“The summer market is turning out to be one of the hottest on record,” said Lennox Scott, chairman and CEO of John L. Scott Real Estate. “Temperatures are rising across the Puget Sound and the housing market is keeping pace. We’re seeing an increase in inventory in the mid and upper price ranges and that is creating great selection and breathing room for some of the backlog of buyers, but it continues to be a seller’s market. Homes selling quickly, and with multiple offers, in areas near job centers are still the norm.”
On a monthly basis, this time of year, there are usually more listings coming on the market than pending sales but this year, sales are keeping pace with new listings. For sellers, the market remains at a frenzy level of new listings selling in the first 30 days, although slightly less intense for each property. Sales activity remains at a frenzy pace in the more affordable and mid price ranges in each of the four-county areas of King, Snohomish, Pierce and Kitsap counties. In King County, new listings were down compared to last year but 78 percent of listings sell in the first 30 days.
It remains a seller’s market and homes are selling quickly in Bothell and Kenmore. There were 273 new listings in July, but 222 homes were placed under contract. Demand is severely cutting into the inventory of condos and residential homes on the market. The adage “if you list it, it will sell” is alive and well.
Overall inventory was up 38.3 percent compared to last month but down 13.8 percent from July 2016. Homes placed under contract were down 5.1 percent compared to last month and down 7.9 percent from last year. The average days on the market is a nine days. The median home price is now $593,000, up $113,000 from the $450,000 median in July 2016.
Kelly Nutt, office leader of John L. Scott Bothell, said he is definitely seeing more inventory hitting the market.
“In Bothell and Kenmore we saw an increase of just over 17 percent more new listings from the previous month,” he said. “At the same time the pace for homes selling has increased from last month by almost 28 percent. We are also seeing more listing opportunities compared to earlier this year, as it feels sellers now have more options of what is available to buy.”
Nutt said it continues to be a very strong seller’s market, as indicated by the 0.09 days of inventory.
In the Seattle Metro area, 33 percent of pending home sales last month were more than $1 million. On the Eastside it’s even greater, 39 percent. With those statistics, it’s difficult not to draw the comparison between the local market and San Francisco. Fortunately, like San Francisco, the market remains strong, with solid job growth, low unemployment and good interest rates leading the way.