Late Summer Gains For Seattle Area Housing Market

neighborhoodThe S&P/Case-Shiller Index numbers for August were released yesterday, and after a July where we saw average home prices decrease by 0.1 percent in the Seattle Metro Area (King, Pierce, and Snohomish counties), prices bounced back and increased by 0.7 percent in August. On a yearly basis, prices in the area grew by 7.6 percent, coming in at number five on the list of cities with the highest yearly gains among the top 20 metro areas in the index.

Though prices in the Seattle are are still four percent below their peak, overall prices are showing steady growth and much of it is coming from a surprising sector of the housing market: condos. Zillow’s Chief Economist Dr. Svenja Gudell said in a statement that in the national market “…a good portion of the overall home price growth we’re seeing, especially in cities, has been driven by strong growth in condominium values, which are currently appreciating more quickly than single-family homes.” He cited condos’ popularity with younger buyers, many of whom live more urban lifestyles, are looking for more affordable housing options than single-family homes. This appears to be true in the Seattle market, as according to statistics from the Northwest Multiple Listing Service, median condo prices in King County were up 19 percent this August over August 2014. The median price for a condo in Seattle was up 32 percent over the same time period to $248,500.

Overall, it appears that the U.S. market is leveling out. Zillow’s Gudell says that “Annual U.S. home value appreciation has stabilized and settled into a nice groove over the past few months, and this relative stability should continue into the foreseeable future.”

If you’re interested in speaking with a real estate expert about Seattle’s market, contact your local agent today.

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!