Seattle Area Market: Prices Are Rising, People Are Buying

812 W GalerS&P/Case-Shiller released its Home Price Index for April today, and the numbers paint a familiar picture of the Seattle-area housing market: prices are rising, and people are buying. The average price for a single-family home in the area comprising King, Snohomish, and Pierce counties rose 0.9 percent in April from March, and was up 7.5 percent over the year. Despite the rise in prices, homes are selling in an average of 8 days in Seattle, and the number of completed sales in the three-county region was up a staggering 38 percent from last April. According to Zillow, the median single-family home in the area will now cost you $366,100.

Compared to the blistering pace of price gains at this time last year, when prices were up 11.2 percent on a yearly basis, gains seem to be moderating. In reference to the housing market as a whole, Zillow Chief Economist Stan Humphries said in a statement that “Normal home value growth is usually between 3 percent and 5 percent annually, well below growth rates of just a year ago, so the current pace is far more sustainable.” While the Seattle area’s growth has not fallen into that threshold yet, we’re not seeing the sustained growth of last year, when prices in the area grew by double digits on a yearly basis for 14 consecutive months. San Francisco and Denver are leading the nation in appreciation, with home prices having risen by 10 percent and 10.3 percent respectively.

It is still a great time to sell in the Seattle area, so if you are interested in listing your home, contact your local real estate agent today!

Seattle-Area Home Prices Fell Slightly In September

Cap Hill housingAverage single-family home prices in the Seattle area (King, Snohomish, and Pierce counties) remain up from a year ago, having grown 6 percent from September 2013, but have now fallen on a month-to-month basis for the seventh straight month, according to data released today from the S&P/Case-Shiller Seattle Home Price Index. Average prices dropped by 0.2 percent from August to September, whereas they saw no change from July to August.

Since the market’s peak in 2007, we’ve seen the highest highs followed by the lowest lows after the housing bubble burst, but now the market appears to be stabilizing. In an article in The Seattle Times, Zillow Chief Economist Stan Humphries was quoted saying, “The days of double-digit home value appreciation continue to rapidly fade away as more inventory comes on line, and the market is becoming more balanced between buyers and sellers.”

Nationally, both the 10- and 20-city indices saw no change in average prices from August to September, and the U.S. market as a whole saw only a slight increase of 0.1 percent. S&P Dow Jones Committee Chair David Blitzer also predicts stability for the market in the coming year, telling The Times, “With the economy looking better than a year ago, the housing outlook for 2015 is stable to slightly better.”

If you are interested in buying or selling a home in the Seattle area, contact your local real estate agent today.