Seattle homes sold at fastest pace ever in 2017, Zillow says

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Homes in Seattle sold in an average of 47 days in 2017. That’s the fastest it’s ever been, according to a new analysis by Zillow.

It means something recent house hunters already have learned — be ready to move fast when you find the home you want.

“As demand has outpaced supply in the housing market over the past three years, buying a home has become an exercise in speed and agility,” said Zillow Senior Economist Aaron Terrazas.

The 47 day average in made Seattle the third-fastest market for selling homes in 2017. Only San Jose, Calif. (41 days) and San Francisco (43 days) were faster.

Zillow said May and June were the fastest-selling months in 2017. Homes stayed on the market for 42 days. That includes closing.

It’s just going to get worse in 2018. Zillow predicts there will be 19.7 percent fewer homes on the market this year.

“This is shaping up to be another competitive home shopping season for buyers, who may have to linger on the market until they find the right home but then sprint across the finish line once they do,” said Terrazas.

Be prepared to pay more than you planned. Zillow says 52.4 percent of homes in 2017 sold for more than the asking price.

Nationwide, it took 81 days for the typical U.S. home to sell in 2017. The slowest market for selling was New York City (134 days).

~Travis Pittman, King 5 News

Half of Seattle homes selling above list price

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More than half the homes sold in Seattle last year–52.4% according to real estate website Zillow–were sold for more than the asking price. That’s an increase from 20.3 percent five years earlier. That’s the largest increase in any market that Zillow tracked.

The median amount paid above the list price was $21,000.

Nationwide, 24.1 percent of homes sold above asking price compared to 17.8 percent in 2012. The median amount paid above list price was $7,000.

Zillow cites strong demand, limited supply, and low-interest rates in the U.S. housing market, with a steady decline in inventory over the past three years.

The average home in Seattle sells in less than 50 days, according to Zillow. That’s faster than the nationwide average of 80 days.

“The typical buyer spends more than four months home shopping and has to make multiple offers before an offer is accepted,” Zillow said in a statement.

San Jose had the highest percentage of buyers who paid above price for homes — 68.5 percent — with the median amount spent at $62,000 over list price. San Francisco was second — 64.5 percent — and with the median amount spent at $41,000 over the list.

“In the booming tech capitals of the California Bay Area and Pacific Northwest, paying above list price is now the norm. In the face of historically tight inventory, buyers have had to be more aggressive in their offers,” Zillow Senior Economist Aaron Terrazas said in a statement. He added that he does not see the trend changing in 2018.

 

~Travis Pittman, King 5 News

The Seattle Area Housing Market: Big Demand, Little Supply

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Home buyers in the Seattle area are up against the toughest purchasing prospects in the country.

The Seattle Times cited the monthly Case-Shiller home price index, which showed a 12.3-percent year-over-year increase for single family home prices in the metro area in March. It’s the fastest growth in more than three years and easily outdistances increases in Portland (9.2 percent), Dallas (8.6 percent), Denver (8.4 percent) and Boston (7.7 percent).

Seattle also more than doubles the national average for price gains, which are at 5.8 percent.

Seattle-based real estate company Redfin released its Demand Index on Tuesday, and it shows what buyers are certainly learning the hard way as prime selling season approaches — there just aren’t enough houses available for interested parties.

Seattle is the most inventory-constrained metro, as measured by months of supply, but it also has the third smallest amount of inventory, following Oakland and San Francisco, Redfin said. Seattle posted the largest year-over-year decrease in inventory, down 35 percent from last April. In the same period, the number of Redfin customers making offers climbed by 36.9 percent, an indication that the market is more competitive for buyers this year than it was last year.

“There’s no indication that this market is going to see a drastic increase in supply or a drop in demand, so waiting isn’t an option for a serious buyer,” said Redfin Seattle agent Kyle Moss in the company’s blog post. “People intent on purchasing this season should be discerning and focus on the one or two criteria that are most important to them, like commute time and/or schools. From there, carve out a list of homes that meet your qualifications and work alongside an agent who has experience winning offers in competitive situations to build and execute a competitive strategy that fits your budget.”

That inventory crunch, in a city attracting thousands of new well-paid tech workers to companies such as Amazon, Facebook, Google, Expedia and others, is leading to the highest rate of bidding wars among the cities that Redfin tracks in other hot markers. In Seattle in April, 88.7 percent of homes received multiple offers, outpacing Los Angeles (79.3 percent), Oakland (78.6 percent), San Diego (77.5 percent) and Washington, D.C. (73.9 percent) among others.

The Times said extra offers often drive prices higher, and the typical single-family house in the city last month sold for a record $722,000.

~Kurt Schlosser, Geekwire

Housing Forecast – 2017

It sounds like the Seattle Tacoma Bellevue market will be the fourth hottest in the nation in 2017 according to Veros Real Estate Solutions!new-image

According to Veros Real Estate Solutions, the Seattle-Tacoma-Bellevue market is projected to be the fourth hottest real estate market in the U.S. in 2017. The company projects home prices to appreciate 10.2 percent in our region next year, far outpacing the rest of the country.

If you’re thinking about selling, the timing couldn’t be better. With inventory at historic lows, prices at or near record highs, and multiple offers the norm, it’s an exceptional time to get top dollar for your home.

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