As you may recall from last month’s newsletter, the median price of Eastside Single Family Residences (SFRs) increased 4% in April, which was surprising given the significant increase in inventory that month. As I expected, there was a correction in May and the SFR median price decreased 6% to $1,510,000. The number of Active listings increased another 16% at the end of May and the number of new listings increased 6%, so I anticipate more downward pressure on pricing as we head into our slower summer season. The Eastside condo median price dropped another 5.5% to $661,500 in May, as inventory increased 9% and new listings increased 4%.
Seattle’s SFR market continued to outpace the Eastside last month as the median price increased another 4% to $1,037,500. Inventory at the end of May increased a more modest 10% and the number of new listings actually decreased 5%, which helped support pricing stability. Activity remained fairly steady, albeit a bit slower, which is normal for this time of year. The Seattle condo median price decreased slightly (1.5%) to $566,500. Active listings increased 7%, but the number of new listings decreased 6.5%. It will be interesting to see if this trend continues and condo inventory starts to shrink, stabilizing prices, or if the slower summer market makes up the difference.
Buyer opportunities on the Eastside and condo-buyer opportunities in Seattle are the best I’ve seen in years. Even when we get into a multiple offer situation, price escalations have been minimal. Whether you’re an investor, first-time homebuyer or looking to downsize, lower prices are finally offsetting interest rates. For sellers, the winning strategy is to price ahead of the shifting market – past sales are not a good indicator of current values. Prime market time remains the first two weeks of a listing, so overpricing can be costly.
Looking to buy or sell? Please reach out to discuss your specific scenario, I'd be happy to help!
