© Mariko Mitsui Real Estate

Volume 8 2016 Issue

E arly Signs of a “More Balanced Market”
Home prices are still rising but the supply of homes is improving,prompting brokers to suggest some relief is in sight for would-be buyers.
"We might actually be starting to move very slowly back toward a morebalanced market," said OB Jacobi, president of Windermere Real Estate, incommenting on July's figures from Northwest Multiple Listing Service.
The MLS report summarizing last month's activity shows active listings(including single family homes and condominiums) are at the highest level
since September 2015 and the volume of new listings added to inventory
topped the 12,000 marked for the third consecutive month.
"We are experiencing a record breaking market," exclaimed J. Lennox
Scott, chairman and CEO of John L. Scott, Inc. "Last month was the best
July in history in the Puget Sound real estate market. We're in a frenzy hotmarket with a large backlog of buyers." He credits improving inventorywith spurring sales. "That additional inventory gave us the boost to not only
be able to claim an all-time, best ever July, but to also position the last threemonths as the best in history for [pending] sales activity in the Puget Soundregion.“Brokers added 12,178 new listings to the selection during July, which
compares to 11,198 additions during the same month a year ago for an
improvement of nearly 8.8 percent. At month end, there were 18,287 active
listings for sale versus the year-ago figure of 21,069. That represents a yearover-year drop of "only" 13.2 percent; it's been hovering in the minus-20
ranges for most months since spring 2015.

experienced population growth this past year. King county grew by
53,000 people (2.5%), while Kitsap grew by 4,390 (1.7%), Pierce by
14,370 (1.7%), and Snohomish by 15,260 (2%).

B reakouts! – Residential SOLD Average
July 2016 (King/Snohomish/Piece County) SOLD Average
Area (Area Code)Average $Average $2016 VS
2015
12.60%

July 2016

July 2015

Auburn-Federal Way (110-310)$

350,329$ 311,122

Kent-Maple Valley (320-340)
West Seattle (140)$$398,528
568,169$ 353,882$ 516,622

SODO-Beacon Hill (380-385)$

571,305$ 499,507

E.lake-Madison-Capital Hill (390)$ 1,090,214$ 906,143

20.31%

12.62%
9.98%
14.37%$ 924,364

12.79%*Belltown-Downtown Seattle(701) $745,290$ 588,027

26.74%

Ballard-Greenlake (705)$732,050$ 640,117

14.36%

North Seattle (710)$959,060$ 666,19543.96%

Shoreline/Richmond Beach (715)$546,754$ 496,382

10.15%

Bellevue Downtown (520)$ 2,039,834$ 1,869,871

9.09%

Mercer Island (510)$ 1,820,334$ 1,352,976

34.54%

Bellevue South-Newcastle (500)

Queen Anne-Magnolia (700)$ 1,042,571$

936,017$ 848,546

10.31%

Renton Highlands-Downtown (350) $512,178$ 407,792

25.60%

Microsoft-Bellevue East (530)$828,495$ 689,767

20.11%

Kirkland Downtown (560)$ 1,066,183$ 968,884

10.04%

Redmond (550)$707,706$ 723,996-2.25%

Issaquah-Sammamish (540)$791,583$ 687,411

15.15%

Juanita-Bothell-Woodinville (600) $680,393$ 605,489

12.37%

Bothell North-Mill Creek (610)$573,498$ 492,725

16.39%For single family homes (excluding condos), the area-wide median selling
price was $358,150, a 9.2 percent gain from a year. King County had thehighest median price for single family homes at $555,000. That's a 14.4
percent year-over-year increase.

Edmonds-Lynnwood (730)$

501,094$ 448,578

11.71%

Everett-Mukilteo-Snohomish (740) $423,058$ 376,597

12.34%

Scott expects current market conditions will continue at least into thesummer of 2017. "The best opportunity for homebuyers to find a home will
be in the next three months," he suggested, noting new listings coming on
the market historically taper off in November. "Because of the current
increase in inventory, now may be a great time for buyers who werediscouraged from entering the market to rethink their decision," he added.

F reddie sees Banner Year for Originations;
Lowers Interest Rate Projection for 2017

The median price for last month's 9,466 closed sales of single family
homes and condos (combined) was $350,000. That reflects a jump of 9.6
percent from a year ago when it was $319,250. Within the 23 counties in
the report, the median price ranged from $57,950 in Ferry County to$505,000 in King County.

Market Activity Summary for July 2016
Listings
Single Family

New

Total

Closing Sales
Pending# of

Average

Closings

Price

Price

3,653

$616,644$505,000

1,795

1,515

$411,643$385,000

2,098

1,499

$308,077$280,000

7,991

6,667

$445,455$390,000

Homes & Condos Listings

Active

King

4,385

4,316

4,098

Snohomish

1,877

1,969

Pierce

2,057

2,819

Total

8,319

9,104

Median*Condominium SOLD AverageStrong home sales, near-historic low interest rates, a burst ofrefinancing, and continued home price growth are moving Freddie
Mac's economic team to predict that mortgage originations will top $2
trillion this year. That will be the highest volume since 2012
The mortgage markets continue to feel the impact of the United
Kingdom's Brexit vote. The report says the continued flight to safety
it, along with other global factors, triggered held the average 10-year
Constant Maturity Treasury yield to 1.5 percent in July although thatis higher than the low or even negative yield in much of the developed
world. Those rates are continuing to keep downward pressure on U.S.
rates and with the outlook for a rapid global recovery muted, Freddie
Mac says that pressure is likely to persist for an extended period.
Weekly Primary Mortgage Market Survey® (PMMS®)

B iggest population gain this century
Population in the central Puget Sound region reached nearly 4 million
people in April 2016, growing by 86,320 people (2.2 percent increase)in the past year, according to the Puget Sound Regional Council. Thisis the biggest population gain this century, and the highest growth ratein the past 20 years. King, Kitsap, Pierce and Snohomish counties all

Gina Brown (NMLS#115337)

A ugust 15, 2016

Mortgage Specialist /Mortgage Capital Associates

Regional Breakdown

425-766-5408
gina@gmgloan.com
www.loansbygina.com

A verage Rates
Fees & Po ints
A PR

30-Yr
FNM A
3.375%

30-Yr
FHA
2.75%

15-Yr
FNM A
2.625%

5/1
A RM
2.875%*All loans are wit h a one point originat ion f ee.

3.501%

3.869%

2.847%

2.997%** Owner Occupied /Single Family Residence
740 credit score and 20% down payment for conventional
640 credit score and 3.50% down payment for FHA