Seattle Real Estate Trends – Episode 19 – 5/23/2020

I’ll keep it short this week!

 

Houses continue to have strong demand, while condos see a slowing in demand, but an increase in the number of new condos coming on the market:

The offer review date is making a comeback for houses, and that is often an indicator of how hot the market is getting:

It is still unbelievable that a global pandemic hasn’t stopped Seattle real estate,  Y’all stay safe and healthy out there!

 

Watch the video here.

Seattle Real Estate Trends – Episode 18 – 5/15/20

We are seeing the seasonal rise in the number of new listings like we always do this time of year, just on a reduced scale:

Just the Facts:

 

Week over week, no big changes in the numbers of new listings, pending listings, or total number of homes for sale.  But when we compare this to last year, it is EYE OPENING!

 

 

We have 40% fewer new houses come on the market this week when compared with the same time last year.  That doesn’t seem shocking at all considering we are still in the most restrictive phase of the Stay Home Order.  What is surprising is that we only have a 13% decrease in the number of pending listings.  That is a loud indicator that buyer demand right now is strong.  I believe if we had only 20% fewer listings, we may be seeing MORE pendings (for houses) than we did last year, but because supply is short, it is restricting the number of houses that are going pending.

  Condos are not seeing such robust metrics.   The decrease in buyer demand is double the decrease in new listings.  That equates to an even more challenging condo market than we had this same time last year.  It would make sense that as people long for a little more personal and physical space, they would be less attracted to condo buildings considering all the communal spaces one has to navigate in a condo building. 

Watch the Video Here

 

It is certainly not business as usual.  If you want the specifics on how we are doing things during this COVID crisis, check out the blog here.


Seattle Housing Market – May 2020

April was the month where we finally get to see the impact of the COIVD crisis on home values.

 When digesting the data below, keep in mind that it is typically 30 days from the time a property goes under contract to the time it closes.  Our monthly data is based off of closed sales, so it is a lagging indicator.  We can assume that all the closed sales in April were initiated in March (or last week of February or first week of April on the extreme ends).   

We all want to know how prices are impacted by our COVID crisis.  So let’s take a look at the COVID timeline in Seattle:
  • January 21st – First confirmed case
  • February 26th – First death
  • February 29th – Governor Inslee declared a state of emergency
  • March 3rd – Seattle Mayor Durkin declared a civil emergency
  • March 9th – Inslee announced first set of “new “rules”
  • March 12th – All public schools closed
  • March 15th – All sit-down restaurants closed
  • March 23rd – Stay At Home Order issued

  Politics and public health isn’t something that is normally covered in this blog, but it is important to understand the severity of the situation in Seattle during the time that all the transactions I am reporting on today were initiated during the same time ALL of those frightening and terrible things were happening.  

#1 – How much??!?!?

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

Houses and Townhouse = $800,000 median sales price in April.  A $19,000 increase over the previous month!

   Compared to $781,000 in March, and $745,000 back in 2019, and $800,000 in 2018.  We are officially back to peak prices.

Condos = $464,000 median sale price in April

  Compared to $484,00 in March and $475,000 in 2019, and $535,000 in 2018.  Condo prices are not as robust as house prices.

 

#2 – How competitive??!?!?

  The offer review date was really hit or miss this month.   As an agent, it is SO tricky to predict buyer behavior, so confidence in the offer review date was a lot lower in April than it was in March.

April Week 1 = 22 (out of 110 total) houses with offer review dates – 16 of those went pending on the offer review date

April Week 2 = 55 (out of 172 total) houses with offer review dates – 23 of those went pending on the offer review date

April Week 3 = 38 (out of 169 total) houses with offer review dates – 24 of those went pending on the offer review date

April Week 4 = 53 (out of 159 total) houses with offer review dates – (it’s too soon to tell!)

House sold for an average of 102% of the list price, indicating that many homes were still seeing multiple offers.

Condos sold for an average of 100% of the list price, indicating stable buyer demand.

 

#3 – How long??!?!?

   Homes and condos sold faster in April than they did in March.   Homes sold in an average of 13 days (compared with 21 last month and 22 last year), and condos sold in 18 days (compared to 28 days last month and 36 days last year).

 

#4 – Other Fun Metrics

  • Houses have 1.6 months supply of inventory.
  • Condos have 3.1 months supply of inventory.
  • The total number of available houses for sale was 786, a 16% increase from last month, but a 40% decrease from 2019.
  • The total number of available condos for sale was 437, a 12% increase from last month, but a 30% decrease from 2019.

Watch the Video Here

Access the video transcript here.

Interested in the historic info?

Check out last month here

Check out 2019 here

Check out 2018 here

Go WAY back to 2017 here

Even FURTHER back to 2016


Seattle Real Estate Trends – Episode 17 – 5/1/20

Week 6 of the Stay Home Order…

   And the beat goes on.

Fun fact of the week:

98% of home buying and home selling can do done from the safety and comfort of your couch.  While you are wearing your PJ’s.  Only 2% of it requires you to be out in the world.

The total number of condos and homes for sale continues to tick up ever so gently.   This is the time of year when we usually see a sharp increase in total number of properties for sale.   The real estate market has settled into a nice “new” pattern.   We are seeing a lot less activity than we did last year (about half as much).   

Just the Facts:

We had a bit of role reversal this week.  House pending numbers are down, while condo pending numbers are up.   Hopefully the house numbers rebound back up next week, and the condo pending numbers stay strong.

 

From the field:

  Real estate looks a bit different than it used to.  We are doing as much as possible online, but a few things still require some in-person meetings.  This is a what it looks like now to sign closing documents.   We used to meet in a stuffy escrow office conference room.   Now we meet in an outdoor setting, wear masks, and stay 6+ feet apart.  It feels a little strange, but it’s impressive how quickly we have made adjustments to keep the wheel of real estate moving.

   The offer review date is still almost non-existent in the condo market, but is making a comeback for houses.  There are still homes getting multiple offers.  Half of me feels like it is crazy that the real estate market is still chugging along, and the other half of me is surprised it has slowed down as much as it has.   Nothing normal or predictable going on at all right now.

Watch the video here.

Access the transcript here.

 


Seattle Real Estate Trends – Episode 16 – 4/24/20

Week 5 of the Stay Home Order…

Before I start rambling about real estate data, I want to talk about something else.

We are in a health crisis.  A job crisis.  A world that none of us anticipated or have seen before.

I acknowledge that this is a weird time to talk about anything “business as usual”.

For me, when life gets scary or tough, I always turn to data.

These weekly reports are helping me stay sane.

So if you feel like getting nerdy, come on in.

If you feel like baking banana bread, napping or spending hours on TikTok, please go do that!

You do you, Boo.  And I’ll do me.  And we will come back together when the time is right.

 

Still with me??? 

Then lets Taco-Bout it!

Let’s chat about houses, and compare this week to the same week last year.  We 64% of the number of homes for sale that we had last year.  That is REMARKABLE!  In a state-wide shut down, we are only seeing 1/3 reduction in the number of people putting their homes up for sale.   Even more interesting is that the buyers are still out there!  The number of pendings is 76% of what it was last year.  Demand is still strong right now.  If we had more homes available for sale, we would likely see even more pendings, since the current pool of buyers does not have a large selection of homes to choose from.

Condos are similar, but not quite as robust.  The number of new listings is 63% of what it was last year, and the number of pending listings is 41% of what it was last year.   Demand for condos is not as strong as it is for single family houses.

More canceled houses this week, but less canceled condos.  A few properties went temporarily off the market, but that is about the same numbers we would see in a non-COVID week.  Our total number of houses and condos that are available for sale continues to creep up, but we are still FAR below the total number available last year.   We are also seeing a trailing off of the offer review date.  Last week, 55 homes had offer review dates, and only 23 of those houses went pending on the offer review date.  This week, only 38 sellers opted to have an offer review date.

From the Field:

  This week has been discussions with clients that want to sell their house and buy a different one.  It is NOT business as usual, so we are coming up with creative ways to get a home sold.  It’s been tough for years to try to be a move-up buyer, since the market has been so competitive that it is almost impossible to get an offer on a new house accepted if it is contingent upon the sale of your current house.  And now homeowners have valid concerns about living in the house while strangers are coming through it.  There are always options, and the beautiful part of being a small brokerage is that we can pivot on a dime and do what needs to be done to help all the “kids” meet their housing goals, no matter how complex they are or how unorthodox our methods are.

Watch the Video Here

Access the transcript here