Seattle Real Estate Report for October 2018
The housing market has shifted, with more homes for sale, bidding wars are less frequent and homes are staying on the market longer.
If you have questions or would like more detailed information on any of these Seattle WA neighborhoods, please let me know.
Takeaway: The market hasn’t slowed down very much, supply just seems to have finally caught up to the demand. Compared to last year, there’s a 48% increase in the number of homes for sale.
Real estate has outranked stocks/mutual funds, gold, savings accounts/CDs, and bonds as the best long-term investment among Americans for the last 5 years.
Stay up-to-date with this comprehensive snapshot of the Seattle real estate market.
With the Seattle real estate market defying every housing market trend – a huge problem remains: there are more people looking to buy homes than there are homes available for sale.
With Seattle’s population rapidly growing recently thanks in part to large homegrown businesses like Amazon and Starbucks.
Home values in King County, which is where Amazon is located, have appreciated twice as fast as the national average.
Notwithstanding that the current Seattle market has remained a seller’s market for some time now, Seattle homeowners are still hesitant to sell.
So, what’s a home buyer to do when the market offers them no relief?
There are a few strategies that a potential home buyer can do to not just set them apart from their competition, but help them land the home they dream of.
Follow these home buying best practices and own the home meant for you:
1. Timing is key
a. If you are able to be flexible with your timeframe, let the seller know that you are willing to move as quickly — or as slowly — as they need. If the seller is looking to close their home within 30 days, they won’t be very interested in an offer from someone who won’t be ready to move for 60.
b. Do anything you can do to speed up the buying process and make it easier for the seller. This includes getting a pre-inspection.
c. Get prequalified by a home lender. Pre-qualifying yourself for a loan demonstrates to the seller that you have been vetted financially and details how much mortgage you can afford.
2. Add an escalation clause to your offer
If you want to compete with multiple offers on a home, the best weapon you’ll have in your offer will be using an escalation clause. This will help the seller measure how much more you are willing to pay over another competing offer.
3. Make it personal
When a home seller faces multiple offers, receiving a personal letter from a home buyer can help set that offer apart. Yes, many sellers will just go for the highest bid. However, if the home seller has an emotional attachment to the home, pulling at their heartstrings might just help you land the property.
4. Cash still talks
Make your offer irresistible by contributing more money up front in the earnest money deposit. Earnest money is cash provided by the buyer, ranging from 1% to 5 % of the purchase price, that gets held in escrow until the sale finalizes. Earnest money usually acts as insurance for the home seller in case the buyer backs out of the deal.
Were you able to purchase a home in a seller’s market? Share your experiences in the comments below!
Whether you’re a senior, empty nester, or simply looking to live in a smaller space, once you’ve made the decision to downsize your home, the first step is usually the hardest — getting rid of your stuff.
Here are three tips to successfully downsize your home and live comfortably in a smaller, cozier place.
1. Plan ahead with your new lifestyle in mind
– Will you have room for your existing furniture in your new space?
– What belongings will you be moving with you to your new home?
Don’t wait to make decisions and begin planning your downsizing early. Set timelines with goals. Think about what lifestyle you’ll want to embrace as you move forward and build a solid plan to make that happen.
2. Declutter your space
One of the most difficult decisions you’ll make while you begin your downsizing process is deciding what to keep and what to donate or discard. It’s perfectly normal to gain an attachment to your things- after all, they’ve occupied a place in your home for some time. Begin this journey by compiling a list of your wants, needs, and what you won’t be taking with you in your new space. Once you have completed your lists, remain committed to them. It’ll be easy to deviate from your plan but remember, you put the items on a list for a reason.
3. Make decisions with quality and purpose in mind
Remain conscious about what you let into your mind, life, and new environment. Choose furniture that can be utilized for different purposes, instead of trying to squeeze too many pieces into a single room. A great rule of practice is to choose furniture with good storage and space solutions. Think quality over quantity.
Lastly, allow someone to help in sorting and packing your belongings. It could be incredibly hard for you to let go of certain items that would just clutter your new space. If you find yourself stuck on a certain decision, ask for an objective opinion.
Downsizing doesn’t have to be a nuisance or a terrible experience— although, it may feel like it temporarily, think about the life and space you’ll get in exchange for all of the “stuff” you’ll be giving away.
Download the reports here —> MAY-2018_ JILL JUDY
Click to view the April Real Estate Market Reports for Metro Seattle Condos, Magnolia, NW Seattle, NE Seattle, Central Seattle, SE Seattle, Central Seattle SW, and West Seattle.
Spring is in full swing and the real estate market is blooming. If you are debating or on the fence about whether or not to sell your home this season, Here are 3 reasons you should list your home for sale during spring:
Tap Into Your Home Equity
According to a recent report released by Zillow, in Seattle, homeowners are gaining $54.24 in equity per hour, 3.5 times the minimum wage of $15 an hour. This indicates that home values are appreciating at a rate per hour that’s actually higher than the local hourly minimum wage. This equity, however,
is only available once a homeowner sells.
Low Inventory Means Less Competition
According to another report released by Remax, the Seattle metro area is tied only with Denver for lowest home inventory and has one of the fastest markets in the country. This means that, in the majority of Seattle, there are not enough homes for sale to satisfy the number of buyers in the market.
Quicker Home Sale Than Ever
Due to the low home inventory, home buyers are doing all they can to stand out from the crowd, including getting pre-approved for their mortgage financing. This makes the entire selling process much faster and much simpler as buyers know exactly what they can afford home shopping.
Only you can decide whether or not now is the time to sell your home or downsize, however, the real estate market is ripe for a quick and profitable home sale.