Here’s what we’re hearing from our neighbors in the Seattle areas and since Bainbridge Island and the Kitsap Peninsula usually follows their lead, I’m filled with hope!
The average sold price per square foot for single
family homes in Metro Seattle dropped slightly from
July to August, but prices overall remain stable.
Our brokers report that the market is “hot” in the
$400,000—$1,200,000 price range, with multiple
offers on many new listings. This trend is fueled by
lower prices, continued availability of distressed
properties, higher housing affordability, and well
publicized studies indicating that Seattle real estate
prices of entry level homes may rise during 2012.
Market Activity
Inventory of single family homes in Metro Seattle
declined in August, while pending sales experienced
an increase of about 10% above the previous month
and about 27% over the same month during 2010.
Inventory of homes for purchase will likely remain
tight through the end of 2011: Home buyers with
assertive brokers are profiting from lower prices,
while a majority of sellers with well‐priced, welllocated,
and neatly presented homes, are securing
sales in about 30 days.
Financial Trends
Interest rates are now about 4.0% for a 30‐year fixed
mortgage, an historic low. Future changes are difficult
to predict, however, when the economy improves,
interest rates will likely increase.
The data indicates that 2011 remains prime time for
Seattle real estate investors. With real estate prices
down 35% from the high in June 2007, and a strong
local economy—evinced by new hiring, with salaries
among the nation’s highest—investing with a longterm
timeframe will