Market Watch – December 2016

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Watch the full market recap video here.

A look at Single Family Homes:
  • Average sales price = $600,399 (up 2% from last month and 8% from last year)
  • Average Days on Market = 21 (up from 18)
  • Homes sold for 101% of list price (down from 102% last month)
  • 542 homes sold in Seattle in October (up 5% from last year)

Wow.  Average sold price back above $600,000.  That has only ever happened once and it was back in June 2016.  Despite that shocking number, we saw just modest price growth, both month over month (2%) and year over year (8%).  That price growth is still above the historical average, but we are continuing to see a modest slowdown in both price growth, average sold price to list price, and longer days on market.  These are all trends of a gradual return back to a more balanced market.

A look at condos:
  • Average sales price = $437,490 (up 7% from November and up 17% from 2015)
  • Average Days on Market = 30 (8 days longer than last month)
  • Condos sold for 101% of list price (same as last month)
  • 185 condos sold in Seattle in October (same as last year).

Condos continue the rapid price increases.   The skyrocketing of prices that was dominated by single family homes in 2015 and early 2016 is now shifted to the condo market.   We are seeing about the same pace of number of condos sold, and the average days on market changes significantly each month.   December was the first month since August 2015 that the average sold price was over $430,000.

In summary:

It is still a sellers market.  Prices are still climbing.  Some of our data points (average list price to sale price ratio and number of homes sold) seem to point to a market that is certainly not cooling, but at least easing its way back to a more balanced market.  Other data points (average sales price and days on market), tell a different story and indicate that the market frenzy has barely slowed.   My prediction for January 2017 is more of the same.  More buyers than available homes, slight price increases again and condos seeing a more robust market than single family homes.





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