Seattle Real Estate Trends – 11/8/19

The Seattle Real Estate Market if Finally Behaving!

If the real estate market was a dog, this week it would be the Golden Retriever at the dog park that is friendly with everyone.

This week in Seattle Real Estate:

Seattle Houses: 

We continue to see the seasonal slowdown in the number of new houses and townhouses that are coming to the market.  The more surprising thing is that we saw 99 houses go pending this week.  That is more than last week or last year.  When we combine fewer new listings with increasing number of pending listings, we see an unusual pick-up in the tempo of the real estate market.  It is likely just a fluke, much like running into the worlds friendliest golden retriever at the dog park.  If we continue to see declining number of new listings and an increase in pending listings, it could be signs we are heading back into a more competitive market.

 

Seattle Condos:

  The Seattle condo market behaved a lot like the Seattle house market this week.  We saw a DRASTIC decline in the number of new listings, and a substantial increase in the number of pending listings.

 

  This is the 6th consecutive week that the total number of condos for sale in Seattle has gone down.  The Seattle condo market has been soft for about a year, it is good news that we see fewer and fewer total condos for sale each week.  We currently don’t have a big enough buyer pool to purchase (or absorb) the current number of condos for sale.  And since buyer demands historically continues to decline through the end of the year, a decreasing number of total properties for sale will help keep the market stable. 

Other fun metrics:
  • 34 condos canceled their listing (compared to 19 last week).
  • 21 condos had their listings expire (compared to 10 last week).
  • 44 officially sold last week (compared to 57 last week).

Watch the Video Here

 

Get the video transcript here.


Seattle Housing Market – October 2019

Rarely do we get to say this, but last month was a nice and mellow month for the Seattle real estate market.   Let’s break down the real estate data into the 4 important categories. 

#1 – How much??!?!?

  What we care most about is the house prices in Seattle.  Let’s take a look at the median sales price in Seattle:

What a pleasant surprise that both houses and condos saw modest price increases in October (when compared with September).  While house prices in Seattle were up 0.5% year-over-year, condo prices in Seattle fell 8% when compared to October 2018.   While we celebrate small price increases month-over-month, we are still feeling the pain of tiny price growth for Seattle single family houses, and the hefty price decline for Seattle condos.

#2 – How Long??!?!?

The Seattle real estate market moved much quicker in October!

Condos in Seattle were on the market for 39 days, on average, before getting an accepted offer.  That’s 10 full days faster than September, but 10 days longer than October 2018.  Seattle houses moved a lot quicker.  Just 27 days, on average, before houses got an accepted offer.  Last month that number was 32, and last year it was just 21 days.

  The market picked up the pace a little bit in October.   We are still moving at a slower, and more reasonable, pace than we did last year, but not as slow as the “dark days” of January and February, where houses were on the market for 40 days before getting an accepted offer.

#3 – How Close To List Price??!?!?

List price (or almost) for all property types this month.

Houses in Seattle are selling for an average of 100% of list price.  This metric could be a bit distorted, since we are seeing a lot of price drop (as usually happens with longer days on market), and if a property drops the price, then sells for that new (lower) price, it is recorded as selling for at list price.

It is so nice to see Seattle condo prices holding at 99% of list price.  The Seattle condo market has been soft for 16 months, and having a near list-price average sales price indicates that the market is steady, even if the Seattle condo market is far less robust than in 2016, 2017 and the first quarter of 2018.

#4 – How Competitive??!?!?

   Real estate markets are typically categorized as either a buyers market, a sellers market, or a neutral market.  Months of supply is the main way that we can statistically judge if it is a buyers, sellers or neutral market.  

Traditional Wisdom Says:

  • 0-4 months of supply create a sellers market
  • 4-6 months of supply create a neutral market
  • 6+ months of supply create a buyers market

Houses are currently at 1.8 months of supply.  That is a noticeable dip from the 2.3 months of both last month and last year.  We do have a much different real estate environment in Seattle than we had in years past, so it may not feel like as much of a sellers market as it used to, but it is still clearly a sellers market for houses and townhouses in Seattle.

  Condos are much different story.  There is currently 3.5 months of supply.  That is still technically a sellers market, but just barely.  Last month and last year we had 3.7 months supply.  Anyone that is trying to sell a condo in Seattle right now can tell you that it certainly does NOT feel like a sellers market.

In Conclusion:

  Seattle real estate news only tells a part of the story.   There are still neighborhoods and property types that are in high demand, and almost all property types are still selling quickly when priced appropriately.  In October, 706 houses sold.  That is a lot more than the 603 of September and the 626 of October 2018.  So people are still buying homes, we just aren’t seeing the frenzy and corresponding rapid price increases of years past.

Watch the Video HERE

Seattle Real Estate Trends – 11/1/19

Seattle real estate can change as fast as our weather. 

 Some metrics are best only summarized and analyzed monthly, such as house prices in Seattle and if homes in Seattle are taking longer to sell.  Some metrics can be reviewed weekly, such as the number of homes in Seattle that sold and and how many new condos are coming on the market each week.   So in the spirit of keeping things fun, fresh AND informative, we are overhauling the weekly update.

   RIP Weekly Inventory Update.   We are moving to a little less hard data and a little more overview of the health of the Seattle Real Estate market.  Enjoy the first week of the new and improved Seattle Real Estate Trends.

Watch the Video Here

This week in Seattle Real Estate:

Seattle Houses: 

This category includes single family houses (the freestanding type with their own yards) as well as townhouses (the type with shared walls and driveways, and often with little or no yards).  The Seattle housing market is always a bit less volatile than the Seattle condo market, and often has higher highs than condos and fewer lows.

Over the last 7 days, we continue the trend of fewer sellers putting their homes on the market.  This is the time of year that historically less and less home owners choose to sell their homes.  This Seattle real estate market trend should continue through the end of the year.   

   One thing that did surprise me was that we had 106 homes go pending during the week.  That is 10 more homes than last week, and 23 more houses than last year.  Increasing pending numbers is a sign of buyer demand.  Increasing pending numbers can be early signs that we are in an increasingly competitive market.

Other fun metrics:
  • 33 houses canceled their listing (compared to 13 last week).
  • 46 houses had their listings expire (compared to 34 last week).
  • 191 officially sold last week (compared to 181 last week).

Seattle Condos:

  Condos are defined as units within a controlled community.  Most of these are in the classic apartment style buildings, but some homes in planned communities are also considered condos because they have overarching community rules and pay monthly HOA dues.

  The number of condos coming on the market this week was almost the same as last week, and only 7 fewer than this same time last year.  While that is good news, since we seem to have a bit of a glut of condos for sale, we didn’t see very many condos go pending this week.  Only 21 buyers came out this week and put in an accepted offer on a condo.   Last week 29 buyers got into contract on a condo, and last year 24 lucky condos found buyers.   Until we see a sharp decline in the number of new condos coming up for sale or a large influx of people wanting to buy condos, we will continue to see a soft Seattle condo market.

Other fun metrics:
  • 23 condos canceled their listing (compared to 19 last week).
  • 28 condos had their listings expire (compared to 10 last week).
  • 57 officially sold last week (compared to 57 last week).

Access the video transcript here.


Weekly Seattle Real Estate Inventory Update – 10/25/19

We see fewer total houses and condos for sale for the third consecutive week in Seattle.  Our pending numbers are up when compared to 2018, and we are seeing fewer new listings coming on the market this week.

Watch the Video Here

We are still seeing a good percentage of the available properties for sale linger on the market.  Of all the condos currently for sale, 45% of them have been on the market for over 60 days, and 37% of the houses and townhouses for sale also have market times exceeding 60 days.    About half of the new houses that hit the market are quickly scooped up by active buyers, while the other half are sitting on the market, seeing longer days to sell than we have seen in over 5 years.

Download the transcript here.

Weekly Seattle Real Estate Inventory Update – 10/18/19

Today is a good day!  Today is the day I realized how much better, healthier and balanced our Seattle real estate market is when compared with this same time last year.

Watch the Video Here

Fewer houses and condos overall this month, and the shrinking number of properties for sale is typical of this time of year, and another sign that the market is holding a healthy balance.  The main difference between now and this same time last year (read that blog here), is that we have a much older inventory than we did last year.  The Crusty Rusty has a strong hold on our current market, and 2018 had a much higher percentage of new listings.

 

Download the transcript here.