The spring market has arrived
During the past few months, the market became congested with stale, over-priced inventory—a result of sellers whose expectations were still adjusting to the shift that began last spring. But the market is bouncing back as we head into the second quarter.
In February I talked about pending sales as an early indicator of demand, and the numbers didn't lie. We’re now seeing multiple-offer situations again in established neighborhoods around Seattle, an indicator straight from the front lines that the market is shifting in sellers' favor.
The data from last month was mixed. The number of homes for sale increased for the first time since September and pending sales dropped (in part, a result of Snowmaggedon). Meanwhile, the number of days a home was on the market dropped by 50% month-over-month from 30 to just 15 days, and the median home price increased to $712,500, the first increase in five months (still down 6% versus the same period last year).
This spring won't be anything like the last couple of years, but sellers, take note: the 2nd quarter of this year will see bidding wars and shorter market times than we've seen in over a year. The ideal time to list your home is upon us (March - June). If your neighbor sold for $750k in February, you’ll get more in May for a similar house.
It's not all bad for buyers either. Interest rates are down and aren't expected to increase much this year, as the Federal Reserve announced last week. Expect low rates and a stable housing market in Seattle and the Eastside through the rest of 2019.
On the blog: Trading Up
Americans have more equity in their homes than ever. But using that equity toward a down payment on your next home isn’t as simple as you would hope, and can involve significant risk.
My aim in this post is to help you learn how to protect yourself by using a home sale contingency (aka “contingent offer”) to buy your next home or to consider other options that might make sense for you if you’re looking to move. Read more...
Thanks for reading, and don't be a stranger! :)
Best,
Chad