Seattle WA market - for SFR is it a buyers or seller's market?

13 Replies

Hello BP Colleagues,

I live in Anchorage AK and want some info on the Seattle market.  For Single family homes is it a buyers market or a sellers market? Is there a lot of inventory?  thanks, Tricia

Tricia,

Seattle is very much a Seller's market.  The last stat I got, was that there is only 35-days of inventory.  Buyer's are doing ANYthing and EVERYthing to try to get into homes...   ...waiving inspections, waiving appraisals, buying down appraisals, and escalation contingencies of 100k (or more) above asking.  The housing market here is "stupid crazy", and that is a HUGE understatement.

Brandon

It is a sellers market, inventory is way down. Very hard to find a deal that will cash flow. Like @Brandon Kelly said, this market is just down right brutal if you are looking to BUY AND HOLD. If you want to get a "deal" look North of Everett or well south of Seattle in my opinion.

@Tricia O'Brien

   I have to agree with @Brandon Kelly and @Kirill Chervets . Seattle is an absolutely brutal market right now, and it is showing no signs of slowing down.

 Just take a brief look at the following articles:

http://www.geekwire.com/2015/a-silicon-valley-exodus-redfin-analysis-finds-that-bay-area-residents-increasingly-looking-for-homes-in-seattle-and-portland/

http://www.seattletimes.com/seattle-news/data/seattle-no-1-for-techies-looking-to-flee-california/

http://www.seattletimes.com/business/real-estate/king-county-home-prices-surge-just-shy-of-2007-peak/

Additional data released by the MLS on June 4th, reported that housing inventory has dropped statewide (with the exception of Ferry and Douglas counties) by more than 18% from a year ago. Pending sales in King, Kitsap, Pierce and Snohomish counties are at record highs over the past 15 years. Sale prices are up over 11% (again, this is statewide) than last year.

I can already hear you asking, 'Are there any good deals to be had at all?' The answer is yes, depending on your ability to waive contingencies, hire a good broker and expand your search criteria.

That's insane! I had a fellow realtor friend who just moved there because the market was so hot. Glad I'm in Alaska!

James Cash, Real Estate Agent in AK (#18690)
907-360-7448

seller's market for sure. Made 16 offers this year on SFH and got only 2 accepted--mainly because I offered at full-price and waived contingencies. It's crazy!

Seller's market @Tricia O'Brien !!!!  Inventory is actually less than 30 days for the most popular square footages (and that's the lowest inventory we've seen in quite some time).  I'm North of Seattle in Snohomish County and things are out of control!  

-AA

To Aaron Ramm,

What are the most popular sizes for SFR in your region (square footage and/or # of bedrms/bathrooms?

thanks, Tricia O'Brien

newbie question - Doesn't that make it a super awesome market for flipping?

This is a bit of a misleading stat in Seattle. I think the official DOM is around a month. But if you are pricing it fairly and it is move in ready it should be gone in 1.5 weeks or less. Because of the low inventory there are a lot of legacy listings where people are listing crap at "make me move prices" with out any real need to really want to sell.

Bubble...same as before great recession

Definitely a seller's market. We do about 20 to 30 flips a year and I think it is easier to flip in a buyer's market. Inventory is tight but I see at least one good deal that fits the 70% of ARV minus construction at least once a week.

Originally posted by @Ryland Taniguchi :

Definitely a seller's market. We do about 20 to 30 flips a year and I think it is easier to flip in a buyer's market. Inventory is tight but I see at least one good deal that fits the 70% of ARV minus construction at least once a week.

Curious - is that 70% of ARV based on list price, or final sale price? We've put in offers on a couple single family homes that had major repairs needed but attractive list prices, and they ultimately they went for 20%+ over asking.

70% of final sales price. 

Sounds like you need access to off-market properties. We're putting 20 off-market deals a month under contract and if send me your email I can add you to my buyer's list. There are plenty of deals here in Seattle right now. 

We also are making 100 low-ball offers a week on the MLS and sounds like you be looking at the wrong MLS properties.

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