Is the Seattle Housing Market Recovering?

According to the Northwest Multiple Listing Service there was a strong gain in home sales in February. Since this is generally the busiest home selling seasong, it will be interestting to see how much the market increases this spring over last spring. King County generally leads the trend and the San Juans are usually at the end of the trend. Closed sales in Feb were up 45% from Feb last year.

Agents in Seattle are reporting heavy traffic at Open Houses and many think the looming deadline for the homebuyer tax credit is helping to boost activity.

Pending sales (offers made and accepted, but not yet closed) also increased 45% from Feb last year. This will be the 11th straight month of increases.

Seattle is seeing more  'Move up Buyers' than last year, which bodes well for the San Juan's and Orcas, as generally the buyer on Orcas Island is mature and sells a home to purchase here, or is purchasing a second home. Contributing to these higher end sales is the thawing of the Jumbo Loan Market.

To see Listings on Orcas Island and the San Juans go to: OrcasDreams-Island Properties

Are Home Prices Changing on Orcas?

According to Inman News today, home prices fell 0.4 percent in the last three months of 2009 compared to the same period a year earlier. However, four of nine regions posted gains, and this included the Northwest, according to a home price index published by Freddie Mac, 

 

Low interest rates and the first-time homebuyer tax credit helped boost home sales to their highest level in 2 1/2 years during the final quarter of 2009 after a seasonal adjustment, said Frank Nothaft, Freddie Mac's chief economist.

Regions seeing year-over-year price gains were the Pacific Division (Alaska, California, Hawaii, Oregon and Washington), up 1.6 percent; the East South Central Division (Alabama, Kentucky, Mississippi and Tennessee), up 0.8 percent; the West South Central Division (Arkansas, Louisiana, Oklahoma and Texas) up 1.5 percent; and the West North Central Division (Iowa, Kansas, Minnesota, Missouri, North Dakota, Nebraska, and South Dakota) up 1.1 percent.

Prices were essentially flat from a year ago in the Middle Atlantic Division (New Jersey, New York and Pennsylvania), which was down 0.1 percent; and the New England Division (Connecticut, Massachusetts, Maine, New Hampshire, Rhode Island and Vermont), down 0.1 percent.

Prices fell 7 percent from a year ago in the Mountain Division (Arizona, Colorado, Idaho, Montana, New Mexico, Nevada, Utah and Wyoming); 1.8 percent in the South Atlantic Division (Delaware, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, West Virginia, and Washington, D.C.); and 0.9 percent in the East North Central Division (Illinois, Indiana, Michigan, Ohio and Wisconsin).

While Orcas has been somewhat insulated from Bank Repo's to date, there is an occassional sale. For example this month a view home with 3 bedrooms and 2 baths on 5 Acres sold for under $478K, this was a bank Repo.  This home would have sold for over $750K not long ago. Great deal for that lucky buyer. 

Call me at 360-376-4642  if you are looking to buy on Orcas!

Kate