Q1 2018 Seattle-Eastside Real Estate Report
Q1 prices in the Seattle-Eastside region have escalated yet again with no sign of slowing in the immediate future. An unprecedented lack of inventory for sale coupled with rising interest rates has prompted buyers to compete with reckless abandon to win the prize of their very own home, albeit with a steep price tag.
Overall median prices in Seattle rose 16.1% to $770,000, while the Eastside rose 13.0% to $944,000. Those regional numbers certainly don’t tell the whole story, especially when you consider the highest change in median sale price was nearly 46% and the lowest was a -4%. New construction sales, or lack thereof, made the biggest impact on home sale prices. Existing homes, offering good walkability or commute options, and those that were on the more affordable end of the pricing spectrum saw the strongest appreciation overall.
Rising mortgage interest rates, now up a full percentage point from their lows, are adding fuel to the fire. While not dampening buyer demand yet, further increases will likely begin to price home buyers out of the core Seattle-Eastside region. Homebuyer fear of being priced out of the market is at least partly to blame for the crazed demand at more modest price points.
As predicted, many who don’t have a need to be close in to the metro region are choosing to sell at a high and buy more affordably outside of the Seattle-Eastside area. The rate of tear-down new construction infill has escalated at staggering numbers as builders capitalize on the market’s appetite for fresh and new.
Buyers today should consider their purchase thoughtfully as buying at or near the peak of the market can limit their resale options when the market corrects. Planning to stay put for five to seven years is a good strategy at this time.
SEATTLE
West Seattle leads the pack in median home price growth on the Seattle side of the lake. With its vibrant, hip vibe and convenient access to the city, West Seattle has benefited from Seattle’s commute gridlock—maintaining status quo while other Seattle neighborhoods have come to a halt (literally).
Queen Anne saw a nice rebound in Q1 after lagging the Seattle averages for some time. South Seattle, with its light rail access, affordable prices, and new vitality, continues to see its real estate market thrive.
Click here to view the complete report for a neighborhood by neighborhood breakdown of Average Sale Price, size, and number of homes sold.
EASTSIDE
Significant new home development at higher price points has led the market in West Bellevue and Kirkland and brought up everything else along with it.
With land values alone higher than average home sale prices in surrounding communities, this growth will have long-lasting impacts that will forever change the flavor of these communities–for better (fresh new housing stock) and worse (the lack of affordable options). Kirkland led this charge with a median sale price 45.9% higher than Q1 last year, followed by West Bellevue at 23.1%.
Click here for the full report and neighborhood-by-neighborhood statistics!
MERCER ISLAND
Overall, a much higher percentage of mid-range homes sold in the first quarter than in quarters past, giving the appearance of falling prices. In reality, however, it was actually a downward shift of the segment of the market that is selling.
Don’t let the negative number for Q1 fool you. The market below the two-million-dollar mark is vastly different than the market above it. With the most severe shortage of available homes in mid-range price points Mercer Island has seen, especially early in Q1 this year, the sub $2 million market has been brisk and competitive with strong price escalation. The $2 million and above market has been a different story altogether. While highly desirable homes in that bracket have transacted quickly, many other less notable homes have languished on the market.
Click here to view the complete report for a neighborhood by neighborhood breakdown of Average Sale Price, size, and number of homes sold.
CONDOS – SEATTLE & EASTSIDE
Still the only affordable option for many home buyers today, condos have continued to escalate in value with appreciation rates above those of residential homes in many areas.
On the Eastside, new condo and townhome developments in Crossroads and Rose Hill drove prices up to new highs in those communities. Richmond Beach and Shoreline benefited from an infusion of new construction standalone condominium ‘homes’ on very small lots.
Check out all of these factoids and more in the full condo report.
WATERFRONT
Several significant sales accented an otherwise unremarkable quarter. A $26.8 million iconic Medina estate on 2.5 acres with 150 feet of waterfront set a new benchmark on the Eastside. Two $8+ million homes on the north end of Mercer Island–both newer construction with over 7,000 square feet–set the tone for the Island in 2018. Lake Sammamish, with a $4.2 million sale in Q1, is still in hot demand, while Seattle saw only three modest waterfront sales.
Check out the full Waterfront Report for a complete list of waterfront home sales by address and community.
ABOUT WINDERMERE MERCER ISLAND
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© Copyright 2018, Windermere Real Estate/Mercer Island. Information and statistics derived from Northwest Multiple Listing Service and deemed accurate but not guaranteed.v
3rd Quarter 2012: Reviews for Seattle, Mercer Island & the Eastside
The Seattle market has remained incredibly active with sales up 15% over the same quarter last year—1855 homes sold in the third quarter of 2012 compared to 1609 homes sold during the same period in 2011. The average sales price slipped ever so slightly to $474,633 while the median sales price increased 4% to $407,000.
Condominium sales are up a whopping 33% in the third quarter. Mimicking the single-family trend, the condo average sales price is down while the median sales price is up.
Click here for the full report and to see how prices have changed in your neighborhood!
Mercer Island has seen brisk sales activity once again this quarter with sales up over 10% compared to the same quarter last year. A larger percentage of high end homes sales (deceptively) increased the average sales price to $1,405,792. The median sales price increased from $800,000 last year to $900,000 this year.
Brokers in the field note that the most desirable homes have received multiple offers and have seen moderate price appreciation in the past year, whereas more challenged properties have continued to languish. A handful of luxury estates have changed hands in the past quarter indicating continued strength in the upper end of the high-end market.
Click here for the full report and neighborhood-by-neighborhood statistics!
The Eastside has been a hotbed of activity with sales up over 28% compared to the same quarter last year—2086 homes sold in the third quarter of 2012 compared to 1634 homes sold during the same period in 2011. The average sales price, $623,836 was up 6% from third quarter 2011 while the median price remained the same at $510,000. The cost per square foot increased to $231.
Condominium sales were up 22% to 616 units sold this quarter with an increase in average sales price to $296,732 and a median sales price of $230,000.
Click here for the full report and to see how prices fared in your neighborhood!
© Copyright 2012, Windermere Real Estate/Mercer Island. Statistics provided by the Northwest Multiple Listing service and deemed accurate but not guaranteed.
Exploring the Puget Sound Region: Best Beaches
Picnic on the beach, build sandcastles, find a treasure, or just read a book and relax. I hope you enjoy these great spots to visit as you explore our beautiful Puget Sound region.
Best Beaches for Sand
Marina Beach—Edmonds
Alki Beach—West Seattle
Golden Gardens—North Seattle
Richmond Beach—Shoreline
Meadowdale Park—Edmonds
Discovery Park—Magnolia
Carkeek Park—North Seattle
Dash Point State Park—Federal Way
Best Beaches for Fires (In designated pits only)
Alki Beach—West Seattle
Golden Gardens—North Seattle
Best Beaches with Playgrounds
Seahurst Park—Burien
Marina Beach—Edmonds
Richmond Beach—Shoreline
Golden Gardens—North Seattle
Best Beaches for Sea Creatures
Brackett's Landing North and South—Edmonds
Seahurst Park—Burien
Howarth Park—Everett
Best Beach Walks
With a stroller:
Alki Beach—West Seattle
Lincoln Park—West Seattle
With a backpack:
Meadowdale Park—Edmonds
Discovery Park—Magnolia
Best Beaches for Picnic
Richmond Beach—Shoreline
Kayak Point Regional Park—Stanwood
Saltwater State Park—Des Moines
Dash Point State Park——Federal Way
Seahurst Park—Burien
Lake Sammamish State Park—Issaquah
Seattle Economy Ranked #3 in US
The Seattle-Tacoma-Bellevue area economy was recently ranked third strongest in the US for long-term growth and resiliency! Independent research firm Policom Corp. analyzed data from 1992-2010 and based its rankings consistent growth in both size and quality of 23 different economic factors.
Olympia also made the list at #11 with the Tri-Cities close behind at #13. Stronger economies (like ours) have shown an overall growing trend and resiliency in the face of our recent recession. Click here for the full article!
Source: NWREporter, http://nwmls.com
May Reports Show Home Prices Up
New listings in the month of May lowered absorption rates slightly in Seattle, the Eastside and King County while pending sales remained strong. Mercer Island saw a decent decline in pending sales…likely due, in part, to the lack of inventory for sale in key price ranges. Median sales prices are up in most areas and average sales prices are varied. By far, the strongest spring market we have seen in years.
Data prepared and analyzed by Julie Nugent for Windermere Real Estate/Mercer Island. For questions or comments, email Julie at julie@windermere.com.