© Mariko Mitsui Real Estate

Volume 7 2020 Issue

N orthwest MLS brokers report robust activity
amid low interest rates, tight inventory, changing
lifestyles
Historically low interest rates and lifestyle changes are fueling housing
activity around Washington state, according to Dean Rebhuhn, president ofVillage Homes and Properties in Woodinville. Commenting on just-released
June statistics from Northwest Multiple Listing Service, he and other brokers
say multiple offers are common “especially in the median price range.”
Brokers in the 23 counties that are part of Northwest MLS point to ashortage of homes as a key factor in the bidding wars. At the end of June,
there was only 1.16 months of supply system-wide, which is the second
lowest level in the past decade. (The lowest mark, at 1.12 months, was inDecember 2017.)
Not surprisingly, the supply/demand imbalance is causing prices to ratchet
up. Median prices for last month’s 8,312 closed sales of single family homes
and condos increased nearly 5.7% compared to a year ago, rising from
$440,000 to $465,000.
In the four-county central Puget Sound area, year-over-year prices rose evenmore. Of these counties, King County had the smallest increase at nearly 5.9%
(rising from $637,675 to $675,000). Pierce County prices jumped nearly
8.2%, from $372,500 to $403,000. Prices were up nearly 6.7% in Snohomish
County and more than 7.7% in Kitsap County.
J. Lennox Scott, chairman and CEO of John L. Scott Real Estate, noticed amajor increase in sales activity intensity, which measures the percentage ofhomes that sell within the first 30 days of going on the market. “It’s almost as
if the cupboards were bare in the more affordable to mid-price ranges where
the majority of sales take place,” he remarked.
The new report from Northwest MLS shows last month’s volume ofpending sales surged 15% from May (increasing from 10,389 to 11,916) andclosed sales jumped more than 39% (from 5,957 to 8,312).
James Young, director of the Washington Center for Real Estate Research,
noted the shortage of inventory is resulting in higher prices and rising demand“in places that are more rural and popular with older people trading down.”
Rebhuhn also reported rising interest in moving to suburban neighborhoods
and to Central and Eastern Washington. “The reasons are more space, lower
prices, and lower taxes. They have found they can accomplish most of theirwork and business from home.”
In a recent report, Housing Wire, a news portal for mortgage and housing
professionals, indicated last week’s average rate for a 30-year fixed mortgage,at 3.07%, was the lowest in a Freddie Mac data series that goes back to 1971.
Its Housing Recovery Index shows Seattle is among markets showing thegreatest recovery.
Market Activity Summary for June 2020
Listings
Single FamilyNewHomes & Condos Listings

Closing Sales

Total

Pending

Active# ofAverage

Closings

Price

MedianPrice

King

4,107

3,471

4,025

2,783

$817,186$675,000

Snohomish

1,544

1,093

1,848

1,344

$557,075$521,544

Pierce

1,548

1,149

1,853

1,376

$441,949$403,000

Total

7,199

5,713

7,726

5,503

$605,403$533,181

resiliency of American consumers and their evergreen desire forhomeownership," said Lawrence Yun, NAR's chief economist. TheNational Association of Realtors said that its index of pending salesrose to 99.6 in May, the highest month-over-month gain in the index
since its inception in January 2001.

B reakouts! – Residential SOLD Average
June 2020 (King/Snohomish County) SOLD Average
Average $Area (Area Code)June 2020

The number of Americans signing contracts to buy homes rebounded arecord 44.3% in May after a record-breaking decline the previous month,
as the impact of the coronavirus pandemic sidelined both buyers andsellers. Pending home sales are continuing to increase. "This has beena spectacular recovery for contract signings, and goes to show the2020 VSJune 20192019

Auburn-Federal Way (110-310)$

477,361$

437,691

9.06%

Kent-Maple Valley (320-340)$547,977$

522,852

4.81%

West Seattle (140)$752,208$

718,148

4.74%

SODO-Beacon Hill (380-385)$

714,326$

747,223-4.40%

E.lake-Madison-Capital Hill (390)$

1,295,257$ 1,148,023

12.83%

Queen Anne-Magnolia (700)$

1,295,261$ 1,203,586

7.62%*Belltown-Downtown Seattle(701)$

881,426$

797,266

10.56%

Ballard-Greenlake (705)$869,175$

896,757-3.08%

North Seattle (710)$

1,091,629$915,83419.20%$

Shoreline/Richmond Beach (715)$748,150

769,825-2.82%

Bellevue Downtown (520)$

3,273,050$ 3,573,245-8.40%

Mercer Island (510)$

1,878,074$ 2,236,992-16.04%

Bellevue South-Newcastle (500)$

1,031,923$ 1,168,827-11.71%

Renton Highlands-Downtown (350)$

661,167

Microsoft-Bellevue East (530)$

1,192,710

629,641

5.01%$ 1,180,936

1.00%

Kirkland Downtown (560)$

1,697,179

Redmond (550)$931,290$ 1,485,252

14.27%$918,960

Issaquah-Sammamish (540)$1,027,775

1.34%

$

935,904

Juanita-Bothell-Woodinville (600)

$

9.82%

932,832$

909,488

Bothell North-Mill Creek (610)

2.57%

$

771,669$

696,870

10.73%

Edmonds-Lynnwood (730)$643,192$

680,048-5.42%

Everett-Mukilteo-Snohomish (740)$

567,906$

548,832$

3.48%*Condominium SOLD MedianA rea where housing markets most at risk
In a second-quarter report from ATTOM Data Solutions, it wasrevealed that housing markets most at risk due to the economic impactof COVID-19 are located on the East Coast. More specifically, 11
suburban counties around New York City, five around Washington,D.C. and four around Baltimore are more at risk, ATTOM said. Otherstates stretching from Connecticut to Florida and Illinois were home to
43 of the 50 counties most vulnerable to the economic impact of thepandemic.
West coast states had fewer counties at risk, ATTOM said. There arefour western counties in California, with none in other West Coast or
southwestern states, that are considered at risk.
Weekly Primary Mortgage Market Survey® (PMMS®)
July 13, 2020

S pectacular Recovery

Average $Gina Brown (NMLS#115337)

Regional Breakdown

Senior Loan Officer

Average Rates

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

Fees & Points
APR30-Yr
FNMA30-Yr
FHA15-Yr
FNMA

5/1
ARM

2.875%

2.75%

2.500%-*All loans are with a one point origination fee.

3.006%

3.016%

2.737%-**** 5/1 ARM’s are not pricing right now due to liquidity issues
with the Forbearance due to COVID 19** Owner Occupied / Single Family Residence
740 credit score and 20% down payment for conventional