The Seattle-Eastside real estate market ends 2011 in better shape than we’ve seen in the last four years.  There’s a more evenly balanced market between buyers and sellers, which the market is a fairly “normal” one in which some homes sit on the market and the good ones that show well and are priced well sell quickly.  In a balanced market, there is no  “one size fits all.” We see all kinds of things happening with homes, depending on the price, condition, sellers and buyer motivation.  The supply of homes is down more than it has been for 4 years, which is helping to balance out the supply of homes with the demand from buyers.

There’s a lot of yellow on the above map, indicating a balanced market in which it takes 4-6 months for a home to sell.   Yellow is the dominant color with the usual hot spots in some Seattle neighborhoods in “red,” indicating a faster moving market.

Here on the eastside, East Bellevue and Redmond near Microsoft is the “hot” area and is shown in red.  Red means homes are selling at a faster rate,  in under 3 months.   This area finished the year with more than one third of the listed homes selling in December.  Not all that long ago there were over 200 homes for sale!  In December there were only 125 homes for sale and 42 of these homes received offers. The number of homes for sale in that area was incredibly low, prompting a faster market with a high absorption rate (supply to sales) and a short market time.

The rest of the eastside has experienced one of the better years since the market meltdown.  It’s a much more normal real estate market than 1, 2, or 3 years ago.  I expect this year to be even better!

The cities below are grouped together to follow our MLS areas (multiple listing service) because our statistics are reported in this manner.  The cities are listed in order from the highest to the lowest in demand which is determined by the number of homes sales compared to the number of homes for sale. (Again, it’s that absorption rate) If there is a greater demand, then there is a higher percentage of home sales.

How was real estate market in your Seattle-Eastside city in December, 2011?

1. Redmond/East Bellevue

The odds of selling a home were 36%*

Median sales price increased (y-o-y)**from $420,000 to $455,000

125 homes were for sale

A total of 42 homes sold

Days on the market: 104

2. Kirkland

The odds of selling a home were 19%

Median sales price increased from $498,000 to $510,000

167 homes were for sale

A total of 57 homes sold

Days on Market:  101

2. (TIE) South Bellevue/Issaquah

The odds of selling a home were 19%

Median price decreased from $560,000 to $505,000

242 homes were for sale

A total of 58 homes sold

Days on market: 123

3. The plateau:  Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 17%

Median sales price increased from $440,000 to $463,000

There were 527 homes for sale

A total of 116 homes sold

Days on the market: 103

4.  Redmond/Education Hill/ Carnation

The odds of selling a home were 16%

Median sales price decreased from $530,000 to $515,000

207 homes were for sale

A total of 66 homes sold

Days on Market: 115

4. (TIE) Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 16%

Median sales price decreased from $393,000 to $339,000

421 homes were for sale

A total of 96 homes sold

Days on Market: 127

5. West Bellevue

The odds of selling a home were 10%.

Median sales price increased from $950,000 to $998,000

127 homes were for sale

A total of 15 homes sold

Days on Market: 95

In many of the areas where there was a higher demand, the median sales price for the month increased in December, 2011 from December 2010.  Prices did not go up last year.  When I compare 12/11 to 12/10, the median price of homes that sold in some areas was higher in 2011 than 2010.  If we take the whole year, pricing was down overall.

With the lower supply, I expect pricing to be more stable this year at the very least.  Competition is still there, but it is far less than it was in the middle of last year when more homes were for sale.

Will prices increase?  Only time will tell and if they do, it will be a minimal increase.  Read my soon to be published post about predictions for 2012.

If you’d like more specific information about your neighborhood or home, feel free to contact either Brooks or myself.

*(The odds of selling a home in each area is a result of the number of homes for sale divided by the actual number of home sales, so if 10 out of 100 homes sold, the odds of selling would be 10/100 or 10%)

** (y-o-y)  median pricing is comparing year over year numbers.

If you lived in Kirkland and had your home for sale last month, the odds of it selling in November were 31%, the strongest absorption rate to be found on the eastside.*  The homes in East Bellevue and Redmond areas around Microsoft had a 29% chance of selling.  Chances of selling ranged from 11-22.5% in the other eastside cities.

Homes in East Bellevue and Redmond near Microsoft sold the fastest on Seattle’s eastside.  On average, homes there sold in 2 months.   Market time for the other eastside cities, ranged from 3 to 4 months.

This is reasonable market time, indicating a balanced market between buyers and sellers.  A balanced market means there’s a more normal market.  Some homes sold quickly and others stayed on the market for a long time.   Some homes sold for full price and others sold at steep discounts.

The November Real Estate Map Showing a More Balanced Market Between Buyers and Sellers

The cities below are grouped together to follow our MLS areas (multiple listing service).  This is how our statistics are reported.

How was real estate market in your Seattle-eastside city in November, 2011?

1. Kirkland

The odds of selling a home were 31%.*

Median price decreased  (y-o-y)** from $530,000 to $477,000.

188 homes were for sale.

A total of 58 homes sold.

Days on Market:  105

2. Redmond/East Bellevue

The odds of selling a home were 29%.

Median sales price decreased to $418,000 from $527,000.

163 homes were for sale

A total of 48 homes sold.

Days on the market: 60

3. South Bellevue/Issaquah

The odds of selling a home were 22.5%.

Median price increased from $538,000 to $550,000.

267 homes were for sale.

A total of 60 homes sold.

Days on market: 98

4. Redmond/Education Hill/ Carnation

The odds of selling a home were 22%

Median pricing decreased from $540,000 to $530,000.

247 homes were for sale.

A total of 54 homes sold.

Days on Market: 104

4. (tie) Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 22%.

Median price was down from $451,000 to $394,000.

481 homes were for sale.

A total of 105 homes sold.

Days on Market: 114

5. The plateau:  Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 18%.

Median sales price decreased from $460,000 to $441,000.

There were 580 homes for sale.

A total of 104 homes sold.

Days on the market: 119

6. West Bellevue

The odds of selling a home were 11%.

Median pricing decreased to $950,000 from $1,035,000.

127 homes were for sale.

A total of 14 homes sold.

Days on Market: 91

Homes in East Bellevue and Redmond near Microsoft sold the fastest on Seattle’s eastside in October.  Homes sold in under 2 months, at 59 days.    Market time for the other eastside cities, ranged from 99-117 days or just shy of 4 months.  This is a reasonable market time as it shows a more of a balanced market between buyers and sellers.  It’s actually a normal market and is better for “both sides of the table.”

The odds of selling a home in the Redmond and East Bellevue areas stood at 30%, which also was the strongest absorption rate to be found on the eastside.*  Chances of selling ranged from 19-26% in the other eastside cities.

The Redmond and East Bellevue area near Microsoft comes out on top for market time and a higher absorption rate because of more affordable housing, good jobs, an easier commute and good schools.  With the main Microsoft campus in Redmond right on the Bellevue line, there are lots of jobs right there.  In addition, there’s easier freeway and bus access to Seattle than in the outlying suburbs.

The higher price point in West Bellevue means fewer buyers can afford to live there.  Affordability issues increase the market time.  Longer market time here is a function of pricing, not desirability.  West Bellevue is considered to be one of the best locations on the eastside.

Two of the areas had an increase in the median pricing, Redmond and East Bellevue and Redmond and Education Hill.  Changes in median pricing, however, need to be looked at over a period of months since the median price for this month reflects the sales for this month only.

Why is market time important?  It’s one indication of the desirability and affordability of an area.  Both are key to future growth and appreciation.  People like to live in convenient areas with good schools and affordable housing.

The cities below are grouped together to follow our MLS areas (multiple listing service) and shows how our statistical information is  reported.  How did your city do this past month?

Which Seattle-eastside city had the fastest selling homes in October, 2011?

1. Redmond/East Bellevue

The odds of selling a home were 30%.*

Median sales price increased (y-o-y)** to $435,000 from $427,000.

193 homes were for sale

A total of 58 homes sold.

Days on the market: 56

2. Kirkland

The odds of selling a home were 26%.

Median price decreased from $592,000 to $501,000.

234 homes were for sale.

A total of 60 homes sold.

Days on Market:  99

3. Redmond/Education Hill/ Carnation

The odds of selling a home were 19%

Median pricing increased from $541,000 to $580,000.

321 homes were for sale.

A total of 62 homes sold.

Days on Market: 100

4.Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 22%.

Median price was down from $377,000 to $370,000.

540 homes were for sale.

A total of 117 homes sold.

Days on Market: 101

5. South Bellevue/Issaquah

The odds of selling a home were 24%.

Median price decreased from $580,000 to $500,000.

338 homes were for sale.

A total of 81 homes sold.

Days on market: 104

6. The plateau:  Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 23%.

Median sales price decreased from $500,000 to $460,000.

There were 650 homes for sale.

A total of 158 homes sold.

Days on the market: 108

7. West Bellevue

The odds of selling a home were 22.5%.

Median pricing decreased from $985,000 to $878,000.

128 homes were for sale.

A total of 31 homes sold.

Days on Market: 117

The zHome team  developers not only describe the energy saving features of the buildings, they talked about products that will help you go green, save energy and save money in your own home.  You’ll leave there with a crash course in “green living” and more knowledgeable about how you can save some money in your own home.

zHome-Issaquah, WA

The goal of zHome community:

zHome is a revolutionary, 10-unit town home development that uses smart design and cutting edge technologies to radically reduce its environmental impacts. zHome will prove that homes that use zero net energy and 60% less water, emit net zero carbon emissions, have clean indoor air and use only low-toxicity materials are possible and scalable to mainstream home production.

Below are some of the materials and features used in the community:

zHome Solar Panels

Bamboo flooring

zHome FSC Certified Wood Beams

pervious concrete

rain garden

Besides the great materials and features above, I learned about materials and tools that any homeowner could use to go green and/or save money.Are you concerned with water leaks?  Check out the Orion Water Meter.  This handy little tool is a water leak detection device.   Although the link is to a website from a particular utility district, there is information about the water meter.Would you like to save on your energy bill?  (Who wouldn’t?)  The “TED,”  the The Energy Detective measures your energy usage, detects phantom loads, and where energy is wasted.

Solar panels in gray WA State?  Apparently even when it’s cloudy, solar panels pick up some sun, something I did not know.  I assume the gray days would make solar panels useless in our climate.  I also did not know that the rain cleans the panels off on a regular basis, making them far more efficient than in some of the sunny, desert climates.

Through 2020, there still some government incentives available for energy production.

zHome tours are scheduled for the next two weekends. Happy touring!

Aubrey Cohen wrote an article about the fastest selling neighborhoods in Seattle, which prompted me to write this  post about the fastest selling neighborhoods on Seattle’s eastside.  What happens in Seattle, doesn’t just stay in Seattle, it also happens here on the Eastside!

Homes in East Bellevue and Redmond near Microsoft sold the fastest on Seattle’s eastside in September.  Not only did these homes sell more quickly, in 69 days, but out of the 204 homes for sale, 51 got offers.  These means that 25% of the homes in the area sold in September, among the best odds on Seattle’s eastside.  The odds of selling a home in the Woodinville, Bothell areas also stood at 25%, which means September was one of the best months to sell a home in those cities.

Why do homes in East Bellevue and Redmond sell more quickly? Because they’re close to employment centers and transportation and have a broader range of more affordable housing.  With the main Microsoft campus in Redmond and on the border of Bellevue, there’s a huge number of jobs right in the area.  In addition, there’s easier freeway and bus access to Seattle than in the outlying suburbs.

West Bellevue is the most expensive area on the eastside, although it’s proximity to Seattle, schools, and housing make it the premier location on the eastside.  The higher price point in the area means fewer buyers can afford West Bellevue, which increases the market time.  Longer market time here is a function of pricing, not desirability.

Why is market time important?  It’s one indication of the desirability and affordability of an area and both are key to future growth and appreciation.  People like to live in convenient areas with good schools and affordable housing.  (Remember affordability is relative to each area of the country.)

The cities below are grouped together to follow our MLS areas (multiple listing service) and shows how our statistical information is  reported.

Which Seattle-eastside city had the fastest selling homes?

1. Redmond/East Bellevue

The odds of selling a home were 25%.*

Median sales price decreased (y-o-y)** to $503,000 from $560,000.

204 homes were for sale

A total of 51 homes sold.

Days on the market: 69

2. Kirkland

The odds of selling a home was 21%.

Median price increased from $516,000 to $626,000.

270 homes were for sale.

A total of 57 homes sold.

Days on Market:  87

3. South Bellevue/Issaquah

The odds of selling a home were 18%.

Median price decreased from $533,000 to $529,000.

362  homes were for sale.

A total of 65 homes sold.

Days on market: 88

3 (tie). Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 25%.

Median price was down from $415,000 to $380,000.

558 homes were for sale.

A total of 139 homes sold.

Days on Market: 88

4. The plateau:  Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 19%.

Median sales price increased from $486,000 to $500,000.

There were 714 homes for sale.

A total of 137 homes sold.

Days on the market: 90

5. Redmond/Education Hill/ Carnation

The odds of selling a home were 19%

Median pricing increased from $541,000 to $580,000.

321 homes were for sale.

A total of 62 homes sold.

Days on Market: 100

5. West Bellevue

The odds of selling a home were 19%.

Median pricing decreased from $956,000 to $936,000.

164 homes were for sale.

A total of 31 homes sold.

Days on Market: 127

Overall, market time is excellent in all of the eastside cities.  As I mentioned above, Seattle-eastside real estate is one of the bright spots in the country.  Companies in the area are hiring and people continue to want to live here because of the quality of life, the job market, and good schools.  

Seattle-eastside real estate sales results were so similar during June, July, and August I could have posted the same report with just a few exceptions each month!  Overall, 23% of the available homes sold in August, the same as June and July!

View Larger Map

The only significant change happened in West Bellevue and East Bellevue and the Microsoft area around Redmond.  Both these areas had fewer home sales in August than in July.  It was most noticeable in the neighborhoods around Microsoft where sales have been consistently strong.  In July, 38% of the homes sold and in August the sales numbers dropped back to 24%.  The area still had the best return on the eastside, but it was more in line with other eastside neighborhoods.

There’s a good real estate market out there.  The last time we saw a similar real estate market was back in the years between 1998-2002.  The market during those years was what we considered to be a “normal” market,  not a crazy market.  Once again, we see a more “normal” market today.

How many homes sold in August, 2011 in your neighborhood?

(The odds of selling a home in each area is a result of the number of homes for sale divided by the actual number of home sales, so if 10 out of 100 homes sold, the odds of selling would be 10/100 or 10%)

The plateau:  Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 21%.

Median sales price dropped: $479,895 to $475,000.

There were 725 homes for sale.

A total of 174 homes sold.

Redmond/East Bellevue

The odds of selling a home were 24%.

Median sales price decreased from $494,900 to $479,950.

207 homes were for sale

A total of 60 homes sold.

South Bellevue/Issaquah

The odds of selling a home were 22%.

Median price decreased from $550,000 to $512,225

367  homes were for sale.

A total of 94 homes sold.

Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 23%.

Median price was down from $415,000 to $381,650.

589 homes were for sale.

A total of 148 homes sold.

Kirkland

The odds of selling a home was 22%.

Median price decreased from $641,000 to $595,000.

280 homes were for sale.

A total of 73 homes sold.

West Bellevue

The odds of selling a home were 17%.

Median pricing decreased from $869,000 to $754,500.

169 homes were for sale.

A total of 40 homes sold.

Redmond/Education Hill/ Carnation

The odds of selling a home were 21%

Median pricing decreased from $549,950 to $534,900.

319 homes were for sale.

A total of 79 homes sold.

View Larger Map

How many homes sold in June, 2011 in your neighborhood?

It’s uncanny to see how similar July real estate sales on Seattle’s eastside were to June’s sales results.  On most of the eastside, the numbers varied only slightly from June.  Twenty-three percent of the homes for sale on the eastside sold, with the Redmond and Bellevue area around Microsoft leading the way with 38% of the homes selling.  In the majority of eastside neighborhoods, the chance of selling a home ranged between 20-23%.

The odds of selling a home in each area is a result of the number of homes for sale divided by the actual number of home sales, so if 10 out of 100 homes sold, the odds of selling would be 10/100 or 10%)

The plateau:  Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 20%.

Median sales price dropped: $539,950 to $519,000.

There were 771 homes for sale.

A total of 165 homes sold.

Redmond/East Bellevue

The odds of selling a home were 38%.

Median sales price increased from $422,475 to $429,950.

189 homes were for sale

A total of 85 homes sold.

South Bellevue/Issaquah

The odds of selling a home were 24%.

Median price decreased from $599,475 to $578,500.

380  homes were for sale.

A total of 110 homes sold.

Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 23%.

Median price was down from $499,950 to $369,475.

598 homes were for sale.

A total of 158 homes sold.

Kirkland

The odds of selling a home was 23%.

Median price decreased from $549,900 to $541,500.

288 homes were for sale.

A total of 76 homes sold.

West Bellevue

The odds of selling a home were 20%.

Median pricing decreased from $1,299,000 to $1,074,475.

175 homes were for sale.

A total of 42 homes sold.

Redmond/Education Hill/ Carnation

The odds of selling a home were 20%

Median pricing increased from $548,000 to $549,000.

337 homes were for sale.

A total of 75 homes sold.

View Larger Map

How many homes sold in June, 2011 in your neighborhood?

June continued to be a strong month for real estate sales on Seattle’ eastside.  In fact, June may have been the strongest month for real estate sales on Seattle’s eastside in four years.  The Puget Sound Business Journal stated more homes sold this month than in recent months.  Every area did far better than previous months and previous years.   The Redmond and Bellevue area around Microsoft led the pack with almost 40% of the homes selling.  Almost every other area had a minimum of 20% of the homes selling.  More homes are selling than we’ve seen in years, but there are still a lot of homes that are languishing on the market.  Know your competition, so your home will land in the 20%+ homes that are selling.

A past client of mine is moving back to the eastside after about 5 years.  He was really surprised to hear that the homes near Microsoft are actually more affordable than those in South Bellevue.  The Bellevue Schools are getting a lot of press because several of the high schools are landing on top 100 lists of the top high schools.  But in reality, parts of Bellevue have  been more expensive for years because of the easy I-90 access to Seattle.  This may explain why the area around Microsoft is usually the hottest real estate market.  It’s a great location, close to jobs, has good schools, and slightly more affordable housing prices.

The odds of selling a home in each area is a result of the number of homes for sale divided by the actual number of home sales, so if 10 out of 100 homes sold, the odds of selling would be 10/100 or 10%)

The plateau:  Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 23%.

Median sales price dropped: $525,000 to $494,950.

There were 765 homes for sale.

A total of 190 homes sold.

Redmond/East Bellevue

The odds of selling a home were 38%.

Median sales price decreased to $449,900 from $482,500.

193 homes were for sale

A total of 79 homes sold.

South Bellevue/Issaquah

The odds of selling a home were 21%.

Median price decreased from $599,994 to $519,000

364 homes were for sale.

A total of 91  homes sold.

Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 23%.

Median price was down from $419,973 to $369,950.

572 homes were for sale.

A total of 147 homes sold.

Kirkland

The odds of selling a home was 19.5%.

Median price decreased from $624,950 to $535,000.

286 homes were for sale.

A total of 71 homes sold.

West Bellevue

The odds of selling a home were 20%.

Median pricing decreased from $890,000 to $719,950.

181 homes were for sale.

A total of 43 homes sold.

Redmond/Education Hill/ Carnation

The odds of selling a home were 20.5%

Median pricing increased from $474,950 to $549,900.

331 homes were for sale.

A total of 77 homes sold.

Seattle-Eastside Real Estate Sales Through June, 2011

How strong were June, 2011 real estate sales on Seattle’s Eastside?  This summer’s real estate market is going to stay stronger than what we usually see during a Seattle summer. Traditionally, the highest number of homes for sale during a year comes near the end of July.  With this increased competition, it can make it more challenging to sell your home.  Although the number of eastside homes for sale has increased each month, the increase is nothing like the numbers we’ve seen during June of the last few years.

This year, the number of homes for sale is increasing, but at a much slower pace than last year.  In King County as a whole, there are 11,320 properties for sale.  Last year at the end of July, there were 14,639 properties on the market. This translates to 33% fewer homes on the market in King County this year.  On the eastside, there were 15% less homes for sale in June.  Since there’s still a great selection of homes for sale, the smaller number of available homes increases the odds of a home selling.

In fact, we had multiple offers on two listings this week alone.  I find we have a lot of showings on our listings, so buyers are definitely out there more than they usually are in the summer months.

The number of sales this past month dipped a little from the previous month, but only by 12 homes.  In May, we saw the highest number of homes sell in a month so far this year.  As a reminder, in April of last year, there’s a very high number of home sales.  This was artificially high as buyers tried to “cash in” on the tax credit.  This year, the sales numbers are not inflated by any other issue.  Real estate sales are fueled by the amount of job hiring in the area and by buyers who are more willing to move on with their lives, literally.

In June 2011, there were 2880 homes for sale and 661 of these homes had offers. The absorption rate, the number of homes that sold during a month compared to the number for sale, was 23%.  Almost one quarter of the Seattle eastside homes for sale sold in June.

How is the real estate market doing in your area?  Is it as strong as what we’re seeing here or is a little slower.

View Larger Map

How many homes sold in April, 2011 in your neighborhood?

The increasing number of home sales on Seattle’s eastside continues, despite what the news media is saying.  Every month of this year has had a big increase in the number of home sales over the previous month.  It would be great if our news reporting could be more balanced.  Our real estate market is more balanced, so let’s hope the media figures it out!  One local news source did peg the market fairly well.

Right now, Seattle’s eastside has the most “normal” real estate market that we’ve seen in years.  A “normal” market means everything is happening from homes selling the minute they hit the market to homes taking months to sell and at reduced prices. The “hot” homes are selling.  “Hot” homes are great values with a good price tag, are staged and ready to go.  The homes that are not “hot” are taking a long time to sell and go through several price reductions before getting an offer.

The other issue working in favor of a more positive real estate market is that in every area on the eastside, except Sammamish, there are fewer homes on the market.  Less supply=more demand.

(Click on the cities below to see real estate trends for the past 5 years.  You’ll find the median pricing for each city and whether the number of homes for sale and the number of sales went up or down.  The odds of selling a home in each area is a result of the number of homes for sale divided by the actual number of home sales, so if 10 out of 100 homes sold, the odds of selling would be 10/100 or 10%)

The plateau:  Sammamish, Issaquah, North Bend, and Fall City

The odds of selling a home were 20%.

Median sales price dropped: $514,950 to $499,900.

There were 701 homes for sale.

A total of 161 homes sold.

Redmond/East Bellevue

The odds of selling a home were 32%.

Median sales price decreased by 11% to $400,000 from $450,000.

176 homes were for sale

A total of 59 homes sold.

South Bellevue/Issaquah

The odds of selling a home were 24%.

Median price decreased from $599,900 to $568,800.

322 homes were for sale.

A total of 91  homes sold.

Woodinville/Bothell/Kenmore/Duvall/North Kirkland

The odds of selling a home were 26%.

Median price was down from $409,500 to $397,000.

559 homes were for sale.

A total of 160 homes sold.

Kirkland

The odds of selling a home were 30%.

Median price decreased from $575,000 to $538,500Z .

282 homes were for sale.

A total of 94 homes sold.

West Bellevue

The odds of selling a home were 22%.

Median pricing was down from $849,000 to $649,995.

170 homes were for sale.

A total of 45 homes sold.

Redmond/Education Hill/ Carnation

The odds of selling a home were 23%

Median pricing decreased from $514,995 to $462,475.

299 homes were for sale.

A total of 80 homes sold.