrac recently released its latest analysis on the best ZIP codes for the most profitable flipping to hipsters. They factored in the percentage of the population in the 25-34 age group, walkability to public transportation, average flip purchase price and gross profit, among other factors. Read more about the survey methodology used at RealtyTrac.
Here are some of the ZIP codes that made it to the top of RealtyTrac’s list for home flipping for hipsters:
Source: RealtyTrac
DAILY REAL ESTATE NEWS | WEDNESDAY, FEBRUARY 12, 2014Strong year-over-year price gains are starting to take a bite into housing affordability, particularly in the West, according to the National Association of REALTORS®’ latest quarterly report.
The median single-family home price rose in 73 percent of the markets, or 119 out of 164 metro areas, in the fourth quarter of 2013, with 26 percent, or 42 of those metros, posting double-digit gains.
“The vast majority of home owners have seen significant gains in equity over the past two years, which is helping the economy through increased consumer spending,” says Lawrence Yun, NAR’s chief economist. “At the same time, home prices have been rising faster than incomes, while mortgage interest rates are above the record lows of a year ago. This is beginning to hamper housing affordability.”
The national median existing single-family home price in the fourth quarter was $196,900, up 10.1 percent from $178,900 one year earlier.
NAR’s Housing Affordability Index, calculated on the relationship between median home prices, median family incomes, and the average effective mortgage interest rate, dropped to 175.8 in 2013 from a record high of 196.5 in 2012. The higher the index, the stronger household purchasing power is, according to NAR.
Yun says tight inventories have accounted for most of the double-digit price growth. The average supply of homes for sale in the fourth quarter was 4.9 months – an improvement over the 4.8 months a year ago, but still not what most economists consider healthy of a 6 to 6.5 month supply. Yun says that new home activity needs to increase in fast appreciating markets to help relieve the upward pressure on home prices.
“Added housing supply will help moderate price growth this year, and should help to stem erosion in affordability, but mortgage interest rates are projected to rise above 5 percent by the end of the year,” Yun says.
The five priciest housing markets in the fourth quarter were:
On the other hand, according to NAR’s report, the following metro areas had the best housing affordability conditions in 2013:
1. Toledo, Ohio
2. Rockford, Ill.
3. Decatur, Ill.
4. Lansing-East Lansing, Mich.
5. Springfield, Ill.
By REALTOR® Magazine Daily News
The spring selling rush may already be under way, as some home owners are already throwing their properties on the market to take advantage of rebounding home prices and improved equity.
Paul Reid, a real estate agent in Temecula, Calif., says some sellers are listing properties earlier than usual in anticipation of the spring season.
Sellers are “nervous about what the spring is going to bring,” says Reid. “They don’t know if everybody will list this spring — then you’ll have a big counterbalance toward too much inventory — or if there’ll be a crunch again. They figure they’ll get out ahead of the market, list, sell, and be done with it.”
Inventory shortages persisted last year, when supply was at a 12-year low leading into the spring. The shortages helped boost home prices, but gave home buyers limited choices and sparked bidding wars in many markets. New-home construction is now at a third of its 2006 peak, which likely will keep inventories tight this spring. But, economists say, improved home prices will likely convince more sellers to sell this year, and that should relieve the inventory crunch in many markets.
In the last four months of 2013, year-over-year inventory levels of homes for sale began to climb after 30 straight months of declines, according to the National Association of REALTORS®.
Inventories increased in some of the states with the tightest markets, such as Arizona, California, Georgia, and Florida. In Sacramento, Calif., asking prices rose 11 percent last year, and listings soared 58 percent in December, according to realtor.com®’s housing report. Inventories also rose by 20 percent or more in Minneapolis; Orlando, Fla.; Atlanta; Dayton, Ohio; Oakland, Calif.; and Phoenix.
“Rising inventory is the primary reason that we expect the pace of price gains to drop back,” says Paul Diggle, property economist for Capital Economics Ltd. Prices are expected to rise only 4 percent nationally this year, compared to an 11 percent gain in 2013.
Source: “U.S. Home Sellers Return for Spring as Buyers Get Relief,” Bloomberg (Feb. 7, 2014)
On a local note: Record low inventories persist in the Seattle area. If you are considering selling, contact me to take advantage of our current market conditions.
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Here are the latest market charts from the MLS.
Click on each image below for a larger version.
Active Listings vs. Sold Listings
Number of Pending Listings
Median Sales Price
For more information our the Seattle and Eastside Real Estate Market contact Tony Meier here:
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KIRKLAND, Wash. (Feb. 5, 2014) – Home sales during January may not have been as super as the Seahawks’ performances, but brokers cite several reasons for optimism during 2014. “We are finally going to be looking at the ‘housing crisis’ in the rear view mirror,” said Mike Gain, CEO and president of Berkshire Hathaway HomeServices Northwest Real Estate. “In 2014 we are definitely in full recovery mode,” he added.
Following the usual pause during the holidays, activity picked up during January when members of Northwest Multiple Listing Service reported 7,044 pending sales, about even with the same month a year ago, and a jump of nearly 35 percent from December’s total of 5,224 mutually accepted offers.
Inventory, while improving, continues to be a source of worry.
“Lots of buyers and not enough of the right inventory to satisfy our buyers’ wants and needs,” was how Gain described current conditions. “Following the worst year for inventory I have seen in my 35 years of practicing real estate locally, we are expecting the number of homes for sale to increase in 2014,” Gain added, emphasizing there is pent up demand and “a very active market is anticipated once the number of listings increases.”
J. Lennox Scott, chairman and CEO of John L. Scott Real Estate agreed. “Available inventory remains tight with shortages or low inventory where 90 percent or more of the sales activity is taking place,” he remarked.
Members added 7,342 new listings to inventory during January, improving on the year-ago total of 7,096. With those additions, the selection increased to 19,195 active listings across the 21 counties served by Northwest MLS. That’s up 6.6 percent from the same period a year ago when there were 18,008 listings.
Thirteen counties have more listings than a year ago, but eight counties are reporting declines in total inventory. “We are literally starving for inventory. We need more homes to sell, especially in the most desirable neighborhoods,” Gain stated.
Area-wide there is about 4.5 months of inventory, an amount at the low end of the 4-to-6 month range most analysts deem to be a balanced market. At this time a year ago, there was about 4.2 months of inventory. The tightest supplies are found in King County (less than 2.5 months) and Snohomish County (3.5 months).
One of the counties with fewer listings is Kitsap, where there is about 5.2 months of supply, down from the year-ago figure of 6.6 months.
Northwest MLS director Frank Wilson, the branch managing broker at John L. Scott in Poulsbo, described overall activity in that market as healthy. “Homes are still coming on the market and buyers are still buying them,” he commented, but noted they are starting to see a bit of stratification on prices.
“Homes that are overpriced are sitting on the market a while, but homes that are priced correctly for today’s market may receive multiple offers,” Wilson explained. Countywide prices are down about 9.4 percent from a year ago. His analysis indicates prices on waterfront listings are lagging, and MLS data indicate prices on condos (a small segment of sales) dropped by double digits compared to a year ago.
Overpriced homes are also a concern in Snohomish County. “Even though we have a nearly 40 percent increase in inventory compared to a year ago, many listings are overpriced, and buyers are not interested in making offers on those properties,” reported Diedre Haines, regional managing broker in Snohomish County for Coldwell Banker Bain.
“We are not yet fully recovered from the recession and sellers need to be realistic in expectations of the value of their homes,” said Haines, a member of the Northwest MLS board of directors.
The most desirable listings in Snohomish County are still receiving multiple offers, Haines noted, while acknowledging activity is “not as frenzied as a year ago,” due in part to lingering doubts about the future of Boeing and other factors. She said new developments are drawing strong interest and traffic. “In some locations reservation agreements are being taken for homes not yet built with many of these developments already getting close to selling out,” she reported.
Home prices area-wide increased nearly 6.6 percent from a year ago, but dipped from December. The median price for last month’s closed sales of single family homes and condominiums was $255,055, rising from the year-ago figure of $239,300. ). In King County, where nearly one of every four closings occurred, the median sales price was $364,875. That represents an increase of 15.8 percent from the year-ago price of $315,000.
Single family prices (excluding condos) increased from $249,200 to $264,995 (up more than 6.3 percent).
Condo prices surged 14.8 percent, from $169,000 a year ago to $194,000 for last month’s sales.
“Years 2012 and 2013 were fantastic recovery years,” said Scott. “We have now experienced two years of positive price appreciation after the five years of market correction,” he added.
MLS director George Moorhead said recent fluctuations in interest rates and upticks in online activity are noteworthy. “We have all seen interest rates go up and down, but I have not seen such an immediate response from buyers,” he remarked. Moorhead, the branch manager at Bentley Properties in Bothell, also reported a 30 percent increase in online activity in the past few weeks.
Gain expects the rebound to be fueled in part by “repeat move-up buyers” and first-time purchasers. “The first time buyer will return to the marketplace in 2014. With the economy improving they will finally be able to move out of their parents’ homes and when comparing renting verses buying, many will choose homeownership,” he stated.
Brokers point to recent reports of the state’s unemployment rate dropping to 6.6 percent, the lowest in five years, as a positive thrust for home sales, but also cited factors that could hamper activity.
“There are always issues surrounding real estate that erode confidence in the market,” Wilson commented, citing uncertainty on flood insurance. “Until Congress takes action to continue the flood insurance subsidy, people buying in flood-prone areas may suffer sticker shock when they see the premium for coverage,” he believes.
Among other factors brokers mentioned as threats to activity are:
— “The volatility of the roller coaster stock market, the new financing and appraisal rules imposed by Dodd/Frank, and fatigue being felt by many buyers who were unsuccessful in purchasing last year.” (Diedre Haines)
— Rising interest rates and tighter lending requirements. Short sales are waning as buyers encounter long timelines and uncertainties. (George Moorhead)
Mike Grady, president and COO of Coldwell Banker Bain, expects activity to continue picking up until May. “Inventory levels are pretty much the same as they were a year ago. Now we’ll have to wait and see if the sellers come out,” he remarked.
Northwest Multiple Listing Service, owned by its member real estate firms, is the largest full-service MLS in the Northwest. Its membership includes more than 21,000 real estate brokers. The organization, based in Kirkland, Wash., currently serves 21 counties in Washington state.
D.R. Horton, the largest U.S. home builder by homes sold, announced that strong sales will allow the company to raise prices for an early start of the spring home-selling season.
The homebuilder announced a 4 percent increase in sales contracts in the first fiscal quarter ending Dec. 31, and a net income of $123.2 million — its highest since 2006.
“In January, and especially in this last week, our sales have been better than expected,” says Donald Tomnitz, D.R. Horton’s chief executive. “I feel that we’re right on the cusp of a strong spring-selling season.”
In November, the builder had said that if sales signaled a slow start to the spring selling season it would try promotions such as free upgrades and assistance with closing to spur sales. But D.R. Horton says that sales are strong enough that it will mostly forgo incentives and raise home prices in some markets.
The average price of D.R. Horton homes under contract last quarter was $275,600, up 10 percent from last year.
The National Association of Home Builders predicts that new-home sales will increase 40 percent in 2014 over 2013. But any steep rise in mortgage rates and aggressive price increases from builders could derail that, housing analysts and economists warn.
The fact that D.R. Horton has “struck an optimistic chord gives us incremental confidence that the spring-selling season is off to a good start,” says Robert C. Wetenhall Jr., managing director of equity research at RBC Capital Markets.
Source: “D.R. Horton Says Strong Sales Allow It To Raise Prices,” The Wall Street Journal (Jan. 28, 2014)
Northwest MLS brokers report nearly $25.5 billion in sales for 2013, outgaining prior year in both number of homes sold and dollar volume!
KIRKLAND, Wash. (Jan. 22, 2014) – Members of Northwest Multiple Listing Service reported 75,517 closed sales during 2013, surpassing the 2012 volume by around 11,000 transactions for an increase of nearly 17 percent. Measured by dollars, last year’s sales of single family homes and condominiums were valued at nearly $25.5 billion to outgain the previous year by more than $5.5 billion (up 27.4 percent).
Last year’s completed sales included 65,122 single family homes and 10,395 condominiums, as tallied by nearly 21,000 real estate brokers in the 21 counties that make up the Northwest MLS service area. The total units and dollar volume are the best since 2007 when members registered 82,197 sales valued at $32.3 billion.
The area-wide median price for last year’s sales was $270,000, improving on the previous year’s figure of $245,000 (up 10.2 percent). A comparison by county shows median sales prices ranged from $118,750 in Pacific County to $372,000 in King County.
Prices for single family homes (excluding condominiums) also rose 10.2 percent from 2012, increasing from $255,000 to $281,000. Condo prices jumped 15.3 percent, rising from the 2012 figure of $175,200 to last year’s median price of $202,000.
By one measure, buyers who shopped during 2013 had a bigger selection as members added more than 104,000 listings to inventory during the year. That was an improvement over 2012 when members added 91,359 new listings. However, brisk sales meant the total number of active listings, which averaged 21,946 during 2013, fell below the previous year’s average of 24,604.
During 2013, the area-wide supply, as measured by months of inventory, ranged from a low of 1.95 in March to 3.68 in December. Industry watchers tend to use a 4-to-6 month range as an indicator of a balanced market, favoring neither buyers nor sellers. Supply tended to be tightest in King and Snohomish counties.
Further evidence of a housing recovery is reflected in high-end sales. Northwest MLS members reported 1,621 sales of single family homes priced at $1 million or more, up 45.2 percent from the 2012 total of 1,116 such sales. Condos priced at $1 million and up accounted for another 137 sales, about the same number as 2012 (138 sales).
The highest-priced single family home that sold during 2012 by a member of Northwest MLS was a property in Medina that fetched $9.75 million. A penthouse in downtown Seattle that sold for $6.2 million topped the condo list.
Among other highlights in its annual compilation of statistics, Northwest Multiple Listing Service reported:
– Single family homes accounted for 86 percent of last year’s residential sales.
– Nearly half (49 percent) of last year’s single family home sales were 3-bedroom homes. More than three-fourths (77 percent) of condos that sold had 2 bedrooms.
– The median price for a 3-bedroom home that sold in 2013 was $250,000. A comparison by county shows the median price for this size home ranged from $128,000 in Pacific County to $450,000 in San Juan County.
– Of the condo sales, about two-thirds (64.1 percent) were located in King County. Within that county, the Eastside edged out Seattle for the largest share (39.7 percent versus 37 percent).
– Last year’s sales included 8,298 newly built single family homes that sold for a median price of $325,000, and 846 condos that sold for a median price of $350,214.
– A 10-year comparison of median prices of single family homes shows prices peaked in most counties in 2007. In 2013, Grant County selling prices returned to 2007 levels, Okanogan prices were at 96.7 percent of 2007 prices, and King County prices were at 91.2 percent of 2007 prices. Other counties have not yet reached those levels, but most are experiencing steady gains.
– Prices vary widely among school districts. An analysis of some of the largest districts in the MLS market area shows single family homes on Mercer Island have the highest prices, followed by homes in the Bellevue, Issaquah, Lake Washington and Bainbridge school districts.
In addition to summarizing sales and listing activity, Northwest MLS also reported enhancements to several services for its members, including more capacity for displaying photos with each listing, additional fields to describe amenities (including “green” features), added apps for mobile devices, and a revamped member website with expanded functionality.
Northwest Multiple Listing Service, owned by its member real estate firms, is the largest full-service MLS in the Northwest. Its membership includes more than 20,000 real estate brokers. The organization, based in Kirkland, Wash., currently serves 21 counties in Washington state.
Here are the latest market charts from the MLS.
Click on each image below for a larger version.
Active Listings vs. Sold Listings
Number of Pending Listings
Median Sales Price
For more information our the Seattle and Eastside Real Estate Market contact Tony Meier here:
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Northwest Multiple Listing Service – Kirkland, Wash. (Jan. 6, 2014) – Brokers with Northwest Multiple Listing Service ended 2013 with the best year-over-year improvement in inventory (up 8.4 percent) and a similar gain in closed sales to buoy confidence heading into the new year. December’s pending sales slipped slightly (down about 1.7 percent) compared to the same month a year ago.
“Positive job growth and the continuation of favorable low interest rates are setting the stage for another good year in real estate,” said J. Lennox Scott, chairman and CEO of John L. Scott Real Estate.
Friday’s narrow approval of Boeing’s contract proposal for Machinists union members bodes well for members of Northwest Multiple Listing Service and the real estate industry.
Reacting to the vote, MLS board member John Deely said, “The robust and diverse economy of the Pacific Northwest is solidified by Boeing’s continued presence in the Seattle area.” Deely, the principal managing broker at Coldwell Banker Bain in Seattle, said the vote helps secure the region’s position as “the aerospace epicenter of the world with top-notch manufacturing jobs that support the industry.”
Boeing workers and others hoping to buy a home have a bigger selection of homes to consider than house-hunters who were looking twelve months ago – especially in Snohomish County, where the number of active listings is up 43.6 percent.
Northwest MLS members added 4,333 new listings during December, improving on the same period a year ago by 476 listings for a gain of 12.3 percent.
At month end, there were 19,214 active listings in the MLS database, improving on the year-ago supply by 1,496 listings for a gain of 8.4 percent. In Snohomish County, which had the largest jump in supply (43.6 percent), the selection of condos nearly doubled from a year ago, increasing from 172 to 342 listings.
Pending sales activity during December was mixed around the 21 counties in the MLS service area, with 11 counties showing increases in mutually accepted offers and the other 10 having fewer pending sales than the same month a year ago.
An imbalance between supply and demand could be crimping sales in some areas.
“As we head into 2014, we will be starting the year with a shortage or low inventory in the price ranges where approximately 90 percent of sales activity is taking place,” stated Scott.
Four counties in the Puget Sound region (King, Snohomish, Pierce and Kitsap) all had year-over-year drops in pending sales. In three of those counties – King, Snohomish and Pierce – there is less than four months of supply, which is below the threshold of 4-to-6 months that many analysts say indicates a balanced market. King County only has about two months of supply.
Brokers notched 5,710 closed sales last month, improving on the previous year by 443 transactions for a gain of 8.4 percent. During 2013, Northwest MLS members tallied 75,517 closed sales system-wide. That total outgains the previous year’s volume of 64,624 closings for an increase of nearly 16.9 percent.
The median price on last month’s sales of single family homes and condominiums was $275,000, up more than 7.8 percent from a year ago when the median price was $255,000. In King County, prices jumped 9.9 percent, rising from $342,000 to $375,900. Prices in Snohomish County climbed 13.7 percent.
Of last month’s closed sales, about 86 percent were single family homes. Those homes had a median selling price of $285,000, about 7.6 percent higher than the year-ago figure of $265,000. In King County, the median sales price was $419,825, up nearly 10.5 percent from a year ago when the median selling price was $380,046.
Condo prices surged 18.6 percent from twelve months ago. Area-wide, condos commanded a selling price of $209,900, up from the year-ago figure of $177,000. In King County, where nearly two-thirds of last month’s condo sales were located, the price soared 21.4 percent, rising from $206,000 to $250,000.
Commenting on the housing recovery, Deely said improvements in the luxury segment (defined as properties priced at $1 million or more) were noteworthy. A comparison of 2012 and 2013 shows brokers reported nearly 500 more high-end sales last year to outperform the previous year by nearly 40 percent.
“The luxury market will continue to see an increase in sales activity and home values in 2014,” Deely proclaimed. “This market will be driven by pent up demand and by the owners of trophy properties who are confident that values have returned to acceptable levels,” he added.
Northwest Multiple Listing Service, owned by its member real estate firms, is the largest full-service MLS in the Northwest. Its membership includes more than 21,000 real estate brokers. The organization, based in Kirkland, Wash., currently serves 21 counties in Washington state.
Here are the latest market charts from the MLS.
Click on each image below for a larger version.
Active Listings vs. Sold Listings
Number of Pending Listings
Median Sales Price
For more information our the Seattle and Eastside Real Estate Market contact Tony Meier here:
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Inventory levels in October remain tight with 1.7 months for single family homes and 1.5 months for condos. Sold prices for homes are up 13% and condos are up 17% as compared to one year ago. The chart below applies to the Greater Eastside, including Bellevue, Kirkland, Redmond, Issaquah, Sammamish, Woodinville and Bothell.
For more information on how the changing market applies to you, contact me here:
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NWMLS April 5th, 2012
“Buyer Ready” Home Shoppers Have Edge as Brokers Report Rise in Multiple Offers
KIRKLAND, Wash. (April 5, 2012) – The housing market in the Puget Sound region is pointing toward a sustainable recovery, according to several brokers who commented on the March activity report from Northwest Multiple Listing Service.
MLS Members reported 9,126 pending sales during March, a year-over-year increase of nearly 21 percent. That total surpassed the previous month by 1,503 transactions (up 19.7 percent). Coupled with shrinking inventory, attractive financing, and rising consumer confidence, the market is becoming more balanced, and even being described by some brokers as “frenzied.” Other brokers commented on the “remarkable opportunities for investing in the residential rental market.”
Brokers added 8,170 new listings last month — nearly 1,000 fewer than the number of pending sales, and about 1,100 fewer new listings than the same month a year ago. With those additions, the number of active listings at month end totaled 24,883 across the 21 counties in the Northwest MLS service area. Compared to a year ago, inventory is down 25.6 percent.
“Buyers are screaming for more inventory and they’re being more aggressive with presenting offers on homes,” reported MLS director George Moorhead, branch manager at Bentley Properties in Bothell. Home shoppers perceive the bottom is nearing, he noted, “and both buyers and sellers want to catch the historically low interest rates.” Area-wide, he said bank-owned home sales are increasing. “The lagging inventory is actually helping prices stabilize, which we hope will have a positive impact on the real estate market as the year progresses,” he added.
“Close to the job centers, 45 percent of new listings are selling within a single month. We are seeing a frenzied market in the Puget Sound region, especially in the more affordable and mid-price ranges, with an increase in sales activity in the high end,” remarked J. Lennox Scott, chairman and CEO of John L. Scott Real Estate. “Because of the shortage of homes for sale, combined with the sales surge being driven by job growth and historically low interest rates, if you are not ‘buyer ready’ you may not get a house in today’s market,” he added.
Northwest MLS brokers reported 5,044 closed sales last month, improving on the year-ago total by nearly 10 percent. The overall median price on last month’s completed transactions was $225,000, which reflects a decrease of 7.4 percent from the year-ago median sales price of $242,925.
Noting stabilizing prices are “forcing buyers to make offers that reflect a more balanced market,” Northwest MLS director Darin Stenvers said house-hunters have taken note of rising rents, fewer choices and increasing fuel costs. The trends are not universal, he acknowledged, but certainly reflect a higher buying confidence level and even a small uptick in new construction. “I’m seeing new home starts in areas that had been at a standstill for years,” reported Stenvers, the office managing broker at John L. Scott in Bellingham.
Multiple offers are occurring with regularity in some neighborhoods according to Northwest MLS directors. “The housing market in Seattle’s close-in neighborhoods began to show signs of buyer panic in February but reached a breaking point in March,” reported Mike Skahen, owner and designated broker of Lake & Co. Real Estate in Seattle. “I haven’t seen buyers this motivated since 2006 and in my opinion, prices on good houses have recovered at least 10 percent of their value since the low point a year ago,” he added.
Skahen said a small Ballard home listed for around $370,000 recently drew five offers and sold for considerably more than the list price. “It’s becoming common for multiple offers on most houses, especially those priced under $400,000 where the selection is very limited,” he observed.
“Now that buyers can track new listings online they are aware of how quickly most listings are selling and fear they’ve missed catching the bottom of the market. They realize continuing to wait would be a mistake,” Skahen commented.
Diedre Haines, another Northwest MLS director, said pending sales in Snohomish County, which jumped 21 percent, would have been “considerably greater were it not for the buyer competition due to the magnitude of multiple offer situations.” She said they are seeing the return of price escalator forms, pre- inspections, set dates for sellers to review offers and properties selling above list price,” according to Haines, the regional managing broker at Coldwell Banker Bain in Lynnwood. “Prices are not increasing dramatically but those properties that are listed and priced correctly, especially in the $300,000 and below range, are selling within days of coming on market,” she noted.
Haines also said they are seeing multiple offer situations in the higher priced market “but not as many over list price sales.” She reported the demand ratio in Snohomish County, based on a recent analysis, “is at the highest levels we have experienced since 2006.” She also noted the report showed there are two buyers for every current home on market in Snohomish County.
A similar scenario exists in Kitsap County. “Inventory is down by 11 percent, buyers making offers are up almost 34 percent, multiple offer situations are on the rise, and more people are coming by our open houses,” reported Frank Wilson, branch managing director at John L. Scott’s office in Poulsbo. “While the median price in Kitsap is down by 5 percent it is only a matter of time before prices stabilize,” he believes.
The optimism comes with a cautionary note. “It is still extremely important for sellers to price their property correctly,” Haines emphasized. Even with high demand, homes that are priced above comparable properties are not receiving offers, she explained, adding, “We are seeing very positive signs of a continuing recovery but buyers are well educated regarding values and pricing. Sellers should not expect huge increases in values and need to price their properties accordingly and realistically.”
The uptick in activity is attracting not only first-time and move-up buyers, but also investors, according to industry experts.
“Rental demand is surging, interest rates are at historic lows, and recent economic activity has erased nearly a decade of appreciation,” reported MLS director OB Jacobi, president of Windermere Real Estate.. He believes the combination of these three factors has created “remarkable opportunities for investing in the residential rental market,” explain “The long-term financial benefits can be significant, but the first step is to closely analyze the details with your real estate agent.”
Another MLS director was equally upbeat. “The market in the Puget Sound region is showing optimistic signs of not only stabilization, but turning point towards a sustainable recovery,” said Joe Spencer, area director for Keller Williams Northwest Region. He suggested the cause is “simply the growing imbalance of supply and demand, which has resulted in the lowest inventory levels since 2006. This doesn’t mean that we’re out of the dark yet,” he acknowledged, adding, “However, I wouldn’t be surprised to see modest appreciation, especially close to job centers, in the latter half of 2012 or early 2013.”
Northwest Multiple Listing Service, owned by its member real estate firms, is the largest full-service MLS in the Northwest. Its membership includes more than 22,000 real estate brokers. The organization, based in Kirkland, Wash., currently serves 21 counties in Washington state.
| Statistical Summary by Counties:Market Activity Summary – March 2012 Single Fam. Homes + Condos | LISTINGS | PENDING SALES | CLOSED SALES | ||||||||||
| New Listings | Total Active | # Pending Sales | # Closings | Avg. Price | Median Price | ||||||||
| King | 3,415 | 6,700 | 3,878 | 2,082 | $379,213 | $295,000 | |||||||
| Snohomish | 1,210 | 2,617 | 1,665 | 828 | $250,191 | $228,500 | |||||||
| Pierce | 1,260 | 3,788 | 1,439 | 803 | $193,570 | $175,000 | |||||||
| Kitsap | 418 | 1,400 | 404 | 217 | $287,581 | $217,500 | |||||||
| Mason | 131 | 628 | 85 | 58 | $148,478 | $151,600 | |||||||
| Skagit | 192 | 787 | 154 | 106 | $269,702 | $209,995 | |||||||
| Grays Harbor | 176 | 735 | 98 | 75 | $99,161 | $89,000 | |||||||
| Lewis | 92 | 611 | 77 | 45 | $145,508 | $118,599 | |||||||
| Cowlitz | 132 | 494 | 91 | 58 | $131,539 | $125,950 | |||||||
| Grant | 99 | 505 | 57 | 37 | $155,017 | $150,000 | |||||||
| Thurston | 409 | 1,299 | 386 | 219 | $215,571 | $212,000 | |||||||
| San Juan | 35 | 343 | 28 | 12 | $336,958 | $281,750 | |||||||
| Island | 176 | 746 | 135 | 71 | $282,122 | $220,000 | |||||||
| Kittitas | 78 | 397 | 45 | 26 | $319,248 | $194,450 | |||||||
| Jefferson | 92 | 453 | 37 | 27 | $238,215 | $222,500 | |||||||
| Okanogan | 38 | 316 | 27 | 20 | $133,808 | $122,750 | |||||||
| Whatcom | 364 | 1,285 | 280 | 186 | $271,838 | $235,000 | |||||||
| Clark | 46 | 252 | 56 | 38 | $209,392 | $183,550 | |||||||
| Pacific | 86 | 376 | 30 | 28 | $117,175 | $107,500 | |||||||
| Ferry | 7 | 61 | 5 | 2 | $67,250 | $67,250 | |||||||
| Clallam | 81 | 379 | 43 | 31 | $297,620 | $167,500 | |||||||
| Others | 173 | 711 | 106 | 75 | $150,328 | $134,900 | |||||||
| MLS TOTAL | 8,710 | 24,883 | 9,126 | 5,044 | $268,957 | $225,000 | |||||||
Tony Meier
Making Real Estate Easy, Fun & Profitable!
Serving Buyers, Sellers & Their Referrals Since 1989
Windermere Real Estate/NE
EastsideHomes.com – Seattle’s Eastside Real Estate Resource
From the Northwest Multiple Listing Service:
FOR IMMEDIATE RELEASE: March 5, 2012
Washington homebuyers realizing “market may have reached bottom of cycle”
KIRKLAND, Wash. (March 5, 2012) – With spring on the horizon and consumer confidence on the rise, members of Northwest Multiple Listing Service are reporting positive gains in activity. Pending sales for February increased more than 27 percent from a year ago, more sellers are listing their homes, and brokers are reporting an uptick in multiple offers.
“Buyers are beginning to realize that we may have seen the bottom of this real estate market,” remarked Frank Wilson, branch managing broker at John L. Scott Real Estate in Poulsbo and a member of the Northwest MLS board of directors. “Waiting to buy may only result in paying a higher interest rate, having fewer houses to choose from, or finding that sellers do not need to give up as much as they have in the past,” he added.
Brokers reported 7,623 pending sales during February, the highest volume since August when they notched 7,632 mutually accepted offers. Last month’s tally jumped 27.4 percent from twelve months ago, with 20 of the 21 counties in the MLS service area reporting double-digit gains.
Within King County, pending sales were particularly robust in the Lake Forest Park/Kenmore neighborhoods (up 73 percent), Kent (up 61 percent), Burien/Normandy Park (up 58 percent) and central Seattle (up 56 percent). The northeast portion of Snohomish County also experienced strong sales (up 63 percent from a year ago).
“The only thing tempering this from being a hot, thriving market are the short sales and foreclosed properties which represent about one-third of the transactions,” Wilson commented.
J. Lennox Scott, CEO and chairman of John L. Scott Real Estate, said the combination of job growth and historic low interest rates is creating a seller’s market through the mid-price ranges and contributing to surging activity close to job centers. “It’s a special moment in time in real estate history,” he observed, adding “We have a backlog of qualified buyers looking for homes to purchase.”
Buyers have fewer homes to consider compared to a year ago, with inventory down 22.5 percent area-wide. At month end, there were 25,510 active listings in the Northwest MLS database; a year ago, there were 32,922 homes and condos listed for sale.
The selection compared to twelve months ago is down sharply in both King County (off 32.3 percent) and Snohomish County (down 38.2 percent). Measured by months of supply, Snohomish has about 2.1 months while King is slightly better at 2.3 months. (Five to six months of supply is considered to be a balanced market, with less than that presumed to be a seller’s market.)
Northwest MLS brokers added 7,390 new listings to inventory during February, about 400 fewer than the same month a year ago.
Asking prices are comparable to a year ago. System-wide, the median asking price for the current inventory of single family homes and condominiums is $249,900, about $5,000 below the year-ago median figure of $254,950 (down 1.98 percent). Six counties (Ferry, Grant, King, Mason, Snohomish, and Whatcom) reported higher median listing prices in February than 12 months ago.
Northwest MLS members reported 3,846 closed sales last month, up about 25 percent from the year-ago total of 3,080 completed transactions.
Selling prices continued to slip, but the decline was under 9 percent for the first time in nearly a year. The area-wide median price for last month’s closed sales of single family homes and condominiums (combined) was $218,944, down about 8.8 percent from the year-ago figure of $240,000.
For single family homes only (excluding condominiums), prices were down about 7.7 percent from a year ago. Last month’s closed sales fetched a median sales price of $229,000, which compares to the year-ago price of $248,000. Five counties (Clallam Ferry, Grant, Lewis and San Juan) reported year-over-year price increases.
Commenting on the market around Kitsap County, where prices dipped nearly 11 percent, Wilson said he expects prices to “stabilize and even reverse as we move further into 2012.” With 4.3 months of supply in that county, he believes the market is tilting toward sellers. “We continue to see more multiple offer situations on homes that come on the market correctly priced,” he stated.
Wilson also pointed to recently released consumer confidence numbers as a positive indicator. He noted The Conference Board Consumer Confidence Index posted sizeable improvements in February, approaching levels last seen a year ago.
In a statement accompanying the latest report, Lynn Franco, director of The Conference Board Consumer Research Center, said consumers were more optimistic about the short-term outlook than they were a month ago. “Consumers are considerably less pessimistic about current business and labor market conditions than they were in January. And, despite further increases in gas prices, they are more optimistic about the short-term outlook for the economy, job prospects, and their financial situation,” she declared.
Nationally, the overall direction for the housing market is positive, according to analysts with the National Association of Realtors (NAR). Its latest figures show the past few months of contract activity are the highest in more than four years outside of the home buyer tax credit impact. In comments accompanying the latest figures, NAR suggested the market isn’t as strong as it could be because of overly restrictive lending standards and contract cancellations due in part to appraised values coming in below a negotiated price.
Northwest Multiple Listing Service, owned by its member real estate firms, is the largest full-service MLS in the Northwest. Its membership includes more than 22,000 real estate brokers. The organization, based in Kirkland, Wash., currently serves 21 counties in Washington state.
Statistical Summary by Counties: Market Activity Summary – Feb. 2011
| Single Family Homes + Condos |
LISTINGS |
PENDING SALES |
CLOSED SALES |
|||
|
New Listings
|
Total Active
|
# Pending Sales
|
# Closings
|
Avg. Price
|
Median Price
|
|
| King |
2832
|
7048
|
3123
|
1574
|
$340,826
|
$275,000
|
| Snohomish |
1126
|
2925
|
1391
|
698
|
$236,694
|
$220,000
|
| Pierce |
1152
|
4018
|
1234
|
636
|
$193,209
|
$169,450
|
| Kitsap |
368
|
1397
|
321
|
170
|
$265,910
|
$225,400
|
| Mason |
119
|
601
|
63
|
36
|
$134,536
|
$95,800
|
| Skagit |
147
|
799
|
153
|
64
|
$193,386
|
$169,000
|
| Grays Harbor |
125
|
701
|
100
|
41
|
$117,875
|
$108,000
|
| Lewis |
95
|
620
|
74
|
37
|
$126,450
|
$113,000
|
| Cowlitz |
100
|
476
|
78
|
36
|
$136,528
|
$142,400
|
| Grant |
98
|
481
|
65
|
30
|
$184,930
|
$171,750
|
| Thurston |
353
|
1307
|
345
|
154
|
$225,913
|
$211,500
|
| San Juan |
36
|
341
|
17
|
10
|
$656,300
|
$443,500
|
| Island |
131
|
735
|
108
|
53
|
$228,611
|
$220,000
|
| Kittitas |
54
|
389
|
43
|
26
|
$177,514
|
$157,450
|
| Jefferson |
62
|
425
|
35
|
25
|
$227,343
|
$203,500
|
| Okanogan |
26
|
318
|
25
|
13
|
$160,335
|
$140,000
|
| Whatcom |
265
|
1232
|
250
|
128
|
$235,645
|
$218,750
|
| Clark |
52
|
237
|
56
|
17
|
$149,833
|
$133,000
|
| Pacific |
52
|
337
|
32
|
12
|
$129,124
|
$92,500
|
| Ferry |
3
|
58
|
0
|
2
|
$70,500
|
$70,500
|
| Clallam |
64
|
364
|
31
|
27
|
$195,993
|
$184,000
|
| Others |
130
|
701
|
79
|
57
|
$184,417
|
$165,000
|
| MLS TOTAL |
7,390
|
25,510
|
7,623
|
3,846
|
$265,993
|
$218,944
|
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 |
4624 |
4526 |
4765 |
4580 |
4584 |
4445 |
3346 | 2841 | 2432 |
| 2009 | 3250 | 3407 | 4262 | 5372 | 5498 | 5963 | 5551 | 5764 | 5825 | 5702 | 3829 | 3440 |
| 2010 | 4381 | 5211 | 6821 | 7368 | 4058 | 4239 | 4306 | 4520 | 4350 | 4376 | 3938 | 3474 |
| 2011 | 4272 | 4767 | 6049 | 5732 | 5963 | 5868 | 5657 | 5944 | 5299 | 5384 | 4814 | 4197 |
| 2012 | 4921 | 6069 |
Inventory is way down from our peak levels!
In 2008 there were nearly 16,000 homes for sale in King County, now we have less than half that!
Inventory is absorbing at levels we have not seen since the market correction began! Absorption levels in mid-30’s would typically mean the median price is on the rise.
So what does this mean to you and your referrals?
Sellers: If you have been waiting to sell until the market changes… well the market has changed! We have unseasonably low inventory… which should make the sale of your home right now an easier and more profitable event then in recent years.
Buyers: If you have been waiting until the bottom to buy a new home… don’t wait any longer! We won’t officially know the bottom until it is long gone! However, given the information at hand, the peak inventory and resulting downward pressure has left the market. Interest rates remain tremendously low and real estate is still on SALE. Don’t let this opportunity to buy when the market is at its lowest pass you by!
Call me today to discuss taking advantage of the current market.
Tony Meier @ 425-466-1000
Tony Meier
Making Real Estate Easy, Fun & Profitable!
Serving Buyers, Sellers & Their Referrals Since 1989
Windermere Real Estate/NE
EastsideHomes.com – Seattle’s Eastside Real Estate Resource
NWMLS KIRKLAND, WA. (Dec. 5, 2011) – Northwest Multiple Listing
Service members reported 6,103 pending sales during November, marking the
seventh straight month of double-digit year-over-year increases.
Last month’s total number of mutually accepted offers was 22.4 percent higher
than the same month a year ago. It also marked the first month since December
2006 that the number of pending sales surpassed the number of new listings
(6,043), prompting discussions of possible inventory shortages.
“As we head toward the end of the year, it’s certainly good to see a healthy
number of buyers relative to the available inventory for sale,” said Mike Grady,
president and chief operating officer of Coldwell Banker Bain. “In fact,” he
noted, “there are some desirable neighborhoods in urban core areas where the
case could be made there are too few homes currently
for sale.”
At month end, there were 30,650 residential listings in the MLS inventory
across 21 counties, down nearly 17 percent from a year ago. For the listing
service map areas covering Seattle, the database shows a year-over-year drop of
about 32 percent.
“Entering the New Year, the Seattle metro area will start off with a shortage
of inventory in both the more affordable and mid-priced ranges,” suggested J.
Lennox Scott, CEO and chairman of John L. Scott Real Estate. He noted a high
percentage of sellers are receiving offers within the first month or two of
listing their homes.
Despite the smaller selection, the listings in the MLS database covering all
counties span a wide price range: 400 homes are priced at $50,000 or less and 65
residences are listed at $5 million-plus.
For homes and condominiums that sold last month, the median selling price was
$225,000, down 10 percent from the year-ago median price of $250,000. Single
family home prices were off 8 percent from a year ago ($234,612 versus
$255,000), while condo prices slipped more than 17 percent ($169,000 versus
$204,500).
Brokers point to distressed properties, which tend to be deeply discounted,
as a primary cause of lower prices.
Bank-owned homes continue to put
downward pressure on pricing, reported Northwest MLS director Matt Deasy,
general manager of Windermere Real Estate/East, Inc.
For the four-county Puget Sound region, a check of the Northwest MLS database
shows more than one-fourth (26.8 percent) of the single-family homes that sold
last month were classified as distressed, up from the year-ago figure of 21.9
percent.
| SFH only |
Nov. 2011 |
Nov. 2010 |
||||
|
Total |
Bank |
% bank |
Total |
Bank |
% bank |
|
| King |
1538 |
327 |
21.26% |
1092 |
163 |
14.93% |
| Snoh |
680 |
201 |
29.56% |
499 |
138 |
27.66% |
| Pierce |
710 |
268 |
37.75% |
591 |
172 |
29.10% |
| Kitsap |
191 |
41 |
21.47% |
178 |
43 |
24.16% |
| 4-co ttl |
3119 |
837 |
26.84% |
2360 |
516 |
21.86% |
| (*REO is a class of property owned by a lender – typically a bank, government agency, or government loan insurer – after an unsuccessful sale at a foreclosure auction. – Wikipedia) |
||||||
For the MLS market overall (21 counties), the number of closed sales jumped
36.2 percent, rising from 3,583 completed transactions during November 2010 to
last month’s total of 4,879.
“Home prices continue to get dragged down by foreclosures and short sales,
which is disappointing given how strong home sales are,” said OB Jacobi,
president of Windermere Real Estate. “We probably won’t see drastic changes in
prices until the banks work through the distressed inventory,” he noted, adding,
“but we expect the pace of this process to pick up over the next several months,
so hopefully by this time next year we’ll be singing a different tune.”
Kitsap County was one of the few areas to register a price gain. The median
sales price edged up slightly more than 1 percent, from $230,000 to $232,500.
“One month does not make a trend,” acknowledged MLS director Frank Wilson, while
noting the change in direction to a positive number is encouraging.
Wilson, the branch managing broker at John L. Scott’s Poulsbo office, expects
Kitsap County will benefit from last week’s surprise announcement of a contract
extension between Boeing and the Machinists Union, since Kitsap often feels an
echo effect of what happens on “the other side.” If ratified, he said the
contract “will definitely help our area (particularly the northern part) in the
long run as buyers will continue to see a significant price difference between
Seattle-side real estate and what they can buy in Kitsap.” (According to
Northwest MLS data, the median asking price on current listings of single family
homes in Kitsap County is $289,000, while in King County it is $370,000, about
28 percent more.)
The “fantastic, recent news coming out of Boeing is going to secure thousands
of jobs in the area,” said J. Lennox Scott. With that news, combined with
momentum from other major area employers, “we are seeing solid, renewed demand
for local housing,” he remarked. Job growth, historic low interest rates and an
elevated number of residential investors taking advantage of favorable market
conditions are contributing to “a healthy level of sales activity, one of the
best in the nation.”
One of the sub-markets with vigorous activity is North Seattle, reported Mike
Grady. The number of homes currently in escrow nearly matches the number still
available for sale, a condition not seen since the boom years of 2005 and 2006,
according to his analysis. He is also encouraged by the small ratio of
distressed properties. Grady said fewer than 6 percent of North Seattle
properties waiting to close escrow are ‘short sale’ transactions, which he said
is “a positive trend our brokers will be keeping a close eye on in the weeks and
months ahead.”
Northwest MLS director Wilson cautioned some of the statistics for November
and December should be viewed “with a grain a salt.” Buyers and sellers tend to
think more about family time and the holidays, and sellers may choose to
postpone listing their home until the New Year, or take them off the market
during the holiday season, he explained.
Although some sellers, buyers and brokers “check out” during the holidays,
Wilson said there is an interesting dynamic that takes place. Houses that are on
the market are being looked at by more motivated buyers, buyers who are very
focused, he noted. “This is an interesting dynamic that happens every year,” he
added.
Wilson’s observation is bolstered by findings from a Realtor.com survey,
which found the vast majority of respondents, 79 percent, said more serious
buyers were one of the biggest benefits of listing during the holidays. Less
competition was an advantage cited by 61 percent of the survey respondents. The
majority of respondents, 74 percent, said pricing a home to sell is even more
important during the holidays, while an even higher number, 80 percent, said
online listing photos were particularly crucial since buyers visit fewer open
houses and sellers are less inclined to schedule them during the busy holiday
season.
Northwest Multiple Listing Service, owned by its member real estate firms, is
the largest full-service MLS in the Northwest. Its membership includes more than
22,000 real estate brokers. The organization, based in Kirkland, Wash.,
currently serves 21 counties in Washington state.
Statistical Summary by Counties: Market Activity Summary – November
2011
| Single Family Homes + Condos |
LISTINGS |
PENDING |
CLOSED SALES |
|||
|
New
Listings |
Total
Active |
# Pending
Sales |
# Closings
|
Avg.
Price |
Median
Price |
|
| King |
2,236 |
8,790 |
2,486 |
1,944 |
$360,515 |
$290,000 |
| Snohomish |
947 |
3,817 |
1,041 |
806 |
$254,126 |
$229,950 |
| Pierce |
977 |
4,777 |
1,048 |
758 |
$198,562 |
$184,848 |
| Kitsap |
304 |
1,595 |
239 |
203 |
$277,251 |
$232,500 |
| Mason |
94 |
729 |
49 |
45 |
$181,448 |
$147,500 |
| Skagit |
130 |
958 |
112 |
96 |
$270,768 |
$192,500 |
| Grays Harbor |
83 |
771 |
68 |
57 |
$144,545 |
$115,000 |
| Lewis |
78 |
696 |
61 |
48 |
$157,580 |
$144,950 |
| Cowlitz |
93 |
506 |
81 |
62 |
$154,155 |
$131,495 |
| Grant |
67 |
514 |
59 |
46 |
$147,861 |
$135,220 |
| Thurston |
279 |
1,513 |
274 |
223 |
$226,563 |
$215,000 |
| San Juan |
17 |
421 |
14 |
11 |
$481,636 |
$366,000 |
| Island |
110 |
853 |
87 |
80 |
$281,137 |
$239,500 |
| Kittitas |
36 |
469 |
37 |
44 |
$240,545 |
$196,175 |
| Jefferson |
32 |
520 |
39 |
27 |
$248,544 |
$225,000 |
| Okanogan |
36 |
379 |
21 |
15 |
$197,456 |
$220,000 |
| Whatcom |
214 |
1,494 |
214 |
176 |
$234,439 |
$208,000 |
| Clark |
43 |
208 |
42 |
93 |
$224,098 |
$197,000 |
| Pacific |
39 |
385 |
24 |
20 |
$128,022 |
$118,250 |
| Ferry |
3 |
60 |
5 |
3 |
$171,333 |
$165,000 |
| Clallam |
56 |
421 |
28 |
35 |
$220,809 |
$185,000 |
| Others |
169 |
774 |
74 |
87 |
$191,788 |
$175,000 |
| MLS TOTAL |
6,043 |
30,650 |
6,103 |
4,879 |
$280,168 |
$225,000 |
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 |
4624 |
4526 |
4765 |
4580 |
4584 |
4445 |
3346 | 2841 | 2432 |
| 2009 | 3250 | 3407 | 4262 | 5372 | 5498 | 5963 | 5551 | 5764 | 5825 | 5702 | 3829 | 3440 |
| 2010 | 4381 | 5211 | 6821 | 7368 | 4058 | 4239 | 4306 | 4520 | 4350 | 4376 | 3938 | 3474 |
| 2011 | 4272 | 4767 | 6049 | 5732 | 5963 | 5868 | 5657 | 5944 | 5299 | 5384 | 4814 |
March saw another increase in pending home sales, with contract activity rising unevenly in six of the past nine months, according to the National Association of REALTORS®.
The Pending Home Sales Index, a forward-looking indicator based on contract signings, rose 5.1 percent to 94.1 in March from a downwardly revised 89.5 in February. The index is 11.4 percent below 106.2 in March 2010; however, activity was at elevated levels in March and April of 2010 to meet the contract deadline for the home buyer tax credit.
The data reflects contracts but not closings, which normally occur with a lag time of one or two months.
Lawrence Yun, NAR chief economist, said home sales activity has shown an uneven but notable improvement. “Since reaching a cyclical bottom last June, pending home sales have posted an overall gain of 24 percent and demonstrate the market is recovering on its own,” he said. “The index means modest near-term gains in existing-home sales are likely, which would be even stronger if tight mortgage lending criteria returned to normal, safe standards.”
The PHSI in the Northeast fell 3.2 percent to 63.4 in March and is 18.4 percent below March 2010. In the Midwest the index rose 3.0 percent in March to 83.5 but is 16.6 percent below a year ago. Pending home sales in the South jumped 10.3 percent to an index of 110.2, but are 10.5 percent below March 2010. In the West the index increased 3.1 percent to 103.7 but is 4.1 percent below a year ago.
“Based on the current uptrend with very favorable affordability conditions, rising apartment rents, and ongoing job creation, existing-home sales should rise around 5 to 10 percent this year with sales growth of lower-priced homes likely to outperform high-end homes. That means the price trend will reflect more homes sold in the lower price ranges,” Yun said.
“The good news is that recent home buyers are staying well within budget, leading to exceptionally low loan-default rates among home buyers over the past two years,” he added.
Source: NAR
Sales of existing-home sales rose in March, continuing an uneven recovery that began after sales bottomed last July, according to the NATIONAL ASSOCIATION OF REALTORS®.
Existing-home sales, which are completed transactions that include single-family, townhomes, condominiums and co-ops, increased 3.7 percent to a seasonally adjusted annual rate of 5.10 million in March from an upwardly revised 4.92 million in February, but are 6.3 percent below the 5.44 million pace in March 2010. Sales were at elevated levels from March through June of 2010 in response to the home buyer tax credit.
Lawrence Yun, NAR chief economist, expects the improving sales pattern to continue. “Existing-home sales have risen in six of the past eight months, so we’re clearly on a recovery path,” he said. “With rising jobs and excellent affordability conditions, we project moderate improvements into 2012, but not every month will show a gain – primarily because some buyers are finding it too difficult to obtain a mortgage. For those fortunate enough to qualify for financing, monthly mortgage payments as a percent of income have been at record lows.”
NAR’s housing affordability index shows the typical monthly mortgage principal and interest payment for the purchase of a median-priced existing home is only 13 percent of gross household income, the lowest since records began in 1970.
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage was 4.84 percent in March, down from 4.95 percent in February; the rate was 4.97 percent in March 2010.
Data from Freddie Mac and Fannie Mae show requirements to obtain conventional mortgages have been tightened, with the average credit score rising to about 760 in the current market from nearly 720 in 2007; for FHA loans the average credit score is around 700, up from just over 630 in 2007.
“Although home sales are coming back without a federal stimulus, sales would be notably stronger if mortgage lending would return to the normal, safe standards that were in place a decade ago – before the loose lending practices that created the unprecedented boom and bust cycle,” Yun explained.
“Given that FHA and VA government-backed loan programs turned a modest profit over to the U.S. Treasury last year, and have never required a taxpayer bailout, we believe low-downpayment loans should continue to be available for those consumers who have demonstrated financial responsibility and are willing to stay well within their budget. Raising the downpayment requirement would unnecessarily deny credit to many worthy middle-class families and veterans,” Yun said.
A parallel NAR practitioner survey shows first-time buyers purchased 33 percent of homes in March, compared with 34 percent of homes in February; they were 44 percent in March 2010.
Record Share of All-Cash Sales
All-cash sales were at a record market share of 35 percent in March, up from 33 percent in February; they were 27 percent in March 2010. Investors accounted for 22 percent of sales activity in March, up from 19 percent in February; they were 19 percent in March 2010. The balance of sales were to repeat buyers.
The national median existing-home price for all housing types was $159,600 in March, down 5.9 percent from March 2010. Distressed homes – typically sold at discounts in the vicinity of 20 percent – accounted for a 40 percent market share in March, up from 39 percent in February and 35 percent in March 2010.
NAR President Ron Phipps said some renters are looking to home ownership as a hedge against inflation. “The typical buyer today plans to stay in a home for 10 years, while rents are projected to rise at faster rates over the next few years,” he said. “As buyers gain more financial security, the advantages of home ownership become more obvious. Rents will continue to trend up, especially in comparison with a fixed-rate loan which provides financial stability and gradual accumulation of equity over time.”
Total housing inventory at the end of March rose 1.5 percent to 3.55 million existing homes available for sale, which represents an 8.4-month supply at the current sales pace, compared with a 8.5-month supply in February.
Single-family home sales rose 4.0 percent to a seasonally adjusted annual rate of 4.45 million in March from 4.28 million in February, but are 6.5 percent below the 4.76 million level in March 2010. The median existing single-family home price was $160,500 in March, down 5.3 percent from a year ago.
Existing condominium and co-op sales increased 1.6 percent to a seasonally adjusted annual rate of 650,000 in March from 640,000 in February, but are 4.1 percent below the 678,000-unit pace one year ago. The median existing condo price was $153,100 in March, which is 10.1 percent below March 2010.
Regions: Northeast
Regionally, existing-home sales in the Northeast rose 3.9 percent to an annual level of 800,000 in March but are 12.1 percent below March 2010. The median price in the Northeast was $232,900, down 3.0 percent from a year ago.
Midwest
Existing-home sales in the Midwest increased 1.0 percent in March to a pace of 1.06 million but are 13.1 percent lower than a year ago. The median price in the Midwest was $126,100, which is 7.1 percent below March 2010.
South
In the South, existing-home sales rose 8.2 percent to an annual level of 1.99 million in March but are 1.0 percent below March 2010. The median price in the South was $138,200, down 6.6 percent from a year ago.
West
Existing-home sales in the West slipped 0.8 percent to an annual pace of 1.25 million in March and are 3.1 percent below a year ago. The median price in the West was $192,100, which is 11.2 percent lower than March 2010.
Seattle is a good mix of new and old economies, with Microsoft, Amazon and Boeing offering good, well-paying jobs. And that has been key to getting the city's economy off life support, with the unemployment rate dropping below 9% in December.
"We've got solid corporate leaders and that firms up the purchase market," said Lennox Scott, CEO of John L. Scott Real Estate.
However, Seattle is also a popular place to live and many people financed their homes with dangerous loan products during the last decade. That meant that when the bust hit, foreclosures skyrocketed. The city is in the nation's top 50 hardest-hit areas for foreclosure filings, according to RealtyTrac.
But home prices will be rebounding, thanks, in part, to Seattle's position between mountain and sea. Because the area lacks land to build on, supply can be limited once the foreclosure market dries up.
Source article:
http://money.cnn.com/galleries/2011/real_estate/1102/gallery.best_recovery_bets/6.html
The King County Real Estate Market Takes a Breather as Tax Credit Expires…
The fevered pace that led up to the tax credit deadline appears to have slowed some. Time will tell if this a brief pause or something more significant. Keep watch on my blog for more details .
BTW… I personally had 3 sales during the last 7 days as represented on the image below, so it was not slow for me. Two were before the tax credit expired and one was afterward. The one that came afterward was a listing of mine which received 3 offers, so even though the credit is gone, buyers are still out on the hunt looking for the best deals they have found in years!
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
– 6th best week for King County since July 18, 2007 – Year to date sales are up 52%
– 8th best week for Eastside(areas 500-600) since July 18, 2007 – Year to date sales are up 75%
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
Buyers in King County continue to grab up homes before the tax credit expires. With 2 weeks left to secure a home and the credit, there isn’t much time left! If I can help you take advantage of the credit, give me a call at 425-466-1000.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Six consecutive weeks of top ten sales!
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
The market continues to exhibit strength with 5 consecutve weeks of top 10 sales!
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
Four consecutive week's of top 10 sales activity!
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
Sales continue their strong pace!
· Second best week in King County since 07-18-07. Year to date sales up 64%
· Second best week on the Eastside since 07-18-07 . Year to date up 98%!!
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
The decline in home sales in February was a disappointment to the housing industry, but Fannie Mae’s analysts say it is temporary and a sustainable turnaround is likely by the end of the year.
Fannie Mae Chief Economist Doug Duncan points to evidence that a recovery is on its way, including an increase in consumer spending, an improving service sector, and the likelihood that employers will begin hiring soon.
"More favorable financial conditions overall keep us optimistic that we are moving forward with the recovery, albeit at a lower trajectory than previously forecast," Duncan said in a statement.
Source: Fannie Mae (03/17/2010)
FYI… The Seattle area has had a steady increase in sales. See graphic below
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
This week's numbers show a continued rise in pending sales on the Eastside of Seattle. These represent the highest numbers in 2 years or more! Interestingly, short sales, pre-forclosures and bank owned homes made up over 25% of the pending sales last week. See the snap shot below.
Here is a look at the last 2 years:
If you have any questions about this information or want to know the pace of the market in your neighborhood, give me a call at 425-466-1000.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
KIRKLAND, WA, June 4, 2009 – Waiting longer to buy a home is not likely to pay off, according to Northwest Multiple Listing Service director Kathy Estey after reviewing reports summarizing May activity. Estey pointed to shrinking inventory (about 20 percent fewer listings than a year ago), double-digit increases in the number of pending sales (up 17.7 percent from a year ago), solid open house activity, and signs of stabilizing prices (eight of the 19 counties in the report show price gains since January) as indicators of an improving market.
Northwest MLS brokers notched 7,160 pending sales during May. That total out-gained the year-ago tally by 1,075 transactions (up 17.7 percent) and improved on April’s total by 242 sales for a 3.5 percent increase. For the four-county Puget Sound area, pending sales jumped 21.5 percent from a year ago, rising from 4,526 to 5,498 transactions.
Buyers had fewer choices during May than at this time a year ago. At month-end, member-brokers reported 41,318 active listings throughout the NWMLS service area. A year ago, there were 51,817 active listings. Current inventory includes 11,278 single family homes and condos that brokers added during May. For the same month a year ago, brokers added 14,176 new listings to inventory.
Estey, the managing broker at the Bellevue Downtown office of John L. Scott Real Estate, said affordable homes inventory is down to the levels of a normal market and reaching for a sellers’ market. “Multiple offers are common in the under $400,000 range when the home is priced well, shows nicely and is marketed professionally,” she remarked. “Buyers who are waiting for prices to come down more have missed the bottom,” Estey believes.
Close in markets are the most active, with rural areas still lagging, but Estey says there is now some activity where little to none had existed in the first quarter. She believes prices have adjusted and completed new construction is still a very attractive purchase. “Builder inventory is being absorbed and there are fewer incentives. In January builders were giving away the farm, by March it was only half the farm and now they may just give away a chicken or two in order to make the deal.”
Prices are showing signs of stabilizing, according to NWMLS data. Prices area-wide are down around 10 percent from twelve months ago, but a comparison to January shows price gains in eight of the 19 counties in the NWMLS report. System-wide, prices for single family homes and condominiums that closed last month are up about 2.6 percent since January. (See chart, page5.)
In King County, prices dipped about 12 percent from twelve months ago and have declined about 3.5 percent since January, but a closer look shows considerable variation within sub-areas. Prices in southeast King County fell 20 percent from a year ago, but since January are down only about 2.8 percent in north King County.
Condominium activity remains slow. Pending sales are down about 15 percent from a year ago. The median sales price of $240,000 is about 7.7 percent lower than a year ago. Condos in King County sold for a median price of $270,450 last month, which compares to the year-ago price of $287,925, a drop of about 6 percent).
Demand for high-priced homes is also tepid. According to Estey, there are “amazing opportunities for buyers with good credit scores and 25 percent down payment in the $900,000- plus marketplace.”
“What we’re currently seeing is real estate’s version of Back to the Future,” said J. Lennox Scott, chairman and CEO of John L. Scott Real Estate. He believes the combination of historically low interest rates, adjusted lower prices, and the $8,000 tax credit has created advantageous conditions for buyers that haven’t been seen in decades. He noted sales in the four-county area continue to see double digit increases. “The more affordable markets are seeing a major boost which is leading to higher sales in the mid-priced markets and causing some increases in activity in the upper end,” Scott remarked.
While cheered by the more vigorous activity, brokers note short sales and foreclosures continue to be a drag on the market. Such properties, often sold at deep discounts, may take extraordinary time to close once there has been mutual acceptance of an offer. (Note to editors: see explanatory note, p. .5)
NWMLS director Meribeth Hutchings, broker/owner of Windermere Real Estate/Lake Stevens Inc., said her office represents the buyer of a short sale that has been pending since October. The buyers who hope to purchase the home in Mukilteo have been very patient, but are becoming less so and are ready to move from the small apartment where they have been living with two large dogs. “Every time we think we are getting close, the lender changes what they want,” Hutchings stated.
Another NWMLS director, Pat Grimm, reported similar experiences with a short sale. “We just closed one in Montlake on May 28 — after the parties to the transaction reached mutual acceptance on Feb. 10, said Grimm, the owner/broker at Windermere Real Estate/Capitol Hill. (NWMLS defines a short sale as a transaction that does not produce sufficient funds to cover the existing monetary encumbrances against the property, closing costs, real estate commissions, and other financial requirements of closing.)
Tacoma broker Dick Beeson of Windermere/Commencement Associates said he has several agents deeply involved in handling short sales since Pierce County is so hard hit. He estimates around 25 percent of all properties for sale are either bank owned or short sale, and one of every three pending sales is one or the other.
“Short sales play a big role in what many buyers are looking for,” according to Beeson, who also noted these buyers often fail to realize the extraordinary length of time it takes to close a sale – generally twice as long as a conventional sale. “Many get discouraged after 60 or 90 days and withdraw from a sale, never having received notice form the underlying lender what they are willing to take for the property. Many properties end up going to foreclosure because of the inefficiency of the banks in providing answers to offers,” Beeson commented.
The recent uptick in pending sales, both locally and nationally, is a hopeful sign that we’re putting the worst of the market behind us, suggests Ron Sparks, managing vice president at Coldwell Banker Bain.
“As you would expect in a recovering market, not all neighborhoods are uniformly performing, and for home sellers particularly, there are plenty of challenges that remain.” However, he observed, “In many neighborhoods where just a few years ago broad affordability had all but vanished, lower prices, flexible terms and very low interest rates are pushing inventory absorption for single family homes to levels not seen since 2007.”
Sparks said multiple offers for the best listed properties are occurring everywhere, including Pierce and Snohomish counties. “Improving sales in one neighborhood helps dwindle inventory, and can push motivated buyers to search for homes in other neighborhoods. This process typically occurs before prices start to stabilize,” he explained.
Has that stabilization begun? “As my old Magic 8-Ball used to tell me: signs point to yes,” according to Sparks, who noted eight counties served by the NWMLS have seen price increases since January. “The sales volume in my Bellevue office is now roughly 10 times what it was in February, with expanded sales in almost every price category. Overall inventory levels have dropped substantially as well. Does this mean the optimal time for home buyers to take full advantage of favorable market conditions has passed? I’d probably defer that to the Magic 8 ball also…“Ask again later.”
Recent fluctuations in mortgage rates have brokers and buyers alike wondering if rates will escalate as inflation worries return.
“While rates now are wonderfully low, waiting has cost buyers. Loans recently available for 4.75% are now 5.25%,” according to broker Kathy Estey. On a $400,000 loan, that means the monthly payment rises from around $2,128 to about $2,253 – and increase of nearly $125. She believes it would be wise to act now for the best selection in the affordable homes. “Who knows if we will see rates of 5% or below again anytime soon,” she wonders.
Commenting on a recent report from the National Association of Realtors showing a third consecutive month of improving pending sales, Lawrence Yun, NAR chief economist, said buyers are responding to very favorable market conditions. “Housing affordability conditions have been at historic highs, but now the $8,000 first-time buyer tax credit is beginning to impact the market,” he said. “Since first-time buyers must finalize their purchase by November 30 to get the credit, we expect greater activity in the months ahead, and that should spark more sales by repeat buyers.”
Northwest Multiple Listing Service, owned by its member brokers, is the largest full-service MLS in the Northwest. Its membership includes approximately 28,000 brokers and agents. The organization, based in Kirkland, currently serves 19 counties in western and central Washington.
Statistical Summary by Counties: Market Activity Summary – May 2009
|
May 2009 |
LISTINGS |
PENDING |
CLOSED SALES |
|||
|
New |
Total |
# Pending |
# |
Average |
Median |
|
|
King |
4310
|
5473
|
2801
|
1618
|
$423,875
|
$351,500
|
|
Snohomish |
1759
|
2254
|
1160
|
666
|
$325,502
|
$299,950
|
|
Pierce |
1632
|
2092
|
1196
|
643
|
$252,431
|
$225,000
|
|
Kitsap |
531
|
639
|
341
|
219
|
$292,797
|
$240,000
|
|
Mason |
182
|
209
|
73
|
56
|
$189,062
|
$161,405
|
|
Skagit |
258
|
255
|
140
|
78
|
$251,548
|
$207,250
|
|
Grays Harbor |
180
|
260
|
75
|
63
|
$139,161
|
$114,000
|
|
Lewis |
152
|
196
|
78
|
40
|
$159,230
|
$138,150
|
|
Cowlitz |
113
|
169
|
82
|
55
|
$194,685
|
$177,900
|
|
Grant |
145
|
179
|
73
|
36
|
$166,956
|
$148,450
|
|
Thurston |
521
|
629
|
406
|
214
|
$273,164
|
$247,000
|
|
San Juan |
64
|
79
|
14
|
4
|
$464,750
|
$410,000
|
|
Island |
253
|
232
|
107
|
86
|
$299,378
|
$248,500
|
|
Kittitas |
152
|
159
|
48
|
38
|
$250,716
|
$170,000
|
|
Jefferson |
84
|
91
|
34
|
12
|
$298,000
|
$294,500
|
|
Okanogan |
86
|
68
|
27
|
17
|
$159,435
|
$140,000
|
|
Whatcom |
496
|
622
|
311
|
179
|
$269,633
|
$250,000
|
|
Clark |
106
|
167
|
64
|
57
|
$229,296
|
$206,900
|
|
Pacific |
60
|
82
|
39
|
13
|
$157,333
|
$175,000
|
|
Others |
194
|
321
|
91
|
60
|
$218,748
|
$214,000
|
|
MLS TOTAL |
11,278
|
14,176
|
7,160>
|
4,154
|
$329,680
|
$280,000
|
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 |
4624 |
4526 |
4765 |
4580 |
4584 |
4445 |
3346 | 2841 | 2432 |
| 2009 | 3250 | 3407 | 4262 | 5372 | 5498 |
©Copyright Northwest Multiple Listing Service, ALL RIGHTS RESERVED. This material may not be published, broadcast, rewritten or redistributed without prior permission.
If you read the new report from Moody's Economy.com and MSNBC.com you would think so!
They list Washington state as one of the last places to enter the recession and likely one of the first few out. They predect that five states including Washington will begin to recover in the 4th quarter of 2009. This is due in large part to our high tech industry and expect our employment to rebound in the 4th quarter of 2009.
Here is their map:
For full details on the article, go to:
KIRKLAND, WA, May 5, 2009 –Northwest Multiple Listing Service members reported pending sales for April surged 11.4 percent compared to twelve months ago – and rose 21.3 percent from March.
Brokers reported 6,918 pending sales during April across the 19 counties that make up the Northwest MLS market area. That’s up from the year-ago total of 6,208, and the March figure of 5,701 pending sales (offers made and accepted, but not yet closed).
For the four-county Puget Sound area (King, Kitsap, Pierce and Snohomish), brokers notched 5,372 pending sales, the highest total since August 2007 and a jump of 26 percent from March.
Inventory is shrinking and prices are showing some signs of stabilizing, according to data in the latest report from Northwest MLS. The median price for last month’s closed sales of single family homes and condominiums area-wide was $270,000. That matched the figure for March, but still lagged prices of a year ago (down 12.9 percent).
Inventory is down 18.3 percent from year-ago levels, with Clark, Kitsap and Pierce reporting the largest drops. Members added 10,824 new listings of single family homes and condos to inventory last month, down almost 20.5 percent from the year-ago total of 13,607 new listings.
Lower prices, record low mortgage interest rates, improving consumer confidence, the $8,000 first-time buyer tax credit and other incentives for buyers are credited with spurring activity. Industry officials, noting activity is quite strong in the lower, more affordable price ranges, hesitate to declare a housing recovery is under way:
J. Lennox Scott, chairman and CEO of John L. Scott Real Estate, described the market as “bifurcated.”
“Sales are up and prices have stabilized in the more affordable market,” he explained, while noting the mid- to upper-end markets are experiencing entirely different conditions.
NWMLS director Kathy Estey agreed. “We had our best month since September,” she commented, but said sales of homes priced at $1 million or more are still slow compared to the pace of a few years ago. Estey, the managing broker at John L. Scott’s downtown Bellevue office, said sales of high-end homes lag in part due to limited availability of mortgages for homes priced above conforming loan limits. (The median asking price for homes currently offered for sale in West Bellevue, a market served by Estey’s office, is more than $1.5 million.)
Another MLS director reported a “terrific increase” in first-time buyer activity in Seattle’s close-in neighborhoods, calling it the best it’s been in almost two years.
“We just had five offers on a Ravenna house priced around $400,000 and it sold for considerably more than the list price,” said Mike Skahen, the broker at Lake & Company. He also said another one of his agents represented a client whose offer beat out 10 competitors. “I hope we’re seeing the start of the spring selling season,” something he said was lacking last year for the first time since starting his real estate career 33 years ago.
In King County, pending sales of single family homes (excluding condos) rose more than 25 percent from March. Of six “sub-areas” the MLS tracks within the county, North King County (encompassing Shoreline, Lake Forest Park and Kenmore) and the Eastside areas had the strongest month-to-month gains. Compared to March, pending sales of single family homes for April shot up nearly 52 percent in the North King County map areas, and rose more than 35 percent on the Eastside.
Prices for sales of single family homes and condos that closed last month in King County continued to lag year-ago totals (down 15.3 percent), but edged up from March (up 4.5 percent). For single family homes (excluding condos), the median selling price for April’s sales was $350,000, up 4.4 percent from March.
Condominium sales area-wide were down about 7.5 percent from a year ago, but up significantly (40.8 percent) from the previous month. In King County, which accounts for about six of every 10 condo sales, pending sales were down 8.1 percent from a year ago, but jumped nearly 42 percent from March.
Tacoma broker Dick Beeson of Windermere/Commencement Associates also reports the market there is warming up, evidenced in part by increased traffic at open houses and phone calls. Many first-time buyers are still unaware of the $8,000 tax credit, according to Beeson, who says it is stimulating marginal interest. “It is almost a serendipity to first-time buyers when they discover they qualify.”
“Most everyone recognizes that real estate in our region is ‘on sale,’ and that’s certainly validated in the latest report,” stated Ron Sparks, managing vice president at Coldwell Banker Bain. Buyer demand has increased to 2006 levels in some notable area neighborhoods, according to an analysis by Sparks, who tempered his optimism by saying, “For the scale between buyers and sellers to balance, it’s important that buyer demand begin to increase so prices can stabilize. The MLS report and comments from agents in the field tell us we’re seeing some progress in that direction.”
Sparks also said in his experience, “highly advantageous buyer markets are pretty rare,” so when they appear, he’s inclined to advise people confident in their financial position to take advantage of it. He extends such advice to his own children, he admitted, noting one of them just closed escrow and another just made her first offer.
Lawrence Yun, NAR chief economist, said it should take a few months for the market to gain momentum. “This increase could be the leading edge of first-time buyers responding to very favorable affordability conditions and an $8,000 tax credit, which increases buying power even more in areas where special programs allow buyers to use it as a downpayment,” he said in commenting on a new report from NAR that showed a nationwide rise in pending sales for March.
Northwest Multiple Listing Service, owned by its member brokers, is the largest full-service MLS in the Northwest. Its membership includes approximately 28,000 brokers and agents. The organization, based in Kirkland, currently serves 19 counties in western and central Washington.
Statistical Summary by Counties: Market Activity Summary – April 2009
April 2009 | LISTINGS | PENDING | CLOSED SALES | |||
New | Total | # Pending | # | Average | Median | |
King | 4123 | 13164 | 2646 | 1242 | $417,500 | $350,000 |
Snohomish | 1579 | 5592 | 1111 | 535 | $316,271 | $290,000 |
Pierce | 1556 | 6145 | 1238 | 580 | $245,084 | $225,000 |
Kitsap | 539 | 1926 | 377 | 200 | $294,353 | $240,000 |
Mason | 163 | 746 | 70 | 46 | $138,542 | $137,550 |
Skagit | 267 | 1308 | 127 | 77 | $261,968 | $225,000 |
Grays Harbor | 168 | 814 | 86 | 49 | $143,465 | $150,000 |
Lewis | 140 | 710 | 72 | 40 | $192,591 | $174,951 |
Cowlitz | 166 | 652 | 78 | 61 | $187,488 | $179,000 |
Grant | 112 | 682 | 70 | 43 | $166,568 | $144,000 |
Thurston | 494 | 1657 | 343 | 196 | $246,875 | $232,600 |
San Juan | 57 | 457 | 11 | 4 | $338,000 | $226,000 |
Island | 239 | 1040 | 109 | 68 | $278,216 | $244,450 |
Kittitas | 136 | 553 | 52 | 30 | $231,055 | $196,000 |
Jefferson | 84 | 533 | 24 | 22 | $278,875 | $213,750 |
Okanogan | 68 | 343 | 21 | 16 | $175,750 | $149,000 |
Whatcom | 521 | 1942 | 274 | 166 | $279,088 | $259,450 |
Clark | 113 | 399 | 87 | 43 | $219,781 | $202,500 |
Pacific | 63 | 396 | 21 | 15 | $146,293 | $135,000 |
Others | 236 | 1088 | 101 | 45 | $251,230 | $224,500 |
MLS TOTAL | 10,824 | 40,147 | 6,918 | 3,478 | $316,979 | $270,000 |
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 | 4624 | 4526 | 4765 | 4580 | 4584 | 4445 | 3346 | 2841 | 2432 |
| 2009 | 3250 | 3407 | 4262 | 5372 |
©Copyright Northwest Multiple Listing Service, ALL RIGHTS RESERVED. This material may not be published, broadcast, rewritten or redistributed without prior permission.
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Most areas showed improvement over the last 4 weeks. Those that didn’t improve remained largely flat. Hopefully this trend will increase as we continue with the spring selling season.
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 31.9 weeks of inventory (was 43.4 four weeks ago)
Residential Only, NWMLS Area 510 (Mercer Island) = 62 weeks of inventory (was 75.3 four weeks ago)
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 42.4 weeks of inventory (was 50.2 four weeks ago)
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 28.8 weeks of inventory (was 31.3 four weeks ago)
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 43 weeks of inventory (was 42.8 four weeks ago)
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 33.7 weeks of inventory (was 35.1 four weeks ago)
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 48.4 weeks of inventory (was 47.2 four weeks ago)
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 29.2 weeks of inventory (was 35.7 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
All areas showed some improvement as compared to 4 weeks ago, except area 560 which slipped a little further into a buyer’s market. Area 560 showed an increase in listings and a decrease in average sales per week.
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 42.3 weeks of inventory (was 42.6 four weeks ago)
Residential Only, NWMLS Area 510 (Mercer Island) = 76.9 weeks of inventory (was 97.5 four weeks ago)
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 49.8 weeks of inventory (was 68.8 four weeks ago)
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 32.1 weeks of inventory (was 32.9 four weeks ago)
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 39.9 weeks of inventory (was 42.3 four weeks ago)
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 36.4 weeks of inventory (was 45.5 four weeks ago)
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 48.9 weeks of inventory (was 39.1 four weeks ago)
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 40.1 weeks of inventory (was 45.1 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Condo market absorption rates for the Seattle Area over the last 7 weeks. When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Condo Only, NWMLS Area 140 (West Seattle) = 45.3 weeks of inventory
Condo Only, NWMLS Area 380 (Central Seattle) = 66.5 weeks of inventory
Condo Only, NWMLS Area 385 (SODO/Beacon Hill) = 78 weeks of inventory
Condo Only, NWMLS Area 390 (Central Seattle) = 29.9 weeks of inventory
Condo Only, NWMLS Area 700 (Queen Anne/Magnolia) = 39.3 weeks of inventory
Condo Only, NWMLS Area 701 (Belltown, Downtown) = 51.5 weeks of inventory
Condo Only, NWMLS Area 705 (Ballard/Greenlake) = 36.1 weeks of inventory
Condo Only, NWMLS Area 710 (North Seattle) = 24.4 weeks of inventory
Condo Only, NWMLS Area 715 (Richmond Beach) = 28.2 weeks of inventory
Condo Only, NWMLS Area 720 (Lake Forest Park) = 30.5 weeks of inventory
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Condo market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Condo Only, NWMLS Area 500 (Bellevue, South of I-90) = 63.6 weeks of inventory
Condo Only, NWMLS Area 510 (Mercer Island) = 38 weeks of inventory
Condo Only, NWMLS Area 520 (Bellevue, West of 405) = 84.9 weeks of inventory
Condo Only, NWMLS Area 530 (Bellevue, East of 405) = 34.6 weeks of inventory
Condo Only, NWMLS Area 540 (East of Lake Sammamish) = 38.4 weeks of inventory
Condo Only, NWMLS Area 550 (Redmond/Carnation) = 18.2 weeks of inventory
Condo Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 54.7 weeks of inventory
Condo Only, NWMLS Area 600 (Juanita/Woodinville) = 47.4 weeks of inventory
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
425-466-1000
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Seattle Area over the last 7 weeks. When looking at these numbers, keep in this in mind:
Residential Only, NWMLS Area 140 (West Seattle) = 23.5 weeks of inventory
Residential Only, NWMLS Area 380 (Central Seattle) = 35.6 weeks of inventory
Residential Only, NWMLS Area 385 (SODO/Beacon Hill) = 21.6 weeks of inventory
Residential Only, NWMLS Area 390 (Central Seattle) = 37 weeks of inventory
Residential Only, NWMLS Area 700 (Queen Anne/Magnolia) = 31.8 weeks of inventory
Residential Only, NWMLS Area 705 (Ballard/Greenlake) = 15.5 weeks of inventory
Residential Only, NWMLS Area 710 (North Seattle) = 18.7 weeks of inventory
Residential Only, NWMLS Area 715 (Richmond Beach) = 20 weeks of inventory
Residential Only, NWMLS Area 720 (Lake Forest Park) = 41.4 weeks of inventory
Interesting to note: The seller is firmly in control under $400k in areas 705 & 710!
If you have any questions on this information or would like to know the strength in your area and price range, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 42.6 weeks of inventory
Residential Only, NWMLS Area 510 (Mercer Island) = 97.5 weeks of inventory
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 68.8 weeks of inventory
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 32.9 weeks of inventory
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 42.3 weeks of inventory
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 45.5 weeks of inventory
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 39.1 weeks of inventory
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 45.1 weeks of inventory
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Condo market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Condo Only, NWMLS Area 500 (Bellevue, South of I-90) = 47.8 weeks of inventory
Condo Only, NWMLS Area 510 (Mercer Island) = 50.8 weeks of inventory
Condo Only, NWMLS Area 520 (Bellevue, West of 405) = 45.2 weeks of inventory
Condo Only, NWMLS Area 530 (Bellevue, East of 405) = 25.1 weeks of inventory
Condo Only, NWMLS Area 540 (East of Lake Sammamish) = 27.1 weeks of inventory
Condo Only, NWMLS Area 550 (Redmond/Carnation) = 32.2 weeks of inventory
Condo Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 46.2 weeks of inventory
Condo Only, NWMLS Area 600 (Juanita/Woodinville) = 45.7 weeks of inventory
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
425-466-1000
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Forbes names Seattle as the market most likely to rebound. Here is the article:
Real Estate Markets Most Likely To Rebound
10.29.08, 4:00 PM ET
If you’re a homeowner seeing property values plummet, look to the commercial real estate market for solace. It might tell you which areas will recover fastest–and which will likely remain weak.
The Urban Land Institute recently asked 700 real estate professionals to name the best (and worst) places to invest in commercial real estate in the coming year. Those surveyed included private developers, Realtors and Real Estate Investment Trust executives. Their answers also apply to the residential market, since the single-family-home sector typically follows the economy. As wages go up and there are more jobs, more people can buy homes, pushing prices up.
The best cities in which to invest are those that are considered gateways to international investment, have vital downtowns where people can forgo cars, and don’t have a glut of condos or office space.
These traits landed Seattle the No. 1 spot on the list. No city scored above a 6.15 on a scale of one to nine (one being an abysmal place to invest and nine being excellent).
Seattle is “a diversified market, has a good base of business and is becoming a 24-hour city,” says Stephen Blank, senior resident fellow, finance, of the Urban Land Institute. “It’s going to be in a good position to come back.”
Although the city is suffering from the loss of Washington Mutual and the downsizing of Starbucks, Boeing and Microsoft are still relatively strong. Apartment vacancies are low and there aren’t too many new buildings going up, meaning the market won’t be oversupplied. The same is true in the retail space.
San Francisco comes in second with a 6.12. The City by the Bay learned from the tech crash of 2001 not to overbuild. There is a reasonable supply of office and apartment space, which should limit vacancies. San Francisco’s port is also expected to help the city during the downturn as Americans continue to rely on Asian imports.
Washington, D.C., New York and Los Angeles round out the top five.
Of course, there’s no guarantee that an improved commercial market will lead to an improved home market. However, investors have a better chance of seeing home prices rise in fundamentally strong markets like Seattle than in struggling cities like Detroit.
It landed at the bottom of the list, scoring a 2.24. Detroit has been reliant on the car industry, which is rapidly shrinking. Other businesses are unlikely to fill the void in the next few years, which means the city will be hit hard by further economic struggles.
New Orleans also lands near the bottom with a score of 3.33. The city has been losing businesses to Houston, Dallas and Atlanta since Hurricane Katrina hit in 2005.
The other cities at the bottom of the list–Columbus, Ohio, Milwaukee, Wis., and Cleveland–suffer from dying industries and lack of tourist appeal.
Recent attempts to turn downtown Milwaukee into a thriving 24-hour city haven’t been enough to protect it from the coming downturn. Increasingly picky investors are expected to favor higher-quality port cities over Midwest towns.
And while Columbus has the potential to become a major shipping hub for goods traveling cross-country, that revitalization may have to wait for a stronger economy and a government focused on improving the nation’s roads.
For now, prospects are dim.
Existing-home sales increased last month as buyers responded to improved housing affordability conditions, according to the National Association of Realtors®.
Existing-home sales – including single-family, townhomes, condominiums and co-ops – rose 5.5 percent to a seasonally adjusted annual rate of 5.18 million units in September from a level of 4.91 million in August. Home sales are 1.4 percent higher than the 5.11 million-unit pace in September 2007.
Lawrence Yun, NAR chief economist, said more markets are seeing year-over-year gains.
“The sales turnaround which began in California several months ago is broadening now to Colorado, Kansas, Minnesota, Missouri, and Rhode Island,” he says. “The South was hampered by much lower home sales in Houston in the aftermath of Hurricane Ike.”
NAR President Richard F. Gaylord says low home prices and low interest rates have helped attract buyers.
“This is the first time since November 2005 that home sales have been above year-ago levels,” Gaylord says. “Credit tightened at the end of September, but the improvement demonstrates that buyers who’ve been on the sidelines want to get into the market to make a long-term investment in their future.”
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 6.04 percent in September from 6.48 percent in August; the rate was 6.38 percent in September 2007.
Yun says there may still be market disruptions.
“The credit markets are not settled yet, although the mortgage market stabilized with the government takeover of Fannie Mae and Freddie Mac," Yun says. "Inventory remains high, and price declines are pressuring owners."
Yun says that an additional housing stimulus would stabilize prices more quickly and help bring faster stability to Wall Street.
"Removing the repayment feature on the [$7,500] first-time buyer tax credit and permanently raising loan limits would bring more buyers into the market and further reduce inventory,” Yun says.
A Closer Look at the Numbers
“Compared to a fairly small share of foreclosures or short sales a year ago, distressed sales are currently 35 to 40 percent of transactions," Yun says. "These are pulling the median price down because many are being sold at discounted prices. The current market is not being dominated by speculative investors. Rather, 80 percent of current buyers are purchasing a primary residence, which is a bit higher than historic norms.”
By Region
Here's a breakdown across the country of existing-home in September:
Source: NAR
Here is a quick look at the average price per square foot of homes and condos in Sammamish for the last two years.
The chart starts off at $266.33 per square foot in October 2006, then peaks at $280.72 per square foot in April 2007. As of September 2008 the price is $250.54 per square foot.
If you would like to more about home price trends in a particular area, feel free to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Here is a quick look at the average price per square foot of homes and condos in Bothell for the last two years.
The chart starts off at $211.20 per square foot in October 2006, then peaks at $219.76 per square foot in June 2007. As of September 2008 the price is $189.45 per square foot.
If you would like to more about home price trends in a particular area, feel free to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Here is a quick look at the average price per square foot of homes and condos in Bellevue for the last two years.
The chart starts off at $315.06 per square foot in October 2006, then peaks at $361.78 per square foot in July 2007. As of September 2008 the price is $300.11 per square foot.
If you would like to more about home price trends in a particular area, feel free to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Here is a quick look at the average price per square foot of homes and condos in Kirkland for the last two years.
The chart starts off at $305.61 per square foot in October 2006, then peaks at $350.38 per square foot in the May 2007. As of September 2008 the price is $294.65 per square foot.
If you would like to more about home price trends in a particular area, feel free to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Here is a quick look at the average price per square foot of homes and condos in Woodinville for the last two years.
The chart starts off at $249.26 per square foot in October 2006. While prices do appear to be trending down… strong sales in September 2008 brought the price is $258.49 per square foot!
If you would like to more about home price trends in a particular area, feel free to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Here is a quick look at the average price per square foot of homes and condos in Seattle for the last two years.
The chart starts off at $285.94 per square foot in October 2006, then peaks at $319.32 per square foot in August 2007. As of September 2008 the price is $279.72 per square foot.
If you would like to more about home price trends in a particular area, feel free to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Here is a quick look at the average price per square foot of homes and condos in Redmond for the last two years.
The chart starts off at $247.85 per square foot in October 2006, then peaks at $287.16 per square foot in the summer of 2007. As of September 2008 the price is $247.26 per square foot.
If you would like to more about home price trends in a particular area, feel free to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
News from NW Multiple Listing Service
FOR IMMEDIATE RELEASE: October 6, 2008
Pending Sales Up 4.1 Percent From Year Ago, Total Inventory Unchanged
KIRKLAND, Wash. (Oct. 6, 2008) – Home sales around Western Washington during September rose 4.1 percent from a year ago, reversing a 19-month pattern of declines. Members of Northwest Multiple Listing Service reported 5,982 pending sales (offers made and accepted, but not yet closed), a gain of 234 transactions from a year ago. The totals cover 19 counties in the MLS service area.
NWMLS data show the last system-wide uptick in pending sales was February 2007 when members reported a 4.8 percent gain from the previous year.
In other key indicators of housing activity, Northwest MLS reported tightening inventory with a double-digit drop in the number of new listings added during September compared to 12 months ago, and total inventory at month end that matched year-ago numbers. Figures also show area-wide softening of prices compared to a year ago,
The median price for last month’s closed sales of single family homes and condominiums (combined) was $295,000, a drop of 8.3 percent from a year-ago when the median price was $321,600. King County prices fell about 3.7 percent from a year ago, from $395,000 to $380,315. For the four-county Puget Sound region (King, Snohomish, Pierce and Kitsap), the median price for last month’s closed sales dropped from $349,950 to $324,000, a decline of 7.4 percent.
Brokers and lenders say the recent economic turmoil is taking a toll on activity, but also suggest negative news reports are keeping buyers on the fence and creating misunderstandings about the availability of home loans.
“Forget the news. Mortgage loans are readily available, at excellent rates and you can still get 97 percent loan to value,” said Mike Welty of Liberty Financial Group in Bellevue. “There is a lot of flexibility in programs, qualification and opportunity,” he emphasized, while acknowledging (with a chuckle), “Underwriting is tougher – you need a down payment and you need a job!”
REALTOR Dennis Brown, a residential and investment specialist at Windermere’s Fauntleroy office, echoed Welty. “I’m loving FHA,” he exclaimed, calling the largest mortgage insurer in the world “the answer to a lot of people’s credit problems.” Brown has used the program for first-home and move-up buyers, as well as with investors. “Investors use the program to buy everything from fixer-uppers to 4-unit buildings,” he said. Among features Brown said his clients find to be most appealing about FHA loans are easy credit qualifications (typically one year of “clean credit”), low closing costs and low down payment requirements (as low as 3 percent of the purchase price).
In today’s market the vast majority of buyers are first time buyers, move-up buyers, and investors, according to J. Lennox Scott, chairman and CEO of John L. Scott Real Estate. “These three groups of buyers are moving forward with the opportunities that exist thanks to low interest rates, increased affordability, and a strong selection of homes to choose from.”
Buyers still have plenty of choices, according to NWMLS data. Members added 10,889 new listings of single family homes and condominiums to inventory during September – about 1,500 fewer than a year ago for a 12 percent drop. When added to existing inventory, the number of active listings at month end totaled 48,665, slightly fewer than the year-ago number of 48,969 listings.
“We are definitely starting to see more buyers that have been waiting months to get off the fence,” said NWMLS director Mike Skahen, owner/broker of Lake & Company Real Estate, Inc. in Seattle. As for the dip in prices, he attributes that in part to limited availability of jumbo loans for high-end homes, “Not surprisingly, with fewer high priced homes selling, the median price would be lower,” he noted. “I’m convinced that as the national financial crisis subsides and with Seattle’s good economy, buyers who have been waiting for the bottom will return and wish they had bought now.” Commenting on the relatively low sales numbers over the past year, he remarked, “There must be substantial pent-up demand.”
“The latest NWMLS numbers validate what our agents report from the field — sellers that are truly motivated to move are dropping their prices, and many buyers are recognizing the opportunity this creates,” said Ron Sparks, managing vice president at Coldwell Banker Bain in Bellevue. Increases in pending sales are a “good indication that our market is adjusting to current buyer attitude and demand.”
Sparks acknowledged price declines aren’t particularly good news for sellers, but said most sellers can be thankful the drops are really quite modest compared to other markets, where prices have recently dropped 30 percent or more. “It’s apparent that home prices, both locally and nationally, are becoming irresistible in some instances,” he remarked. As a result, he noted markets such as San Diego, Los Angeles and Las Vegas are seeing the same increased buyer activity as our local market.
Erik Hand, president of Response Mortgage Services (John L. Scott’s in-house lender) expects some improvement in financing options, but cautioned consumers about the potential cost of procrastinating.
“With the passage of the bailout bill, I expect we will gradually see an improvement to the conditions in the Non-Conforming market in the form of a narrowing of the spreads between Conforming and Non-Conforming loan products, and in some cases, an easing of guidelines that will open up financing options to a larger pool of buyers,” Hand stated.
“As for interest rates, they are expected to remain low, but like every other aspect of the economy they’re subject to the volatility of the market,” Hand commented, adding, “It’s important for homebuyers to understand that interest rates are currently at historic lows and there’s no guarantee they’ll fall further with the passage of the bailout bill.”
“While things in the real estate world may not be perfect right now, things are, and will continue to get better and better. The medicine tastes terrible but the cure will be worth it,” NWMLS director Dick Beeson believes. Beeson, the broker/owner of Windermere/Commencement Associates in Tacoma saw a 21.8 percent surge of pending sales in Pierce County last month compared to a year ago and a notable shrinkage in inventory (down 11.2 percent from twelve months ago).
“We’re moving toward a market place with fewer properties for sale — and fewer and fewer choices for buyers. What a time to buy, low rates, low prices, low costs, and decreasing inventory — all ready for those smart buyers who act now,” he noted.
NWMLS director Kathy Estey, managing broker at the Bellevue Downtown office of John L. Scott said “September felt like we were gathering steam and back on track,” but as economic news worsened during the month buyer confidence tumbled. “The news made it sound as if buyers need 20 percent down to get a loan — and fear become our worst enemy again,” she remarked.
On a more optimistic note she added, “The Puget Sound remains a great place to own property and there are opportunities to buy low and ride the rising prices that are around the corner in a year or two.”
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 – September 2008
| September 2008 Single Family Homes + Condos |
LISTINGS |
PENDING |
CLOSED SALES |
|||
|
New |
Total |
# |
# |
Average |
Median |
|
| King |
4377 |
15438 |
2295 |
1872 |
$448,387 |
$380,315 |
| Snohomish |
1660 |
7070 |
813 |
692 |
$342,247 |
$318,000 |
| Pierce |
1689 |
7710 |
994 |
763 |
$274,288 |
$241,950 |
| Kitsap |
479 |
2629 |
343 |
232 |
$314,550 |
$260,318 |
| Mason |
147 |
892 |
75 |
79 |
$219,797 |
$185,000 |
| Skagit |
208 |
1300 |
117 |
116 |
$307,224 |
$239,250 |
| Grays Harbor |
157 |
1000 |
91 |
75 |
$169,977 |
$160,000 |
| Lewis |
145 |
821 |
68 |
41 |
$186,855 |
$174,800 |
| Cowlitz |
167 |
787 |
99 |
71 |
$182,634 |
$180,500 |
| Grant |
147 |
710 |
80 |
75 |
$207,140 |
$172,000 |
| Thurston |
574 |
2062 |
352 |
269 |
$271,605 |
$248,000 |
| San Juan |
34 |
447 |
17 |
13 |
$598,154 |
$440,000 |
| Island |
164 |
1220 |
99 |
91 |
$348,025 |
$285,000 |
| Kittitas |
61 |
758 |
30 |
48 |
$385,608 |
$222,000 |
| Jefferson |
81 |
577 |
45 |
23 |
$321,041 |
$265,950 |
| Okanogan |
45 |
528 |
34 |
36 |
$223,126 |
$182,450 |
| Whatcom |
365 |
2101 |
241 |
224 |
$294,198 |
$257,500 |
| Clark |
119 |
767 |
64 |
49 |
$277,555 |
$229,900 |
| Pacific |
39 |
455 |
29 |
17 |
$159,097 |
$153,000 |
| Others |
231 |
1393 |
96 |
91 |
$198,739 |
$183,480 |
| MLS TOTAL |
10,889 |
48,665 |
5,982 |
4,877 |
$350,033 |
$295,000 |
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 |
4624 |
4526 |
4765 |
4580 |
4584 |
4445 |
©Copyright Northwest Multiple Listing Service, ALL RIGHTS RESERVED. This material may not be published, broadcast, rewritten or redistributed without prior permission.
This is a complicated question. To discover the answer, we must know the forces that control our market. Real estate is a supply vs. demand business and is heavily related to the rate of absorption of the inventory.
Absorption Rates
If we have low inventory and high demand the absorption rate is high and we have a seller’s market. Conversely, if we have high inventory and low demand the absorption rate is low, we have a buyer’s market – which is where we are at today.
March of 2007 marked the last month that we had a strong sellers market. As we entered the second quarter of 2007, the pendulum started to swing. Inventory started to rise and sales began to fall off. If you look at the chart below, you will see the change.
All these numbers relate to the absorption of inventory. In the second quarter of 2007, the rate of absorption of inventory began to decline. See the chart below.
You will notice that the absorption of the inventory is at its lowest levels in a decade. The rate of absorption on this chart has been at 15% for the last 12 months. In fact, we have numbers that are far from average.
The average pace of the King County Market
In-spite of showing resistance to go below 15%, the current numbers are well below our averages for last 10 years. Here is what we normally expect:
9309 Active Listings per month
2939 Pending Sales per month
32% Absorption Rate
When you compare these numbers to our current market, there are many more sellers wanting to sell and fewer buyers wanting to purchase.
Are we still adding “Fuel to the Fire”?
New listing are the fuel on the fire. When looking at the question “ Have we reached the bottom of the absorption rate?” you need to analyze the state of our inventory. Is it getting better or worse?
This chart shows a steady decline in the number of new listings coming to market since March 2008. It also shows the total amount of available listings stabilizing with last years numbers. Finally, you will notice that pendings are beginning to stabilize versus 2007 and September we surpassed the number for 2007 by 4.18%.
So have we reached the bottom?
Looking at this data alone, I would think it is likely. However, as I write this… the stock market has been taking a tremendous beating for the last 3 weeks. Now the big question is… will the real estate market recover on its own or will it require the stock market to stabilize before housing will do so too. Only time will tell!
Certainly, savvy investors will see that this is an amazing time to invest in real estate, especially when compared to the recent performance of the stock market!
If you would like to know more about investing in real estate, feel free to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Hey Chicken Little…. the sky has not fallen!
If you believe everything you read in the press, you would think real estate values are plummeting and all of the homes on the Eastside and Seattle are short sales or foreclosures! While the incidences of these events has definitely risen – especially in South King County, don’t write the King County Real Estate Market off just yet!
The Puget Sound real estate market built inventory heavily last year which lead to the decline of the absorption rates -or- supply vs. demand. The King County absorption rates has held steady for the last 9 months at approximately 15% of the inventory going from active to pending each quarter – which translates into about 7 months of inventory. These are not great conditions, especially when looked at from the perspective of the 2004-2006 which all showed double digit gain in King County median home price. But, they are also not as terrible as some would have you believe and may mean our market is begin to bottom out.
Here are the facts: King County’s median price is off from the highs of last year and the median price is off when you compare 2008 vs. 2007 month over month, but the YTD median price has risen over 1% this year. If you look at June alone, it is up 3.3% ($435,000 to $449,700) from the start of the year. That is by no means “doom and gloom”!
Here is how King County’s Median single family home price shakes out…
In January we started with a median price of $435,000 – it was $429,495 in January 2007
By June our YTD median price has risen to $440,000 and the median price for the month alone was $449,700!
Does this mean the Seattle real estate market has reached the bottom? With the current absorption rates in King County, the buyer will remain in control which means real estate values will remain soft until the market returns to a more balanced position.
Also, the median price does not track house size in it’s number. Every study I have seen shows while the median price remains resilient, the average price per square foot is down. So if the average 2000 s.f. home on the Eastside was selling 225 per square foot last year, it is probably selling closer to 200 per square foot this year.
So the conditions are not black and white – what should you do?
Sellers looking to cash out: Unless you are moving to an area that is more challenged and/or has more opportunities… or you need the money from your home within the next year or two, it may be best to hold on.
Buyers -and- Sellers looking to move up: If you are wanting to buy and are waiting for the bottom… you may not have much longer to wait. Remember though… you will only know when the King County market has bottomed, when it is past.
Real Estate is on sale today and it not this way often! With 20 years experience, I look upon this market and only recall one other time I have seen these type of conditions and it was when I first began my career.
If you have any questions or would like take advantage of the opportunities that exist in this market, I welcome you to contact me.
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
We’ll it looks like the condo market is generally favoring the buyer at this point. Most areas showed slowing as comnpared to 4 weeks ago.
Condo Only, NWMLS Area 500 (Bellevue, South of I-90) = 30.8 weeks of inventory (was 27.2 four weeks ago)
Condo Only, NWMLS Area 510 (Mercer Island) = 22.3 weeks of inventory (was 21.7 four weeks ago)
Condo Only, NWMLS Area 520 (Bellevue, West of 405) = 57.8 weeks of inventory (was 30.9 four weeks ago)
Condo Only, NWMLS Area 530 (Bellevue, East of 405) = 27.7 weeks of inventory (was 28.3 four weeks ago)
Condo Only, NWMLS Area 540 (East of Lake Sammamish) = 32.0 weeks of inventory (was 33.7 four weeks ago)
Condo Only, NWMLS Area 550 (Redmond/Carnation) = 33.3 weeks of inventory (was 22.9 four weeks ago)
Condo Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 33.9 weeks of inventory (was 30 four weeks ago)
Condo Only, NWMLS Area 600 (Juanita/Woodinville) = 40.4 weeks of inventory (was 36.9 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
425-466-1000
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Another mixed bag this week, with only slight declines or improvements. It does appear that inventory is continuing to build, with most areas showing 40+ weeks of inventory now. We usually build inventory as we move toward summer and it looks like this year will be no different!
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 42 weeks of inventory (was 41 four weeks ago)
Residential Only, NWMLS Area 510 (Mercer Island) = 42.5 weeks of inventory (was 32.7 four weeks ago)
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 56.4 weeks of inventory (was 57.4 four weeks ago)
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 29.2 weeks of inventory (was 26.7 four weeks ago)
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 34.5 weeks of inventory (was 32 four weeks ago)
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 28 weeks of inventory (was 30.7 four weeks ago)
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 46.9 weeks of inventory (was 63.5 four weeks ago)
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 42.7 weeks of inventory (was 39.9 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
By: Tony Meier
Eastside & Seattle Realtor
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Area 710 remains the bright spot on this chart with lots of movement in the under 300k range. Area 140 is off across the board and has 110 weeks of inventory in the 300-399k range. Should be some opportunities there!
Condo Only, NWMLS Area 140 (West Seattle) = 43.1 weeks of inventory (was 28.2 four weeks ago)
Condo Only, NWMLS Area 380 (Central Seattle) = 25.4 weeks of inventory (was 23.2 four weeks ago)
Condo Only, NWMLS Area 385 (SODO/Beacon Hill) = 22 weeks of inventory (was 29.5 four weeks ago)
Condo Only, NWMLS Area 390 (Central Seattle) = 29.8 weeks of inventory (was 33.5 four weeks ago)
Condo Only, NWMLS Area 700 (Queen Anne/Magnolia) = 39.4 weeks of inventory (was 30.3 four weeks ago)
Condo Only, NWMLS Area 701 (Belltown, Downtown) = 36.6 weeks of inventory (was 31.2 four weeks ago)
Condo Only, NWMLS Area 705 (Ballard/Greenlake) = 28.6 weeks of inventory (was 32.4 four weeks ago)
Condo Only, NWMLS Area 710 (North Seattle) = 16.4 weeks of inventory (was 17.9 four weeks ago)
Condo Only, NWMLS Area 715 (Richmond Beach) = 30.1 weeks of inventory (was 25.8 four weeks ago)
Condo Only, NWMLS Area 720 (Lake Forest Park) = 40.4 weeks of inventory (was 34.8 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
The median price for residential homes in King County continues to hold steady! In spite of “supply vs. demand” that favors a buyer in most areas and price ranges, the median price has shown modest gains this year. Here is a break down month by month:
|
Month |
2008 – Year to date |
2007 – Year to date |
|
|
|
|
|
January |
$435,000 |
$429,495 |
|
February |
$430,000 |
$429,925 |
|
March |
$435,000 |
$439,900 |
|
April |
$439,000 |
$448,555 |
|
May |
$439,183 |
$450,000 |
This chart clearly shows we have lost some of the appreciation gained in 2007, which ended with a YTD (year to date) median price of $455,000. However the prices have not continued to drop in 2008, in fact they show a gain of almost one percent.
A one percent gain does not sound amazing when you look at the double digit gains we had in 2004 to 2006! But, it is very impressive when you consider the supply vs. demand ratio we have had for the last 8 months. This ratio has averaged 7 months of inventory for the last eight months with little movement in either direction. At these levels… the buyer is favored in negotiations, but the median prices are holding steady. It is notable… the buyer is likely getting a larger home for their dollar this year as compared to last. Unfortunately, the MLS does not track price per square foot in its statistics, but the CMA’s (comparable market analysis) I have done this year would validate this point.
So does this mean the King County real estate market has reached its’ bottom? I am not that bold to make such a proclamation! However, I can confidently say that the sky is not falling as some would have you believe.
There is an old saying… “You will know when the bottom has come when it has passed”. This is very true and if buyers are sitting on the sidelines waiting for the bottom to come (and go) they may not have much longer to wait.
Note: The numbers above are represent all of King County. Each area and price range is at a different level of activity. If you would like to know how things are going in your specific area, I welcome you to contact me.
Posted By:
Tony Meier
Eastside and Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle's Eastside Real Estate Resource
tony@eastsidehomes.com
My usual statistics are unavailable this week, so we are going to look at something different. As in the past… I will use the great information from Trendgraphix. We are going to chart the Seattle Metro Residential market since February 2007. Here is the trend for homes over the last year.
This first chart shows how the inventory has climbed steadily since last year and sales have fallen. We had as much as 35% of the inventory selling in March of 2007. April 2008 only has 16% of the inventory going pending.
This next chart shows the average list price per month and the average sales price. The average is clearly trending down, which is the result of the supply vs. demand imbalance. Also, the difference in these numbers of nearly 150k would indicate that the lower end of the market is where the majority of sales are.
This last chart shows months of supply based upon the pending sales. We have gone from a hot sellers market to one that is more balanced and trending towards a buyer favored market.
If you have any questions on this information, I welcome you to comment or email me at: tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
425-466-1000
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week’s update is coming to you on Tuesday, due to the Memorial Day holiday. I was busy playing with my kids! 🙂
This week we will be looking at the Condo market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Condo Only, NWMLS Area 500 (Bellevue, South of I-90) = 27.2 weeks of inventory
Condo Only, NWMLS Area 510 (Mercer Island) = 21.7 weeks of inventory
Condo Only, NWMLS Area 520 (Bellevue, West of 405) = 30.9 weeks of inventory
Condo Only, NWMLS Area 530 (Bellevue, East of 405) = 28.3 weeks of inventory
Condo Only, NWMLS Area 540 (East of Lake Sammamish) = 33.7 weeks of inventory
Condo Only, NWMLS Area 550 (Redmond/Carnation) = 22.9 weeks of inventory
Condo Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 30 weeks of inventory
Condo Only, NWMLS Area 600 (Juanita/Woodinville) = 36.9 weeks of inventory
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
425-466-1000
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Another mixed bag this week, with only slight declines or improvements. Area 520 showed the most improvement, but with over a year of inventory at current absorption rates, the Buyer’s are still in control.
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 41 weeks of inventory (was 43.2 four weeks ago)
Residential Only, NWMLS Area 510 (Mercer Island) = 32.7 weeks of inventory (was 26.8 four weeks ago)
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 57.4 weeks of inventory (was 79.4 four weeks ago)
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 26.7 weeks of inventory (was 23.4 four weeks ago)
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 32 weeks of inventory (was 30.9 four weeks ago)
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 30.7 weeks of inventory (was 32 four weeks ago)
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 63.5 weeks of inventory (was 51 four weeks ago)
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 39.9 weeks of inventory (was 35.9 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Seattle Area over the last 7 weeks. It appears that Seattle is back on the mend with many of the numbers returning to a balanced market. In fact, some areas and price ranges are clearly favoring the seller!
When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Another mixed week. Most areas showed declines with 380 coming up some. The bright spots still remain areas 705 & 710.
Residential Only, NWMLS Area 140 (West Seattle) = 21.4 weeks of inventory (was 19.4 four weeks ago)
Residential Only, NWMLS Area 380 (Central Seattle) = 25.2 weeks of inventory (was 30.8 four weeks ago)
Residential Only, NWMLS Area 385 (SODO/Beacon Hill) = 29.2 weeks of inventory (was 19.8 four weeks ago)
Residential Only, NWMLS Area 390 (Central Seattle) = 27.8 weeks of inventory (was 23.5 four weeks ago)
Residential Only, NWMLS Area 700 (Queen Anne/Magnolia) = 23.2 weeks of inventory (was 21.8 four weeks ago)
Residential Only, NWMLS Area 705 (Ballard/Greenlake) = 15.7 weeks of inventory (was 16.3 four weeks ago)
Residential Only, NWMLS Area 710 (North Seattle) = 14.7 weeks of inventory (was 14.7 four weeks ago)
Residential Only, NWMLS Area 715 (Richmond Beach) = 32.2 weeks of inventory (was 24.2 four weeks ago)
Residential Only, NWMLS Area 720 (Lake Forest Park) = 22.1 weeks of inventory (was 17.9 four weeks ago)
If you have any questions on this information or would like to know the strength in your area and price range, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
My usual stattistics are unavailable this week, so we are going to look at something different. Thanks to the great information from Trendgraphix, which we subscribe to, we are going to chart the condo market since January 2007. Here is the trend for condos over the last year.
This first chart shows how the inventory has climbed steeply since last year and sales have fallen. We had as much as 64% of the inventory selling in March of 2007. March 2008 only has 12% of the inventory going pending.
This next chart shows the average list price per month and the average sales price. The difference in these numbers of about 100k would indicate that the lower end of the market is where the majority of sales are.
This last chart shows months of supply based upon the pending sales. We have gone from a hot sellers market to one that is more favored towards the buyer.
While the economy remains strong in the region, the effects of the national credit market are clearly shown. Hopefully lending guideline will loosen up and allow more buyers to re-enter the market.
However, if you were thinking of investing. There has been no better time!
Posted By:
Tony Meier
Eastside & Seattle Realtor
425-466-1000
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Four weeks ago all areas except 600 showed improvement. Now we have all areas remaining the same or showing decline except for Mercer Island which showed some modest improvement.
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 43.2 weeks of inventory (was 32.1 four weeks ago)
Residential Only, NWMLS Area 510 (Mercer Island) = 26.8 weeks of inventory (was 37.2 four weeks ago)
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 79.4 weeks of inventory (was 58.3 four weeks ago)
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 23.4 weeks of inventory (was 23.7 four weeks ago)
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 30.9 weeks of inventory (was 29.4 four weeks ago)
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 32 weeks of inventory (was 26.1 four weeks ago)
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 51 weeks of inventory (was 36.2 four weeks ago)
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 35.9 weeks of inventory (was 36.1 four weeks ago)
The bright spot on the Eastside is area 530 – East Bellevue, which shows to be a sellers market under 500k. However according to my friends analysis of Area 530 sales under 500k these sellers are not fetching any more for their homes then they were a year ago as the average size of homes in this price range is up, meaning price per square foot is down by $39 per square foot. If the seller favored conditions persist, this will likely change though.
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Condo market absorption rates for the Seattle Area over the last 7 weeks. When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
When compared to 4 weeks ago… it is kind of a mixed bag, with no general direction being shown at this time. Just as the Seattle Residential numbers were last week. Again, these stats are price range dependant with the lower priced condos moving faster than the upper end in general.
Condo Only, NWMLS Area 140 (West Seattle) = 33.8 weeks of inventory (was 34 four weeks ago)
Condo Only, NWMLS Area 380 (Central Seattle) = 24.4 weeks of inventory (was 28.8 four weeks ago)
Condo Only, NWMLS Area 385 (SODO/Beacon Hill) = NO SALES in last 7 weeks (was 23 four weeks ago)
Condo Only, NWMLS Area 390 (Central Seattle) = 36.5 weeks of inventory (was 28.8 four weeks ago)
Condo Only, NWMLS Area 700 (Queen Anne/Magnolia) = 28 weeks of inventory (was 31 four weeks ago)
Condo Only, NWMLS Area 701 (Belltown, Downtown) = 28.5 weeks of inventory (was 35.5 four weeks ago)
Condo Only, NWMLS Area 705 (Ballard/Greenlake) = 27 weeks of inventory (was 26 four weeks ago)
Condo Only, NWMLS Area 710 (North Seattle) = 21.4 weeks of inventory (was 20.9 four weeks ago)
Condo Only, NWMLS Area 715 (Richmond Beach) = 31.9 weeks of inventory (was 26.9 four weeks ago)
Condo Only, NWMLS Area 720 (Lake Forest Park) = 25.2 weeks of inventory (was 46.3 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Seattle Area over the last 7 weeks. It appears that Seattle is back on the mend with many of the numbers returning to a balanced market. In fact, some areas and price ranges are clearly favoring the seller!
When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
When compared to 4 weeks ago, it is kind of a mixed bag with some of the hotter areas slowing down a bit, and the cooler areas warming up. One thing is certain the lower end (under 5-600k) is stronger than the upper end of the market in all areas.
Residential Only, NWMLS Area 140 (West Seattle) = 19.4 weeks of inventory (was 19.4 four weeks ago)
Residential Only, NWMLS Area 380 (Central Seattle) = 30.8 weeks of inventory (was 35 four weeks ago)
Residential Only, NWMLS Area 385 (SODO/Beacon Hill) = 19.8 weeks of inventory (was 22 four weeks ago)
Residential Only, NWMLS Area 390 (Central Seattle) = 23.5 weeks of inventory (was 26 four weeks ago)
Residential Only, NWMLS Area 700 (Queen Anne/Magnolia) = 21.8 weeks of inventory (was 17 four weeks ago)
Residential Only, NWMLS Area 705 (Ballard/Greenlake) = 16.3 weeks of inventory (was 14.8 four weeks ago)
Residential Only, NWMLS Area 710 (North Seattle) = 14.7 weeks of inventory (was 13.4 four weeks ago)
Residential Only, NWMLS Area 715 (Richmond Beach) = 24.2 weeks of inventory (was 20.8 four weeks ago)
Residential Only, NWMLS Area 720 (Lake Forest Park) = 17.9 weeks of inventory (was 24.1 four weeks ago)
If you have any questions on this information or would like to know the strength in your area and price range, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
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 |
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 |
|
|
|
|
|
|
|
|
|
©Copyright Northwest Multiple Listing Service, ALL RIGHTS RESERVED.
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Condo market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Last week week’s numbers showed improvement across most of the Eastside in the Residential market. The condos are more mixed with some areas showing improvement while others are declining.
Condo Only, NWMLS Area 500 (Bellevue, South of I-90) = 31.5 weeks of inventory (was 31.5 four weeks ago)
Condo Only, NWMLS Area 510 (Mercer Island) = 63.5 weeks of inventory (was incalculable four weeks ago with no sales in 7 weeks)
Condo Only, NWMLS Area 520 (Bellevue, West of 405) = 39.5 weeks of inventory (was 45.3 four weeks ago)
Condo Only, NWMLS Area 530 (Bellevue, East of 405) = 31 weeks of inventory (was 27.8 four weeks ago)
Condo Only, NWMLS Area 540 (East of Lake Sammamish) = 40.9 weeks of inventory (was 39.3 four weeks ago)
Condo Only, NWMLS Area 550 (Redmond/Carnation) = 25.8 weeks of inventory (was 34.4 four weeks ago)
Condo Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 30 weeks of inventory (was 40.8 four weeks ago)
Condo Only, NWMLS Area 600 (Juanita/Woodinville) = 44.3 weeks of inventory (was 38.5 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
425-466-1000
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep in this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
All areas except 600 showed improvement from 4 weeks ago. The majority of this improvement is shows up in the homes priced at 599k or below.
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 32.1 weeks of inventory (was 40.8 four weeks ago)
Residential Only, NWMLS Area 510 (Mercer Island) = 37.2 weeks of inventory (was 60.5 four weeks ago)
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 58.3 weeks of inventory (was 66.9 four weeks ago)
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 23.7 weeks of inventory (was 31.5 four weeks ago)
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 29.4 weeks of inventory (was 30.9 four weeks ago)
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 26.1 weeks of inventory (was 34.2 four weeks ago)
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 36.2 weeks of inventory (was 39 four weeks ago)
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 36.1 weeks of inventory (was 36 four weeks ago)
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Condo market absorption rates for the Seattle Area over the last 7 weeks. When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Condo Only, NWMLS Area 140 (West Seattle) = 34 weeks of inventory
Condo Only, NWMLS Area 380 (Central Seattle) = 28.8 weeks of inventory
Condo Only, NWMLS Area 385 (SODO/Beacon Hill) = 23 weeks of inventory
Condo Only, NWMLS Area 390 (Central Seattle) = 28.8 weeks of inventory
Condo Only, NWMLS Area 700 (Queen Anne/Magnolia) = 31 weeks of inventory
Condo Only, NWMLS Area 701 (Belltown, Downtown) = 35.5 weeks of inventory
Condo Only, NWMLS Area 705 (Ballard/Greenlake) = 26 weeks of inventory
Condo Only, NWMLS Area 710 (North Seattle) = 20.9 weeks of inventory
Condo Only, NWMLS Area 715 (Richmond Beach) = 26.9 weeks of inventory
Condo Only, NWMLS Area 720 (Lake Forest Park) = 46.3 weeks of inventory
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Seattle Area over the last 7 weeks. It appears that Seattle is back on the mend with many of the numbers returning to a balanced market. In fact, some areas and price ranges are clearly favoring the seller!
When looking at these numbers, keep this in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Residential Only, NWMLS Area 140 (West Seattle) = 19.4 weeks of inventory
Residential Only, NWMLS Area 380 (Central Seattle) = 35 weeks of inventory
Residential Only, NWMLS Area 385 (SODO/Beacon Hill) = 22 weeks of inventory
Residential Only, NWMLS Area 390 (Central Seattle) = 26 weeks of inventory
Residential Only, NWMLS Area 700 (Queen Anne/Magnolia) = 17 weeks of inventory
Residential Only, NWMLS Area 705 (Ballard/Greenlake) = 14.8 weeks of inventory
Residential Only, NWMLS Area 710 (North Seattle) = 13.4 weeks of inventory
Residential Only, NWMLS Area 715 (Richmond Beach) = 20.8 weeks of inventory
Residential Only, NWMLS Area 720 (Lake Forest Park) = 24.1 weeks of inventory
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Eastside & Seattle Market Absorption Rates
By: Tony Meier
Eastside & Seattle Realtor
This week we will be looking at the Residential market absorption rates for the Eastside over the last 7 weeks. When looking at these numbers, keep the following in mind:
1. These are an average of the all price ranges in the area. Some price ranges are definitely moving faster than others! If you would like to know how things break down in a specific price range for an area, send me an email at tony@eastsidehomes.com
2. These numbers are a result of the sales activity over the last 7 weeks when comparing the number of active listing vs. the number of pending sales to determine what the market absorption rate is for a particular area.
3. When measuring the heat of the market, the following rules apply:
a. 12 weeks or less = Seller’s Market
b. 12-24 weeks = Balanced Market
c. 24 or more weeks = Buyer’s Market
Residential Only, NWMLS Area 500 (Bellevue, South of I-90) = 40.8 weeks of inventory
Residential Only, NWMLS Area 510 (Mercer Island) = 60.5 weeks of inventory
Residential Only, NWMLS Area 520 (Bellevue, West of 405) = 66.9 weeks of inventory
Residential Only, NWMLS Area 530 (Bellevue, East of 405) = 31.5 weeks of inventory
Residential Only, NWMLS Area 540 (East of Lake Sammamish) = 30.9 weeks of inventory
Residential Only, NWMLS Area 550 (Redmond/Carnation) = 34.2 weeks of inventory
Residential Only, NWMLS Area 560 (Kirkland/Bridle Trails) = 39 weeks of inventory
Residential Only, NWMLS Area 600 (Juanita/Woodinville) = 36 weeks of inventory
If you have any questions on this information, I welcome you to email me at tony@eastsidehomes.com
Posted By:
Tony Meier
Eastside & Seattle Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
NWMLS Press Release
Posted By: Tony Meier
KIRKLAND , Wash. (Oct. 5, 2007) – With Halloween on the horizon, should buyers be spooked about the local housing market? Not according to the latest figures from Northwest Multiple Listing Service and reactions from some brokers who believe now is an ideal time to be making offers.
Trying to time the market is “a fool’s game,” remarked one MLS director. “If you are buying a home to live in for more than three years, then buy the one you love, not the one that you can save $25,000 on," advises Matt Deasy, general manager at Windermere Real Estate/East Inc. in Bellevue.
J. Lennox Scott, chairman and CEO of John L. Scott Real Estate said now is “an ideal time for buyers.”
Just-released figures from Northwest MLS indicate prices are still rising but inventory levels may have peaked. Sales, though, are still sluggish compared to year-ago volumes.
Brokers added 12,385 new listings to inventory during September – the fewest number since February when they added 11,333 new listings. When added to the existing offerings, there are nearly 49,000 residential properties for sale across 19 counties. That’s about 33 percent more than a year ago.
“Buyers have an excellent selection of homes and condos today in all price ranges,” said NWMLS director Dick Beeson, broker/owner of Windermere Real Estate/Commencement Associates in Tacoma. He believes the market is slowly starting to turn. “With inventory starting to dip slightly, buyer’s choices will be reduced as the year progresses,” Beeson suggests.
The condominium inventory is about 62 percent larger than a year ago, thanks in part to the addition of several new projects coming on line. The MLS analysis shows about three of every 10 condos currently offered for sale is classified as new construction.
“The time is right for buyers on the sidelines to step forward. They have many more home choices now than in the past few years,” observed Marcie Maxwell, adding, “and they may have opportunities to negotiate with sellers.” Maxwell, an associate broker at Windermere Real Estate in Renton and Certified Residential Specialist, has been selling real estate for 18 years. She cites the example of a well-located 3-bedroom home with a remodeled kitchen on a large lot in Renton. She is surprised it has not yet sold, considering less than a year ago it probably would have been in a bidding war. “There are a lot of nice homes for sale in the $200,000-to-$400,000 range,” Maxwell remarked.
MLS brokers reported 5,748 pending sales (offers made and accepted, but not yet closed) during September, about 32 percent fewer than 12 months ago. (For the same month a year ago, members notched 8,499 pending sales.) Through nine months, pending sales are at about 89 percent of last year’s volume.
Prices area-wide for sales of single family homes and condos (combined) that closed during September rose more than 4 percent compared to a year ago. Seven counties (Cowlitz, Grant, Grays Harbor, Kitsap, Mason, Pacific and San Juan) registered double-digit price gains from 12 months ago.
For single family homes (excluding condos) prices are up about 3.7 percent from a year ago. In the four-county Puget Sound market, Kitsap County claimed the largest year-over-year gain at 12.8 percent, followed by King County at 5.9 percent. The median price of a home that sold in Snohomish County rose about 2.7 percent compared to a year ago, while Pierce County report a very slight (1 percent) dip.
Condominium price gains continued to outperform single family homes. Area-wide, condo prices surged nearly 10 percent from a year ago. For condo sales that closed last month in King County, the median price was $299,900, a jump of 14.8 percent from the year-ago figure of $261,250.
“As expected, the turbulent mortgage market continues to have an effect on home sales,” observed Lennox Scott of John L. Scott Real Estate. However, he added, “Every week things are getting better. Interest rates are still low, the local economy is healthy, and job growth is strong. This is an ideal time for buyers because they no longer have to pay the pricing premium that existed in previous years. There is less competition for homes, yet prices continue to appreciate, creating a great opportunity for buyers to position themselves for the future.”
The current market presents some good opportunities for both buyers and sellers, according to industry insiders.
Now is a good time for buyers to negotiate favorable terms of sale – but not always with a price reduction, Beeson suggests. For example, he said buyers may ask to have certain personal property included in the agreement, such as washer/dryer, lawn mowers, swing set, hot tubs, satellite dish and furnishings. Closing dates that favor the buyer and a seller’s willingness to make repairs as indicated by inspections are other items that can be negotiated, he noted.
Beeson expects homes near urban centers and employment centers will become more expensive as demand outpaces supply. He also anticipates rising demand for services from professional agents. “The professional agents of 2007 are educating their buyers and sellers like never before, and both parties need to listen and follow their advice so they will make wise and prudent decisions,” he emphasized.
Daniel Kennedy, president of the Seattle-King County Association of Realtors, agreed, saying sellers with unreasonably priced properties or who have homes that not properly prepared for showing will be disappointed. “Buyers are savvy and will not put up with previewing overpriced houses,” he remarked. Sellers should heed their agent’s advice when they are counseled to de-clutter, clean or make minor repairs, according to Kennedy, an associate at Coldwell Banker Bain in Seattle
Northwest Multiple Listing Service, based in Kirkland, is the largest full-service MLS in the Northwest. The MLS is owned by its member brokers and currently encompasses nearly 2,100 companies with more than 26,000 sales associates. Together, they serve 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 for September 2007
|
September 2007 |
LISTINGS |
PENDING SALES |
CLOSED SALES |
|||
|
New Listings |
Total Active |
# Pending Sales |
# Closings |
Avg. Price |
Median Price |
|
|
King |
5149 |
14537 |
2203 |
2515 |
$486,405 |
$395,000 |
|
Snohomish |
1929 |
6968 |
872 |
977 |
$383,275 |
$344,500 |
|
Pierce |
1912 |
8681 |
816 |
818 |
$303,157 |
$269,925 |
|
Kitsap |
527 |
2704 |
262 |
288 |
$390,111 |
$317,200 |
|
Mason |
146 |
904 |
76 |
70 |
$263,276 |
$221,500 |
|
Skagit |
271 |
1250 |
146 |
138 |
$315,131 |
$274,231 |
|
Grays Harbor |
149 |
957 |
91 |
84 |
$206,167 |
$177,500 |
|
Lewis |
151 |
845 |
57 |
84 |
$224,940 |
$202,500 |
|
Cowlitz |
159 |
792 |
84 |
64 |
$227,378 |
$206,000 |
|
Grant |
151 |
627 |
87 |
65 |
$200,508 |
$171,238 |
|
Thurston |
503 |
2295 |
325 |
349 |
$282,530 |
$258,000 |
|
San Juan |
31 |
358 |
11 |
8 |
$811,644 |
$659,000 |
|
Island |
169 |
1182 |
97 |
111 |
$386,976 |
$281,000 |
|
Kittitas |
94 |
627 |
50 |
68 |
$297,041 |
$236,000 |
|
Jefferson |
83 |
553 |
36 |
31 |
$300,267 |
$295,000 |
|
Okanogan |
54 |
415 |
35 |
30 |
$216,072 |
$195,000 |
|
Whatcom |
438 |
2393 |
246 |
294 |
$304,985 |
$269,500 |
|
Clark |
196 |
1194 |
100 |
117 |
$310,614 |
$280,000 |
|
Pacific |
40 |
407 |
31 |
31 |
$213,781 |
$199,000 |
|
Others |
233 |
1280 |
123 |
120 |
$240,700 |
$200,500 |
|
MLS TOTAL |
12,385 |
48,969 |
5,748 |
6,262 |
$387,955 |
$321,600 |
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 |
|
|
|
It seems like a daily occurrence… another article talking about the housing market. Today’s headline in the Seattle Times Business Section reads… "Seattle market spared the home-price plunge". Click here to read it. The article goes on to describe that the Standard & Poor’s index for the national housing market has dropped 3.2 for the second quarter of 2007 as compared to 2006. During the same time the Seattle area market rose 7.9%
As a Seattle area resident, I view this as good news… we are still bubble proof! The real question is… will we remain so -or- will our market follow the rest of the country?
While there is no "national real estate market" there is a national financing market and it is currently a troubled one. Many buyers who could purchase a few years ago now cannot. For some that is a good thing, for others not so much. Either way, it means there less buyers who can buy. Additionally the current pricing on jumbo loans (those loan amounts over $417,000) are priced significantly higher than they would usually be due to uncertainty in the secondary market for these types of loans.
So as we look into our crystal balls and try to predict the future of the Seattle area market we have to consider the following items:
1. Tightening credit standards which will eliminate some buyers.
2. Rising inventories. As of July – King county had 50% more available homes and condos than in July 2006. Snohomish County had 57% more available homes and condos than in July 2006.
3. Slowing sales. As of July – King County had 6.6% fewer sales year to date sales of homes and condos than in July 2006. Snohomish County had 17.7% fewer sales year to date sales of homes and condos than in July 2006.
4. The Washington economy. This is the shinning star on the list! The regions unemployment rate was down to 4% in King County as of June 2007.
The states strong economy is likely the greatest reason why we have not followed the rest of the country into price stabilization or declines. However, the basic laws of supply and demand are at work in housing just as they are in widgets. If you have rising supply and lowering demand, prices will stop appreciating and potentially drop depending on how far out of alignment the supply and demand become.
The other item that is has been on my list to watch for many years is the "Consumer Confidence Index". It is amazing, but how we feel about the market has as much to do with the market as the markets fundamentals do… supply, demand and available credit. Early in 2006, I saw the warning signs of this. The press had made a decided change towards the negative regarding the national housing market. When I would look into my crystal ball for clients I had frequently mentioned the "X-factor" of consumer confidence. If it turns against real estate, then all bets of appreciation are off. Well things have clearly changed and that impact is beginning to be felt here.
As many of my co-workers begin to express concern for the market and their business, I am not worried. See many of them, (approx 80% of the agents working today) have never witnessed a market like the one we are in, and more importantly the one we may be headed to. As a 19 year veteran I have experienced appreciating markets and depreciating markets. I have the confidence to know that these markets can be successfully and profitably navigated by my clients. This is a true professionals market where the advice and counsel must come from a great depth of knowledge and be made with thought and care, not just for today, but for what the future will likely bring.
So… The real question for Seattle is can credit markets repair themselves and the national market recover before we are pulled into the same boat as the rest of the country? Only time will tell.
Posted By:
Tony Meier
Redmond Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
By: Tony Meier
Eastside Realtor
I was reading the front page of the Seattle Times today. The article was titled "Scales tip in favor of the home buyers". See it here… While this may be true in some areas. One thing is for sure it is not true in all! When looking at each individual area in the Puget Sound Region you will find areas and price ranges that are hotter than others. For example, if you want to buy a home in East Bellevue under 1 million, the market is clearly in favor of the seller. Click on the image below for a larger version.
If you look at the same time frame but go south to Kent, you will find a market that is more balanced on the low end and in the upper ranges clearly favoring in the buyer. Click on the image below for a larger version.
This is one of the reason you cannot generalize about the real estate market. Having been in real estate for over 18 years, I have always payed attention to how the press reports on the market. There has been an extreme tendancy to "paint it all" with the same brush – to generalize it to one simple headline. The reality is, there is no national real estate market or even a local market that is all the same.
So how’s the market in your area… it depends. If you would like to know more about the nuances of the Seattle area’s real estate market, I welcome you to contact me.
Tony Meier
Redmond Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
The following is a press release for NWMLS on July 5th, 2007
KIRKLAND, Wash. (July 5, 2007) – With inventory at an all-time high in the Northwest Multiple Listing Service system, buyers are becoming more selective and sellers are receiving fewer multiple offers, according to MLS officials. Condominiums remain a bright spot, they noted.
Mid-year figures show the volume of pending sales of single family homes and condominiums (combined) is down about 7.3 percent from a year ago, while prices climbed 9 percent. Through June, members have reported 43,543 closed sales, off 3,430 units from the year ago total of 46,973. The median price for completed sales area-wide (through six months of 2007) is $326,000, up $27,000 (9 percent) from this time last year.
For single family homes (excluding condominiums), the year-to-date median sales price is $345,000. That’s a 10.2 percent increase from a year ago, but the trend is pointing toward single-digit increases, except perhaps for condominiums.
June marked the third straight month of single-digit gains in sales prices overall, although several counties are still reporting double-digit jumps.
New figures from Northwest MLS for June show:
Even though the inventory is fairly robust, the selection is slim in some close-in neighborhoods and in some price ranges. For homes priced at $247,000 or less (the price a median-income household in King County can afford, according to housing specialists from the Seattle-King County Association of Realtors®), there are only 110 current listings priced under that threshold in King County. Of these single family homes, 94 are in south King County, seven are on the Eastside, two are in Seattle, with the remainder scattered elsewhere in the county.
"Inventory levels overall were somewhat higher in June, but still well below the national average and we continue to see multiple offers in certain markets," remarked J. Lennox Scott, chairman and CEO of John L. Scott Real Estate. Not surprisingly, he noted, markets that are closer to job centers tend to have lower inventory levels and higher price appreciation.
Area-wide there is about a 4.9 month supply of inventory, which compares to the national average of 6.8 months. In King County, there is about a 3.2 month supply, meaning if no other homes were to come on the market it would take 3.2 months to sell the available inventory.
Condo Activity Remains Strong
A closer look at the inventory shows part of the increase is due to a growing number of condominiums. In King County, for example, condos account for about 35 percent of the active listings. Of the condo inventory system-wide, about one-third of them are classified as new construction.
The volume of condominium sales and prices are both outperforming last year. Through six months this year, condo sales are up 6.1 percent compared to 2006, with prices jumping 15.6 percent. In King County, which accounts for nearly two-thirds of the transactions, the year-to-date median selling price of a condominium is $285,000, a 17.8 percent increase from the year-ago YTD figure of $242,000.
Buyers Finding Good Values
Buyers realize good values are all around them, but some are waiting too long to act, observed NWMLS director Dick Beeson, broker/owner of Windermere Real Estate/Commencement Associates in Tacoma.
"Traffic at open houses has been brisk with many buyers having started their search on the Internet, thereby increasing their knowledge and awareness of the market," Beeson stated. "When they hit the door they are generally qualified by a lender and ready to buy if the right house appears. However, some of these ‘knowledgeable buyers’ tend to be slow to pull the trigger on a purchase as they search endlessly for the ‘perfect home.’ Often, it is the one they didn’t end up buying, but somebody else did," he reported.
"If you’re a seller, you really, really need to put your best foot forward and understand what the competition is," emphasized NWMLS director Mike Larson, designated broker at Allen Realtors in Lakewood. "Sellers still don’t quite understand that buyers have much more to choose from – and often a back-up property to act on," he commented. They’ll end negotiations and make offers elsewhere if they perceive sellers to be unreasonable, he added.
NWMLS director Ken Bacon characterized the market as "balanced." This balance "creates a need to price the house at value" and requires agents and sellers to look more seriously at the prices of other active listings (the competition), he explained. In the past, pending and closed sales were the focus for determining value ranges, but the more balanced market requires more scrutiny of current listings around the neighborhood, according to Bacon, the broker at Windermere Real Estate in Redmond. "Having a price that is higher than the competition only helps the other homes sell," he stressed.
Noting appreciation for homes is at a lower pace than in 2006, Bacon still expects new job growth and overall economic strength of the Seattle area will sustain appreciation through the end of 2007.
Economists suggest the market is underperforming and believe fallout from subprime lending practices may be taking a toll on home sales.
NAR senior economist Lawrence Yun said consumer behavior is outweighing economic indicators. "Psychological factors are currently the biggest drag on the housing market, in addition to a disruption from tighter credit for subprime borrowers," he said. Household formation has slowed dramatically since late 2006, Yun noted, implying that "many people are doubling-up – they’re adding roommates or moving in with parents." "The market is underperforming when you consider positive fundamentals such as the strength in job creation, economic growth, favorable mortgage interest rates and flat home prices," Yun said, adding, "It appears some buyers are simply waiting for more signs of stability."
The average person on Main Street doesn’t understand the impact of tightening lending standards and rising rates, according to Bob Walters, chief economist at Quicken Loans, the nation’s largest online retail mortgage lender. "But it means that 10 to 15 percent of borrowers who could get a mortgage at the beginning of the year can’t get one today. That’s substantial. That’s a rippling effect," he remarked.
Northwest Multiple Listing Service, based in Kirkland, is the largest full-service MLS in the Northwest. The MLS is owned by its member brokers and currently encompasses nearly 2,100 companies with more than 26,000 sales associates. Together, they serve 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 for June 2007
|
June 2007 Single Fam. Homes + Condos |
LISTINGS |
PENDING SALES |
CLOSED SALES |
|||||||||||
|
New Listings |
Total Active |
# Pending Sales |
# Closings |
Avg. Price |
Median Price |
|||||||||
|
King Co. |
5960 |
12282 |
3766 |
3634 |
$507,969 |
$414,950 |
||||||||
|
Snohomish |
2481 |
6194 |
1443 |
1418 |
$394,710 |
$355,000 |
||||||||
|
Pierce |
2470 |
8426 |
1276 |
1215 |
$320,489 |
$277,500 |
||||||||
|
Kitsap |
711 |
2588 |
391 |
370 |
$375,365 |
$303,250 |
||||||||
|
Mason |
259 |
872 |
110 |
95 |
$252,026 |
$220,000 |
||||||||
|
Skagit |
375 |
1226 |
221 |
199 |
$348,038 |
$303,750 |
||||||||
|
Grays Harbor |
215 |
915 |
112 |
114 |
$186,174 |
$170,000 |
||||||||
|
Lewis |
192 |
783 |
102 |
82 |
$205,519 |
$195,000 |
||||||||
|
Cowlitz |
216 |
723 |
94 |
104 |
$228,266 |
$199,250 |
||||||||
|
Grant |
173 |
545 |
103 |
100 |
$191,559 |
$162,953 |
||||||||
|
Thurston |
731 |
2372 |
455 |
419 |
$302,136 |
$272,000 |
||||||||
|
San Juan |
60 |
362 |
29 |
24 |
$689,542 |
$506,900 |
||||||||
|
Island |
254 |
1112 |
141 |
126 |
$357,148 |
$308,850 |
||||||||
|
Kittitas |
125 |
546 |
81 |
76 |
$325,146 |
$283,225 |
||||||||
|
Jefferson |
105 |
534 |
54 |
44 |
$368,607 |
$277,250 |
||||||||
|
Okanogan |
77 |
376 |
63 |
40 |
$229,709 |
$167,500 |
||||||||
|
Whatcom |
630 |
2415 |
410 |
376 |
$320,413 |
$278,750 |
||||||||
|
Clark |
375 |
1321 |
178 |
166 |
$300,167 |
$276,000 |
||||||||
|
Pacific |
67 |
386 |
32 |
35 |
$209,700 |
$199,000 |
||||||||
|
Others |
342 |
1245 |
145 |
125 |
$206,055 |
$179,000 |
||||||||
|
MLS TOTAL |
15,818 |
45,223 |
9,206 |
8,762 |
$405,133 |
$334,000 |
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 |
|||||||||||||||||||||||
Tony Meier
Redmond Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Redmond Real Estate Housing Statistics – 6/06/2007
By: Tony Meier – Eastside Realtor
The market has firmed up slightly this week. With the total volume averaging 14.11 weeks of inventory (which is down again from last week) the market remain robust. The hotest range is still $400,000 to $499,999 and the coolest part of the market is $1,750,000 to $2,249,999 which has shown no sales in the last 7 weeks.
When looking at this speadsheet keep this in mind…
The following is generally accepted as to the state of the market –
1. Less than 18 weeks of inventory = Seller’s Market
2. About 18 to 22 weeks of inventory = Balanced Market
3. More than 22 weeks of inventory = Buyer’s Market
So if you study the table below… You will see price ranges that have sellers in firm control and others that have the buyer in control. This information puts my clients in the drivers seat when it comes to correctly pricing their home to sell or knowing what to offer for the dream home!
Below is a the statistics for last 7 weeks ending on 6/6/2007…
| Price Range | Active Avg | Pending Avg | Weeks Avg | |
| $0 | $299,999 | 3.29 | 0.29 | 11.50 |
| $300,000 | $399,999 | 14.00 | 1.57 | 8.91 |
| $400,000 | $499,999 | 25.00 | 3.86 | 6.48 |
| $500,000 | $599,999 | 29.00 | 2.86 | 10.15 |
| $600,000 | $699,999 | 28.29 | 1.86 | 15.23 |
| $700,000 | $799,999 | 27.43 | 2.29 | 12.00 |
| $800,000 | $899,999 | 24.14 | 1.86 | 13.00 |
| $900,000 | $999,999 | 22.29 | 1.43 | 15.60 |
| $1,000,000 | $1,249,999 | 17.43 | 0.29 | 61.00 |
| $1,250,000 | $1,499,999 | 17.14 | 0.29 | 60.00 |
| $1,500,000 | $1,749,999 | 4.00 | 0.14 | 28.00 |
| $1,750,000 | $1,999,999 | 8.86 | 0.00 | |
| $2,000,000 | $2,249,999 | 4.00 | 0.00 | |
| $2,250,000 | $2,499,999 | 5.57 | 0.14 | 39.00 |
| $2,500,000 | and up | 9.43 | 0.14 | 66.00 |
| Total | 239.9 | 17.0 | 14.11 |
Armed with this information we can then dig deeper to see what is happening in a particular neighborhood, then make a highly educated decision. It is important to me that my clients know what to do but also the ‘why" behind it!
I track these statistics for all of the Eastside and Seattle. If you would like to know the absorbtions rates in your area, call or email me.
Tony Meier
Redmond Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Hot off the press!
Northwest MLS Releases Market Statistics for May 2007
Posted by: Tony Meier – Eastside Realtor
Western Washington Housing Market Continues Trend
of Expanding Inventory, Fewer Sales, Rising Prices
KIRKLAND, Wash. (June 6, 2007) – Fewer home sales, more choices and higher prices were the themes again in May, according to new statistics from Northwest Multiple Listing Service.
Figures show three key indicators — pending sales, active listings and selling prices — for last month’s activity followed the pattern of recent months. The report covers 19 counties, mostly in Western Washington.
Pending sales (offers made and accepted, but not yet closed) fell about 9.9 percent compared to twelve months ago, with wide variation across the MLS service area. King County, which accounted for about 40 percent of the pending sales volume, lagged year-ago totals by 7.5 percent. Three counties, Okanogan, Pacific and Skagit, improved on May 2006 activity. Thirteen counties reported double-digit drops in pending sales of single family homes and condominiums (combined).
In the four-county Puget Sound region (King, Snohomish, Pierce and Kitsap counties), brokers reported 7,311 pending sales during May. That was 1,100 fewer transactions than the same month a year ago (a 13 percent decline), but the largest volume since August 2006.
Inventory continued to grow. Member brokers added 16,888 new listings of single family homes and condominiums to the inventory during May. At month end, buyers could choose from 42,514 active listings, a 53.7 percent larger selection than a year ago when there were 27,660 listings area-wide.
Despite the slower pace of sales, prices are still rising. Area-wide, the median selling price for last month’s closed sales rose nearly 10 percent (9.95 percent) from a year ago. The sales price for May’s 8,590 completed transactions (including single family homes and condominiums) was $332,600, which compares to the year-ago figure of $302,500.
For single family homes only (excluding condominiums), the median sales price was $350,258, up 9.8 percent from the year-ago figure of $319,000. In King County, the median price for a single family home that sold and closed last month was $469,000, up more than $41,000 (9.6 percent) from twelve months ago when the median selling price was $427,950.
Condo sales dipped last month as well. Brokers reported 99 fewer pending sales compared with the same month a year ago for a 5.5 percent decline. In King County, where about two-thirds of the pending sales occurred, the volume nearly matched year-ago numbers. Brokers notched 20 fewer pending sales for a 1.8 percent decline from twelve months ago.
Prices for condominiums continue to jump at a fast clip. For last month’s closed sales, the median selling price system-wide was $270,000, up 18.4 percent from a year ago. In King County, the median price for last month’s closed sales of condos increased 17.6 percent, rising from $246,500 a year ago to $289,950.
"Bargain deals are few and far between," observed NWMLS director Kathy Estey, the managing broker at John L. Scott’s Bellevue Downtown office. "In spite of growing inventory, prices are still increasing and homes that are priced right are selling very quickly," she commented, adding, "Insulting a seller with a ridiculous offer is not necessarily a winning negotiation strategy."
Procrastinating may be counter-productive as well, according to some brokers.
Buyers who take their time to decide may be "surprised and sorrowful when they lose their favorite property because they waited a day too long to make an offer and someone else sneaks in before them," reports Northwest MLS director Dick Beeson, broker/owner of Windermere Real Estate/Commencement Associates in Tacoma.
Beeson said sellers with unrealistic expectations are changing their approach, too. Those who expect last year’s rapidly escalating prices are realizing that simply isn’t happening in 2007, he noted. More sellers understand the importance of getting their properties market ready before listing them, Beeson remarked.
In a season of growing competition, sellers need to have strategies in place to market their home and attract other agents with serious, qualified buyers, Estey emphasized. "More than ever, sellers need to hire full-time, knowledgeable trusted advisors – not just someone who can dump the listing into the MLS system."
Buyers are being conservative in not selling their homes first, Estey reported, "for fear of not having one to move into, yet they don’t have alternative financing arranged – in other words they want to buy contingent."
Although this is still not really a contingent buyers’ market, Estey said the likelihood of getting bumped is high so sellers should be prepared to consider contingent offers. "With building inventory they may not get other non-contingent buyers in to see their home," she explained. Carefully structured contingent sales may be a viable option after the home has been fully exposed to the market for a few weeks without a sale, she suggests.
Estey also reported seeing a "great deal of activity on million-dollar plus properties." Northwest MLS figures show a 28.5 increase in the number of closed sales of million-dollar plus properties in King County for the first five months of this year compared to same period a year ago. From January-May 2006, brokers reported 568 closings of single family homes and condominiums priced at one million dollars or more. Through the first five months this year, there have been 730 completed transactions in that price category.
Brokers are not seeing much local fallout from the recent shake-up of the subprime mortgage market, although they acknowledge prospective borrowers in the "least creditworthy" category may have more difficulty finding favorable terms. Bankrate.com estimates about 15 percent of mortgage borrowers are in the subprime category and may be subject to stricter standards in the form of higher minimum credit scores, lower maximum loan amounts and requirements for bigger down payments.
NWMLS director Pat Grimm, president of Windermere Western Washington Services Company, said he still hears of occasional success stories about "exotic" loans. He mentioned clients who had purchased a condo in Kirkland’s Totem Lake area 30 months ago on a zero down loan. "They had to bring only $50 to the closing table," he recalls, adding, "Now, they’re ready to sell and move up – with more than $125,000 in equity in that same condo."
Northwest Multiple Listing Service, based in Kirkland, is the largest full-service MLS in the Northwest. The MLS is owned by its member brokers and currently encompasses nearly 2,100 companies with more than 26,000 sales associates. Together, they serve 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 for May 2007
|
May 2007 Single Fam. Homes + Condos |
LISTINGS |
PENDING SALES |
CLOSED SALES |
|||
|
New Listings |
Total Active |
# Pending Sales |
# Closings |
Avg. Price |
Median Price |
|
|
King Co. |
6056 |
11204 |
3966 |
3514 |
$521,402 |
$411,868 |
|
Snohomish |
2476 |
5753 |
1509 |
1378 |
$383,558 |
$353,779 |
|
Pierce |
2857 |
8039 |
1436 |
1311 |
$315,512 |
$281,000 |
|
Kitsap |
851 |
2488 |
400 |
336 |
$405,819 |
$307,000 |
|
Mason |
264 |
821 |
91 |
100 |
$247,759 |
$205,450 |
|
Skagit |
391 |
1161 |
227 |
179 |
$327,765 |
$269,900 |
|
Grays Harbor |
269 |
877 |
112 |
105 |
$178,113 |
$162,000 |
|
Lewis |
223 |
766 |
94 |
83 |
$228,293 |
$187,000 |
|
Cowlitz |
215 |
668 |
120 |
97 |
$193,864 |
$170,000 |
|
Grant |
198 |
475 |
117 |
91 |
$193,021 |
$150,000 |
|
Thurston |
843 |
2266 |
501 |
438 |
$303,341 |
$265,475 |
|
San Juan |
109 |
348 |
25 |
26 |
$1,006,538 |
$578,500 |
|
Island |
332 |
1090 |
145 |
128 |
$331,699 |
$280,750 |
|
Kittitas |
157 |
526 |
55 |
54 |
$320,167 |
$235,750 |
|
Jefferson |
124 |
518 |
55 |
46 |
$357,784 |
$322,000 |
|
Okanogan |
74 |
395 |
41 |
35 |
$203,601 |
$150,000 |
|
Whatcom |
707 |
2375 |
422 |
314 |
$309,155 |
$280,450 |
|
Clark |
328 |
1224 |
222 |
205 |
$301,805 |
$274,900 |
|
Pacific |
83 |
365 |
44 |
23 |
$162,022 |
$144,000 |
|
Others |
331 |
1155 |
161 |
127 |
$218,436 |
$191,000 |
|
MLS TOTAL |
16,888 |
42,514 |
9,743 |
8,590 |
$407,565 |
$332,600 |
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 |
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Tony Meier
Redmond Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Redmond Real Estate Housing Statistics – 5/30/2007
By: Tony Meier – Eastside Realtor
Another strong week for Redmond Home Sales. With the total volume averaging 14.9 weeks (which is down from last week) the market remain robust. The hotest range is $400,000 to $499,999 and the coolest part of the market is $1,750,000 to $2,249,999 which has shown no sales in the last 7 weeks.
When looking at this speadsheet keep this in mind…
The following is generally accepted as to the state of the market –
1. Less than 18 weeks of inventory = Seller’s Market
2. About 18 to 22 weeks of inventory = Balanced Market
3. More than 22 weeks of inventory = Buyer’s Market
So if you study the table below… You will see price ranges that have sellers in firm control and others that have the buyer in control. This information puts my clients in the drivers seat when it comes to correctly pricing their home to sell or knowing what to offer for the dream home!
Below is a the statistics for last 7 weeks ending on 5/30/2007…
| Price Range | Active Avg | Pending Avg | Weeks Avg | |
| $0 | $299,999 | 3.14 | 0.14 | 22.00 |
| $300,000 | $399,999 | 13.29 | 1.29 | 10.33 |
| $400,000 | $499,999 | 24.00 | 3.86 | 6.22 |
| $500,000 | $599,999 | 26.29 | 2.57 | 10.22 |
| $600,000 | $699,999 | 25.14 | 1.71 | 14.67 |
| $700,000 | $799,999 | 26.00 | 2.29 | 11.38 |
| $800,000 | $899,999 | 23.29 | 1.57 | 14.82 |
| $900,000 | $999,999 | 22.86 | 1.14 | 20.00 |
| $1,000,000 | $1,249,999 | 17.29 | 0.14 | 121.00 |
| $1,250,000 | $1,499,999 | 16.43 | 0.29 | 57.50 |
| $1,500,000 | $1,749,999 | 3.71 | 0.14 | 26.00 |
| $1,750,000 | $1,999,999 | 8.29 | 0.00 | |
| $2,000,000 | $2,249,999 | 4.29 | 0.00 | |
| $2,250,000 | $2,499,999 | 5.43 | 0.14 | 38.00 |
| $2,500,000 | and up | 9.71 | 0.14 | 68.00 |
| Total | 229.1 | 15.4 | 14.85 |
Armed with this information we can then dig deeper to see what is happening in a particular neighborhood, then make a highly educated decision. It is important to me that my clients know what to do but also the ‘why" behind it!
I track these statistics for all of the Eastside and Seattle. If you would like to know the absorbtions rates in your area, call or email me.
Tony Meier
Redmond Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Redmond Real Estate Housing Statistics – 5/23/2007
By: Tony Meier – Eastside Realtor
Another strong week for Redmond Home Sales. With the total volume averaging 16.14 weeks, the market remains seller favored with the sellers in firm control under $800,000.
When looking at the spreadsheet keep this in mind…
The following is generally accepted as to the state of the market –
1. Less than 18 weeks of inventory = Seller’s Market
2. About 18 to 22 weeks of inventory = Balanced Market
3. More than 22 weeks of inventory = Buyer’s Market
So if you study the table below… You will see price ranges that have sellers in firm control and others that have the buyer in control. This information puts my clients in the drivers seat when it comes to correctly pricing their home to sell or knowing what to offer for the dream home!
Below is a the statistics for last 7 weeks ending on 5/23/2007…
| Price Range | Active Avg | Pending Avg | Weeks Avg | |
| $0 | $299,999 | 2.86 | 0.29 | 10.00 |
| $300,000 | $399,999 | 12.43 | 1.14 | 10.88 |
| $400,000 | $499,999 | 22.43 | 2.86 | 7.85 |
| $500,000 | $599,999 | 25.00 | 2.57 | 9.72 |
| $600,000 | $699,999 | 22.29 | 1.71 | 13.00 |
| $700,000 | $799,999 | 24.57 | 1.86 | 13.23 |
| $800,000 | $899,999 | 22.57 | 1.14 | 19.75 |
| $900,000 | $999,999 | 22.86 | 1.14 | 20.00 |
| $1,000,000 | $1,249,999 | 16.86 | 0.14 | 118.00 |
| $1,250,000 | $1,499,999 | 16.29 | 0.29 | 57.00 |
| $1,500,000 | $1,749,999 | 3.57 | 0.14 | 25.00 |
| $1,750,000 | $1,999,999 | 7.71 | 0.00 | |
| $2,000,000 | $2,249,999 | 4.43 | 0.00 | |
| $2,250,000 | $2,499,999 | 5.29 | 0.14 | 37.00 |
| $2,500,000 | and up | 9.86 | 0.14 | 69.00 |
| Total | 219.0 | 13.6 | 16.14 |
Armed with this information we can then dig deeper to see what is happening in a particular neighborhood, then make a highly educated decision. It is important to me that my clients know what to do but also the ‘why" behind it!
I track these statistics for all of the Eastside and Seattle. If you would like to know the absorbtions rates in your area, call or email me.
Tony Meier
Redmond Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
By: Tony Meier
Eastside Realtor
There is much talk about Zillow and the accuracy of their Zestimate valuations. Their site has caught the attention of many who want to know what their friend, boss, co-worker or neighbor’s home is worth. Unfortunately, there valuation model is not very accurate. To Zillow’s credit, they say "Our data shows that the majority of our Zestimate home valuations are within 10% of the selling price of the home."
Unfortunately, like most things… the more people read about it, talk about it, the more they believe it is true. So it goes with Zillow’s Zestimates. Recently, I read a craigslist ad for housing wanted which read "will buy your home for up to 85% of the Zestimate". Even if an owner of a property was willing to sell their home at a 15% discount, if they based that discount on Zillow’s estimate – they could be leaving some seroius cash on the table. How much you say… well let’s look at a recent closing on English Hill in Redmond.
According to the NWMLS, this property was listed on 3-30-07 for $645,000, they accepted a full price offer on 4-7-07 and it closed on 5-15-07.
| Listings as of 05/24/07 at 11:27am Listing # 27052593 |
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A quick check of Zillow today showed the following…
This Zestimate was last updated on 5-16-07 and it shows an upward change of $11,925 within the last 30 days. This would have put the Zestimate at $590,214 at approximately the time the seller received their full price offer of $645,000. A quck check of the math shows the home sold for 9.28% more than the Zestimate showed at the time of sale. Within Zillow’s 10% margin of error… yes. Acceptable for buyers and sellers to use as valid information to make a real estate decision… no!
I have to admit Zillow is fun. It is quite novel to be able to check out most any home. But until it’s information becomes accurate, it is just that… a novelty at best. It does not replace the need for the professional opinion of a skilled & experienced Realtor or Appraiser.
Tony Meier
Redmond Realtor
EastsideHomesBlog.com
EastsideHomes.com
Seattle’s Eastside Real Estate Resource
tony@eastsidehomes.com
Redmond Real Estate Housing Statistics – 5/16/2007
By: Tony Meier – Redmond Realtor
Another strong week for Redmond Home Sales. We are still seeing inventory build which is customary as we move into the summer months. I have enhanced the spreadsheet this week with 2 digits after the decimal point. This will more accurately reflect the price ranges with few sales, like the upper end,
When looking at the spreadsheet keep this in mind…
The following is generally accepted as to the state of the market –
1. Less than 18 weeks of inventory = Seller’s Market
2. About 18 to 22 weeks of inventory = Balanced Market
3. More than 22 weeks of inventory = Buyer’s Market
So if you study the table below… You will see price ranges that have sellers in firm control and others that have the buyer in control. This information puts my clients in the drivers seat when it comes to correctly pricing their home sell or knowing what to offer for the dream home!
Below is a the statistics for last 7 weeks ending on 5/16/2007…
| Price Range | Active Avg | Pending Avg | Weeks Avg | |
| $0 | $299,999 | 2.71 | 0.43 | 6.33 |
| $300,000 | $399,999 | 11.43 | 1.14 | 10.00 |
| $400,000 | $499,999 | 20.71 | 2.29 | 9.06 |
| $500,000 | $599,999 | 23.57 | 2.43 | 9.71 |
| $600,000 | $699,999 | 19.43 | 1.43 | 13.60 |
| $700,000 | $799,999 | 23.14 | 2.14 | 10.80 |
| $800,000 | $899,999 | 21.71 | 1.14 | 19.00 |
| $900,000 | $999,999 | 23.14 | 1.29 | 18.00 |
| $1,000,000 | $1,249,999 | 16.43 | 0.14 | 115.00 |
| $1,250,000 | $1,499,999 | 15.57 | 0.29 | 54.50 |
| $1,500,000 | $1,749,999 | 3.57 | 0.14 | 25.00 |
| $1,750,000 | $1,999,999 | 7.14 | 0.14 | 50.00 |
| $2,000,000 | $2,249,999 | 4.29 | 0.00 | |
| $2,250,000 | $2,499,999 | 5.14 | 0.14 | 36.00 |
| $2,500,000 | and up | 10.00 | 0.14 | 70.00 |
| Total | 208.0 | 13.3 | 15.66 |
Armed with this information we can then dig deeper to see what is happening in a particular neighborhood, then make a highly educated decision. It is important to me that my clients know what to do but also the ‘why" behind it!
Tony Meier
Redmond Realtor
EastsideHomesBlog.com
Eastsidehomes.com
Seattle’s Eastside Real Estate Resource
