After almost two years, Seattle is no longer leading in the nation’s fastest rising home prices. The Case-Shiller U.S. National Home Price Index reported that Las Vegas led the nation in June 2018, with a 13 percent growth in home sale prices from June 2017. Seattle’s growth was just below, with a 12.8 percent increase.
According to the Seattle Post Intelligencer, a shortage of inventory is one of the main factors causing increasing home values in the area; however, inventory in the Seattle area has increased by about 13 percent from last year, and will likely continue to increase. The surplus in inventory may be a good sign that buyers can worry less about competition in bidding, and have a greater selection of homes from which to choose. Despite the increase in inventory, industry experts confirm that while the Puget Sound area continues to be a seller’s market, our region is certainly seeing a slowdown. Although buyers have been able to downshift from the breakneck pace of earlier this year, it’s still a very fast-moving market. Brokers advise buyers to remain ready to act quickly on new listings.
Mortgage rates in the past few weeks have dropped since this cooling-off period began. With inventory increasing and prices leveling out, this may be a good time for buyers who were outbid in the summer to look into the market again. NWMLS reports that the average price for a single-family home sold in King County in August 2018 was roughly $669,000. Pierce County’s average price came in at $352,000, while Snohomish County reported $492,225.
Experts predict that home values won’t be declining but will be appreciating at a slower rate compared to years before.