Seattle Homes for Sale

This month the NWMLS reported that it's officially a buyer's market in Seattle. Is this all hot air, hopeful speculation and realtor idealism… or is there some truth to the rumors? It's no secret that some brokers have been slashing prices or throwing in Seattle Homes for Sale deals, but is that the exception or the rule? Some people may have purchased their home through an auction (where prices dropped gradually, rather than rose!) – but is that feasible for everyone?

Homes for Sale in Seattle Statistics

Homes For Sale in Seattle Inventory is plentiful, up 22% from June 2007 and up 5.4% from the previous month. In fact, the Northwest MLS reports that there are 43,546 single family residences and 8,271 condos to choose from – 1/5 of these units recently built casualties of poor market forecasting. While the single family Seattle homes for sale declined 3.8% last month, the pending sale of condos rose 8%.

One real estate agent writes in the 2008 NWMLS Homes for Sale in Seattle Report, "Interest rates are historically low, there's a healthy inventory of homes to choose from, and the new, higher conforming loan limits have increased Seattle Homes For Sale affordability." If prospective buyers weren't hurt economically by the current recession, now would be a good time to position themselves for the future, analysts suggest.

Some of the counties served by the Northwest MLS are seeing stabilization and even increases since last year. For example, in King County, 21 areas reported higher prices from April to May. Skagit and Island County real estate has risen month after month, Northwest MLS directors state. Some of the areas seeing the largest growth, according to the NWMLS Homes for Sale in Seattle report, are: King, Snohomish, Pierce, Kitsap, Thurston and Whatcom. The homes for sale in those regions average between $293,000 and $494,868, suggesting that the average home buyer isn't just out looking for cheap deals.

"Open house traffic is picking up and home buyers are coming off the sidelines to make buying decisions," says Dick Beeson, a broker at a realty firm in Tacoma. "Home Buyers are realizing that interest rates may creep up and they would be in a worse position if rates went up 1% than if prices fell 5%."

"There is clearly some bargain hunting going on," adds Glenn Crellin, director of the Washington Center for Real Estate Research. However, Crellin agrees with NWMLS, warning, "Waiting for Seattle homes for sale to get to their absolute lowest point while interest rates are rising doesn't mean that the purchasers are going to be saving much of anything on the monthly payments."

In fact, NWMLS director Mike Skahen believes the price drop has already happened. "It's a great time to negotiate with sellers," he advises. He feels that negative publicity is creating buyer uncertainty at the moment but when it picks up, it will happen quickly.