Median sale prices have been rising so rapidly it seemed worthy of taking a time out to look at the ten year trend. All three markets—Seattle, Eastside and Mercer Island—and King County as a whole—are now solidly priced above 2007 peaks. Keep in mind this represents the overall price for an entire region, with the most desirable homes likely up much higher than 2007 prices and less desirable homes still not quite there.
What does this mean to you? It means that strong employment, an insufficient supply of housing inventory, commute proximity, and low interest rates have continued to drive prices upward in core Seattle-Eastside metro areas. Is it sustainable? As long as jobs remain stable, rents continue to match or outpace mortgage payments, and enough inventory is available to buy. A shift in any of those elements will cause price appreciation to slow or halt.
Typically this happens gradually over time as the market slowly begins to shift towards balance. And, balance we need! Lest we forget all about that rear view mirror vantage point into the past decade’s economic woes, we need to see a shift to a more balanced, buyer-friendly real estate market. The health of our real estate market depends on it.
Click on each report below to view detailed data: