Feel free to reply to me with YOUR number! Despite interest rates doubling over the past year and a half and what you’ve been hearing in the media, the limited supply of homes on the market has left buyers eager for more inventory.
What is happening in the real estate market on the Eastside, you ask? Well, the market is being impacted by a variety of factors, including a limited number of new listings, increases in interest rates, and fluctuations in job security. Compared to the previous year, the number of new property listings taken in 2023 has decreased by 25%, which has led to a 23% decline in pending sales. Typically, the number of houses for sale increases by 38% from December to the end of March (based on the ten-year average). This year, however, the active inventory has only increased by 11%.
While frequency of multiple offers on homes has declined, they are still common in popular locations and price ranges. In March 2023, 24% of houses sold for more than asking. This is down from the extraordinary highs of a year ago (85% of sales in March 2022 were sold over asking price) and up from December 2022’s low when only 6% of homes sold above asking price.
Assuming interest rates remain unchanged from current levels, the real estate market will likely continue to see a shortage of listings, resulting in home prices that are lower than a year ago but higher than current prices. However, if rates drop below 6%, I expect that the frequency of multiple offers on houses will increase, with over half of sales receiving competing offers. As always, please consider me a resource for any real estate questions!