Some homeowners and home buyers in our neighborhoods and communities are left scratching their heads, “What is going on with real estate home prices?” Within the last nine months we’ve gone from insane multiple offers to price reductions and now sour milk listings. The rapid change in the real estate market has some people singing the hit song from the Clash – Should I stay or should I go.
The real estate market is moved and adjusted by inventory levels, number of buyers in the market place, current interest rates and employment opportunities. The inventory in our area at the end of 2017 finished at 163 total active listings. The market ended 2018 with 239 active listings which is a whopping 46.63 percent increase year-over-year. This is good news for buyers and not-so-good news for sellers.
There is no reason to think you are on a sinking ship when you hear this news. For the same time period median home sales prices jumped 10.87 percent from $345,000 at the end of 2017 to $382,500. This was the highest increase in all of Snohomish County for this time period even with closed sales dropping 8.63 percent.
Commenting on inventory, declines in closed sales and the drop in month’s supply, MLS director Dick Beeson said, “There’s lot’s of speculation as to the reasons why. One thing for sure: this situation can make for a deliciously deceptive market for either buyers or sellers.”
The Marysville market is ripe for home appreciation in 2019. Based upon the median home sales price in South Snohomish County at $495,000 compared to ours at $382,500 you can easily understand why we are seeing a much more robust rate of appreciation and very low inventory levels resting around 1.33 months of supply.
The Spring market is already starting to take effect so start your planning now and take advantage of low interest rates and lower home prices before the Spring market boom! Until next month, “Make it a great day in real estate.”