There’s nothing like fresh data at the beginning of the month. The numbers for the Seattle real estate market through January of this year show us what’s going on with seasonal trends in the area. The data also shows the continuation of positive trends year-over-year sales performance.
Seasonal Factors in Seattle Real Estate
It’s not surprising to see a dip in active listings during the winter months. It is a bit surprising to see that the total number of active listings in January 2018 dipped below 8,000. This was the first time in the past year that inventory has been that low in the Seattle area.
New Listings vs. Old Listings
Although the total number of listings may have been down in January, the positive element to take from this is that of those 7,565 active listings, 5,756 were new inventory that month. Generally speaking this suggests that homes are still selling well.
In fact, when we look at the months of inventory in the market, it’s clear that things are still white hot.
Remember, anything under six months of inventory is considered pretty hot, so 2 months or less is like a raging inferno. While inventory ticked up in January, it’s still well below the 2 month threshold. This is consistent over the past 12 months, indicating that this is still a seller’s market.
Average Sale Price
Don’t let the dip in January 2018 in this chart fool you. The average sale price in January was higher than the previous February or March. This suggests that 2018 is starting off on a stronger footing than 2017 did, and average sale price peaked at just over $500,000 in June of last year.
Price per Square Foot
It’s also worth noting a continued positive trend on the Price/Square Footage ratio. We can see here, that the price per square foot actually increased in January 2018. This is another positive sign that 2018 will continue to be a strong year in Washington real estate.
To recap: at the beginning of 2018, housing inventory in the Seattle area remains low. Homes aren’t sticking around on the market for too long because most of the active listings in January were new listings. The average sale price dipped by an average of $18,000, but the price per square foot actually increased from $234 to $250.
If you have questions about any of this, or would like to take advantage of the hot seller’s market in Seattle, contact the Blue Match team for a free consultation.