Interest rates have come down some from their highs and I’m starting to see the general mood among buyers improving. While prices are down considerably from their spring peaks, we’re still seeing positive appreciation compared to last year, and my prediction is the year will end with appreciation averaging in the 4-8% range in our area. Buyers are jumping on opportunities to secure homes before interest rates rise further and prices continue to grow long term. Many buyers who were burned earlier in the year are finally getting into homes. We’re also starting to see sellers, who previously delayed moving because of low inventory, now making their moves as selection of homes for sale increase.
A reminder that market stats that come out in the media outlets lag real-time sentiment. The numbers are based on July closings, which are based primarily on listings from May-June. Additionally, summertime in the greater Seattle area is generally when we see inventory rise sharply and prices plateau, so there’s the seasonal component to consider.
Here are some market stats:
- July listings in our region are up 15% from the previous month.
- Pending sales dropped about 24% from July to June (In June pending sales were down 27% from May.)
- Prices are up 6% throughout the entire NWMLS region compared to last year.
- In King County, prices are up about 3%, and in Snohomish prices increased 9%.
- In King County, inventory levels in July were at 1.86 months -- about double May’s supply (0.83 months).