Local Market Update – November 2019

A steady influx of buyers continued to strain already tight inventory throughout the area in October. Home sales were up, as were prices in much of the region. With our thriving economy and highly desirable quality of life drawing ever more people here, the supply of homes isn’t close to meeting demand. Homeowners thinking about putting their property on the market can expect strong buyer interest.

EASTSIDE

As the Eastside continues to rack up “best places” awards, it’s no surprise that the area is booming. Development is on the rise, fueled primarily by the tech sector. The appeal of the Eastside has kept home prices here the highest of any segment of King County. The median single-family home price in October was stable as compared to the same time last year, rising 1% to $900,000.

VIEW FULL EASTSIDE REPORT

KING COUNTY

King County’s 1.74 months of available inventory is far below the national average of four months. Despite the slim selection, demand in October was strong. The number of closed sales was up 5% and the number of pending sales (offers accepted but not yet closed) was up 11%. The median price of a single-family home was down 2% over a year ago to $660,000. However, some areas around the more reasonably-priced south end of the county saw double-digit price increases.

VIEW FULL KING COUNTY REPORT

SEATTLE

Seattle home prices took their largest year-over-year jump in 12 months. The median price of a single-family home sold in October was up 3% from a year ago to $775,000, a $25,000 increase from September of this year.  Seattle was recently named the third fastest-growing city in America.  Real estate investment is surging. A growing population and booming economy continue to keep demand for housing –and home prices—strong.

VIEW FULL SEATTLE REPORT

SNOHOMISH COUNTY

Both the number of home sales and home prices were on the rise in Snohomish County in October. Overall homes sales increased 7%, and the median price of a single-family home rose 5% over a year ago to $495,000.  Supply remains very low, with just six weeks of available inventory.

VIEW FULL SNOHOMISH COUNTY REPORT


This post originally appeared on GetTheWReport.com

Posted on November 18, 2019 at 9:59 pm
David Hogan | Category: Economy, Local Market News, Local Market Updates | Tagged , , , , , , , , , ,

Local Market Update – October 2019

While fall usually brings a decrease in sales activity, the opposite was true in September. The number of listings on the market dropped by double digits and home sales rose. It is still a seller’s market, however prices have stabilized. With interest rates near historic lows and employment levels at historic highs, the housing market is expected to stay strong throughout the fall and winter.

EASTSIDE

Long the most affluent area of King County, the Eastside continues to record the highest home prices in the region. The median price of a single-family home on the Eastside was $928,500 in September, an increase of 4% from a year ago and a decrease of less than 1% from August. The Eastside construction boom continues, indicating that developers remain confident in the strength of the local economy.

VIEW FULL EASTSIDE REPORT

KING COUNTY

The number of homes on the market in King County fell by almost 20% in September when compared to a year ago. However, last fall saw an increase in inventory that was unusual for the time of year. The median price of a single-family home was $660,000, down just 1% from the same time last year. Cities in King County, outside of Seattle, all saw price increases. Sales were up 7% indicating no shortage of buyers.

VIEW FULL KING COUNTY REPORT

SEATTLE

Prices remained relatively stable, with the median price of a single-family home in September dipping 3% over a year ago to $750,000. As tech companies continue to recruit top talent to the area, Seattle’s population keeps booming and demand for housing remains high. While home sales traditionally dip in the fall, the city saw sales increase by 12% in September as compared to last year. Rising rents may push more buyers into the market.

VIEW FULL SEATTLE REPORT

SNOHOMISH COUNTY

Buyers continue to be drawn to Snohomish County thanks to a strong economy and housing costs that are considerably more affordable than King County. That influx of buyers is also driving up prices. The median price of a single-family home in September was $492,500, up from $484,995 the same time last year. At $167,500 less than the median price in King County, it’s a relative bargain.

VIEW FULL SNOHOMISH COUNTY REPORT


This post originally appeared on GetTheWReport.com

Posted on October 19, 2019 at 12:03 am
David Hogan | Category: Buying a Home, Economy, Local Market News, Local Market Updates, Selling a Home | Tagged , , , , , , , , , , , , ,

AMAZON COULD BRING THOUSANDS OF DOGS WITH IT TO NEW BELLEVUE OFFICE

Of all the impacts posed by thousands of new Amazon employees migrating to the Eastside, Bellevue officials perhaps weren’t expecting this — this could get ruff.

The Puget Sound Business Journal went through a series of emails among Bellevue city employees, and found that officials are now preparing for thousands of dogs that will likely come with their Amazon employee families. The company’s Seattle headquarters allows many employees to bring their dogs to work, numbering up around 6,000 to 7,000 pets.

Amazon has made other accommodations for its four-legged coworkers. The front desk has a steady supply of dog treats. There is a doggy deck on the 17th floor of one of its buildings — it includes a fake fire hydrant. The company also keeps plenty of poop bags on hand, water fountains, and relief areas. Amazon has even opened an off-leash park in the Denny Triangle.

Amazon even knows the most common doggy names at its HQ — Lucy, Bella, and Charlie.

This all means city planners in Bellevue are now looking to the area around the 1 million square feet of office space that Amazon will eventually occupy. Where are all of these dogs going to … go?

Amazon’s South Lake Union headquarters has a few parks and dog areas surrounding it. They are equipped with bushes and trash cans. One email from a Bellevue official expresses concern about the urban landscape around SLU, and how that issue may migrate to the Eastside.

“So … with Amazon coming, it is not just the residential buildings that need pet relief areas built into their developments,” they write. “Office buildings are becoming just as susceptible to impacts from dogs — if not more.”

About 45,000 employees are expected to move into the Bellevue office by 2022; more if the company expands even further in the city.

This was originally posted on MYNorthwest by Dyer Oxley.

And on GetTheWReport.com

Posted on October 9, 2019 at 11:51 pm
David Hogan | Category: Community News, Economy, Local Market News | Tagged , , , , , , , , , , , , , , ,

The Gardner Report | Q2 2019 – Western Washington

The following analysis of the Western Washington real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. I hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact me.

Economic Overview

Washington State employment jumped back up to an annual growth rate of 2.4% following a disappointing slowdown earlier in the spring. As stated in the first quarter Gardner Report, the dismal numbers earlier this year were a function of the state re-benchmarking its data (which they do annually).

The state unemployment rate was 4.7%, marginally up from 4.5% a year ago. My current economic forecast suggests that statewide job growth in 2019 will rise by 2.6%, with a total of 87,500 new jobs created.

Home Sales Activity

  • There were 22,281 home sales during the second quarter of 2019, representing a drop of 4.8% from the same period in 2018. On a more positive note, sales jumped 67.6% compared to the first quarter of this year.
  • Since the middle of last year, there has been a rapid rise in the number of homes for sale, which is likely the reason sales have slowed. More choice means buyers can be more selective and take their time when choosing a home to buy.
  • Compared to the second quarter of 2018, there were fewer sales in all counties except Whatcom and Lewis. The greatest declines were in Clallam, San Juan, and Jefferson counties.
  • Listings rose 19% compared to the second quarter of 2018, but there are still a number of very tight markets where inventory levels are lower than a year ago. Generally, these are the smaller — and more affordable — markets, which suggests that affordability remains an issue.

Home Prices

  • Year-over-year price growth in Western Washington continues to taper. The average home price during second quarter was $540,781, which is 2.8% higher than a year ago. When compared to first quarter of this year, prices were up 12%.

  • Home prices were higher in every county except King, which is unsurprising given the cost of homes in that area. Even though King County is home to the majority of jobs in the region, housing is out of reach for many and I anticipate that this will continue to act as a drag on price growth.
  • When compared to the same period a year ago, price growth was strongest in Lewis County, where home prices were up 15.9%. Double-digit price increases were also seen in Mason, Cowlitz, Grays Harbor, and Skagit counties.
  • The region’s economy remains robust, which should be a positive influence on price growth. That said, affordability issues are pervasive and will act as a headwind through the balance of the year, especially in those markets that are close to job centers. This will likely force some buyers to look further afield when searching for a new home.

Days on Market

  • The average number of days it took to sell a home matched the second quarter of 2018.
  • Snohomish County was the tightest market in Western Washington, with homes taking an average of only 21 days to sell. There were five counties where the length of time it took to sell a home dropped compared to the same period a year ago. Market time rose in eight counties and two were unchanged.
  • Across the entire region, it took an average of 41 days to sell a home in the second quarter of 2019. This was the same as a year ago but is down 20 days compared to the first quarter of 2019.
  • As stated above, days-on-market dropped as we moved through the spring, but all markets are not equal. I suggest that this is not too much of an issue and that well-priced homes will continue to attract attention and sell fairly rapidly.

Conclusions

Posted on July 29, 2019 at 8:00 am
David Hogan | Category: Economy, Local Market News, Selling a Home, The Gardner Report | Tagged , , , , , , , , , , ,

Windermere Living – Spring 2019

The Spring 2019 issue of Windermere Living showcases rising talents in interior design, spring refresh strategies, easy brunch ideas for your next get together and a helpful houseplant guide.

Windermere Living is an exclusive listings magazine published by Windermere Real Estate. Read the online version by clicking on the image below.

This post originally appeared on the Windermere Eastside blog.

Posted on April 1, 2019 at 10:23 pm
David Hogan | Category: Local Market News

Local Market Update – August 2018

For the first time in years, the real estate market is finally starting to deliver good news for buyers. The region experienced its third straight month of significant growth in inventory. Homes are sitting on the market longer, prices are moderating, and multiple offers are becoming more rare. Despite the surge in homes for sale, it is still a seller’s market. Inventory would need to triple to reach what is considered a balanced market.

Eastside

>>>Click image to view full report.

Inventory on the Eastside soared 47 percent over the same time last year. There was a slight increase in new listings, but the jump was mostly due to homes staying on the market longer. Price drops have become more common. With buyers having more choices, sellers need to work with their broker to make sure they price their home correctly the first time. After setting a new high of $977,759 in June, the median price of a single-family home dropped to $947,500 in July. While offering some hope that prices may have started to moderate, the median is still 10 percent higher than it was the same time a year ago.

King County

>>>Click image to view full report.

King County saw the biggest increase in inventory in a decade, with the number of homes for sale jumping 48 percent over a year ago. However, at 1.5 months of supply that’s still well below the 4-6 months of inventory that is considered balanced. The median price of a single-family sold in July was $699,000. That represents an increase of 6 percent from a year ago, but is down 4 percent from the record high of $725,000 set in April. Perceptions that the market is cooling needs to be kept in perspective. Homes here took an average of 15 days to sell.

Seattle

>>>Click image to view full report.

Seattle saw inventory shoot up 60 percent over a year ago, bringing the supply to its highest level in over three years. Even with the sharp increase, much more inventory is needed to meet the demand for homes in the city and sellers may well decide to jump into the market. According to a Zillow study, more than 97 percent of homes in Seattle are worth more now than the peak level before the housing market crashed. Median home prices are 29 percent above the bubble peak level with the median price in July landing at $805,000; up 7 percent from last July and down from the record $830,000 reached in May.

Snohomish County

>>>Click image to view full report.

Snohomish County also had double-digit increases in inventory, though not nearly as great as King County. The number of homes for sale in July increased nearly 16 percent over the same time a year ago, but inventory continues to be very tight. The median price of a single-family home rose 9 percent year-to-year to $495,000. That figure is down from the record high of $511,500 set in June. A move towards a more moderated market is encouraging for buyers and an incentive for sellers to list their homes soon.

This post originally appeared on the WindermereEastside.com Blog.

Posted on August 16, 2018 at 5:30 pm
David Hogan | Category: Local Market News

How Windermere Wins with Chinese Buyers

Chinese buyers continue to strongly influence our local market. 

According to a report by Chinese website Juwai, the Seattle/Eastside area is the #3 most popular choice in the U.S. for Chinese buyers behind Los Angeles and New York City.

Windermere specifically targets this lucrative market. 

  • Windermere properties are listed on the Chinese real estate website, Juwai, which has 2.6 million unique views per month from Chinese consumers who are searching purely for western properties.
  • Windermere properties are listed with Luxury Portfolio International, a prestigious real estate site with a fully-translated Mandarin language portal.
  • Windermere will have a prominent presence at the Luxury Property Show in Beijing, an invitation-only event hosting over 6,000 highly-targeted luxury home buyers in China.
  • Windermere targets local Chinese nationals and their families and colleagues through marketing in the Seattle Chinese Times. \

Windermere agents sell more luxury homes to Chinese buyers. 

Source: Sales in 2017 to Chinese buyers of residential homes in King County priced at $3 million or more. Created by Windermere Real Estate/East Inc. using NWMLS data, public records, and information from brokers. Information are estimates. Information was not verified or published by NWMLS.

 

This post originally appeared on the Windermere Eastside blog.

Posted on April 23, 2018 at 11:38 pm
David Hogan | Category: Local Market News

Eastside Market Review – Third Quarter 2017

Our Eastside Market Review is now available for the third quarter of 2017.

You can read the full report online by clicking the image below.

Posted on October 27, 2017 at 4:38 pm
David Hogan | Category: Local Market News

What to Expect for the Rest of 2017

We’re more than halfway through 2017! That means it’s time to reflect on national housing market predictions from the beginning of the year and look ahead to what we can expect for the remainder of the year. As a reminder, in early 2017 experts anticipated price growth would slow, inventory would bottom, and mortgage rates would climb.

According to Forbes, here are five things we can look out for:

1. Continued low inventory. Low inventory has been synonymous with our local market for a while, so this quote from one expert probably hits close to home for many people in the Seattle area: “I think we are OK calling it a straight up inventory crisis at this point.” According to an analysis, the current number of homes for sale is about equal to the housing supply in 1994 even though the U.S. population has grown by 63 million people since then.

2. More demand and higher prices. To follow the last point, since supply cannot fulfill demand, national home prices were up 5.58 percent through May. The current administration’s policies that could boost demand and millennial home buyers mean demand is not expected to dissipate anytime soon.

3. Lack of affordable housing. While the median value of homes in the U.S. is a relatively affordable $200,000, the median home sold for $263,800 in June. These prices are different (i.e. significantly lower) than what we typically see in our local market, but it is also common for us to see homes sell way over list price.

4. Homes will move fast. This is the effect of low inventory and high demand. The good news is there are still homes for sale. The not so good news is they go quickly. Nationally, the share of homes still on the market two months after listing is 47 percent. Again, these numbers are different for our region but the phenomenon of homes being snatched up quickly is the same.

5. Low mortgage rates. Here’s some good news! The average rate of the 30-year fixed mortgage is below the roughly 4 percent rate seen at the start of the year and at the low end of the range of economists’ forecast for the end of the year. We owe this to investor confidence in the U.S. government.

Contact me with questions about how I can help you better understand and navigate our ever-changing housing market!

Posted on August 31, 2017 at 6:22 pm
David Hogan | Category: Local Market News

Tech Hubs Still Hot in National Housing Market

The Seattle area continues to be an outlier in the national housing market. In May the price of single-family homes in the area increased by 13.3 percent year-over-year, more than double the national average. That marked the ninth month in a row in which Seattle experienced the biggest year-over-year increase in home prices. According to Curbed, there is a definite link between our hot housing market and the other defining feature of our region – the tech industry.

Reports about significant price growth in other tech hubs such as Portland, Denver, and of course San Francisco help confirm the correlation. This is because the tech industry has brought people to these cities in massive numbers – in Seattle’s case 1,000+ people per week – and they are all looking for homes in competition with locals.

Finance expert David Blitzer sums it up saying, “A larger population combined with more people working leads to higher home prices.” He goes on to say that even though U.S. home prices continue to climb and are outpacing both inflation and wages, we are not headed towards a bubble.

Suffice it to say, the tech industry is probably here to stay and people will continue flocking to our area for jobs and housing. Your best option for success in our frenzied market is working with a real estate professional. Reach out to me to talk about how I can put my expertise and the power of Windermere to work for you.

Source: Curbed

Posted on August 3, 2017 at 10:18 pm
David Hogan | Category: Local Market News