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Is This The New "Normal" for Seattle Area Real Estate?
Maybe this is how real estate is going to be in the Seattle area. Maybe we’ll have some local markets where things are “hot” just for the buyer, and, someday again, even for the seller. But maybe the Seattle marketplace will be more balanced (yellow on the map below) between the buyers and the sellers. Maybe this is the new “normal” real estate market. The majority of homes will sell in 3-6 months, some will sell for full price, some homes will sell with a small price reduction, and some will even have multiple offers. Still others will undergo a number of price reductions before selling and some will not even get an offer.
Here’s what I wrote in my November post on the real estate market. I shared similar thoughts then, so I’m wondering if we’re starting to see a pattern here.
Does this mean it’s no longer a challenge to sell a home? Absolutely not. The competition is still very stiff. There are a lot of homes for buyers to buy. A market in which it takes homes 3-6 months to sell is still a challenging, but not a terrible, real estate market. In a balanced market, some homes sell quickly for a good price, others take a lot longer to sell with a steep discount in the the asking price, and still others don’t sell at all. I’m still going to be telling home sellers to have the best home out there and expect a sale to take a long time to happen. Homes that sell have to be a really good value to be the ones that sell. Believe it or not, this is pretty typical of a more balanced, realistic market. A realistic market is not a fast paced real estate market. A realistic market will have some distressed home sellers. Although this is a cause of major concern and I am not minimizing the situation for those who are distressed sellers, the majority of eastside homes are NOT distressed sales.
So maybe this is the new “normal”? What do you think?
The State Of Seattle Area Real Estate in December, 2010
- Seattle Area Real Estate 11-30-10
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What do the 3 digit numbers on the map mean?
The map is divided into the numbered areas as defined by our Northwest Multiple Listing Service (NWMLS). Downtown Bellevue is area 520 and East Bellevue is area 530, as an example.
What do the colors mean?
Red means it’s a sellers’ market, a sellers’ advantage. Homes take less than 3 months to sell.
Yellow means a balanced market between buyers and sellers. Homes on the average take 3-6 months to sell.
Green means it’s a buyers’ market. Homes take longer than 6 months to sell.
If you take each area as shown on the map and look to the area number on the side of the map, it will tell you how long it would take to sell every home currently for sale if no other home came up on the market in that area.
How Many Condos Sold on Seattle's Eastside in Dec 2010 Compared to 2009?
December, 2010 beat out December, 2009 by 35 sales. Over 30% more Seattle-eastside condos sold in 2010 than in December, 2009.
(The absorption rate, the percentage of condos selling, is the number of condos for sale in any given month divided by the actual number of condos sold that month. So if the absorption rate or chance of selling is 10% that means out of 100 condos for sale, 10 received offers and sold.)
December, 2010 1084 condos for sale 135 condos sold 12.5% odds of selling.
November, 2010 1191 condos for sale 138 (was 150) condos sold 11.5% (was 12.5%) odds of selling
December, 2009 1174 condos for sale 100 condos sold 8.5% odds of selling.
*Adjusted from previous month’s original numbers to reflect the actual number of condos sold and closed. Some of the sales originally reported last month failed and did not close. Some of the reasons sales fail are the buyer and seller don’t agree on the building inspection, the condo does not appraise for the sales price or the buyer’s financing does not come through.
Other than the spring when the tax credit was in place, December was one of the best months to sell a condo last year. Partly because there were fewer condos for sale, 31% fewer than the peak of 1552 in July. Competition fell off so much by the end of the year, the odds of selling increased. It will still be a challenge this year, but condos will sell.
If you plan to sell your condo in the next year or so, feel free to contact me if you have questions about what you need to do to get ready to sell. Most every seller has to do a few things before putting a home on the market for the world to see. If your home is in the best possible condition before going on the market, there’s a better chance your home will be one of those 9-12% of homes that gets the offer. The number seems a little scary because it still is low, but if your home is positioned properly, it can be one of the lucky few to get an offer.
Windermere/Yarrow Bay's Recycling Event Was A Success!
Recycling Event at Windermere Yarrow Bay in Kirkland
1 Green Planet
Recycling "Stuff"
The water heaters, computers, scanners, modems, old bikes all came today to my Windermere/Yarrow Bay office in Kirkland. There was a steady stream of cars through the parking lot through the whole day. More than 3 truck loads of “stuff’ was brought in and will be recycled. Way to go! None of the “stuff” will be thrown in a landfill.
Thank you for bringing your “stuff” and not dumping it. Thanks to 1 Green Planet for a job well done. What a great way to start the year!
Free Recycling Event on Seattle's Eastside
Got Junk? This Sunday you’ll have an opportunity to start the new year right by unloading some of your unwanted electronics, appliances and other good stuff at my Windermere Real Estate office in Kirkland.
Free Recycling on Seattle's Eastside
I missed a recycling event in Kirkland, so my husband and I took our stuff down to 3RRecycle in Seattle back in the fall. They did a good job for us, but it’s nice to be able to get rid of your “stuff” responsibly and quickly right here on the eastside. 1 Green Planet will also take your stuff if you can’t make it on Sunday. They’re located at the above address in Issaquah.
By the way, if you know of other recycling events throughout the year, please let me know about them as I’m happy to post your event on this blog. Happy recycling.
This Past Month Seattle Eastside Real Estate Was Balanced Between Buyers and Sellers
Seattle Area Real Estate 11-30-10
The Seattle-eastside market is balanced. Surprised by that? Here’s why I say this: A balanced market is when homes on average are selling in 3-6 months. This means there was a more level playing field between buyers and sellers during that particular month, in this case November 2010. Given the news we hear, it’s surprising to think of the eastside real estate market in this way.
Does this mean it’s no longer a challenge to sell a home? Absolutely not. The competition is still very stiff. There are a lot of homes for buyers to buy. A market in which it takes homes 3-6 months to sell is still a challenging, but not a terrible, real estate market. In a balanced market, some homes sell quickly for a good price, others take a lot longer to sell with a steep discount in the the asking price, and still others don’t sell at all. I’m still going to be telling home sellers to have the best home out there and expect a sale to take a long time to happen. Homes that sell have to be a really good value to be the ones that sell. Believe it or not, this is pretty typical of a more balanced, realistic market. A realistic market is not a fast paced real estate market. A realistic market will have some distressed home sellers. Although this is a cause of major concern and I am not minimizing the situation for those who are distressed sellers, the majority of eastside homes are NOT distressed sales.
———————————
What do the 3 digit numbers on the map mean?
The map is divided into the numbered areas as defined by our Northwest Multiple Listing Service (NWMLS). Downtown Bellevue is area 520 and East Bellevue is area 530, as an example.
What do the colors mean?
Red means it’s a sellers’ market, a sellers’ advantage. Homes take less than 3 months to sell.
Yellow means a balanced market between buyers and sellers. Homes on the average take 3-6 months to sell.
Green means it’s a buyers’ market. Homes take longer than 6 months to sell.
If you take each area as shown on the map and look to the area number on the side of the map, it will tell you how long it would take to sell every home currently for sale if no other home came up on the market in that area.
How Was The Seattle Eastside Condo Real Estate Market in November, 2010?
Seattle Eastside Condo Sales Nov 2010
(The absorption rate, the percentage of condos selling, is the number of condos for sale in any given month divided by the actual number of condos sold that month. So if the absorption rate or chance of selling is 10% that means out of 100 condos for sale, 10 received offers and sold.)
November, 2010 1191 condos for sale 150 condos sold 12.5% odds of selling
October, 2010 1375 condos for sale 136 (was 147) condos sold 9% (was 11%) odds of selling.*
September, 2010 1448 condos for sale 130 (was 155) condos sold 9% (was 11%) odds of selling.*
November, 2009 1289 condos for sale 121 condos sold 9% odds of selling.
*Adjusted from previous month’s original numbers to reflect the actual number of condos sold and closed. Some of the sales originally reported last month failed and did not close. Some of the reasons sales fail are the buyer and seller don’t agree on the building inspection, the condo does not appraise for the sales price or the buyer’s financing does not come through.
Wow, November showed the biggest drop in the number of Seattle-eastside condos for sale so far this year! There are 184 less condos for sale. We’re almost at the lowest point of inventory, that is the available condos, for the year. The peak of condos for sale was back in July, when over 1500 condos were for sale on the eastside.
Everyone is so focused on how much homes and condos are losing in value. Yes, there’s no one selling in today’s market that hasn’t lost money in the value of his/her home or condo in the last few years. But remember, if you’re selling because you’d like to buy another condo or home, that one will also cost a lot less than it would have been a few years ago.
If you plan to selling your condo in the next year or so, feel free to contact me if you have questions about what you need to do to get ready to sell. Most every seller has to do a few things before putting a home on the market for the world to see. If your home is in the best possible condition before going on the market, there’s a better chance your home will be one of those 9-12% of homes that gets the offer.
Happy Holidays and have a great 2011!
There's No Sign of a Seller's Market in Seattle Real Estate
Seattle Area Real Estate Map Showing Different Market Performance 10-31-10
The lack of “red” showing a seller’s market in Seattle area real estate is no big surprise. However, it’s good to see the market was more balanced in some Seattle area neighborhoods in October.
A balanced market is when homes on average are selling between 3-6 months, which means there was a level playing field between buyers and sellers in those areas for that particular month. A buyer’s market means the homes on average are taking longer than 6 months to sell and a seller’s market means the homes take less than 3 months to sell.
A real estate market is labeled a buyer or seller’s market depending on how long it took the homes to sell that month. Since the sales can vary each month, the type of real estate market can very easily change, going back and forth between a buyer or seller advantage.
Even though it’s more challenging for sellers, there are homes that stand out and sell with multiple offers or for full price. Look at the overall real estate market, look at the market in the neighborhood, and then look at the specific home and how well it’s priced for that market. When making a pricing decision, all of this data is important.
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What do the numbers on the map mean?
The map is divided into the numbered areas as defined by our Northwest Multiple Listing Service (NWMLS). Downtown Bellevue is area 520 and East Bellevue is area 530, as an example.
What do the colors mean?
Red means it’s a sellers’ market, a sellers’ advantage. Homes take less than 3 months to sell.
Yellow means a balanced market between buyers and sellers. Homes on the average take 3-6 months to sell.
Green means it’s a buyers’ market. Homes take longer than 6 months to sell.
If you take each area as shown on the map and look to the area number on the side of the map, it will tell you how long it would take to sell every home currently for sale if no other home came up on the market in that area.
How Was The Seattle-Eastside Condo Market in October, 2010?
Seattle Eastside Condo Sales Through October 2010
(The absorption rate, the percentage of condos selling, is the number of condos for sale in any given month divided by the actual number of condos sold that month. So if the absorption rate or chance of selling is 10% that means out of 100 condos for sale, 10 received offers and sold.)
October, 2010 1375 condos for sale 147 condos sold 11% odds of selling.
September, 2010 1448 condos for sale 130 (was 155) condos sold 9% (was 11%) odds of selling.*
October, 2009 1363 condos for sale 200 condos sold 15% odds of selling.
*Adjusted from previous month’s original numbers to reflect the actual number of condos sold and closed. Some of the sales originally reported last month failed and did not close. Some of the reasons sales fail are the buyer and seller don’t agree on the building inspection, the condo does not appraise for the sales price or the buyer’s financing does not come through.
The number of Seattle-eastside condos for sale dropped considerably as there are about 75 less condos for sale. The numbers are back down to March’s numbers. It’s pretty typical, no matter the kind of real estate market there is out there, for there to be more condos for sale in the summer than at any other time during the year. The decline in the number of condos for sale should continue until the end of the year. So if you plan to sell next year, start early in the year. Don’t wait until summer.
If you’re selling your condo now, can you be one of the 11/100 who gets the offer? Yes, if price and condition beat all of your competition.
What do you see happening with condo sales in your area?
How Was The Seattle-Eastside Condo Market in September, 2010?
Seattle Eastside Condo Sales September 2010
(The absorption rate, the percentage of condos selling, is the number of condos for sale in any given month divided by the actual number of condos sold that month. So if the absorption rate or chance of selling is 10% that means out of 100 condos for sale, 10 received offers and sold.)
September, 2010 1448 condos for sale 155 condos sold 11% odds of selling.
August, 2010 1499 condos for sale 140 (was 152) condos sold 9% (was 10%) odds of selling.*
September, 2010 1407 condos for sale 206 condos sold 12% odds of selling.
*Adjusted from previous month’s original numbers to reflect the actual number of condos sold and closed. Some of the sales originally reported last month failed and did not close. Some of the reasons sales fail are the buyer and seller don’t agree on the building inspection, the condo does not appraise for the sales price or the buyer’s financing does not come through.
The number of Seattle-eastside condo sales in September is very close to last year. In fact, if you look at most of the months on the above chart, March and April stand out. All the other months, except one, have fairly similar condo sales numbers. March and April totals, which were so much higher than the other months, were because of tax credit. Buyers rushed to beat the deadline of the tax credit during those months. Ironically, that impacted May’s sales record. It was the really low month of this year because so many of the buyers bought before May.
It’s too bad so many people rushed to buy then, because there is less competition among buyers and better interest rates.
As I mentioned last month, expect to see the number of condos for sale to keep dropping, which is a good thing for both buyers and sellers. It will help to bring a little bit more balance to the market, although it will be a long time before there is a balanced market between buyers and sellers.
If you’re selling your condo, can you be one of the 11/100 who gets the offer? Yes, if price and condition beat all of your competition.
What do you see happening with condo sales in your area?
What Were The Chances of Selling Your Seattle-Eastside Condo in August, 2010?
Seattle Eastside Condo Sales, August 2010
(The absorption rate, the percentage of condos selling, is the number of condos for sale in any given month divided by the actual number of condos sold that month. So if the absorption rate or chance of selling is 10% that means out of 100 condos for sale, 10 received offers and sold.)
August, 2010 1499 condos for sale 152 condos sold 10% odds of selling.
July, 2010 1552 condos for sale 128 (was 144) condos sold 8% (was 9%) odds of selling.*
August 2009 1429 condos for sale 168 condos sold 12% odds of selling.
*Adjusted from previous month’s original numbers to reflect the actual number of condos sold and closed. Some of the sales originally reported last month failed and did not close. Some of the reasons sales fail are the buyer and seller don’t agree on the building inspection, the condo does not appraise for the sales price or the buyer’s financing does not come through.
Sales of Seattle-eastside condos in August of this year are very close to last August’s sales activity.
There was a significant drop in the number of Seattle-eastside condos for sale in August from July’s high of 1552. I expect more condos to come off the market as we head towards fall and winter.
What do you see happening with condo sales in your area?
