© Mariko Mitsui Real Estate

Volume 1 2018 Issue“E xceptionally low” inventory slows yearend home sales, contributes to steep pricehikes around Greater Seattle region
The year 2017 may be in the books and for many members of Northwest
Multiple Listing Service it was a memorable one with December's activity
being no exception. Brokers reported historic lows for inventory and yearover-year price gains in most areas.
For the MLS area overall, inventory shrunk 19 percent, from 10,569
active listings at the end of 2016 to last month's figure of 8,553. That's thesmallest selection for any month in the past decade. For the fourth time thisyear, monthly inventory dipped below the 10,000 mark, a level not reachedat any other time during the 10-year comparison.
Despite the paltry supply, last month's sales remained remarkably strong,with closings up slightly (0.88 percent) from a year ago. Northwest MLS
members reported 7,642 closed sales, about the same volume as a year ago
when completed transactions totaled 7,575.

The study also found that annual household income in the Seattle area
averages $104,475 - which is also considerably higher than the national
average of $72,156. Housing is the largest expenditure category for
Seattle-area households, the research showed, averaging $24,993 peryear - about a third of the area's average household budget.

B reakouts! – Residential SOLD Average
December 2017 (King/Snohomish/Pierce County) SOLD Average
Average $Average $2017 VS

Dec. 2017

Dec. 2016

Auburn-Federal Way (110-310)$395,156$ 351,939

2016
12.28%

Kent-Maple Valley (320-340)
West Seattle (140)$$476,734
706,784$ 437,564$ 540,317

SODO-Beacon Hill (380-385)$628,702$ 560,317

30.81%
12.20%

E.lake-Madison-Capital Hill (390)$ 1,216,882$ 832,091

46.24%

Queen Anne-Magnolia (700)$ 1,128,447$ 973,757

15.89%$ 738,668

15.70%

Area (Area Code)*Belltown-Downtown Seattle(701) $854,663

8.95%

Northwest MLS statistics show prices rose 11.4 percent system-wide forthe 7,642 completed sales of homes and condos. Thirteen of the 23 counties
in the report had double-digit price hikes from a year ago. Two counties
reported price drops: Chelan (-11.2 percent) and Douglas (-6.5 percent).

Ballard-Greenlake (705)$816,839$ 722,25613.10%

North Seattle (710)$848,655$ 746,251

13.72%

Shoreline/Richmond Beach (715)$630,912$ 578,572

9.05%

Bellevue Downtown (520)$ 2,806,006$ 2,146,822

30.71%

Within the Puget Sound region, King County registered the sharpest
escalations at nearly 16 percent. Year-over-year prices jumped from$505,000 to $585,000. For single family homes in King County, the hike
was similar (about 15.5 %), rising from $550,000 to $635,000 at year end.

Mercer Island (510)$ 2,012,359$ 1,522,945

32.14%

Bellevue South-Newcastle (500)$ 1,125,431$ 902,841

24.65%

612,661$ 529,010

15.81%

Microsoft-Bellevue East (530)$ 1,063,326$ 893,237

19.04%

Condo prices surged 28 percent in King County over the past twelve
months, from $315,000 to $402,000. During the same year-over-year
period, active listings fell from 346 units to 206 (down more than 40percent), leaving only about 10 days of supply (0.35 months of inventory).

Kirkland Downtown (560)$ 1,324,143$ 1,056,812

25.30%

Redmond (550)$889,720$ 883,913

0.66%

Issaquah-Sammamish (540)$943,593$ 864,630

9.13%
16.12%

J. Lennox Scott, chairman and CEO of John L. Scott Real Estate believes
the Central Puget Sound housing market will remain one of the strongest in
the nation. "It will be another happy new year for real estate activity." As
the new year unfolds, he expects buyers "will emerge from winter holiday
hibernation in big numbers" in part thanks to the Seahawks. "Without theSeahawks in the football playoffs, the 2018 housing market will be moreintense earlier in January rather than heating up after the Super Bowl," Scottremarked.
Market Activity Summary for December 2017
Listings
Single Family

NewHomes & Condos Listings
King

1,165

Closing Sales

Total

Pending

Active
1,374

1,850

# ofAverage

Closings

PricePrice$700,191$585,000

2,681

MedianSnohomish

614

709

1,009

1,242

$465,405$425,000

Pierce

872

1,500

1,248

1,356

$355,422$314,995

Total

2,651

3,583

4,107

5,279

$507,006$441,665

W A households spent more than avarage
Households in the Seattle-Tacoma-Bellevue metropolitan area of
Washington state spent an average of 33.4 percent more than theaverage U.S. household, a new federal study found. The study,conducted over the past two years (2015 and 2016) for the U.S. Bureauof Labor Statistics, found that the average household in the Seattle
metropolitan area spent $74,723 per year, significantly more than the$56,648 average expenditure level for households in the United States.

Renton Highlands-Downtown (350) $Juanita-Bothell-Woodinville (600) $813,854$ 700,892

Bothell North-Mill Creek (610)

730,518$ 633,484

15.32%$$580,646$ 510,262

13.79%

Everett-Mukilteo-Snohomish (740) $451,078$ 408,612

10.39%

Edmonds-Lynnwood (730)*Condominium SOLD Average

Mortgage approval rate is high nationwide
With a fresh year beginning, now is the perfect time to assess all thegoals you hope to accomplish in 2018. For many, included in that listof aspirations is to finally become a homeowner. Markets may betight on available homes, but you feel for the first time you have theright financial stability to take on this major investment.
The only question is: Will you be able to get a mortgage to financeyour dream purchase?
You likely won't have to worry about getting approved by a lender.
NerdWallet reported in early 2017 that the average approval rate ofmortgage application is 88.2 percent nationwide, based on 2015 data.

Gina Brown (NMLS#115337)

Weekly Primary Mortgage Market Survey® (PMMS®)

Mortgage Specialist /Mortgage Capital Associates

January 11, 2018425-766-5408
gina@gmgloan.com
www.loansbygina.com

A verage Rates

Regional Breakdown

Fees & Po ints
A PR

30-Yr
FNM A
3.99%

30-YrFHA
3.50%

15-Yr
FNM A

5/1
A RM

3.375%

3.50%*All loans are wit h a one point originat ion f ee.

4.121%

4.985%

3.603%

3.626%** Owner Occupied / Single Family Residence
740 credit score and 20% down payment for conventional
640 credit score and 3.50% down payment for FHA