How is the Seattle Real Estate Market?
The Seattle Real Estate market is complex and nuanced, highly competitive and steadfast in its economy. For a better understanding of the current market climate and statistics, see the graphs below. These statistics update in real time and reflect current market trends and values sourced directly from the NWMLS.
The graph below depicts the number of homes available vs. the number of sold homes. Pending transactions, or listings under contracts are indicated by the red line. This information is beneficial to understand the supply and demand in our housing market.
The graph below depicts the average pricing for homes both sold and for sale. Blue bars indicate median sold home prices. This information is useful to evaluate which direction home prices are trending in a specific area.
The green graph below represents the percentage of sales price at which a home sells for. That is to say, if a home sells for 102% it is sold for 2% more than asking price. The adverse is true, a home that sells for 98% sold for 2% under asking price.
The orange below represents average current days on market. This is how many days the average house takes to find a buyer.
The graph below depicts the number of months of inventory Seattle has, which is to say, 'If we stopped listing new homes today, how long would it take to sell all of the inventory?' A comparatively lower "Months of Inventory" is more beneficial for sellers while a higher "months of inventory" is better for buyers. Generally speaking the following is true: Buyer’s market = more than 6 months of inventory. Seller’s market = less than 3 months of inventory. Neutral market = 3 – 6 months of inventory.
The graph below depicts the market absorption rate. Absorption rate is the rate at which homes sell in a given area during a given time period. Absorption rate is calculated by dividing the number of sales in a given month by the number of available homes for sale. It is the inverse of months of supply. Generally speaking the following is true: Buyer’s market = 16.67% and below. Seller’s market = 33.33% and above. Neutral market = 16.67% - 33.33%.
We are happy to discuss these statistics further if you're anything like Joe and your brain operates strongly in the left hemisphere. Numbers, data and statistics are his happy place and he would love nothing more than to share a beer over happy hour while discussing these Market trends.
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