Just two months ago Seattle had an absorption rate of one month, meaning that if no more listings hit the market in the Seattle area, all the properties would be sold within about a month. A balanced market is about a six-month absorption rate, but now, pending home sales in the Puget Sound area covering four distinct counties including Snohomish, King, Kitsap and Pierce County, are at near record highs. This means that more homeowners are listing their property and the price increases for many single-family homes started to slow down however, prices are still climbing in general and it still is a sellers paradise, especially in the condo market.
The median sales price of a home in King County was up nearly 13% compared to April 2015. This is quite a drop compared to March, which was nearly 20% from March 2015. Across the Puget Sound region, including the major 4 counties, the number of new listings for homes and condominiums was up nearly 4% over April 2015. In March, that number was less than 1%. [Source]
Although inventory remains below the general demand, this last April was actually the third strongest in the last 16 years. Sales were only higher in 2005 and 2015. However, the condominium market remains turbulent to say the least. In King County alone inventory fell nearly 27% with the median sales price for a condominium up 19%. In the central downtown area of Seattle condo prices jumped 37% over last year. Surprisingly, condominiums in other counties soared as well such as in Kitsap County, where condo prices rose nearly 62% however, this number is based on a generally low number of sales overall. Pierce County increased 13% and Snohomish County went up 3.6% for all condominium sales compared to last year at this time.
Real estate agents know that low inventory and low interest rates are putting pressure on high prices. Many brokers feel that last month’s increase in new listings is a great start to a more balanced market.
If you are a homeowner considering selling, now is a great time to get a high price and fast sale. To find out what your King County or Seattle home is worth contact Mary Pong now.