Though it may not appear so, considering the seemingly sky-high prices for homes in the Seattle area, the growth in average price for existing single-family homes in King, Snohomish, and Pierce counties seems to have leveled out in late spring. The average price grew by just 1.4 percent from April to May, compared to a 2.3 percent increase from March to April, according to the S&P/Case Shiller 20-City Index released today.
Though price growth is slowing in the short term, average prices in May for single-family homes in the Seattle area were still up 9.3 percent from May 2013, and in many Seattle-area neighborhoods, median prices are nearing their pre-crash highs. In King County as a whole, the median price was $430,000 for the first six months of this year, just 5 percent below the 2007 peak. According to this article in The Seattle Times, the Seattle market is 13 percent below its 2007 peak.
In the same article, Stan Humphries, chief economist at Zillow, says that all of these numbers point to a normalizing housing market, but that there is a wide variation among markets and submarkets, such as lower-priced homes appreciating at a higher rate than more expensive homes.
If you are interested in buying or selling a home in the Seattle area, contact your local real estate agent today.