Here we are in the middle of the summer 2021 real estate season and it’s time for my summer market update. While the market has been hot just like the Seattle area temperatures, buyers are seeing slightly more favorable conditions as compared to earlier in the year. I’ve been busier than ever and really appreciate the opportunities I’ve had to work with so many great new clients. Most of my business comes from referrals so it means a lot to me that current and past clients continue to recommend me to their family, friends, and colleagues.
In this update I’ll be looking at inventory levels and pricing trends across the Greater Seattle Area real estate markets this summer. Data in this post is provided by the Northwest Multiple Listing Service (NWMLS).
The good news for home buyers started in June when the number of active listings in the Puget Sound region hit 6,358. Altogether agents added 13,111 listings to the NWMLS in June. That was the most listings added since November of 2019 so it is nice for buyers to see this increase in inventory. In July the number of new listings added ticked down slightly to 12,916.
June’s 6,358 active listings was the most active listings on the market since November of 2020 and this improved even a bit more into July. For July we saw 7,948 active listings on the market at the end of the month. Compared to the same time last year this was a decrease of about 23% from 10,259 listings.
All that said, the number of active listings at the end of the summer months being around half the total listings added is a reflection of how strong of a seller’s market we’re still seeing. Instead of “months of inventory” – meaning how many months it would take to sell the current supply of homes on the market, we’re still essentially looking at “weeks of inventory.” In June for King County we were looking at just 0.56 months of inventory and as reflected in the numbers above things improved slightly for buyers in July with 0.66 months of inventory. Snohomish County had the lowest number for this metric in July with just 0.53 months of inventory and across all NWMLS member counties the months of inventory was 0.73. A “balanced” market between buyers and sellers is reflected by 4-6 months of inventory (note the lack of decimal places compared to our current reality!).
Some good news for buyers is in addition to the increasing supply side of the equation, prices aren’t increasing as sharply as they were earlier in the year. In my Spring 2021 Market Update I reported that median home prices (including condos) across the NWMLS were up 30% compared to the year prior. From July 2020 to July 2021 we’re now seeing a 21.4% median price increase, rising from $484,995 to $589,000. The system-wide median price from June to July was unchanged. King County led the pack as usual with a median price of $789,000 in July, followed by Snohomish County at $675,000.
I’m still watching for the average home price (including condos) to surpass one million dollars in King County. We’ve been edging closer and closer with each month. In June the average home price for King County was $974,895 and $989,126 in July! These incremental increases are aligned with what I’m seeing for my own listings and offers out there. Appraisers use the sales price of recently closed comparable properties when conducting their appraisal as well, and I’m not really seeing any issues with an appraisal coming back low even though we’re setting new price records every month. All signs are pointing to up!
Right now is a great time to sell with record prices continuing to be hit in many of the neighborhoods I have been working in. As an agent for The Cascade Team Woodinville I am able to offer you a full-service listing experience for just a 1% listing fee. Whether you choose to work with me or just want to discuss buying or selling a home, I’m happy to talk and there is never any pressure.