We are lucky to be in Seattle! Our area continues to defy the national real estate market trends.
Here is a bit about what has happened since 1990:
Homes appreciated every year, except two:
1992 – prices stayed the same.2001 – prices declined a bit ( remember 9/11) – 2%
Top five years with the highest appreciation:
1998 - 21%1997 – 18%2005 – 17%1999 – 14%2006 – 13%
Inventory was much higher in the 1990’s than in the 2000’s.
It was not uncommon for much of the early 90’s to have 7000-9000+ properties for sale.
August, 1991 – 9546 homes were available
May, 2007 – 3584 homes are available, 2/3 less homes are available today
Even though we are at the highest amount of properties on the market since 2004 with 3500 properties available, our inventory levels are nothing like the 1990’s!
Hang on through the rest of this decade. We still have a lot of growth to come. The job market is still very strong and available land for new construction is limited. Expect appreciation to continue throughout the rest of the decade.
2 comments:
Could you share a link to the source of the inventory data for 1990 and 2007? Are these numbers limited to particular zipcodes? Whole Eastside?
Thanks,
Lukasz
Hi Lukasz,
Thanks for your question. I am down in San Francisco at the Real Estate Connect conference, But I can tell you without even checking that the number of homes on the market in the early 1990's far surpassed the number on the market today. The number quoted in this article is for all of the Eastside, from South Bellevue, Issaquah out to North Bend and on up through Bellevue, Kirkland, Bothell, Woodinville, Duvall and all of the plateau. There were three times the number of homes on the market in 1991 than there are now. I worked in that real estate market so I know exactly what was going on and it was tough to sell anything then.
I do not read the stuff about a housing bubble in Seattle as I do not believe there is going to be one, One of the speakers at Real Estate Connect, Alan Pierello, the CEO from Realogy, which owns Coldwell Banker and other real estate franchises,talked about the fact that there are hundreds of markets in this country. Real estate markets are local and not national. What is happening in Kansas or Phoenix is not necessarily happening in Seattle. That being said, if we have a disaster of some sort or some cataclysmic economic event, anything can happen in any of the real estate markets. After 9-11 most housing markets stalled, even Seattle. We had a very fast recovery, however, in January of 2002, so it was a very short termed slow down for the Seattle area.
Seattle does, however, operate in cycles each year. There generally are more listings available in the summer. You can see the cycles on the charts for each year. You can check out my website, www.debrasinick.com to go back a couple of years to see the most recent stats, if you would like, to see some of these charts.
By the way, I get all my data from the multiple listing service and some of the charts are put together by Windermere to track all this data. I formulate my opinions based on this data and my market knowledge.
Thanks,
Debbie
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From: Lukasz Anforowicz [mailto:anforowicz@gmail.com]
Sent: Thursday, August 02, 2007 3:51 PM
To: Debra Sinick
Subject: West Redmond Real Estate Buzz
Hello,
In your article at http://www.westredmondrealestatebuzz.com/2007/06/how-much-have-homes-appreciated-in.html you wrote that in August, 1991 there were 9546 homes available on the market and that in May, 2007 – 3584 homes are available.
Could you please share the source of those numbers? What area is covered by the first and second number? Particular zipcodes of King County? Do the numbers cover only SFH or both SFH and Condos?
I am asking mainly because I want to compare your data with the claim of http://seattlebubble.com/blog/2007/07/05/like-a-broken-record-listings-way-up-sales-slightly-down/ that we now have an all-time record inventory for the whole King County at about 10000 SFH on the market.
Thank you,
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