Western Washington Real Estate Market Update

 

The following analysis of the Western Washington real estate market is provided by Windermere Real Estate Chief Economist, Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere agent.

 

A MESSAGE FROM MATTHEW GARDNER

Needless to say, any discussion about the U.S. economy, state economy, or housing markets in the first quarter of this year is almost meaningless given events surrounding the COVID-19 virus.

Although you will see below data regarding housing activity in the region, many markets came close to halting transactions in March and many remain in some level of paralysis. As such, drawing conclusions from the data is almost a futile effort. I would say, though, it is my belief that the national and state housing markets were in good shape before the virus hit and will be in good shape again, once we come out on the other side. In a similar fashion, I anticipate the national and regional economies will start to thaw, and that many of the jobs lost will return with relative speed. Of course, all of these statements are wholly dependent on the country seeing a peak in new infections in the relatively near future. I stand by my contention that the housing market will survive the current economic crisis and it is likely we will resume a more normalized pattern of home sales in the second half of the year.

 

HOME SALES

  • There were 13,378 home sales during the first quarter of 2020, a drop of only 0.2% from the same period in 2019, but 27% lower than in the final quarter of 2019.
  • The number of homes for sale was 32% lower than a year ago and was also 32% lower than in the fourth quarter of 2019.
  • When compared to the first quarter of 2019 sales rose in eight counties and dropped in seven. The greatest growth was in Cowlitz and Lewis counties. The largest declines were in Island and Snohomish counties.
  • Pending sales — a good gauge of future closings — rose 0.7% compared to the final quarter of 2019. We can be assured that closed sales in the second quarter of this year will be lower due to COVID-19.

 

 

 

HOME PRICES

  • Home-price growth in Western Washington rose compared to a year ago, with average prices up 8.7%. The average sale price in Western Washington was $524,392, and prices were 0.4% higher than in the fourth quarter of 2019.
  • Home prices were higher in every county except San Juan, which is prone to significant swings in average sale prices because of its size.
  • When compared to the same period a year ago, price growth was strongest in Clallam County, where home prices were up 21.7%. Double-digit price increases were also seen in Kitsap, Skagit, Mason, Thurston, and Snohomish counties.
  • Affordability issues remain and, even given the current uncertain environment, I believe it is highly unlikely we will see any form of downward price pressures once the region reopens.

 

 

 

 

 

 

DAYS ON MARKET

  • The average number of days it took to sell a home in the first quarter of this year dropped seven days compared to the first quarter of 2019.
  • Pierce County was the tightest market in Western Washington, with homes taking an average of only 29 days to sell. All but two counties — San Juan and Clallam — saw the length of time it took to sell a home drop compared to the same period a year ago.
  • Across the entire region, it took an average of 54 days to sell a home in the first quarter of the year — up 8 days compared to the fourth quarter of 2019.
  • Market time remains below the long-term average across the region. This is likely to change, albeit temporarily, in the second quarter due to COVID-19.

 

 

CONCLUSIONS

This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

Given the current economic environment, I have decided to freeze the needle in place until we see a restart in the economy. Once we have resumed “normal” economic activity, there will be a period of adjustment with regard to housing. Therefore, it is appropriate to wait until later in the year to offer my opinions about any quantitative impact the pandemic will have on the housing market.

 

 

ABOUT MATTHEW GARDNER

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

Original post appeared at www.windermere.com.

Posted on April 17, 2020 at 6:17 pm
Oleg Doukhnevitch | Category: Market Stats, Real Estate News, Real Estate Tips, windermere, Windermere Bellevue Commons News | Tagged , , , , ,

Local Market Update April 2020

Windermere is focused on keeping our clients and our community safe and connected. We’re all in this together. Since the early days of COVID-19, our philosophy has been “Go slow and do no harm.” While real estate has been deemed an “essential” business, we have adopted guidelines that prioritize everyone’s safety and wellness.

Like everything else in our world, real estate is not business as usual. While market statistics certainly aren’t our focus at this time, we’ve opted to include our usual monthly report for those who may be interested. A few key points:

  • The monthly statistics are based on closed sales. Since closing generally takes 30 days, the statistics for March are mostly reflective of contracts signed in February, a time period largely untouched by COVID-19. The market is different today.
  • We expect that inventory and sales will decline in April and May as a result of the governor’s Stay Home order.
  • Despite the effects of COVID-19, the market in March was hot through mid-month. It remains to be seen if that indicates the strong market will return once the Stay Home order is lifted, or if economic changes will soften demand.

Every Monday Windermere Chief Economist Matthew Gardner provides an update regarding the impact of COVID-19 on the US economy and housing market. You can get Matthew’s latest update here.

Stay healthy and be safe. We’ll get through this together.

EASTSIDE

VIEW FULL EASTSIDE REPORT

KING COUNTY

VIEW FULL KING COUNTY REPORT

SEATTLE

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SNOHOMISH COUNTY

VIEW FULL SNOHOMISH COUNTY REPORT


This post originally appeared on GetTheWReport.com

Posted on April 13, 2020 at 5:13 pm
Oleg Doukhnevitch | Category: Market Stats, Real Estate News, Windermere Bellevue Commons News | Tagged , , , , ,

March 2020 “What’s happening in the Market”

Even during these times of uncertainty, one thing is for sure. People need housing and available housing is very limited right now. The core principle of Supply and Demand are at work as we see a decline in listed properties during the Stay Home, Stay Healthy order, and Multiple offers are still the trend. Prices for the month of March have risen slightly in most area’s while Days on Market continue to fall below last years timeframes. Nothing has changed that well positioned homes (Price & Condition) are highly sought after & gets the highest price!!

Posted on April 8, 2020 at 4:26 pm
Oleg Doukhnevitch | Category: windermere, Windermere Bellevue Commons News | Tagged , ,

Supporting Local Businesses during the Covid-19 Outbreak

Many small businesses have been impacted by COVID-19 due to mandated closures and customers staying at home. We can help them by doing things like:

  • Order take-out from restaurants that offer it, and pick up directly if possible rather than 3 rd-party delivery to avoid fees charged back to the restaurant.
  • Buy gift cards from service providers like hair salons (gift them or use them later).
  • Buy locally whenever possible, and look for online stores from local providers.
  • If you can afford to continue paying service providers who can’t work but depend on your income, do.
  • Check into online services and classes offered by local fitness studios, tutors, financial planners and more.
  • Tip delivery people generously if you can. They’re on the front lines of exposure. (And of course if you feel sick, avoid direct contact with them.)

First posted at windermere-bellevue.com

Posted on March 27, 2020 at 4:49 pm
Oleg Doukhnevitch | Category: windermere | Tagged , , ,

What’s Happening in the Market? March 2020 stats

As expected we have seen a dramatic increase in Sold prices for February 2020 numbers over the same time last year.  This is primarily due to the 4th Quarter correction in 2018 of homes that closed in February 2019.   Market times are falling and Multiple offers are heating up as February 2020 saw more than a 1/3 of the homes sell for over asking price by an average of 5%.  Inventory has now dipped to 0.8 Months and even though some Buyers & Sellers have put their Real Estate decisions on hold due to current uncertainties (Virus/Stock Market/Economy) we are still seeing strong activity. This might well be the case for some time to come as interest rates are at an all-time low (3.47%), prices continue to rise and jobs keep flowing into area at a steady pace

Posted on March 11, 2020 at 4:19 pm
Oleg Doukhnevitch | Category: Home Buying, Market Stats, Real Estate News, Real Estate Tips, seattle, Windermere Bellevue Commons News | Tagged , , , , ,

January 2020 What’s Happening in the Market Stats

 

As expected, the market has drastically picked up due to extremely low inventory and heighted Buyer activity that had been holding off purchasing during the holidays.  Since these stats are not a rolling 12 month average they are going to appear skewed due to the small sample size, but they do show year over year with many areas growing significantly from January 2019.  Pretty much every market has been on fire with Multiple offers on just about everything available for sale.  The Days on Market (DOM) have dramatically gone up, but that is primarily due to homes selling that had been on the market for a while that Sold over the holidays.  We expect to see the DOM fall significantly over the next couple months as most new listings are now selling in under 14 days & in many cases less than a week.   (Pro Tip- Buyers be prepared to put your best foot forward & Sellers to make sure their home is parade ready to get the highest dollar!)

 

Posted on February 12, 2020 at 8:41 pm
Oleg Doukhnevitch | Category: Home Buying, Market Stats, Real Estate News, Real Estate Tips, Windermere Bellevue Commons News | Tagged , , , , ,

What’s Happening in the Market?

Buying/Borrowing Power is now up 12% due to extremely low interest rates (Roughly 3.70%) compared to this time last year while prices are continuing to climb and have reached 2018 prices in most areas. November pendings were up 20% over last November effectively reducing available properties towards all-time lows where we are currently standing at 1.2 months of inventory. There doesn’t seem to be any relief in the near future with a flood of new tech jobs entering the marketplace, but Buyers are still being very selective about purchasing properties that are in turn key condition.

First posted at windermere-bellevue.com

Posted on December 11, 2019 at 5:50 pm
Oleg Doukhnevitch | Category: Real Estate News | Tagged , , , ,

2020 Housing Forecast and Market Predictions

It’s that time of year when Windermere’s Chief Economist, Matthew Gardner, dusts off his crystal ball and peers into the future to give us his predictions for the 2020 economy and housing market.
First posted on windermere-bellevue.com
Posted on December 4, 2019 at 9:01 pm
Oleg Doukhnevitch | Category: Market Stats, Real Estate News, Windermere Bellevue Commons News | Tagged , , , ,

Community Service Day 2018 – Windermere Bellevue Commons

Windermere Community Service Day – June 8th, 2018

Every year since 1984, Windermere managers, brokers and staff have dedicated a day of work to complete neighborhood improvement projects as part of Windermere’s Community Service Day. Creating vibrant communities is one of the things that inspire all of us at Windermere as it gives us an opportunity to give back to the communities where we live and work.  After all, real estate is rooted in our communities. And an investment in our neighborhoods gives us all a better place to call home.

This year Windermere Community Service Day is on June 8th, 2018. On this day, our brokers and staff at Bellevue Commons will be doing a variety of projects at Little Bit Therapeutic Riding Center; we’ve been volunteering at this great organization for the past 18 years. We will be cleaning, gardening and painting to help out this awesome group of people.

Last year we helped Little Bit get ready for their auction, whacked the weeds, and washed windows, and planted new plants. The brokers also washed the horses’ paddock fencing and arena fencing.

 

 

Volunteering at Little Bit – June 2017

Little Bit Therapeutic Riding Center improves the bodies, minds, and spirits of children and adults with disabilities through equine-assisted therapies and activities, and to be an inspiration and educational resource to the therapeutic riding profession, both regionally and nationally.

Watch this video to learn more about Little Bit.

First posted on windermere-bellevue.com.
Posted on June 20, 2018 at 7:00 pm
Oleg Doukhnevitch | Category: Community Support, Donate, Events | Tagged , , , , , , , , , ,