Ten years after the market bottomed out during the Great Financial Crisis, the housing boom has ended.
3423 California Ave SW Unit #D
9749 Woodlawn Ave N
6015 48th Ave SW
10829 Marine View Dr SW
111 N 76th St
251 Wells Ave N
This cute, affordable Craftsman home is the one you've been waiting for. Classic architecture, tall ceilings, beautiful hardwoods, and original millwork are complemented by modern updates including bathroom remodels, double-pane windows, central A/C, ceiling fans, tankless hot water, Nest thermostat, and more.
6047 44th Ave SW
2709 46th Ave SW
Supply of homes for sale at a record low 📉
The supply of homes for sale is lower than any time on record, suggesting 2022 will be another hot year for real estate values. The problem is an imbalance between supply and demand that has no quick fix.
Your Real Estate Stories (2021)
Each year, Bryan and I reflect on the stories we watched unfold in the lives of our clients. Moves are huge. Individuals and families uprooting, trying new neighborhoods, cities, states, countries. We feel honored to be part of your stories and it is Bryan's and my goal to make your home purchase or sale a bright spot along the way.
710 N 160th St Unit B306
Housing market predictions for 2022
Seasonal slowdown + wild suburban home price growth
Halloween decor and wind storms are a clear sign that the 2021 home-selling season is coming to a close. Expect to see fewer listings each week now until the new year. Nevertheless, competition remains fierce for homebuyers in Seattle. Our recent West Seattle listing attracted 15 offers and a big price escalation. Buyers are out there in force and I expect 2022 to see the same pent-up demand we've been seeing for years. This will result in higher home prices next year, even if interest rates rise slightly (more on rates below).
8511 Stone Ave N Unit B
7726 45th Ave SW
13040 1st Ave NE
2607 9th Ave W
Refined North End Living
40 straight quarters of home price growth in the US
40 straight quarters of home price growth in the US
According to the latest data from the Federal Housing Finance Agency House Price Index, home prices have increased 17.4% nationally from the same period last year. The Seattle area ranked 25th in the nation with prices up 20.1% since the same period last year. Remember, this quarterly data is already old news--it reflects changes that took place in June.
FHFA sites low inventory and crazy low interest rates as key factors in the rapid price appreciation we are seeing nationally. You've probably seen this graph a few times over the years, but I'll use it again because a picture really is worth a thousand words when it comes to mortgage interest rates over time!
Locally, the summer selling season is winding down and most remaining 2021 sellers are preparing to list their homes in the weeks following Labor Day. We can expect to see a nice batch of new listings in September and October before things taper into the holidays. Here's a look at inventory levels throughout the course of the year. Note that September has been our peak inventory month four out of the last five years!
Inventory may peak again in September, but you can see that inventory levels are down significantly from the previous three years and trending lower. This is not great news for buyers.
The supply of homes for sale over the past 10 years gives useful perspective into why prices have risen so quickly over the past year locally. Demand continues to outpace supply. We need more listings!
Buyers
Keep your head up and jump in when you're ready, but as always, be picky as heck and focus on quality. Your investment will do well long-term if the lot is good and the home's layout works for a broad audience. Don't make a speculative bet on a 1-bedroom house with a spiral staircase, or a condo in an outlying area.
Sellers
Don't expect spring prices, even if the news suggests major tailwinds for sellers. The market is good, but it's not spring anymore and buyers are pickier this time of year. Plan on getting fewer offers than your neighbor who sold in May, and don't skimp on the preparations.
Thanks for reading!