May Brings New Real Estate Records
The record setting real estate market is not letting up as the stats from the month of May show us. According to a monthly report from the Northwest Multiple Listing Service (NWMLS), the number of active single family home listings dropped from April to May – for the first time in 20 years. While the month to month decline was small (only 83 listing), it is proof that the market is not slowing down. It is worth noting that the single family home inventory was significantly lower than during the same month a year ago – a 46.6% decline.
Amongst the 26 of the 39 counties in Washington state that the NWMLS surveys, the inventory of single family homes and condominiums remains critically low – .59 months worth. The only two months when inventory was even lower were March 2021 and December 2020, when it dropped to only .53 months of supply. Only 11,922 new listings were added area-wide, slightly fewer than April’s total of 12,043.
Single family homes continue to break records and close for well above asking price. Area-wide, the 8,011 SFRs closed at 107.3% of the asking price, while in King County the figure was even higher – 109.5% of asking price. The combination of high prices, low inventory as well as high consumer savings and low interest rates all contribute to the real estate gold rush we are experiencing today.
While much of the attention focuses on single family homes, the condominium market is finally slowing signs of bouncing back. The inventory levels are dropping while the sales rise in the urban cores, notably Downtown Seattle. The inventory is down 36% from May 2020, as pending sales are outpacing new listings. In King County the condominium supply is notably dwindling, with about a month’s supply at the end of May – compared to 1.67 in January. Pending sales of condos are up a staggering 62.4% in King County year-over-year. In Seattle alone, pending sales rose 83.7%.
While the closed sales have more than doubled from a year ago (up about 107%), prices are up as well – 21.7%. It is interesting to note that the largest gains were actually outside of King County, where most condominiums are located. Within King County, which accounted for almost 60% of the volume, the year-over-year prices are up 9.3%.
Whether you are thinking about buying or selling – or just have questions about the market in general, we are here to talk. Reach out to us at 206.910.5000 or at email@example.comEmail