Seattle Market Update
The inventory of homes for sale this year compared to last year has increased for the last four months, all while sales of existing homes have slowed compared to last year’s numbers. For over three years leading up to this point, the exact opposite was true; Inventory dropped as sales soared. Rising interest rates coupled with high home prices and increased inventory have cooled the market. Rent growth has also slowed or reversed.
Good news for home buyers: inventory is up, so there’s more selection and prices have stopped going up. Bad news, Seattle is still an expensive market to buy into. Due to rising interest rates, someone who bought a $700,000 house a year ago is paying the same monthly mortgage bill as someone who pays $640,000 for a house today.
Home sellers have more competition today. Price drops are common now and so are seller concessions and seller paid repairs. Five years ago, the median price in Seattle was $461,000; this spring, the median price peaked at $830,000; and now the median price is down to $775,000. Appreciation has been fantastic over the last few years despite the recent dip. Emotionally, this price correction might be hard to take for some sellers but looking at the gains overall might help keep some perspective.
Sales are taking longer as a lot of buyers are playing a bit of the wait-and-see game. Waiting might not be a good idea, if you want to buy, as rising interest rates will make buying more expensive in the very near future.
For renters, it is getting easier to find an apartment to rent. Rents are still going up slightly in most neighborhoods but in some neighborhoods (i.e. downtown, South Lake Union) rents are going down. You can read more about the rental market here.
Did you know?
Do you know how hot the water should be in your hot water tank? Above 120F and below 130F.
At a temperature above 130 degrees there will be an increased amount of sediment build-up within the tank as well as wasted energy. There is also the health risk of scalding. Below 120 degrees there is a risk of contracting legionnaires disease. According to the Mayo Clinic, the risk of colonization of Legionnaire bacteria is significant in hot water tanks where the temperature is between 104 and 122 degrees.
25812 115th Ave SE #B104, Kent, WA 98030: 2bd/1.5bth Townhouse – SOLD.
Congratulations to our clients Laura and AJ on their new home in North Seattle.
We’d love to hear from you
Any questions, comments, or feedback? Contact us any time.
Brooks & Heinze Team
at Skyline Properties, Inc.
Kerstin Brooks: 206.276.5827
Krisanne Heinze: 206.920.2541