JULY 15th, 2022
As our real estate market continues to shift, keeping an eye on relevant market data can help both buyers and sellers successfully navigate the marketplace. Here’s a look at some topline stats from the month of June, along with a few ideas on putting the data to use.
On the Eastside, the median price of a single family home peaked in April of this year at $1,722,500. June’s median price of $1,500,000 represents a 13% drop from that peak but is still 10% above June 2021. In another sign of the times, the percentage of properties that sold above their list price went from 78% in June of 2021 to 39% this June. Still, 82% of listings sold in June sold in less than 15 days!
The trends are similar in the Seattle market where prices peaked in May at $1,025,500. June’s median price was 2.5% off the peak, but still 12% ahead of June 2021. In Seattle, which did not see as steep a run up in prices as on the Eastside, the percentage of single family homes selling above list price went from 58% last June to 54% this June. It still boggles the mind that even as the market cools, more than half of all Seattle listings are selling over list price and that in June 89% sold in less than 15 days!
So, what’s it all mean if you are getting ready to buy or sell a property? Below is some current market reconnaissance, which will apply in the majority of cases. Of course not all situations behave like the norm (and objects in the mirror may appear larger than they are) so be sure to dial up some solid local input before making any big moves!
- Slightly higher inventory means that for the first time in years buyers may actually have multiple homes to look in their target neighborhood. This is helpful for making real-time comparisons and also keeps sellers honest. (Sellers, see below.)
- A slower-paced market means buyers have more time to view listings and make decisions. The days of seeing a house once, waiving everything and rushing in an early offer trying to jump the review date are mostly over. Fewer listings even publish offer review dates these days; instead opting, as in “normal” times, to review offers as they come in. Buyers usually have time to take a breath, think things through and still have a shot at the title!
- More offers are being accepted that include standard contingencies like financing and home inspections. Yes, buyers have rights in this process too, and they no longer have to waive all of them as a matter of course. On listings that have been sitting a while you might even get away with an offer contingent on the sale of your current home – a species not seen in these parts for years.
- I’ve said it before, but in the current environment sellers need to be especially careful when pricing their homes. Mistakes here are expensive here and good input will give you the best chance at success.
- Preparing your property for sale and then marketing it properly once listed are more important than ever. Taking care of any deferred maintenance and properly staging your home are also critical now that buyers may be comparing several homes in your neighborhood. Assuming that buyers will look past imperfections can be a costly mistake in this market.
So, there you go. Hopefully, this kind of macro look at the market can help point you in the right direction. Just make sure you get up to date neighborhood- and property-specific input from a trusted source before making any big decisions.
Operators are standing by…
Rip.
