Take a look at home value appreciation across the country
and our neck of the woods.
Nationally: Home prices rose a nearly 8% according to several reports. Contributing to this were several hot pockets both urban and rural.
Prices rose 10% and higher in these smaller metropolitan markets: Indianapolis, Kansas City, Boise, Austin, Cleveland, Cincinnati, Memphis, and Pittsburgh are seeing some of the strongest price gains in the nation.
Washington State: NWMLS hit a Quadruple-Double:
The Northwest Multiple Listing Service statistical summary for December showed double-digit increases in new listings, pending sales, closed sales, and prices.
- New Listings: (Up 39.3% YOY) 5,260
- Active Listings: (Down 44% YOY). 4,732
- Pending Sales: (Up 15.8% YOY) 6,883
- SOLD Prices: (Up 12.2% YOY). $435000 to $488000
- Closed Sales: Homes and condos 9,008
- Months of Inventory: (Down to 0.53 months) Two weeks
Seattle and the immediate suburbs continue to grow: Demand is driven by the continued growth and the future of high paying tech and biomedical sectors.
- In King County: Last month’s total of new listings taken was the largest since 2010. This was up 62% compared to a year ago. But the insatiable buyer demand quickly absorbed available properties.
- COVID has not slowed the demand for housing. In fact, it has driven it up as people search for the perfect work and lifestyle/destination markets further outside city centers.
- We didn’t have the usual seasonal slowing. Homebuyers that hoped to take advantage of the seasonal slowing with less competition instead found the same competitive market.
- As prices increase, buyers are looking outside of King County. They are moving to improve their quality of life and escape densely populated cities.
King County sellers are opting for less expensive homes outside the county, such as the South Sound area encompassing Pierce, Thurston, and Kitsap counties.
- Here are three Counties with notable pending unit accomplishments: Grant (up 133%) Kittitas (up 55%) Pacific (up nearly 43%).
- These Counties are up 20% or more YOY for SOLD Prices: Chelan, Clallam, Grays Harbor, Kittitas, Pacific, Whatcom, and Mason counties.
Looking at the Eastside numbers:
- Median home prices have increased 92% over the past 8 years to $979,375.
- Homes priced under $500,000 are less than 1% of the current market.
- Sales of homes priced 2M and more have increased from 33 units in 2012 to 219 units today.
- The number of homes SOLD is down 33% YOY simply because of seller concerns over COVID-19 which has caused the lack of homes for sale.
2021 Projection:
- It’s expected that the first half of 2021 will be like last year:
- Buyers are hoping that there will be a mid-year increase in inventory, a drop in prices and stabilized mortgage rates. Maybe – Maybe not.
- Buyers have more buying power. Average mortgage interest rates in 2012 was nearly 4% … Today’s rate is near 3%.
- The huge backlog of buyers needs to show patience and may find the need to add value to their offers in ways other than price.”
Contact Tom Directly if you want more information about the state of the market and how it affects the value of your home or the right time to make that move!
Check REX2020.com for more blog posts that are both informative and timely for today’s real estate market. Let tom know if you have been thinking about a move … it may be time to start planning.